Listed investment company QV Equities Ltd (ASX: QVE) on Thursday held an update for investors in Sydney. 

The portfolio managers from IML, which operates the fund, revealed four ASX shares they've recently added.

"They're very good examples of the types of companies we like to own at IML," said portfolio manager Marc Whittaker.

"Companies with recurring earnings, with good sustainable competitive advantages, with good management teams, and companies that can grow."

They come from a diverse range of sectors:

• Codan Limited (ASX: CDA)
• Brambles Limited (ASX: BXB)
• TPG Telecom Ltd (ASX: TPG)
• GUD Holdings Limited (ASX: GUD)

Tailwinds that have nothing to do with rising interest rates

Each of these ASX shares have specific internal tailwinds that are independent of external economic factors.

Among other products, Codan produces metal detecting equipment, which is considered of higher quality than its rivals.

The company enjoyed a global boom in sales during the COVID-19 lockdowns as amateurs took to looking for treasures as a new hobby.

But the share price has been caught up in the technology sell-off, losing more than 19% of its value so far this year.

Whittaker said that this just presented an excellent buying opportunity for a "strong cash-generating" business.

"What we think is a global leader in mine detection and what we think is a strong growth opportunity in communications, you're getting all that for 13 times PE, which we think is a very compelling valuation — and a dividend yield of close to 4%."

'Beautiful business'

Brambles produces pallets for commercial shipping, which are returned and reused.

"'Pallet pooling' is a beautiful business because it does come with very powerful network effects," said Whittaker.

"On the back of that, network effects produce very strong cash generation."

Acquisition interest from private equity earlier this month, although it fell through, indicates how tempting the current stock price is, he added.

"We're not sure that bid's totally gone away… But what that bid points to is the attractiveness of this business model."

Meanwhile, TPG has a whole series of internal actions it can take to increase the value of the business.

And the industry is at a point in its cycle where all the players are increasing prices.

"If you think about telecommunications businesses, a lot of their cost base is fixed," said Whittaker.

"So if you can grow your revenues at CPI or greater, then all of a sudden you start to see earnings growth as well."

Automotive parts and accessories maker GUD made a pair of acquisitions in recent times that the QVE team feels is a catalyst for a bright future.

"GUD is a great example of a company which I think is high quality, but where the quality of that company is improving as well," said Whittaker.

"It's gone away from just being an internal combustion engine-exposed auto parts supplier to a company which is really agnostic to whether you're driving an EV or driving a diesel or driving a petrol car."

The post 4 great value ASX shares we just bought: expert appeared first on The Motley Fool Australia.

Retail investors hold these as core dividend payers in their portfolios. This is fine, but it makes sense to have exposure to companies outside the top 20, for the sake of diversification and performance. Small and medium-sized companies often have higher growth prospects than the big names. Here are the easiest ways to get exposure to these types of companies…

QV Equities Ltd (ASX: QVE)

QVE is a listed investment company which invests outside the top 20 stocks. It's managed by IML, who are value managers and have an excellent track record providing managed funds for 20 years. They have delivered market-beating performance with less volatility for investors.

QVE has been listed for 4 years and it's underperformed the benchmark in that time. This is due to the strong run in mining shares and the company avoiding the more speculative stocks which are in favour at present. IML is sticking to its time-tested process of buying quality companies with predictable earnings that pay a decent dividend.

Some examples of shares held include Crown Resorts Ltd (ASX: CWN) and Sonic Healthcare Limited (ASX: SHL). The portfolio is well diversified across 40-50 companies, with no sector representing more than 15% of the portfolio. Shares currently trade at a discount to NTA and a gross dividend yield of 5.3%, including franking credits.

Mirrabooka Investments Ltd (ASX: MIR)

Mirrabooka is a listed investment company which invests outside the top 50 companies. It's managed by the same folks that manage Australian Foundation Investment Co. Ltd. (ASX: AFI).

It listed in 2001 and long-term performance has been solid. Over the last 10 years, Mirrabooka has returned 13.1%, versus the benchmark's return of 7.7%, both including franking credits. The company has a management expense ratio of 0.60% and no performance fees, which is very low for an actively managed small/mid-cap LIC.

The portfolio currently contains over 70 companies and is also well diversified across sectors. Mirrabooka aims to buy businesses with strong industry positions, which generate good cashflow and are well managed. It then reduces or sells holdings if the outlook deteriorates or shares become overvalued. Shares in the portfolio include SEEK Limited (ASX: SEK), Challenger Ltd (ASX: CGF) and Webjet Limited (ASX: WEB).

