Understanding Trusts

Who can invest?


CCI Asset Management Trusts are only available to Church organisations.

The Trusts suit investors wishing to ensure their investments are managed in line with Catholic principles, and who are seeking competitive returns over a medium- to long-term investment horizon.
 
The minimum initial investment amount is $250,000. This amount can be split across multiple Trusts. Subsequent investments must be of $10,000 or more.

  

The Trust investment process

 

Upon receiving a satisfactorily completed application form, CCI Asset Management will process the unit holder's details and issue units based on the unit price calculated to reflect the new application. Application forms available here.
  
Units in Trusts will be issued to unit holders equal to the value of investment based on the next unit price calculated upon receipt of the completed application form. Once the deposit has been processed a statement will be sent to the unit holder outlining the balance of units.

 

​Applications are usually processed within seven business days of receipt.

        

New investors may be required to provide further information to enable CCI Asset Management to verify their identity in accordance with current legislation.


   

Valuing Trusts


​The value of an investment in a trust is calculated by multiplying the unit price by the number of units held. The unit price is usually calculated daily.


​When a new unit price is calculated, assets of each trust are valued and any expenses are deducted to derive the Net Asset Valule of the trust. The Net Asset is divided by the number of Units on issue in the relevant trust, to determine the unit price. All applications and redemptions received are processed at the next unit price that is calculated. the sell spread is deducted from the unit price



The value of units will rise and fall in line with the value of the underlying assets of the trust and may include items such as realised and unrealised capital gains and losses, interest and dividends.


 

How to redeem funds from the Trusts


Unit holders can redeem funds by completing a redemption form, which is available on request from CCI Asset Management. Redemption requests will be processed at the next unit price that is calculated, less the sell spread.
      
Proceeds will be paid by cheque, or electronic funds transfer to a nominated account. Redemptions are normally processed within seven business days of receipt.
 
Note: Requests for redemption of units received during a distribution calculation period (e.g. July and January), may be delayed until the relevant distribution is finalised. This may also apply during a period of fund manager transition.


Switching 

There is no sell spread or other fees when you switch between Trusts. When a written request for a switch is received, existing units in the Trusts are redeemed at the application unit price. The proceeds are used to buy units in the new Trust at the application unit price. 
    
Unit holders can switch Trusts by completing this form.


Income distribution

 

Each CCI Asset Management Trust will earn income from dividends and interest and such income will be distributed in full. Distributions of a dollar value per unit will be paid to unit holders on the number of units held. 
 
Distributions for the Catholic Values Trust will be made twice a year at 30 June and 31 December, while the Income Trust will distribute quarterly at 31 March, 30 June, 30 September and 31 December. All distributions will normally be paid within 30 business days after the 'distribution declared' date.
You have a choice as to how income is distributed. It can be: 

 

paid by cheque to your postal address

 

credited to a nominated bank, credit union, building society or Catholic Development Fund account

 

​paid by cheque to your postal address

 


Client service reporting

 

When investing in CCI Asset Management Trusts, CCI Asset Management will provide the following information:


Confirmation of investment

Confirmation of investment will state the number of units in each Trust issued to you, the unit price at issue, the date the units were issued and your Client Number.

Monthly holding statement
Unit holders will receive a statement showing the total units held, unit price (which includes the sell spread), and holding value.
 
Distribution statements
At the time of each income distribution, a distribution statement will be issued to unit holders. This will occur on a half yearly cycle, with the exception of the Income Trust, which has a quarterly cycle.
 
Taxation statement
Each investor will receive a tax statement summarising the distributions paid for the financial year ended 30 June.
 
Capital gains tax
Investing in a Trust can have impacts on your tax situation. We recommend all unit holders seek professional taxation advice prior to investing in CCI Asset Management Trusts.

Tax Concession Charity status
CCI Asset Management Trusts are acknowledged by the Australian Taxation Office (ATO) as providing an investment service for the promotion of religious principles and have been granted an endorsement as a Tax Concession Charity (TCC), in particular charitable funds under subdivision 50-B of the Income Tax Assessment Act 1997. As a result, CCI Asset Management Trusts enjoy an exemption from income tax. Imputation credits (also called franking credits) attached to dividends paid directly to shareholders, or indirectly as Trust beneficiaries, are refundable to tax concession charities. Therefore, the CCI Asset Management Trusts will be entitled to claim the benefit of a refund of excess Imputation Credits on franked dividends received from the CCI Asset Management Trusts' investments, which are then passed on to investors as part of the distribution from these Trusts.
 
CCI Asset Management Monthly Update
Unit holders will receive a regular update outlining the progress of their investment.
 
Monthly updates are available online here.
 
The update will normally include:

 

a commentary on the general outlook for financial markets


any developments at CCI Asset Management


changes in unit holder services, and

other items of interest to unit holders.

 

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