Kinetic Emerging Companies Fund

Overview
The Kinetic Emerging Companies Fund invests in small Australian companies that are listed (or expected to be listed within six months) on the Australian Securities Exchange (ASX). Small companies are defined as those companies lying outside the S&P/ASX100 Index with a market capitalisation of generally greater than $25 million. This universe currently consists of 800-plus companies.

Fund objective
The Fund aims to outperform the S&P/ASX Small Ordinaries Accumulation Index over rolling five-year periods.

Investment approach
Kinetic believes that inefficiencies exist in the small company sector of the market, and these inefficiencies predominately occur at the stock level.

Kinetic uses cash flow analysis to identify companies that they believe have been undervalued / undiscovered by the market. By focusing on cash flow, Kinetic minimises their exposure to accounting manipulations and changes in accounting standards.

Kinetic does not target a specific investment style. Kinetic's investment approach seeks companies undervalued on a cash flow return on investment (CFROI) methodology.

How to invest
Wholesale PDS - minimum investment $10,000
IDPS PDS

For more information contact your financial planner or call Challenger Investor Services on 13 35 66.

Interests in the Kinetic Emerging Companies Fund are offered by Challenger Managed Investments Limited ABN 94 002 835 592 AFSL 234 668.

The offer or invitation to subscribe in interests in the product is only available to persons receiving the PDS in Australia and is subject to terms and conditions described in the PDS. Neither product issuer, any Custodian, nor any entity or person associated with the Challenger Financial Services Group of companies guarantees repayment of your capital or the performance of your investment...

The information contained above has been prepared without taking account of any person's objectives, financial situation or needs. Because of that, each person should, before acting on any such information, consider the appropriateness of the information, having regard to their objectives, financial situation and needs. Each person should obtain a current PDS relating to the product and consider that document before making any decision about the product.

If you acquire or hold one of our products, we will receive fees and other benefits which are generally disclosed in the PDS or other disclosure document for the product. We and our employees do not receive any specific remuneration for any advice provided to you. However, financial advisers (including any Challenger group companies) may receive fees or commissions if they provide advice to you or arrange for you to invest with us. Some or all of Challenger group companies and directors of those companies may benefit from fees, commissions and other benefits received by another group company.