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MacQuarie Property Income Fund

Discussion in 'Managed Funds & Index Funds' started by rambada, 5th Mar, 2008.

  1. rambada

    rambada Well-Known Member

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    Has anyone invested in the MPIF?

    It appears to be a good fund with good results - income wise anyway. We use the returns to support our property portfolio so capital value/gain is of secondary importance. Certainly with the recent property fund melt down it has exhibited negative growth but its yields are excellent. And now they are surely at a discount.
    And Mac offer a 60% margin loan with no margin calls for 3 yrs. Obviously fees involved but with an average distribution of 18% and quarterly distribution it is attractive.

    Comments please.
     
  2. lorrimer

    lorrimer Well-Known Member

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    I thought you were joking. This fund has been an absolute disaster for me, with my original 150k now worth less than 50K in little over year. I hope they don't pay anymore distributions until the unit price recovers significantly. Are you really pleased with the performance of this fund?
     
  3. Insight

    Insight Brisbane Buyers Agent

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    What??

    150 to 50? Wow.. Were they invested in Centro or something?
     
  4. lorrimer

    lorrimer Well-Known Member

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    Down to 47K now minus another 6% today. Overweight Centro, underweight Westfield and to top it all geared to 53%.
    Great fund, you should give it a go!
     
  5. rambada

    rambada Well-Known Member

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    All of the above true - but I dont own units yet. To me its a boxing day sale at the moment and thats why I'm looking at it.

    I noticed the distribution was still ok for Dec 2007. I'm waiting for March 2008 distribution to see what happens. I'm not that interested in capital value (because its now at a discount) - its the distribution that appeals to me.

    Any other property trusts listed or unlisted doing better?
     
  6. Insight

    Insight Brisbane Buyers Agent

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    So they were long the cowboys, short the value creators and leveraged and they are a good place to park your cash? Why?

    What has changed about the thought process that lead to such disastrous choices in the first place?

    I remember this fund as it was promoted at one of Spann's investor updates (MF sale days).
     
  7. Insight

    Insight Brisbane Buyers Agent

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    And if you aren't a cowboy picker, I had no idea about CFS or Centro, did you?

    Then that's more weight to the long an index fund of the LPT sector and apply leverage to that.

    I remember seriously considering the MPIF at the time and thinking of how good it looked, those returns were attractive... and unsustainable it appeared.
     
  8. rambada

    rambada Well-Known Member

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    Ok, agreed.

    But at its current price, no margin calls for 3 yrs, not a good income prospect?

    The trouble I have with index funds is low distributions/yields.
     
  9. Insight

    Insight Brisbane Buyers Agent

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    No real idea as I haven't looked at the fund, the Street Tracks fund lists 5.8% which isn't much more than what I'm getting on resi property at the moment :)

    I'm reminded of a quote mentioned by Warren Buffett recently however.. 'More money has been lost chasing yield than at the point of a gun'.
     
  10. frank_070

    frank_070 Member

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    is anyone still invested in this POS property "income" fund?

    this thing is an absolute nightmare, the value of my fund has dropped over 70%, and it just keeps going down

    i just figure its not worth selling out of now since its worth so little


    what do people think, will this fun eventually recover, or is it doomed
     
  11. ActiveTrade

    ActiveTrade Well-Known Member

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    Why don't you look at the Navra Income Fund ?
     
  12. crc_error

    crc_error The Rule of 72

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    get out of a oversold index to a not so oversold index?

    imagine now the ASX200 continued its plunge and you got burnt twice.
     
  13. frank_070

    frank_070 Member

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    so you think this should hopefully be as low as it should go?
     
  14. John Gargan

    John Gargan New Member

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    I'm still invested in MACQUARIE PROPERTY INCOME FUND (MAQ0300AU).

    I don't think there is any point selling for a loss. Hopefully the income should cover some of the capital loss.... should hopefully recover in a few years! :-( :mad:
     
  15. frank_070

    frank_070 Member

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    im still also invested in this

    its worth ten times less than what i invested in it

    it depresses me just thinking about it



    im also in the same boat of hoping that it will recover in the next few years


    but considering its at 8 cents per unit at the moment, im quite scared it will go bankrupt
     
  16. Tropo

    Tropo Well-Known Member

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    “.........but considering its at 8 cents per unit at the moment, im quite scared it will go bankrupt”

    It’s a sad story but....do you know what a stop loss is? :eek:
     
  17. frank_070

    frank_070 Member

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    yeah true i guess, i was always sort of hoping it would recover, and it was abit of a set and forget investment, and as such it dropped so much before i even realised.

    my fault, i guess i went into it thinking that managed funds were safe investments


    anyway, all i can do is hope it regains some ground over the next few years
     
  18. crc_error

    crc_error The Rule of 72

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    they are safe investments, but when you invest into a sector specific managed fund, then your making the decision on your own allocation.

    Just like investing into a global resources fund, or a health care fund, these sector specific funds will only invest into your chosen sector, and if that sector doesn't go well, then neither will your fund.

    If you dont want to make these choices, then you should invest into a more general share fund, or a multi sector fund, and allow the fund manager to choose your sector allocations.
     
  19. frank_070

    frank_070 Member

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    yeah i guess i have learnt that the hard way

    just have to wait it out now i guess
     
  20. rambada

    rambada Well-Known Member

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    This is going to sound really dumb.........but here goes.

    I am aware of margin calls and also stop loss for Futures contracts but...

    If I buy into a managed fund without a margin loan, can I have a stop loss set up?