Managed Income Portfolio Services

FIIG’s Managed Income Portfolio Service (“MIPS”) provides wholesale fixed income investors with an Individually Managed Account (IMA) platform, combined with professional portfolio management and direct and beneficial ownership of their securities.
 

The benefits of investing with MIPS

1.

IMA
Customisation

A tailored investment mandate construction service to define exposure limitations to product, credit and duration, with capacity to accommodate ESG requirements. 

2.

Investment
Expertise 

The MIPS Portfolio Management team are experts focused entirely on creating value for investors. 

3.

Return, Risk
and Liquidity 

Selection from the universe of qualifying assets, consistent with the Investment Mandate, to deliver the highest returns possible given risk tolerance and liquidity requirements.

4.

Portfolio
Diversification

Significant advantages delivered through FIIG’s DirectBond service, enabling sub $500k parcel size investments across both the Investment and Non-Investment Grade sectors.

How MIPS Works

MIPS offers a choice of four investment programs to suit a range of investment goals for wholesale investors with up to $5M to invest.  For investment amounts over $5 million, clients have the flexibility to create their own Investment Mandate with the assistance of the MIPS Portfolio Management Team.

Clients eligible to customise can specifically define the portfolio exposure boundaries, including capital structure, product type, issuer industry, credit quality, maturity and duration, with the additional capacity to accommodate any Ethical and Social Governance (ESG) requirements. The unprecedented level of customization opportunity enables investors ‘dial up or down’ both risk and return criteria.

Having either customized or chosen an existing MIPS Investment Program the MIPS Portfolio Management Team will invest your funds in Fixed Income investments in compliance with the selected program.  For the duration of the investment the team will rebalance the portfolio holdings in response to changes in markets and the presentation of investment opportunities. 

FIIG will provide reporting on your holding, performance and transactions to keep you informed and facilitate your internal reporting. Customised clients have direct access to the MIPS Portfolio Management Team to discuss the portfolio with the executive or board either on-site or within one of FIIG’s state offices.

Kieran Quaine - Portfolio Manager

MIPS offers wholesale investors the opportunity to earn meaningful improvements in returns and liquidity over Cash and Term Deposits through the direct ownership of a significantly diverse range of quality assets that include Australian Bank and Corporate Bonds

kieran-quaineKieran Quaine, Head of MIPS Portfolio Management

As a MIPS client, you receive:

  • Regular income payments (coupons) either reinvested or paid into your nominated account.
  • Client access to the MIPS Portfolio Management Team via quarterly economic and fixed income market commentary, and regular presentations in state offices.
  • The option to transfer approved assets ‘in-specie’ into your MIPS account.
  • Full transparency via a 24/7 secured web portal that details your portfolio valuation, performance, transactions, income, administration and custody in one place.
  • Monthly and annual statements of portfolio accounts.
  • Custodial services.
  • Compliance monitoring, supervisory oversight and independent audit by PWC.

 

Why invest with MIPS?

MIPS combines direct bond ownership with portfolio management.

  • Ability to customise portfolio from $5m: a unique proposition allowing you to tailor investments to meet your requirements, requirements including risk appetite, income targets, ratings restrictions, liquidity needs and Ethical, Social & Governance (ESG) overlays
  • Professional investment management: delegate day-to-day management to a team of professional fixed income managers who will use their market insights and indepth credit assessment to optimise return while preserving capital 
  • Direct ownership: your own custody account ensuring beneficial ownership and segregated investments. Your investments are unaffected by other investors decisions unlike a pooled investment in a fund
  • Transparency: view individual holdings, risk and cashflows 24/7 via secure website and monthly reporting providing return performance and current portfolio metrics
  • Governance and oversight: protection offered by the three layers of oversight of the MIPS portfolio management team (Portfolio Management Committee, majority independent Supervisory Committee and an external audit)
  • Certainty and access to income: amount and timing of income is generally known and you can opt to reinvest coupons or have them paid out
  • Institutional market access: access to the wholesale markets at cost, opening up the $A bond market worth approx. $1 trillion
  • Simple and transparent fee structure

FIIG's Managed Income Portfolio Service

About FIIG’s Managed Income Portfolio Service

Meet your Portfolio Manager

Customised Investment Programs

For investments of $5m+, MIPS offers the ability to create bespoke IMAs that provide diversified exposure to all of the issuers of Australian Bonds in accordance with client requirements.

