Arculus Fixed Income Fund
Australian sovereign and senior bank bonds, actively managed to preserve capital and earn income through the rate cycle.
Target return:
90-day BBSW +1.5% p.a.
before fees
- Redemption requests:
- Any business day
- Distributions:
- Quarterly
- Inception:
- November 2017
About the Fund
Every holding in the Fund is Australian sovereign or senior bank paper — the most liquid, highest-quality end of the domestic bond market. The discipline is structural: no leverage, no structured credit, no foreign currency. Net asset value was $40 million as at 30 September 2026.
Rated 'Investment Grade' by Lonsec.
Ratings are opinions of the relevant research house, are not recommendations, and may change without notice.
Rated 'Investment Grade' by Lonsec.
Ratings are opinions of the relevant research house, are not recommendations, and may change without notice.
Request the Fund Rating ReportPerformance
Returns to 30 September 2026, annualised and net of all fees. Cash distributions were 3.86% over the year and have averaged 2.93% p.a. since inception. Past performance is not an indicator of future performance.
- 1-year total return
- Running yield
- Yield to maturity
- 90-day BBSW
Performance to 30 September 2026 (annualised)
| Period | Total return | Cash distribution | Growth |
|---|---|---|---|
| 3 months | 1.13% | 1.31% | -0.18% |
| 6 months | 2.37% | 2.18% | 0.19% |
| 1 year | 4.05% | 3.86% | 0.19% |
| 2 years | 4.54% | 4.78% | -0.24% |
| 3 years | 5.15% | 4.80% | 0.35% |
| 5 years | 3.01% | 3.81% | -0.80% |
| Since inception (Nov 2017) | 2.40% | 2.93% | -0.53% |
Fund returns are net of all fees, calculated using exit prices and assuming distributions are reinvested, with no allowance for tax. The distribution component is the amount paid by way of distribution, including net realised capital gains. Numbers may not sum due to rounding.
Who it may suit
Investors seeking a defensive, income-focused allocation with low to medium risk over a one to three-year horizon — the stable core of a client portfolio, SMSF income without equity-style drawdowns, or organisational reserves that must stay liquid.
How the Fund is managed
Income is earned by reading the rate cycle, not by reaching for yield. Positioning across sovereign and senior bank paper follows conviction about where rates and credit margins are heading — never an index weight.
The Fund’s universe is eligible collateral for RBA repurchase operations, a liquidity backstop most private-sector instruments can’t offer. Every decision passes four-eyes governance before it settles, with operational oversight independent of the investment desk.
Fund features
| Objective | BBSW +1.5% p.a. before fees |
|---|---|
| Approach | Active, benchmark unaware |
| Liquidity | Daily redemption requests |
| Distributions | Quarterly |
| Management fee | 0.40% p.a. incl. GST |
| Buy–sell spread | +0.10% / −0.10% |
| Performance fee | Nil |
| Minimum investment | $2,000 |
Portfolio
| Running yield | 6.00% |
|---|---|
| Yield to maturity | 5.94% |
| Average margin | 1.17% |
| Average years to maturity | 1.90 |
| Number of securities held | 43 |
| Modified duration | 0.10 |
| Credit duration | 1.83 |
Portfolio allocation
| Portfolio sector | Allocation |
|---|---|
| Floating rate notes | 95.3% |
| Fixed rate bonds | 2.5% |
| Cash | 2.2% |
How to invest
Online
Through your adviser or platform
Documents & statements
Statements for your own holding — distribution and annual tax statements — are available through the registry portal.
Important information
This information is issued by Arculus Funds Management Pty Ltd, a corporate authorised representative of GCI Australia Pty Ltd ABN 68 140 364 576, AFSL 346034. DDH Graham Limited (ABN 28 010 639 219 and AFSL 226319) is the Responsible Entity of the Arculus Fixed Income Fund (ARSN 622 419 578, APIR DDH8305AU). The information on this page is general in nature and does not take account of your objectives, financial situation or needs. Before making a decision about the Fund, read the Product Disclosure Statement and Target Market Determination, available from ddhgraham.au, and consider whether the Fund is appropriate for you. Fund administration and registry services are provided by SS&C and custody by Northern Trust. Past performance is not an indicator of future performance.