The Magellan Global Trust is a new investment vehicle to be listed on the ASX that is designed to offer investors a steady income stream from a global equities investment fund; specifically, a target cash distribution of 4% p.a. Other features include a reinvestment plan that provides a 5% discount in respect of the target cash distributions (with the discount paid for by Magellan) and a ‘priority offer’ for Magellan’s shareholders and retail-fund investors that comes with a loyalty reward that will give them an additional 6.25% of the number of units allotted to them. As with the other Magellan global vehicles, the Trust seeks to preserve capital while generating attractive risk-adjusted returns over the medium to long term.
Magellan was formed in 2006 by Hamish Douglass and Chris Mackay, two of Australia’s leading investment professionals. The company specialises in global equity and listed infrastructure assets.