  • Investment Grade Bank Bonds

    Earn higher yields and improve portfolio liquidity above alternate cash and Term Deposits through diversified exposure to investment grade rated floating rate notes issued by Australian Major and Minor Banks.

    Investment Grade Bank Bonds
  • Investment Grade Corporate Bonds

    Earn even higher yields through diversified exposure to investment grade rated fixed term bonds and floating rate notes issued by large Australian Corporates.

    Investment Grade Corporate Bonds
  • Non-Investment Grade (High Yield) Corporate Bonds

    Earn even higher yields through diversified exposure to investment grade rated fixed term bonds and floating rate notes issued by large Australian Corporates.

    Non-Investment Grade Corporate Bonds

The following example model portfolios provide successive steps in yield and changes in liquidity illustrate the exposure and return outcomes achievable under each example Australian Bank Bond FRN Portfolio Investment Mandate.

Australian Bank Bonds – Major bank senior only FRN portfolio       

3.00% Gross Yield to Maturity (YTM)

porfolioexample Download the
example portfolio

Australian Bank Bonds – Major and minor bank senior only FRN portfolio    

3.11% Gross Yield to Maturity (YTM)

porfolioexample Download the
example portfolio

Australian Bank Bonds – Major bank senior and subordinate FRN portfolio   

3.29% Gross Yield to Maturity (YTM)

porfolioexample Download the
example portfolio

Australian Bank Bonds – Major and minor bank senior and subordinate only FRN portfolio   

3.36% Gross Yield to Maturity (YTM)

porfolioexample Download the
example portfolio

The following example model portfolios provide successive steps in yield and changes in liquidity illustrate the exposure and return outcomes achievable under each example Investment Grade Corporate Bond FRN Portfolio Investment Mandate.

SENIOR Corporate Bond Portfolio

4.12% Gross Yield to Maturity (YTM)

porfolioexample Download the
example portfolio

SUBORDINATED Corporate Bond (FRN) Portfolio

4.35% Gross Yield to Maturity (YTM)

porfolioexample Download the
example portfolio

The following example model portfolios provide successive steps in yield and changes in liquidity illustrate the exposure and return outcomes achievable under each example Non-Investment Grade Corporate Bond FRN Portfolio Investment Mandate.

SENIOR Corporate Bond Portfolio

6.77% Gross Yield to Maturity (YTM)

porfolioexample Download the
example portfolio

SUBORDINATED Corporate Bond Portfolio

7.66% Gross Yield to Maturity (YTM)

porfolioexample Download the
example portfolio

Let the experts manage your Fixed Income Portfolio

Other useful documents

Information Memorandum Download

 

Meet the MIPS team

Mathew Simpson - ‎Head of Corporate and Middle Markets

Mathew Simpson

Head of Distribution, MIPS

Email mathew.simpson@fiig.com.au

Phone 0427 220 976

Marcus Blake - Director - Distribution, Managed Portfolios

Marcus Blake

Director - Distribution, MIPS

Email marcus.blake@fiig.com.au

Phone 0427 063 362

kieran-quaine

Kieran Quaine

Head of MIPS Portfolio Management

Megan-Romeo-MIPS-microsite

Megan Romeo

Assistant Portfolio Manager

Cathal-for-MIPS-microsite

Cathal Mitchel

Product Manager

Bronwyn-Delaney

Bronwyn Delaney

MIPS Marketing

Phone Call us on

 1800 01 01 82


Client Testimonials

FIIG has been a big part of our success and have always been very understanding of our needs and priorities. They are also very good at keeping one eye on performance to make sure we maximise returns.



Tony Eviston, Bathurst Catholic Diocese Fund


When we started buying bonds through FIIG in 2012, it was the first time that we had directly invested in bonds, so it was important to us that we got off on the right foot. We had talked to FIIG for quite some time before finally making a move. We have a lot of confidence in FIIG’s advice and had been very happy with the working relationship we have developed.

Greg Burrell, University of Newcastle