MFG Core International Fund (Managed Fund) (Ticker:MCSG)

An actively managed, research driven and competitively priced portfolio of 70-90 of the world's best businesses. The fund leverages Magellan's DNA, that is Magellan's proprietary definition of quality, investment process and investment team.

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Fund overview

A diversified global equities portfolio of 70-90 of the world’s best companies - those that have sustained competitive advantages enabling them to generate attractive returns into the future.

Why invest internationally?

You buy from the world's best companies, so why not invest in them? To learn more about investing in international equities

Read more (PDF)

The portfolio is constructed using Magellan’s DNA - our long-standing proven investment process and our experienced investment team. The investment team actively research companies to apply our proprietary definition of ‘Quality’. Identifying companies with unique attributes enable the business to generate attractive sustainable returns over the longer-term.

Investment objective

The Fund’s primary investment objective is to achieve attractive risk-adjusted returns over the medium to long term through investment in a diversified portfolio of high quality companies.

Fund features

  • Active research

  • Proprietary universe

  • Quality global portfolio

  • Competitively priced

  • Diversification

  • Resilient portfolio of 70-90 stocks

  • Risk controls

  • Consistent, repeatable process

Investment Philosophy, Magellan's DNA

Our proprietary definition of quality is forward looking and focused on sustainable earnings

Magellan’s DNA is focused on our people and our process. Our definition of quality is thoughtful and considered. The definition is forward looking and qualitative, and relies on Magellan’s experienced investment team, vs. historical quantitative metrics. This determination is a qualitative assessment, historical data can often be a poor guide for the future.

The investment team undertakes active fundamental research, to identify the unique attributes of a company that enable it to generate sustainable attractive returns over the longer-term. This process is overseen by the Investment Committee and Portfolio Managers. We regard companies with an economic moat, or sustainable competitive advantage as key to investing with a long-term horizon. Identifying businesses with strong moats (for example – brand, scale or industry structure), sensible management, the ability to invest capital at high rates of return and with discernible tailwinds, means we are positioning our portfolio towards those businesses that are most likely to succeed and thus enabling better outcomes for our investors.

Businesses protected by structural advantages in combination with the opportunity for sustainable growth at strong returns are more valuable. As such, the MFG Core International Fund is designed to provide investors with a diversified portfolio of high-quality companies with the opportunity to compound their earnings over time, while avoiding the bad and ugly within the index.

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Fund Facts

Portfolio manager
Elisa Di Marco, PhD
Elisa Di Marco, PhD
Structure
Global Equity Fund, $AUD unhedged
Inception date
11 December 2020
Fund size
$25.90 million 30 Nov 2023
Cboe Ticker
MCSG Market Data Tickers
  Units
Bloomberg MCSG AU EQUITY
Thomson Reuters MCSG.CHA
IRESS MCSG.CXA
ICE iNav**
AUD $
Ticker details
  Indicative NAV
Bloomberg MCSGAUIV INDEX
Thomson Reuters MCSGAUiv.P
IRESS MCSG-AUINAV.NGIF
Solactive iNav
AUD $
Ticker details
  Indicative NAV 
Bloomberg MCSGAIV
Thomson Reuters MCSGAUDINAV=SOLA
IRESS MCSGAUDINAV
More about iNAV
More information about iNav

The iNAV reflects the estimated NAV per Unit updated for portfolio stocks that have live market prices during the Trading Day, or where they do not have live market prices, may be updated for equivalent securities or movements in after-market trading and for foreign exchange movements. The iNAV will not be updated for market-based movements such as movements in stock market indices.

Magellan has engaged ICE Data Indices, LLC and Solactive AG as iNAV calculation agents to independently calculate and disseminate an iNAV. Both iNAVs are freely available to investors. From time to time there may be differences between the two iNAVs as a result of different calculation methodologies or timing of the data.

Buy / Sell Spread
0.10%/0.10%
(only applicable to investors who apply for units directly with the Fund)
Management fee
0.51% p.a.
Distribution Frequency
Semi-annually
Benchmark
MSCI World Net Total Return Index (AUD)
APIR Code
MGE3851AU

Transaction costs may also apply - refer to the Product Disclosure Statement. All management costs described above are inclusive of the estimated net effect of GST.

The inception date represents the first date the Fund was offered to retail investors.