Shares trade at a small premium to NTA and a gross dividend yield of 5.3%, including franking credits.

Foolish takeaway

Listed investment companies aren't for everyone. But they can be great for quickly gaining exposure to small and medium-sized companies which are often lacking in Aussie share portfolios. Quality managers that don't charge performance fees mean more in investor's pockets over the long term.

The post How to easily diversify your portfolio into small and mid-cap shares appeared first on The Motley Fool Australia.

But with the banks struggling lately, many investors are now looking to diversify their portfolio to benefit from smaller and mid-sized companies which have better growth prospects.

There's a few ways to get exposure to a group of businesses outside the top 20. Here's one of my favourites…

QV Equities Ltd (ASX:QVE)

This is a listed investment company which holds a group of close to 50 stocks, outside the top 20.

It's managed by Investors Mutual (IML), who have successfully run several market-beating managed funds for the last 20 years, with lower volatility than the index. The manager focuses on good quality industrial companies from a group of sectors, meaning it avoids unpredictable resource shares.

So why is it undervalued?

Well, you've probably noticed the mining sector has been running red hot over the last couple of years. This has resulted in QVE underperforming the benchmark, as most resource companies (many of them speculative) have been bid up by the market.

Given the manager also has a value focus, they ignore the market-darling high PE stocks, and instead focus on finding more reliable growth at a reasonable price.

Since listing 4 years ago, QVE has returned 9.8% per annum after fees, before franking. While the ex-20 benchmark has returned 11.9% per annum, before fees and franking. The management expense ratio for this LIC is 0.99% which scales down as it grows, which is pretty reasonable compared to many other managers in the mid/small-cap space.

As with IML's managed funds, they tend to underperform when resources are booming, but hold up much better in a downturn and have outperformed over more meaningful time periods. I think it's likely this also happens with QVE, though if it doesn't beat the market, I'm still happier with this exposure and dividend growth focus.

Recent results

QVE announced its results last week and it was a pleasing report. The company declared a 5% increase in the dividend, along with a fully franked special dividend to be paid in addition.

The dividend has increased every year since listing and is a key focus for the manager.

Currently QVE trades at a discount to NTA of around 5%, likely due to the recent underperformance.

Foolish takeaway

I'm happy to continue scooping up shares at this price to take advantage of other investor's lack of conviction or short-sightedness.

The company's investing philosophy fits exactly with my own –  a strong focus on companies with growing dividends and the QVE portfolio also holds many stocks with global operations.

I believe the focus on quality names purchased at reasonable multiples will translate into solid long term returns, while providing an increasing stream of fully franked dividends.

The post Why I think this mid-cap LIC is undervalued appeared first on The Motley Fool Australia.

This is why I tend to favour old reliable conglomerates like Wesfarmers Ltd (ASX: WES) and Washington H. Soul Pattinson and Co. Ltd (ASX: SOL). On top of this, I really like the simplicity of listed investment companies (LICs) with capable management and a long-term focus.

With this in mind, here's where I'd direct $10,000 today, and park it there for the long term.

Argo Investments Limited (ASX: ARG)

Investment – $5,000.

One of the oldest LICs in Australia, Argo has been getting the job done for over 70 years. It has seen many market cycles and management teams over that time. But Argo's culture is one of low-cost and investing for an increasing dividend stream for shareholders.

Regardless of the latest fads like pot stocks or lithium miners – most of which will never turn a profit, Argo will continue to invest conservatively, in profitable dividend-paying companies. The portfolio is currently made up of 100 companies across a range of industries.

The company's endurance is built on an investment process, not on the back of a gun stock-picker who could up and leave at any time.

Shares currently trade on a gross dividend yield of 5.5%.

QV Equities Ltd (ASX: QVE)

Investment – $5,000.

This LIC has only been listed for a few years, so QVE hasn't got a very long history. But the manager of QVE – Investors Mutual (IML) – has been around for 20 years, running managed funds with good success.

IML has a solid track record of providing strong returns from their various funds, especially their small-cap funds which have thrashed the market for up to 20 years.

This LIC is focused on the ex-20 area of the market, so it can complement an investor's portfolio which may be heavy in banks and miners, for example. The team focus on mostly industrial dividend-paying stocks and tend to shy away from resources, due to the highly unpredictable nature of earnings and dividends.

