Diversified United Investment Limited
Overview
| LIC Name | Diversified United Investment Limited |
| ASX Ticker | DUI |
| Listing Year | 1991 (32 years operating) |
| Size (Market Cap) | $1.1B |
| 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) | 0.14% |
| Objective | DUI's investment objectives are: 1) To create and maintain a diversified portfolio of quality Australian companies, primarily through shares listed on the ASX and with an exposure to international markets, with a medium to long term view of providing income and capital appreciation; 2) To actively review 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 | |
| DUI's investment objectives are: 1) To create and maintain a diversified portfolio of quality Australian companies, primarily through shares listed on the ASX and with an exposure to international markets, with a medium to long term view of providing income and capital appreciation; 2) To actively review 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 DUI: 1991
Shares Owned: 7.5M
Share Value: $37M
*Share data from 2023 Annual Report
Mr Goode is the Chairman of the Boards of Australian United Investment Company Limited (Director since 1990, Chairman since 1993), The Ian Potter Foundation Limited (Governor since 1987, Chairman since 1994) and is Chairman Emeritus of Flagstaff ...
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Anthony Burgess
Non-executive Director
Joined DUI: 2008
Shares Owned: 1.8M
Share Value: $9.0M
*Share data from 2023 Annual Report
Mr Burgess has over 40 years' experience in corporate finance in Melbourne, London and New York. He is co-founder and Chairman of Flagstaff Partners Pty Ltd, an independent corporate finance advisory firm, having been Chief Executive Officer 2010 ...
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Stephen Hiscock
Non-executive Director
Joined DUI: 2011
Shares Owned: 86K
Share Value: $427K
*Share data from 2023 Annual Report
Lead Independent Director. Chairman of the Nomination and Remuneration Committee.<br><br>Mr Hiscock is Chairman and a founding shareholder of SG Hiscock and Company Ltd (SGH), a fund manager specialising in Australian Equities, REITs and ...
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Andrew Larke
Non-executive Director
Joined DUI: 2015
Shares Owned: 24K
Share Value: $118K
*Share data from 2023 Annual Report
Chairman of the Audit and Risk Management Committee.<br><br>Mr Larke is Chairman of L1 Long Short Fund Ltd (since 2018) and of IXOM (a leading Australasian chemicals business), and is a Non-Executive Director of DuluxGroup Ltd (since 2010). ...
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Andrew Sisson
Non-executive Director
Joined DUI: 2022
Shares Owned: 84K
Share Value: $415K
*Share data from 2023 Annual Report
Mr Sisson has over 40 years investment management experience and in 1988 founded Balanced Equity Management to manage portfolios of Australian shares. He is a director of Opera Australia (since 2017), a trustee of the Helen Macpherson Smith Trust ...
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 | 2.3% | 4.5% | 7.2% | 7.4% |
| With Dividends Reinvested - Gross | 3.7% | 6.0% | 8.7% | 9.0% |
Chart of Historical Performance
Dividends
Dividend History
| Payment Date | Dividend Type | Dividend Amount | Franking Level |
|---|---|---|---|
| 19 Sep, 2023 | Final | $0.09 | 100% |
| 17 Mar, 2023 | Interim | $0.07 | 100% |
| 09 Sep, 2022 | Final | $0.09 | 100% |
| 18 Mar, 2022 | Interim | $0.07 | 100% |
| 23 Sep, 2021 | Final | $0.085 | 100% |
| 17 Mar, 2021 | Interim | $0.07 | 100% |
| 22 Sep, 2020 | Final | $0.085 | 100% |
| 16 Mar, 2020 | Interim | $0.07 | 100% |
| 20 Sep, 2019 | Final | $0.085 | 100% |
| 14 Mar, 2019 | Interim | $0.07 | 100% |
Chart of Dividend History
Corresponding Dividend Yields
Dividend Comparison
Costs
Cost Indicator (%)
Actual Costs
Share Price vs NTA
Some Common Questions about DUI
Diversified United Investment Limited (DUI) is an Australian Listed Investment Company (LIC) listed on the Australian Stock Exchange (ASX) with the ticker code DUI. Established in 1991, DUI has been actively managing shareholder funds for 32 years. The company specialises in Australian equities, primarily focusing on large-cap companies, and it also includes exposure to international markets.
Diversified United Investment Limited operates with an internally managed structure, which means it handles its investments directly without the involvement of an external investment manager.
Diversified United Investment Limited (DUI) has a notable history, having been actively managing shareholder funds for over 30 years. Over this period, it has established itself as a seasoned participant in the LIC landscape.
Currently, Diversified United Investment Limited has a market capitalisation of approximately $1 billion, indicating its presence as a significant LIC with a focus on large-cap Australian equities and international exposure.
When evaluating Diversified United Investment Limited (DUI) as an investment choice, consider these key metrics:
- Long-term performance: Assess DUI's long-term performance and its ability to create and maintain a diversified portfolio of quality Australian companies, with exposure to international markets, while providing income and capital appreciation over a medium to long-term horizon.
- Dividend reliability: Examine DUI'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 DUI, which is actively managed to monitor and reduce risks and identify market opportunities as they arise.
- Fees: Consider the cost of investing in DUI. The Management Expense Ratio (MER) for DUI is calculated at a low 0.12%, signifying relatively low costs for investors.
Diversified United Investment Limited's investment objectives are to create and maintain a diversified portfolio of quality Australian companies, actively review the portfolio to monitor and reduce risks, and provide sustainable dividend income to shareholders, maintaining full franking when possible. Its seasoned history and commitment to income and capital appreciation make it a compelling choice for investors.
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 DUI) 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).