Why choose AFIC for your clients?
Top 25 as at 31 December 2019
|Rank||Company Name||Total Value|
|% of |
|1||Commonwealth Bank of Australia||631.2||8.0|
|4||Westpac Banking Corporation*||387.3||4.9|
|8||National Australia Bank*||267.9||3.4|
|9||Australia and New Zealand Banking Group||226.3||2.9|
|13||James Hardie Industries||169.0||2.2|
|20||Ramsay Health Care||129.1||1.6|
|25||Treasury Wine Estates||88.5||1.1|
|As percentage of total portfolio value (excludes cash)||74.6%|
* Indicates that options were outstanding part of the holding
LICs are closed-end funds with a fixed number of shares that are traded on the ASX. As a result, AFIC does not issue or cancel shares as investors enter and leave the fund. This allows us to concentrate on the performance of the portfolio over the long term.
Furthermore, the closed-end structure removes the motivation to shadow indices, allowing us to remain focused on the long-term investment horizon. The costs of administering the fund are also reduced as we are not continually issuing and redeeming units.
The company structure of AFIC allows us to pay shareholder returns after tax, usually as fully franked dividends.