HFA Octane Five Fund offers investors the opportunity to access to the investment skills of a US based fund of hedge funds manager, Lighthouse Investment Partners, LLC (LHP). The underlying fund, Lighthouse Global Long Short Fund (LHP Fund) is a diversified global equity long/short fund designed to invest capital with a diverse range of hedge funds chosen for their ability to produce uncorrelated returns between individual hedge fund specialists. The aim is to ensure that the large share of variation in returns can be explained by non-systematic risk (alpha). In Lonsec’s opinion these characteristics mean the LHP Fund is suited to the leveraged exposure of up to 150% that the product provides investors. Investors should note an investment in HFA O5F is expected to produce predominantly capital growth rather than income and income earned by the Fund may not be distributed to investors

Core Investment in 15-20 Specialist Global Long/Short Absolute Return Managers selected by Lighthouse Partners LLC. Internally Geared up to 100% at wholesale rates by UBS (London). The potential for a distribution of any capital gains in the Index Call Option as at 31st May 2012

• Core investment in 15-20 Specialist Global Long/Short Absolute Return Managers selected by Lighthouse Partners LLC

• Capital Protected at Maturity by UBS (London)*

• 100% Lending Finance*

• Interest payment options: Annual in Advance or Monthly in Arrears

• Interest Rate Options (Annual in Advance only) - Variable Interest Rates fixed for 12 month period or Interest Rate fixed until the Loan Maturity Date

• Internally Geared up to 50% at (US LIBOR) wholesale rates by UBS (London)

Features

3.0% fee saving

Minimum Investment $5,000 ($50,000 with loan)

Capital protected at maturity

100% finance available

Internally leveraged to increase your investment exposure

 

100% finance

UBS will permit you to invest in this fund with no upfront capital, UBS will provide 100% loan against your investment and your only commitment is the interest payments on the investment loan (application for the loan is contained in the PDS).

no margin calls

11.55% interest rate

available for individual, joint, company or trust applicants

minimum loan amount $50,000

 

Fees, Charges and Commissions

There is a normal entry fee of 3.0% on this investment. If you lodge this investment through us we will waive this so that the entry fee is 0%. If you invest direct you will pay the full upfront fee. A trail commission is payable on the investment of 0.25% per annum payable from the MER of the fund. A further 0.45% trail is payable on any loan used for this product.

 

Further Information

For further information please download any of the following files or right click on the button and 'save target as' to download to your computer (all files are in *pdf format):

 

 

* Terms and Conditions apply to the finance from UBS – refer to the UBS PDS

 

IMPORTANT : This information has been prepared without taking into account your investment objectives, financial situation and particular needs. National Financial Solutions Pty Ltd (the authorising licensee) makes no recommendations as to the merits of any investment opportunity referred to on this site or via email correspondence. All indications of performance returns are historical and can not be relied upon as an indicator for future performance. Any investment decision in the products listed is entirely yours. NFS bears no responsibility for the appropriateness of the investment to your circumstances.  NFS will not be held responsible for the performance or security of any investment going forward. Furthermore NFS recommends that you seek advice from an independent person as to the appropriateness of any investment that is placed through our service.