October, 2020
What happened in the market?
The Australian equity market rose 1.9% in October (as measured by the S&P/ASX 200 Accumulation Index), with expectations of monetary policy easing and the reopening of Victoria outweighing concerns over the Northern Hemisphere’s escalating COVID-19 crisis.
At the sector level, information technology was the best performer, with strong gains in Australia’s software stocks unusually contrasting the fall in US software names. This was followed by banks, which were supported by the prospect of a loosening of responsible lending laws and a view that bad debts are likely not as bad as feared. Industrials were the weakest sector, with Aurizon Holdings a notable drag due to market talk around Chinese import restrictions on Australi-an coal.
What happened in the Fund?
The Fund was up 3.3% for the month of October. The Fund’s allocation to banks and utilities were the top contributors to performance for the month, while industrials and consumer staples detracted for the month. At the stock level, Contact Energy and Nine Entertainment were the largest positive contributors, while Vicinity Centres and IOOF Holdings were the biggest detractors for the month.
The Fund is expected to provide a yield of 6.65% (grossed up for franking credits) over the next 12 months on a forward looking basis (refer to table above).
ticker: SSB0064AU
commentary_block: Array
factsheet_url:
Under Literature -> Fund commentary
asset_class: Domestic Equity
asset_category: Australia Large Value
peer_benchmark: Domestic Equity - Large Value Index
broad_market_index: ASX Index 200 Index
structure: Managed Fund