Mortgage fund makes billion-dollar breakthrough

Paul Rohan, head of wealth at Bendigo and Adelaide Bank, says the Sandhurst Select Mortgage Fund has been steadily growing in popularity with the bank’s customers.

“This is a wonderful milestone for the bank and our Sandhurst Trustees business in particular,” Mr Rohan said.

“Sandhurst adopts a disciplined and conservative approach to funds management and one of our key investment objectives is the preservation of investor capital,” he said.

“It’s a source of considerable pride within our company that during the GFC, we were one of the few Australian investment managers to keep mortgage funds open and pay withdrawals within normal time frames”.

Mr Rohan said the Sandhurst Select Mortgage Fund has, in the past 20 years, met or exceeded the indicative return rate announced at the beginning of each quarter more than 86 per cent of the time.

“Our customers continue to see this fund as an attractive, value for money alternative to traditional cash deposits, particularly given that we have a competitive management fee and do not charge account keeping fees, entry or exit fees,” he said.

“Sandhurst Trustees has a long history of providing quality financial services and products, and has a demonstrated ability to effectively manage customer wealth during the most difficult and challenging economic periods”.

As at 31 March, Sandhurst has $1.2 billion in funds under management across its two mortgage funds, Sandhurst Select Mortgage Fund ($1 billion) and Sandhurst Investment Term Fund ($206 million).

[Related: Bendigo Bank unveils share trading platform]