Australian United Investment Company Limited
Overview
| LIC Name | Australian United Investment Company Limited |
| ASX Ticker | AUI |
| Listing Year | 1953 (70 years operating) |
| Size (Market Cap) | $1.3B |
| Investment Focus | Australian Equities |
| Portfolio Bias | Large Cap |
| Benchmark | S&P/ASX 200 Accumulation Index |
| Management Structure | Internally Managed |
| Investment Manager | N/A (Internally Managed) |
| Management Fee Structure | N/A (Internally Managed) |
| Performance Fee Structure | No Performance Fee |
| Cost Indicator (FY23) | 0.11% |
| Objective | AUI's investment objectives are: 1) To create and maintain a diversified portfolio of quality Australian companies, primarily through shares listed on the ASX, with a medium to long term view of providing income and capital appreciation; 2) To actively manage the portfolio to monitor and reduce risks and identify market opportunities as they arise; and 3) To provide dividend income to shareholders which is sustainable over the long-term, maintaining full franking when possible. |
| Objective | |
| AUI's investment objectives are: 1) To create and maintain a diversified portfolio of quality Australian companies, primarily through shares listed on the ASX, with a medium to long term view of providing income and capital appreciation; 2) To actively manage the portfolio to monitor and reduce risks and identify market opportunities as they arise; and 3) To provide dividend income to shareholders which is sustainable over the long-term, maintaining full franking when possible. |
|
| Recent Annual Reports | 2023, 2022, 2021, 2020, 2019, 2018, 2017, 2016, 2015, 2014 |
Key Personnel
Board Members
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Charles Goode AC
Non-executive Chairman
Joined AUI: 1990
Shares Owned: 1.7M
Share Value: $16M
*Share data from 2023 Annual Report
Mr Goode is the Chairman of the Boards of Diversified United Investment Limited (since 1991), The Ian Potter Foundation Limited (Governor since 1987, Chairman since 1994) and is Chairman Emeritus of Flagstaff Partners (having been Chairman 2010 ...
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Fred Grimwade
Non-executive Director
Joined AUI: 2014
Shares Owned: 23K
Share Value: $227K
*Share data from 2023 Annual Report
Lead Independent Director, appointed October 2022. Chairman of the Company's Audit and Risk Management Committee.<br><br> Mr Grimwade is a Principal and Director of Fawkner Capital Management Pty Ltd. He is currently Chairman of CPT Global ...
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Dion Hershan
Non-executive Director
Joined AUI: 2018
Shares Owned: 12K
Share Value: $117K
*Share data from 2023 Annual Report
Chairman of the Company's Nomination and Remuneration Committee.<br><br>Mr Hershan is Executive Chairman and Head of Australian Equities at Yarra Capital Management. He has more than 20 years' finance industry experience. Formerly he held senior ...
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Wayne Kent
Non-executive Director
Joined AUI: 2021
Shares Owned: 10K
Share Value: $98K
*Share data from 2023 Annual Report
Mr Kent has a 40 year career spanning Law, Investment Banking and Private Equity, including extensive experience in the Australian and International markets. He co-founded Macquarie's Equity Capital Markets business and has held senior executive ...
Shareholders & Portfolio Size
Number of Shareholders
Portfolio Size
Portfolio Holdings
Top 20 Holdings at end of FY 2023
Performance
Historical Performance
| Updated: February 2024 | 1yr | 3yrs | 5yrs | 10yrs |
|---|---|---|---|---|
| With Dividends Reinvested - Net | 1.9% | 7.4% | 7.6% | 6.5% |
| With Dividends Reinvested - Gross | 3.5% | 9.2% | 9.4% | 8.3% |
Chart of Historical Performance
Dividends
Dividend History
| Payment Date | Dividend Type | Dividend Amount | Franking Level |
|---|---|---|---|
| 19 Sep, 2023 | Final | $0.20 | 100% |
| 17 Mar, 2023 | Interim | $0.17 | 100% |
| 09 Sep, 2022 | Final | $0.20 | 100% |
| 18 Mar, 2022 | Interim | $0.17 | 100% |
| 23 Sep, 2021 | Final | $0.19 | 100% |
| 17 Mar, 2021 | Interim | $0.17 | 100% |
| 22 Sep, 2020 | Final | $0.19 | 100% |
| 16 Mar, 2020 | Interim | $0.17 | 100% |
| 20 Sep, 2019 | Final | $0.19 | 100% |
| 14 Mar, 2019 | Interim | $0.17 | 100% |
Chart of Dividend History
Corresponding Dividend Yields
Dividend Comparison
Costs
Cost Indicator (%)
Actual Costs
Share Price vs NTA
Some Common Questions about AUI
Australian United Investment Company Limited (AUI) is an Australian Listed Investment Company (LIC) listed on the Australian Stock Exchange (ASX) with the ticker code AUI. Established in 1953, AUI has been actively managing shareholder funds for over 70 years. The company specialises in Australian equities, focusing primarily on large-cap companies.
Australian United Investment Company operates with an internally managed structure, which means it handles its investments directly without the involvement of an external investment manager..
Australian United Investment Company Limited (AUI) has a remarkable history, having been actively managing shareholder funds for over 70 years. Over this long period, it has established itself as one of the enduring players in the LIC landscape.
Currently, Australian United Investment Company has a market capitalisation of approximately $1.2 billion, indicating its presence as a significant LIC with a focus on large-cap Australian equities.
When evaluating Australian United Investment Company Limited (AUI) as an investment choice, consider these key metrics:
- Long-term performance: Assess AUI's long-term performance and its ability to create and maintain a diversified portfolio of quality Australian companies, primarily through shares listed on the ASX, with a medium to long-term view of providing income and capital appreciation.
- Dividend reliability: Examine AUI's track record of providing dividend income to shareholders that is sustainable over the long term, maintaining full franking when possible.
- Underlying holdings: Understand the portfolio composition of AUI, which is actively managed to monitor and reduce risks and identify market opportunities as they arise.
- Fees: Consider the cost of investing in AUI. The Management Expense Ratio (MER) for AUI is calculated at a low 0.10%, signifying relatively low costs for investors.
Australian United Investment Company's investment objectives are to create and maintain a diversified portfolio of quality Australian companies, actively manage the portfolio to monitor and reduce risks, and provide sustainable dividend income to shareholders, maintaining full franking when possible. Its impressive track record and long-term focus make it an appealing choice for investors seeking income and capital appreciation.
A Listed Investment Company (LIC) is one type of investment fund structure (i.e. shareholder funds pooled together and invested together, either actively by a manager, or passively). Other types of investment funds include Exchange Traded Funds (ETFs) (which can be both actively managed or passive), Listed Investment Trusts, or Managed Funds.
The different structures have their own positives and negatives, which are dependent on the goals of the investor and their own individual investment structure.
Some of the benefits of the LIC structure (the structure of AUI) include:
- It's a closed-end investment vehicle: Meaning the manager has a fixed pool of capital to invest with a long-term mindset, and doesn't have the risk of fast redemptions by investors in a time of market panic.
- They can smoothen out income to the investors: Which can be beneficial for both tax efficiency and emotional mindset, due to being able to retain profits over time (as compared to the trust structure, which must distribute income and crystallized capital gains to the investor in that financial year).
- The income will most likely be in the form of fully franked dividends: Which is an attractive form for Australian retirees due to the franking system in Australia. Since LICs are companies themselves and pay tax in Australia on profits, they receive franking credits paid on the tax they pay, in addition to the franking credits they receive from their investment portfolio. Well-managed LICs ensure their franking credit reserves are sufficient to pay future fully franked dividends (see 'franking reserves' chart above).