** iNAV calculations as shown on www.mfgcoreseries.com.au (the "data") provided by ICE Data Indices, see ICE Terms of Use, and is updated during Cboe trading hours. Powered by Factset. iNAV is indicative and for reference purposes only. The Fund is not sponsored, endorsed, sold or marketed by ICE Data Indices, LLC, its affiliates ("ICE Data") and ICE Data or its respective third party suppliers MAKE NO EXPRESS OR IMPLIED WARRANTIES, AND HEREBY EXPRESSLY DISCLAIM ALL WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE WITH RESPECT TO THE iNAV, IOPV, FUND OR ANY FUND DATA INCLUDED THEREIN. IN NO EVENT SHALL ICE DATA HAVE ANY LIABILITY FOR ANY SPECIAL, PUNITIVE, DIRECT, INDIRECT, OR CONSEQUENTIAL DAMAGES (INCLUDING LOST PROFITS), EVEN IF NOTIFIED OF THE POSSIBILITY OF SUCH DAMAGES. You acknowledge that the data is provided for information only and should not be relied upon for any purpose.

INVESTMENT RISKS: All investments carry risk. While it is not possible to identify every risk relevant to an investment in a fund, we have provided details of risks in the fund's Product Disclosure Statement.

Research ratings 1

Morningstar

Neutral

Zenith

Approved

Lonsec

Recommended

Ratings are only one factor to be taken into account when deciding whether to invest in a financial product.

See Research house ratings disclaimers

Actively constructed and systematically managed

Magellan's investment research DNA is based on the proven ability to find the world's best businesses. This forward-looking assessment of advantages, disruption and risk mitigation is a key tenet of Magellan's long-term investment process that seeks to grow our client's portfolios over the medium to long term, coupled with capital protection objectives.

This process is predicated on building in-depth knowledge and expertise on the economics and key risk considerations of each business within our universe.

Born out of Magellan's investment research DNA, the MFG Core International Fund focuses on five key factors when identifying the universe and assessing businesses:

  • Economic moat: a proprietary view on the sustainability of a companies competitive advantages. This will include consideration of for example scale, switching costs and industry structure.
  • Moat trend: direction and stability of moat over time.
  • Business risk: predictability of earnings over the next 4 years. This will include company specific risks, industry risks, macro economic and geopolitical risks.
  • Agency risk: risk surrounding the deployment of cash flows generated. For example, confidence in management execution and M&A risks.
  • Re-investment potential: through the cycle sustainable levels of growth and returns.
Rigorous Fundamental Research
0
 

Rigorous Fundamental Research

Thousands of stocks are filtered down to a universe of around 200 companies that:

  • Meet our strict proprietary definition of quality;
  • Have robust balance sheets; and
  • Meet our base exclusions such as fossil fuels & mining, controversial weapons, gambling and tobacco.

Next: Rules Based Portfolio Management

Systematic Portfolio Management
0
 

Unconstrained weighting based on market capitalisation and quality

Our portfolio construction begins with selecting the top 70-90 companies our assessment of by quality after allowing for minimum diversification.

The portfolio is seeded with an unconstrained weighting based on market capitalisation and quality. Quality companies are upweighted in the portfolio relative to their unconstrained market capitalisation weighting.

Continue: Security level risk controls

Security level risk controls

Overweight individual securities are then constrained to a maximum of 3% of total holdings.

Continue: Regional constraints

Regional constraints

Constraints on the aggregate weight applied to 7 geographic regions.

The US, US multinational and EU are each constrained to a maximum weight of 40% of total holdings.

All other regions are constrained to a maximum weight of 10%.

Continue: Sector constraints

Sector constraints

Finally, constraints on the weights are applied by risk vector.

Risk vectors are constrained to a maximum weight of 20% of total holdings, with the highest risk category constrained to 10%.

Next: Continuous Active Monitoring

Continuous Active Monitoring
0
 

Continuous Active Monitoring

Ongoing dynamic analysis of business fundamentals and quarterly rebalancing mitigates event risk and preserves targeted diversification settings.

Every quarter, we reassess the companies in the universe on the basis of their quality and key risks. This process determines the active research inputs used in the portfolio construction process.

