Frequently Asked Questions
What does the fund invest in?
The Fund invests in unsecured notes issued by Moneyspot Finance Pty Ltd, Australian Credit Licence #450305; a related party of the Responsible Entity MSI Funds Management Limited.
Moneyspot Finance Pty Ltd ,in turn, uses the proceeds raised to primarily fund its Australian consumer loan portfolio and the loan portfolios of associated credit providers in the United States and South Africa.
Indirectly, investments of the Fund finance the loans made to thousands of individual consumers to help pay for everyday consumable products and services.
The consumer lending businesses in Australia and overseas are managed by Moneyspot Finance from its Sydney office. The loan application process is online and available 24 hours a day, 7 days a week. The loan application procedure is highly automated and typically a loan can be approved and funded in less than 60 minutes from the time the application is assessed.
Loan assessments include consideration of an applicant’s employment status, income, credit history and expenses to assess the borrower’s ability to service the loan.
Repayments are withdrawn from the borrower’s bank accounts via direct debit on the day that they receive their pay from their employer.
Refer to Section C of the Product Disclosure Statement
How is risk managed?
As with any investment, there are risks, including the risk that the Fund may not generate returns as anticipated and may, in some circumstances, suffer a loss.
The principal risk is the default of a Note Issuer on maturity of a Note due to a lack of liquidity or insolvency.
The assets of the Fund (the Unsecured Notes) are exposed to the underlying operational and credit risk management of Moneyspot Finance Pty Ltd.
The default rate on the consumer loan portfolios is a fundamental consideration underpinning the Targeted Return of the Fund. If the actual default rate of the consumer loan portfolios is significantly higher than the historical levels and are sustained for a period, it may compromise the ability of the Note holder to make interest or principal repayments on the Notes.
Moneyspot Finance takes a number of measures to help manage the risk of default. This includes diversifying credit risk across thousands of individual borrowers and assessing the ability of the lender to service and repay the loan.
What are the fees?
The fees paid by investors of the Fund consist of a Management Fee and administration Expenses.
These fees are paid within the Fund from the income generated from the assets. There are no other Fees incurred by investors.
The Target Rate of Return for each class of units is after these fees have been deducted.
Refer to Section E of the Product Disclosure Statement
What is the minimum investment?
There are a number of investment options available and the features of each vary.
The Minimum Investment for each class is set out below.
| Feature | 30-Days' Notice | Class A | Class B | Class C |
|---|---|---|---|---|
| Minimum Initial Investment | $1,000 | $15,000 | $250,000 | $2,500,000 |
| Minimum Additional Investments | $1,000 | $5,000 | $25,000 | $250,000 |
| Minimum Investment Balance | $1,000 | $15,000 | $250,000 | $2,500,000 |
| Minimum Redemption* | $1,000 | $1,000 | $25,000 | $250,000 |
| Maximum Investment | $150,000 | Discretionary | Discretionary | Discretionary |
*Redemptions are subject to the conditions of the Unit Class including the expiry of the Investment Period and there being sufficient liquidity available to meet withdrawal requests.
What is the Targeted Return?
There are Annual Targeted Returns for each of the Unit Classes available to investors as set out below.
| Class | Target Return |
|---|---|
| 30-Days' Notice | 8.1% |
| Class A | 12.8% |
| Class B | 14.8% |
| Class C | 17.8% |
The Annual Targeted Return is not a forecast. There is no guarantee that these targets or objectives will be met and the Responsible Entity may not be successful in achieving Targeted Returns or any return on the Fund’s investments.
The Annual Targeted Return for each Class is the sum of monthly distributions paid (i.e., pre-tax, net of fees and costs) by the Fund over any twelve-month rolling period expressed as a percentage of Net Asset Value per Unit.
The Responsible Entity may, in its discretion and from time to time, alter or offer varying Targeted Return rates for Unit Classes.
Assumptions underlying the Targeted Return Rates are discussed in Section C. 2 of the Product Disclosure Statement.
What is the Investment Period?
Each Class of Units are subject to different Minimum Investment Periods.
Investors should note that Withdrawal Requests are subject to conditions.
Withdrawals can only be made after expiry of the initial Minimum Investment Period.
The 30-Days’ Notice units can then be withdrawn by providing 30-Days’ Notice.
For Classes A, B and C, if you do not elect to withdraw your investment after the initial Investment Period it remains invested.
You can then only make a Withdrawal Request to coincide with the expiry of the next Investment Period.
The initial and subsequent Investment Periods relate to each principal investment and not to the period of time a member has been invested.
Redemptions are always subject to there being sufficient cash balances available in the Fund to satisfy Withdrawal Requests. The Responsible Entity may suspend, delay or scale back redemptions.
Investors are advised that if the Fund or a Unit Class becomes illiquid, you will only be able to redeem your units in response to an Offer of Redemption made by the Responsible Entity.
| Class | Minimum Investment Period | Subsequent Investment Period |
|---|---|---|
| 30-Days' Notice | 31 Days | - |
| Class A | 6 Months | 6 Months |
| Class B | 12 Months | 12 Months |
| Class C | 2 Years | 2 Years |
Please refer to Section F.6 of the Product Disclosure Statement
Can I reinvest my distributions?
Investors in Class A, B and C can elect to reinvest all or a portion of their distributions. No reinvestment option is available for the 30-Days’ Notice investment.
How do I redeem my investment?
Withdrawals Requests can be lodged online via the online application portal – click Apply in the navigation bar at the top of this page.
Withdrawal Requests are subject to conditions. Investors can only withdraw their investment whilst the Fund or Class is liquid, the minimum Investment Period has been satisfied and for Classes A, B and C to coincide with the expiry of the Investment Period.
Investors in the 30-Days’ Notice Units can lodge a Withdrawal Request by providing 30-Days’ Notice.
Investors in Class A, B and C can lodge a Withdrawal Request for the expiry of the initial or each subsequent Investment Period.
Redemptions are subject to there being sufficient cash balances in the Fund or Class to satisfy Withdrawal Requests. The Responsible Entity may suspend, defer or scale-back redemptions.
| Class | Minimum Investment Period | Subsequent Investment Period |
|---|---|---|
| 30-Days' Notice | 31 Days | - |
| Class A | 6 Months | 6 Months |
| Class B | 12 Months | 12 Months |
| Class C | 2 Years | 2 Years |
Who is the Registrar?
The register of members is held and managed by One Registry Services Pty Ltd.
One Registry Services Pty Limited
ABN 69 141 757 360
Level 16, Governor Macquarie Tower 1 Farrer Place,
Sydney NSW 2000
T: +61 2 8188 1510
w: [email protected]
How do I invest in the Moneyspot Investment Fund?
Applications can only be made directly through the Responsible Entity through this website or via the Olivia123 application.
The Fund is open to retail and wholesale Australian residents. Applications can be made by Individuals, companies, and trusts (including SMSF trusts).
Online applications can be made by clicking on the Apply at the top of this page.
