Plato Income Maximiser Ltd. · ASX:PL8
Plato Income Maximiser — FY2018 Earnings Presentation
21 slides from Plato Income Maximiser's earnings presentation, Sep 4, 2018
Slide 1: Conference call reminder and presentation on annual results
Plato Income Maximiser Limited Level 35, 60 Margaret Street Sydney NSW 2000 Telephone: 1300 010 311 Email: invest@plato.com.au ABN 63 616 746 215 4 September 2018 For personal use only By Electronic Lodgement The Manager Company Announcements Office ASX Ltd 20 Bridge Street SYDNEY NSW 2000 Dear Shar
Slide 2: Company Annual Results
For personal use only Company Annual Results
Slide 3: Agenda
For personal use only 01 PL8 investment strategy and performance 02 Manager Update Agenda 03 Investment Environment 04 Questions
Slide 4: PL8 investment strategy and performance
For personal use only PL8 investment strategy and performance www.plato.com.au 3
Slide 5: PL8 investment portfolio performance
PL8 investment portfolio performance Performance to 30 June 2018 after fees and costs* For personal use only Since 1 year Inception p.a. (28/4/2017) Including Franking Portfolio 13.3% 8.8% S&P/ASX200 Tax Exempt 14.6% 10.1% Active -1.3% -1.3% *Inclusive of the net impact of GST and Reduced Input Tax
Slide 6: Plato Australian Shares Income Fund longer term performance after fees
Plato Australian Shares Income Fund longer term performance after fees For personal use only www.plato.com.au 5
Slide 7: PL8 dividends accrued in FY2018
PL8 dividends accrued in FY2018 Delivers high income For personal use only 12 month accrued yield* 10.0% 9.0% 8.0% 7.0% 6.0% Yield 5.0% 4.0% 3.0% 2.0% 1.0% 0.0% RBA Cash Rate S&P/ASX 200 Fund Cash Cash Yield 1.5 4.3 6.3 Franking Franking Yield 0.0 1.4 2.4 *to 30 June 2018 after fees www.plato.com.au
Slide 8: PL8 – dividends
PL8 – dividends For personal use only PL8 commenced paying monthly dividends of 0.45 cents per share in October 2017. The Board of PL8 increased monthly dividends by 11% to 0.5 cps in April. Latest three fully franked dividends of 0. 5 cps: July August September Amount: 0.5 cents per share 0.5 cents
Slide 9: PL8 NTA performance breakdown for FY2018
PL8 NTA performance breakdown for FY2018* For personal use only $1.20 Pre-Tax NTA per PL8 share + $0.105 - $0.000 - $0.002 - $0.042 $1.10 $1.099 $1.038 $1.00 Pre-tax NTA 1 Portfolio Tax provided Company Dividends paid Pre-tax NTA 30 Jul 2017 performance expenses Jun 2018 *excludes franking credits w
Slide 10: Plato Investment Management (Manager) Update
For personal use only Plato Investment Management (Manager) Update www.plato.com.au 9
Slide 11: Manager overview and update
Manager overview and update For personal use only ▪ Specialist in objective-based Australian and global equities solutions – Founded 2006, based in Sydney – Deep expertise in delivering customised, income and tax-exempt solutions ▪ Independent and majority employee-owned – Aligns interest, low staff
Slide 12: Investment Environment
For personal use only Investment Environment www.plato.com.au 11
Slide 13: Interest rate outlook still benign
Interest rate outlook still benign Cash rate expectations over next 5 years For personal use only 3.5% 3.0% 2.5% 2.0% 1.5% 1.0% 0.5% 0.0% Cash (Actual) Cash 2019 Cash 2020 Cash 2021 Cash 2022 Cash 2023 10 year bond (exp) (exp) (exp) (exp) (exp) (Actual) Australia US But no sign of an inverted yield
Slide 14: Aussie income stocks doing it tough
For personal use only Source: Plato, Iress S&P200 0.4 0.5 0.6 0.7 0.8 0.9 1.1 1.2 1 30/12/2016 30/01/2017 28/02/2017 6 stocks account for half the dividends paid in Australia www.plato.com.au 31/03/2017 30/04/2017 Aussie income stocks doing it tough 31/05/2017 ASX200 30/06/2017 31/07/2017 31/08/2017
Slide 15: ALP franking credit proposal
ALP franking credit proposal For personal use only ▪ Proposal to eliminate the net refund of franking credits for all Australian investors other than charities and endowments. ▪ The original policy was expected to impact 1.17m individuals and superannuation funds and generate $59B in savings over 10
Slide 16: Opposition proposal not legislation
Opposition proposal not legislation Don’t panic yet For personal use only ▪ This is a proposal by the current Opposition. To become law, it will require: 1) The ALP to win the next election; and 2) Cross-bench Senate support to pass through the Upper House ▪ Given the very divisive nature of this pr
Slide 17: Dividend rotation combined with good value quality long term holdings
Dividend rotation combined with good value equality long term holdings provide income plus growth For personal use only Dividend + Franking + Run up = Sustainable capture capture capture Income Good value, quality long term holdings: Good Value – Earnings, cash flow, EBITDA High Quality – ROE, cash
Slide 18: 2017/18 – a challenging period for income stocks
2017/18 – a challenging period for income stocks For personal use only ▪ Large income stocks like Telstra and the big four banks have performed poorly with Telstra’s share price down nearly 40% and the average large bank share price down 6%, compared to the ASX200 price index which rose by more than
Slide 19: 2018 Year-to-date
2018 Year-to-date For personal use only ▪ Strong bounce back in performance, with outperformance of 1.8% CYTD to June pre-fees. ▪ Strong performance in financials with overweights in Macquarie and IAG outperforming and an underweight in AMP. ▪ Overweight in Resources, as dividends grew strongly at A
Slide 20: Questions
For personal use only Questions www.plato.com.au 19
Slide 21: Disclaimer
Disclaimer For personal use only This communication has been prepared by Plato Income Maximiser Limited ABN 63 616 746 215 (PL8). Nothing contained in this communication constitutes investment, legal, business, taxation or other advice. This communication is for general information only. The informa
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