Back to beginning

About the Portfolio Manager

 
Elisa Di Marco, PhD

Elisa Di Marco, PhD

Portfolio Manager

Elisa Di Marco joined Magellan in 2015 with responsibility for research coverage in the financials sector. In 2019, Elisa joined the Core Series team and in 2020 Elisa joined the ESG team and was appointed PM of the MFG Core ESG fund. In 2022, Elisa was appointed PM of the Core International Fund. Prior to Magellan, Elisa spent two years as an analyst at APRA, primarily stress testing and supervising Australian financial institutions. Elisa also worked at Macquarie Group as an equity analyst covering banks and at NYSE Euronext Paris in surveillance and research.

Elisa holds a Bachelor of Commerce (Honours) from the University of Wollongong and a Doctor of Philosophy from the University of New South Wales.

Performance

30 November 2023
Performance 3 Months 6 Months 1 Year Since Inception**
(% PA)
MFG Core International -1.19% 3.47% 13.62% 9.39%
Benchmark* -0.74% 6.12% 14.12% 11.06%
Out/Under Performance -0.45% -2.65% -0.50% -1.67%

* Benchmark is the MSCI World NTR Index (AUD)
** Fund inception 11 December 2020

Click here for further information on the benchmark.

Important Information: Calculations are based on exit price with distributions reinvested, after ongoing fees and expenses but excluding individual tax, member fees and entry fees (if applicable). Inception date 11 December 2020. Past performance is not a reliable indicator of future performance.

Growth of AUD $10,000
30 November 2023

Click here for further information on the benchmark.

Important Information: Calculations are based on exit price with distributions reinvested, after ongoing fees and expenses but excluding individual tax, member fees and entry fees (if applicable). Inception date 11 December 2020. Past performance is not a reliable indicator of future performance.

30 September 2023

  % weight
LVMH Moet Hennessy Louis Vuitton 3.0%
Home Depot Inc 3.0%
Nestlé SA 3.0%
Proctor & Gamble 3.0%
Coca-Cola Company 2.9%
  % weight
Alphabet Inc 2.9%
Apple Inc 2.9%
PepsiCo Inc 2.9%
Hermes International 2.9%
Amazon.com Inc 2.9%

Unit Prices

Date Net Asset Value Entry Exit
07/12/2023 4.1714 4.1756 4.1672
06/12/2023 4.1693 4.1735 4.1651
05/12/2023 4.1829 4.1871 4.1787
04/12/2023 4.1529 4.1571 4.1487
01/12/2023 4.1521 4.1563 4.1479
30/11/2023 4.1297 4.1338 4.1256
29/11/2023 4.1134 4.1175 4.1093
28/11/2023 4.1009 4.1050 4.0968
27/11/2023 4.1290 4.1331 4.1249
24/11/2023 4.1473 4.1514 4.1432
23/11/2023 4.1592 4.1634 4.1550
22/11/2023 4.1731 4.1773 4.1689
21/11/2023 4.1340 4.1381 4.1299
20/11/2023 4.1396 4.1437 4.1355
17/11/2023 4.1452 4.1493 4.1411
16/11/2023 4.1493 4.1534 4.1452
15/11/2023 4.1191 4.1232 4.1150
14/11/2023 4.1342 4.1383 4.1301
13/11/2023 4.1158 4.1199 4.1117
10/11/2023 4.1338 4.1379 4.1297
09/11/2023 4.0718 4.0759 4.0677
08/11/2023 4.0880 4.0921 4.0839
07/11/2023 4.0682 4.0723 4.0641
06/11/2023 4.0046 4.0086 4.0006
03/11/2023 3.9937 3.9977 3.9897
02/11/2023 4.0129 4.0169 4.0089
01/11/2023 3.9614 3.9654 3.9574
31/10/2023 3.9584 3.9624 3.9544
30/10/2023 3.9140 3.9179 3.9101
27/10/2023 3.8725 3.8764 3.8686
26/10/2023 3.9097 3.9136 3.9058
25/10/2023 3.9531 3.9571 3.9491
24/10/2023 3.9629 3.9669 3.9589
23/10/2023 3.9529 3.9569 3.9489
20/10/2023 3.9523 3.9563 3.9483
19/10/2023 3.9931 3.9971 3.9891
18/10/2023 3.9800 3.9840 3.9760
17/10/2023 4.0012 4.0052 3.9972
16/10/2023 4.0141 4.0181 4.0101
13/10/2023 3.9972 4.0012 3.9932
12/10/2023 3.9944 3.9984 3.9904
11/10/2023 3.9857 3.9897 3.9817
10/10/2023 3.9917 3.9957 3.9877
09/10/2023 3.9668 3.9708 3.9628
06/10/2023 3.9808 3.9848 3.9768
05/10/2023 3.9508 3.9548 3.9468
04/10/2023 3.9883 3.9923 3.9843
03/10/2023 3.9573 3.9613 3.9533
02/10/2023 3.9637 3.9677 3.9597
29/09/2023 3.9282 3.9321 3.9243
Show more unit prices Show all unit prices Download the historical unit prices

