| Code | Investment Name | Current | Proposed | Change |
|---|---|---|---|---|
| Growth Assets | 74.0% | 70.0% | -4.0% | |
| CVW6546AU | HF Australian Shares Index Fund | 12.0% | 12.0% | 0.0% |
| VHY | Vanguard Australian Shares High Yield Fund ETF | 3.0% | 4.0% | 1.0% |
| MVR | VanEck Australian Resources ETF | 3.0% | 1.5% | -1.5% |
| VSO | Vanguard Australian Small Companies Index ETF | 3.0% | - | -3.0% |
| AYLD | Global X S&P/ASX 200 Covered Call ETF | - | 3.0% | 3.0% |
| CVW9133AU | HF International Shares Index Fund | 21.5% | 21.5% | 0.0% |
| CVW0262AU | HF Emerging Markets Index Fund | 10.0% | 7.0% | -3.0% |
| NDQ | Betashares Nasdaq 100 ETF | 3.0% | 1.5% | -1.5% |
| VMIN | Vanguard Global Minimum Volatility Active ETF | 3.0% | 5.0% | 2.0% |
| VISM | Vanguard International Small Companies Index ETF | 3.0% | 2.0% | -1.0% |
| CVW2499AU | HF Infrastructure and Property Index Fund | 10.0% | 10.0% | 0.0% |
| PMGOLD | Perth Mint Gold ETF | 2.5% | 2.5% | 0.0% |
| Defensive Assets | 26.0% | 30.0% | 4.0% | |
| NRM0030AU | HF Fixed Interest Fund | 10.0% | 10.0% | 0.0% |
| CVW0524AU | HF Fixed Interest Index Fund | 10.0% | 10.0% | 0.0% |
| TAL0590AU | Fortlake Real-Income Fund | 6.0% | 10.0% | 4.0% |
| Underlying funds management fee | 0.31% | 0.32% | 0.01% | |
| Total portfolio risk (1y) | 7.16% | 6.12% | -1.04% | |
Trellan Dynamic Growth Portfolio Update
Effective date: 29 October 2026
What’s changing
Following our latest Investment Committee meeting, we have made several adjustments to the Trellan Dynamic Growth Portfolio (TDGP).
While the portfolio's long-term investment strategy remains unchanged, we are adopting a more defensive position in response to current market conditions. The allocation to growth assets is being reduced from 74% to 70%, with defensive assets increasing from 26% to 30%.
The table below outlines the changes to the portfolio's target allocations.
Why we’re making this change
1. Taking profits following strong market performance
Emerging markets, technology and Australian resources have delivered strong returns over the past year.
We are reducing our exposure to these areas to realise some of the gains and reduce the portfolio's reliance on investments that have performed particularly strongly.
We continue to maintain meaningful exposure to these markets, allowing the TDGP to participate in future growth opportunities.
2. Reducing exposure to smaller companies
Smaller companies are generally more sensitive to higher interest rates and changes in economic conditions.
With interest rates remaining elevated and the economic cycle maturing, we believe it is appropriate to reduce exposure to this part of the market.
We are exiting the Vanguard Australian Small Companies ETF (VSO) entirely and reducing our allocation to international small companies.
3. Increasing income-generating Australian equities
We are introducing the Global X S&P/ASX 200 Covered Call ETF (AYLD) and increasing our allocation to the Vanguard Australian Shares High Yield ETF (VHY).
AYLD invests in Australian shares and uses a covered call strategy to generate additional income. This can help reduce volatility and provide more consistent income in markets that are moving sideways, although it also limits some of the potential upside when share markets rise strongly.
VHY provides greater exposure to higher-dividend-paying Australian companies, adding further diversification to our Australian share investments.
4. Increasing defensive investments
We are increasing our allocation to Fortlake Real-Income from 6% to 10%.
Higher interest rates have improved the potential returns available from fixed interest investments. We believe this creates an opportunity to increase exposure to income-generating defensive assets.
Fortlake has demonstrated resilience during recent challenging conditions for bond markets, and the increased allocation is intended to provide additional diversification and help reduce overall portfolio volatility.
5. Increasing exposure to lower-volatility global equities
We are increasing our allocation to the Vanguard Global Minimum Volatility Active ETF (VMIN) from 3% to 5%.
This investment provides exposure to international shares with an emphasis on companies and portfolio characteristics that aim to reduce volatility.
The increased allocation allows us to maintain global share market exposure while seeking to reduce the impact of larger market fluctuations.
Why we’re making this change
Your long-term investment strategy remains unchanged. The TDGP continues to target long-term capital growth through a diversified investment portfolio.
No action is required from you. These changes will be implemented as part of our ongoing discretionary portfolio management.
We will continue to monitor market conditions, reviewing portfolio positioning through our Investment Committee and making further adjustments where appropriate.
If you have any questions about these changes or how they may affect your investments, please contact the Trellan Capital team.