This investment is for people who want professional management of property investments without the worry of selecting and assessing people and properties or the hassles of day-to-day management.
The Professional Mortgage Investment Trust is a Group Investment Fund (GIF No.160) registered under the Trustee Companies Act 1967, and established by The New Zealand Guardian Trust Company Limited in July 2004.
The Trust allows investors like you to pool their resources, which are invested primarily in mortgages. A share of net income after tax and expenses is paid monthly to investors. No payment is guaranteed
Investment is easy and very flexible – within limits you can invest a little or a lot, for a few years or long term, and you can withdraw some or all of your investment when you need to.
We believe that you will be more than satisfied with the Trust’s performance and that you will want to keep your investment with us for as long as possible.
Exit fees, under the Trust Deed, the Manager may charge, and deduct from the exit price, an exit fee of up to 5% of the exit price of unit withdrawn. The Manager currently charges an exit fee of 1%. You can ascertain the current exit fee at any time by contacting the Manager.
All administration and general expenses, taxes and management fees are paid by the Trust before making distributions to investors. The management fee is currently 1.5% of the gross asset value of the Fund. In addition, expenses and a fee of 0.1% of the gross asset value of the fund or $20,000 pa, whichever is greater, is paid to the Trustee.
The return you get will depend on the performance of the Trust, which in turn depends on prevailing interest rates, availability of suitable mortgages for investment and general economic conditions.
We distribute income monthly to investors at the beginning of each month. Resident withholding tax is deducted at the rate you nominate.
Trust policy is to minimise risk to investors. We do this through:
Pooling of funds
Careful selection of properties and borrowers
Imposing lending limits based on property type, registered valuation and borrower’s income
Maintaining a diversified portfolio spread between residential, commercial/industrial and rural properties
Monitoring of the management and administration of the Trust by the independent trustee, the The New Zealand Guardian Trust Company Limited., to ensure that the Manager acts in the interests of investors in compliance with the Trust Deed.
However, there is always some risk that a borrower will default in making payments, and this could reduce overall returns. There is also a risk that a serious default or downturn in business could see investors getting back less than they invested.
More information on the risks associated with this investment can be found in the investment statement.
You may redeem some or all of your investments at any time by applying in writing to the Manager. Currently the minimum withdrawal amount is $500. Under the Trust Deed, the Manager may charge, and deduct from the exit price, an exit fee of up to 5% of the exit price of unit withdrawn. The Manager currently charge an exit fee of 1%. You can ascertain the current exit fee at any time by contacting the Manager. Other rules apply too and may change from time to time. Contact us for further information.