Distribution history

IMPORTANT

Please ensure that your Tax File Number (TFN) or Australian Business Number (ABN) is provided to the Unit Registry by Record Date, otherwise tax will be withheld on income attributed to you at the top marginal tax rate plus Medicare Levy.

If you have elected to receive distributions in cash, please ensure that your bank account details are provided to the Unit Registry by Record Date, otherwise your distribution payment will be withheld until a valid bank account is provided.

To review or update your TFN/ABN and bank account details, log on to the Unit Registry’s online portal.

 

Date Distribution per unit Reinvestment price  
June 2023 7.5700 cents $4.0900  Annual Fund Distribution 2023
December 2022 7.00 cents $3.5025 Interim Fund Distribution - 31 December 2022
June 2022 7.0000 cents $3.4180 Annual Fund Distribution 2022
December 2021 7.0000 cents $4.2608 Interim Fund Distribution - 31 December 2021
June 2021 7.0000 cents $3.9023 Annual Fund Distribution 2021

3 ways to access MFG Core International Fund

Invest through Cboe
Invest directly with the Fund
Speak to a Financial Adviser

MFG Core International Fund (Managed Fund) (Ticker:MCSG)

  1. View the indicative Net Asset Value (iNav)*

    ICE iNav**
    AUD $
    Ticker details
      Indicative NAV
    Bloomberg MCSGAUIV INDEX
    Thomson Reuters MCSGAUiv.P
    IRESS MCSG-AUINAV.NGIF
    Solactive iNav
    AUD $
    Ticker details
      Indicative NAV 
    Bloomberg MCSGAIV
    Thomson Reuters MCSGAUDINAV=SOLA
    IRESS MCSGAUDINAV

  2. Check the current share price MCSG

  3. Buy on Cboe - Ticker Code MCSG

Investors should read the Product Disclosure Statement (PDS) prior to making any investment decisions.

Additional information and forms

Additional information TMD - MFG Core International Fund Financial Services Guide

MFG Core International Fund (Managed Fund) (Ticker:MCSG)

1. Read the Product Disclosure Statement (PDS)

2. Click here to APPLY NOW and start your online application process.

You will need the following information handy to support your online application:

  • Identification documents (e.g. drivers license) 
  • Mobile number and email address
  • Your Tax File Number (TFN)
  • Complete the FATCA/CRS verification (if applicable)

Note: Magellan accepts initial direct investments from individuals with a minimum of $10,000.  You must be over 18 years of age.

Additional information and forms

Additional forms Automic Withdrawal Form

Log into the online portal via the link below to:

  • Check your balance(s), view transaction confirmations and periodic statements.
  • Update your personal details.
  • Invest additional funds and switch investments.
  • Participate in the Distribution Reinvestment Plan (DRP).
  • Provide your FATCA/CRS certification.

Access online portal

Additional information TMD - MFG Core International Fund Financial Services Guide

MFG Core International Fund (Managed Fund) (Ticker:MCSG)

Speak with your adviser/broker. To locate an adviser in your area visit one of the following associations:

FAQs

The Magellan Core Series are quoted on Cboe and can be bought and sold like any listed security. Alternatively investors can apply and redeem directly with Magellan. See How to Invest for more information.

Cboe Australia, a regulated stock exchange, offers trading in all Australian listed securities and the exclusive trading of CXA quoted Warrants and Funds.

We seek to be transparent with our clients and are making the following disclosures in relation to our listed funds:
 

  • Securities exchange announcements under each ticker code;
  • Estimated Net Asset Value ("NAV") per Unit published on Magellan Core Series' website daily;
  • Indicative intra-day NAV per Unit ("iNAV") published on Magellan Core Series' website daily and which is updated throughout the trading day;
  • Monthly fund factsheets on Magellan Core Series' website and on the securities exchange; and
  • The full portfolio on a quarterly basis with a one-month delay on Magellan Core Series' website and on the securities exchange.

