28 June 2024: Western Asset Management, a Franklin Templeton company, is pleased to announce that the Western Asset Enhanced Income Fund has received an inaugural Recommended rating from Zenith Investment Partners.
Western Asset Enhanced Income Fund invests in a diversified portfolio of Australian and global fixed interest securities and focusses on adding value through active management of duration, sector and security selection.
"This rating is recognition of the team's hard work to generate superior returns for our investors via this enhanced income strategy," Head of Asia Pacific Investment Management at Western Asset Management, Anthony Kirkham, said.
Felicity Walsh, Managing Director of Franklin Templeton Australia and New Zealand, added, "The Zenith rating underscores our commitment to delivering innovative and high-quality investment solutions. It is a testament to the diligent efforts of the Western Asset investment team and their unwavering focus on creating value for our clients in Australia."
In its report Zenith said it held a positive view of both the investment team and its investment process and that the fund is an attractive option in the Australian corporate debt sector.
“Zenith considers the portfolio construction process to be sound, effectively synthesising both the outlook of the global investment committees and the fundamental credit analysis to construct a portfolio that reflects the team's views," the report said.
The team’s access to a network of global credit analysts that provide on-the-ground and real time surveillance of global corporate bonds positions the investment process for a competitive advantage.
The fund targets returns (before fees, charges and taxes) that exceed the Bloomberg AusBond Bank Bill Index by 1.5% to 2% per annum, when measured over rolling three-year periods, and has achieved this target excess return since its inception in 2021.
"Generating income is an increasingly important theme for investors right now, given the current economic environment and interest rate volatility globally. Our strategy is designed to meet this need by providing consistent and attractive income streams," Kirkham explained.
Dedicated to active fixed income investing, Western Asset manages a range of strongly rated fixed income strategies for Australian investors.
Notably, the Western Asset Australian Bond Fund retained its ‘Highly Recommended’ rating from Zenith, a rating held by the fund since June 2016.
The Betashares Western Asset Australian Bond Fund, an exchange traded fund that seeks to replicate the strategy of the unlisted Western Asset Australian Bond Fund (ticker code BNDS), also retained its 'Highly Recommended' rating.
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Media contact
Simrita Virk, Capital Outcomes
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About Western Asset Management
Western Asset is a part of one of the world’s leading fixed income managers headquartered in Pasadena, USA and founded in 1971. Western Asset’s expertise extends across all the world's major fixed income markets. Its investment strategy is focused on identifying and capturing long-term fundamental value for its clients. Rooted in disciplined and rigorous analysis, their objective is to systematically uncover securities priced below their fundamental fair value. Through multiple diversified strategies that benefit from different market environments, Western Asset seeks to turn mispriced securities into opportunities to generate attractive returns for investors. Western Asset is a specialist
investment manager and part of the Franklin Templeton Group.
About Franklin Templeton
Franklin Resources, Inc. [NYSE:BEN] is a global investment management organization with subsidiaries operating as Franklin Templeton and serving clients in over 150 countries. Franklin Templeton’s mission is to help clients achieve better outcomes through investment management expertise, wealth management and technology solutions. Through its specialist investment managers, the company offers specialization on a global scale, bringing extensive capabilities in fixed income, equity, alternatives and multi-asset solutions. With more than 1,500 investment professionals, and offices in major financial markets around the world, the California-based company has over 75 years of investment experience and over AU$2.4 trillion in assets under management as of 31 May, 2024. For more information, please visit www.franklinresources.com and follow us on LinkedIn, Twitter and Facebook.
Disclaimers
This publication is issued for information purposes only and does not constitute investment or financial product advice. It expresses no views as to the suitability of the services or other matters described in this document as to the individual circumstances, objectives, financial situation, or needs of any recipient. You should assess whether the information is appropriate for you and consider obtaining independent
taxation, legal, financial or other professional advice before making an investment decision.
Please read the relevant Product Disclosure Statements (PDSs) and any associated reference documents before making an investment decision. In accordance with the Design and Distribution Obligations and Product Interventions Powers requirements, we maintain Target Market Determinations (TMD) for each of our Funds. All documents can be found via www.franklintempleton.com.au or by calling 1800 673 776.
Issued by Franklin Templeton Australia Limited (ABN 76 004 835 849, AFSL 240827). Franklin Templeton Australia Limited as Responsible Entity has appointed Western Asset Management as the fund manager for Western Asset Enhanced Income Fund (ARSN 648 408 548, APIR SSB8484AU) and Western Asset Australian Bond Fund (ARSN 088 670 286, APIR SSB0122AU).
The Zenith Investment Partners (ABN 27 103 132 672, AFS Licence 226872) (“Zenith”) ratings (ASX:BNDS, SSB0122AU and SSB8484AU assigned June 2024) referred to in this piece is limited to “General Advice” (s766B Corporations Act 2001) for Wholesale clients only. This advice has been prepared without taking into account the objectives, financial situation or needs of any individual, including target markets of financial products, where applicable, and is subject to change at any time without prior notice. It is not a specific recommendation to purchase, sell or hold the relevant product(s). Investors should seek independent financial advice before making an investment decision and should consider the appropriateness of this advice in light of their own objectives, financial situation and needs. Investors should obtain a copy of, and consider the PDS or offer document before making any decision and refer to the full Zenith Product Assessment available on the Zenith website. Past performance is not an indication of future performance. Zenith usually charges the product issuer, fund manager or related
party to conduct Product Assessments. Full details regarding Zenith’s methodology, ratings definitions and regulatory compliance are available on our Product Assessments and at Fund Research Regulatory Guidelines.
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