Fund overview

The AAM Agri Access Fund blends actively managed, diversified agricultural assets, typically only available to institutional investors together with cash and cash-like investments to provide liquidity and income.

With the recognition that agriculture is fundamental to our ability to function and survive as a global community, advisers and investors are seeking ways to effectively access to this sector for inclusion in diversified portfolios. The Fund provides access indirectly to agricultural real assets diversified across geographic locations and commodities.

The Fund targets stable quarterly income* with longer term capital growth, making it attractive to investors seeking regular income and those looking to broaden diversification within their portfolios.

Before investing in the AAM Agri Access Fund you should read the offer documents and ensure you have understood the benefits and risks. Other important information and updates about the Fund can be found here. 

Fund Objective

The AAM Agri Access Fund (ARSN 651 897 933, APIR PIM1522AU) aims to provide quarterly income and long term capital growth. It is suitable for investors with a 5 - 7 year investment timeframe and offers regular limited withdrawal opportunities , generally not available with real property agricultural funds.

Current portfolio and unit prices

Each quarter will we provide an update on the Fund, including portfolio and market update, current asset allocation and performance. Once available, you can view the most recent update as well as unit prices for the Fund.

Withdrawal facility

As an illiquid fund, we are able to offer limited withdrawal functionality, generally on a monthly basis. More information on how to withdraw can be found in the PDS. To request to participate in the next withdrawal offer, you should complete a Withdrawal Form. Indirect investors should contact their service provider for more information on how to participate.

Risks

All investments carry risk. Different strategies can carry different levels of risk, depending on the assets that make up that strategy. Investments in the Fund are not guaranteed or underwritten by the Responsible Entity, the Investment Manager or any other person or party and you may lose some or all of your investment. 

Some of the key risks that may impact the value of the investment in the Fund are outlined below.

AGRICULTURAL ASSET CLASS RISK - The Fund is exposed to the risks associated with agricultural assets and operations including:

• fire, drought, unseasonal rain, disease, flood, pests, frost, windstorm, hail and other natural events;

• below par animal husbandry practices, poor feed quality, human error and interruptions of the water supply;

• changes in consumer preferences (for example, a reduction in consumer demand for animal meat or other animal products);

• commodity prices;

• failure of, damage to or restrictions on access to infrastructure including access to power, water, pipelines, pumps, equipment and transport;

• failure to obtain or loss of, any licences, permits, accreditations or certifications relating to food standards, animal welfare, workers’ compensation and the environment required to operate an agricultural business to which the Fund has investment exposure; and

• the impact of climate change, such as excessive dry or wet conditions or prolonged extreme weather events.

While practices and strategies can be implemented to minimise the occurrence of some of these risks and to mitigate the impact if they do occur, such risks cannot be eliminated, nor their impact completely managed or mitigated.

The occurrence of one or more of these events in relation to the agricultural properties and enterprises in which the Fund indirectly invests will impact the financial performance of that property or enterprise and consequently the performance of an investment in the Fund.

LIQUIDITY OF UNITS - An investment in the Fund should be treated as an illiquid medium to long-term investment because there is no secondary market for Units. We intend to make Withdrawal Offers monthly. However, there is no guarantee we will make Withdrawal Offers each month or with any other regularity.  Also, if we receive withdrawal requests from investors for more than the total withdrawal amount available under the Withdrawal Offer, we will scale back and satisfy withdrawal requests on a pro rata basis.

OPERATIONAL RISK OF UNDERLYING INVESTMENTS - The agricultural assets and businesses to which the Fund will have investment exposure via its investments in AAM Managed Funds will be subject to a number of operational risks.

RELIANCE ON INVESTMENT MANAGER AND AAM RISK - The Fund is reliant on the Investment Manager to successfully execute the Fund’s investment strategy in order to achieve the Fund’s investment objective and deliver returns for investors.

Further, the Fund invests most of its assets in AAM Managed Funds. AAM Managed Funds are unregistered wholesale managed investment schemes. AAM entities are both the trustee of the schemes and the manager of all agricultural assets and operations in which the AAM Managed Funds invest. Consequently, investors will be heavily reliant on AAM and its management team to appropriately select, manage, and divest agricultural assets and operations for AAM Managed Funds in order for AAM Managed Funds to deliver investment returns for its investors (including the Fund) and, in turn, for the Fund to deliver investment returns for investors.

DISTRIBUTION RISK - The Fund’s ability to pay distributions to investors and the amount of any such distributions will be primarily dependent on the payment of distributions on the Fund’s investment in AAM Managed Funds. You should be aware that the level of returns on the Fund’s investment in AAM Managed Funds will be contingent on the profits of the AAM Managed Funds and free cash flow available for distribution after sufficient provisioning for ongoing operating costs, debt repayments and capital expenditure.