The Responsible Entity intends to target a cash distribution yield of 4% per annum of the average of the month-end NAV per Unit over the two year rolling period ending on the last Business Day of the prior distribution period (“Target Cash Distribution”). The Responsible Entity has the discretion to distribute an amount higher than the Target Cash Distribution.

The distribution in respect of the units will be paid semi-annually (for the periods ending 30 June and 31 December of each year), although the Fund may make distributions more or less frequently at the discretion of the Responsible Entity. The Responsible Entity intends to announce the proposed Target Cash Distribution per unit on the announcements platform of the Securities Exchange Operator at the beginning of each distribution period. Additionally, the Responsible Entity intends to announce the final distribution per unit, and the distribution timetable, on the announcements platform of the Securities Exchange Operator prior to, or around the time of, the end of each distribution period.

Under the AMIT rules, investors will be assessed for tax on the income of the Fund attributed to them. Where the income of the Fund exceeds the amount of the distribution paid to investors (“Excess”), the Responsible Entity may, in a particular year, retain or accumulate in the Fund the amount of the Excess. In this scenario, the income of the Fund that is attributed to you (and that must be included in your income tax return) will be more than the cash distribution paid to you. The tax cost base of your units will increase to the extent of the Excess.

You can exit the Fund either by making a withdrawal request to the Responsible Entity using a Withdrawal Form or by selling units on the Securities Exchange via your stockbroker or online broker. How you enter the Fund does not affect the method by which you can exit the Fund.

To make a withdrawal request with the Responsible Entity…
If you have a Securityholder Reference Number (SRN) or Investor Number
You will need to make a withdrawal request to the Unit Registry.
If you have a Holder Identification Number (HIN) with your stockbroker or online broker
You will need to convert your holding from your HIN with your stockbroker or online broker to an SRN issued by the unit registry.
This is a standard process which your stockbroker or online broker can assist you with.

 

 

To sell your units on the Securities Exchange….
If you have a Securityholder Reference Number (SRN) or Investor Number
You can provide your SRN to certain stockbrokers who can sell your units on your behalf.
If your stockbroker does not offer this service, you will need to ask your stockbroker to convert or transfer your holding onto a HIN.  This is a standard process which your stockbroker can assist you with. You can then instruct your stockbroker to sell your units on the Securities Exchange.
If you have a Holder Identification Number (HIN) with your stockbroker
You can instruct your stockbroker to sell your units on the Securities Exchange.


There are important differences between exiting the Fund via the Securities Exchange or by withdrawing directly with the Responsible Entity, including the price you will receive. You should read the PDS or consult with your financial adviser before making any decision on how to invest in the Fund.

Registry enquiries (Automic)

Automic Group

GPO Box 2629

Sydney NSW 2001

Email: magellanfunds@automicgroup.com.au

Fax: +61 2 8072 1409

Phone: 1300 408 792 (or +61 2 8072 1481)

Important Information: Units in the fund(s) referred to herein are issued by Magellan Asset Management Limited (ABN 31 120 593 946, AFS Licence No 304 301). Past performance is not necessarily indicative of future results and no person guarantees the future performance of the fund(s), the amount or timing of any return from the fund(s), or that the investment objectives of the fund(s) will be achieved. This material has been provided for general information purposes and must not be construed as investment advice. It does not take into account the investment objectives, financial situation or particular needs of any particular person. Investors should consider obtaining professional investment advice tailored to their specific circumstances and should obtain and read the relevant Target Market Determination ('TMD') and Product Disclosure Statement ('PDS') applicable to the fund(s) prior to making a decision about whether to acquire or continue to hold an interest in the fund(s). The TMD and PDS for the fund(s) are available on this website or can be obtained by calling 02 9235 4888. Any trademarks, logos, and service marks contained herein may be the registered and unregistered trademarks of their respective owners. Nothing contained herein should be construed as granting by implication, or otherwise, any licence or right to use any trademark displayed without the written permission of the owner. No part of this material may be reproduced or disclosed, in whole or in part, without the prior written consent of Magellan Asset Management Limited.