The MRLC Capital Ltd Group (‘’MRL’’) Investment Strategy (“Strategy” or “IS”) underlines the strategies and activities to maximise the growth and protect the capital of the Lihirian Equity Trust (“Trust or Fund”). It outlines the path to developing and managing an investment portfolio geared towards achieving objectives and outcomes consistent with the general guidelines established by its Investment Policy as approved by the Board. It details an embedded risk management and compliance framework and documents with guidelines to source the required internal and external expertise to protect, preserve and grow the value of the Fund in the long term while meeting the short term distribution and CSO obligations.
Assets shall be invested according to the following maximum and minimum ranges for each asset class as stated below;
|Percentage of Total Assets|
|Private Equity/Business Enterprises||10%||15%||25%|
The asset allocation targets are reviewed annually and any change to the asset allocation ranges is approved by the Board on the recommendation of the Investment Committee.
Asset Class Guidelines
- Permissible Investments
The investment objectives and the appropriateness of the investment Strategy are reviewed at least annually. The performance of the Fund, each asset class and major investments will be reviewed at least quarterly.
- Funds Under Management
- Overall Return
There are specific requirements to measure the performance of the following asset classes;
- Fixed Interest
- Listed Equities
- Business Enterprises
Other Funds Under Management
The Investment Committee are responsible for overseeing and implementing a separate strategy for the management of funds secured from the Beneficiaries of the Fund. Management of such funds are treated separately from management of assets comprising the Fund and invested in the manner specified in this strategy. These funds however be included in assessing the Funds under Management performance objective and in the calculation of the management expense ratio
Changes to Strategy
The monthly reports are produced and provided to the Investment Committee, whilst the quarterly and annual reports are produced and provided to the Investment Committee and the Board.