Currently, QVE is trailing the market due to the strong run of late by resources stocks. Regardless, QVE is staying true to its knitting, picking up shares in good quality industrials trading at attractive prices. A key focus for QVE is companies providing reliable earnings streams and dividend growth, which it can pass on to shareholders.

Shares currently trade on a gross dividend yield of 4.8%.

The market seems to be sulking about this recent underperformance, with QVE now trading at a discount to NTA of around 5%. I feel that provides us with an attractive entry point for investors who believe in QVE's philosophy and are focused on the long-term earnings and income stream.

The post Here's where I'd invest $10,000 for the next 20 years appeared first on The Motley Fool Australia.

Here are a few of my favourite LICs that I plan to hold in my core portfolio for the very long term…

Argo Investments Limited (ASX: ARG)

This company has been around since 1946 providing investors with a growing dividend stream as well as capital growth. Argo holds a portfolio of approximately 100 shares in many different sectors, so the LIC has exposure to a wide range of businesses in the economy.

The main priority is providing shareholders a solid and growing income over time, which Argo has successfully delivered. In the last 5 years the dividend has been increased by 3.6% per annum. Currently shares trade on a grossed-up dividend yield of 5.64%.

QV Equities Ltd (ASX: QVE)

QVE has only been listed for a few years so far, but the investment manager – IML – has been managing unlisted funds for 20 years. IML has provided strong returns across all of its funds and reports performance after fees, which is refreshing and increasingly rare for active managers.

QVE's mandate is to invest in a portfolio of 20-50 shares outside the top 20, which means it can provide great diversification for investors who are heavily exposed to the big banks and Telstra Corporation Ltd (ASX:TLS) for example.

The manager has underperformed the benchmark since listing, but I'm confident in IML's investment process and believe it will provide solid returns and a growing income stream over the only time-frame that matters – the long term.

Shares currently trade on a grossed-up dividend yield of around 5%. In addition, when comparing its share price to the underlying portfolio, its trading at a discount to NTA of 5%.

Foolish takeaway

Both of these LICs provide diversified sources of income and are part of my core portfolio. While I do hold individual stocks too, the bulk of my dividend income will be sourced from holdings like this for the very long term. These companies are run by conservative managers and their investment philosophy matches my own – to invest across a wide range of businesses for a growing dividend stream.

The post 2 of my favourite income shares to hold for the ultra-long-term appeared first on The Motley Fool Australia.

If I came into $50,000 today and was looking to start a portfolio the first thing I'd do is identify some high quality, defensive companies. These companies would also need to have good long term prospects and be available at a reasonable price.

Given the importance of a solid foundation, I'd suggest allocating the majority of the portfolio to larger companies that pay dependable dividends.

$15,000: Argo Investments Limited (ASX: ARG) is a simple way to gain exposure to a diversified portfolio of "blue chip" shares. Amongst the largest positions in Argo's portfolio are the four major banks, BHP Billiton Limited (ASX: BHP) and Telstra Corporation Ltd (ASX: TLS).

A holding in a listed investment company (LIC) such as Argo is (in my opinion) a sensible way to gain exposure to the market.

Having gained a diversified exposure to a range of the ASX's largest companies via Argo, investors can now consider some stock specific opportunities to round out their foundation holdings.

$5,000: Brambles Limited (ASX: BXB) has an impressive track record of growing its business thanks to the value proposition it offers its customers and thanks to a valuable network effect which creates a positive feedback loop for its global pooling business.

At around 20 times earnings, I think this is a reasonable price to pay for this above average business.

$5,000: Amcor Limited (ASX: AMC) is another above average Australia-based business with significant global operations. The group's exposure to the fast moving consumer and pharmaceutical sectors provide recurring revenues and a defensive earnings base.

The packing company is trading on around 19 times earnings which again seems reasonable considering the quality of the company and the double-digit growth rate in earnings being forecast by a consensus of analysts. (source: Reuters)

$5,000: TPG Telecom Ltd (ASX: TPM) might seem an unusual selection for a foundation stock, however, through share price appreciation, mergers and acquisitions, TPG now boasts a market capitalisation of nearly $10 billion.

With much better growth prospects than Telstra and providing exposure to growing telecommunications spending, it deserves serious consideration as a core holding.

$10,000 each: QV Equities Ltd (ASX: QVE) and WAM Capital Limited (ASX: WAM). Most investors want a combination of income and growth from their portfolio and generally it is the smaller end of the market that can provide that growth.

So, to round out the portfolio I'd look to add exposure to smaller stocks with higher growth potential.

With only limited funds to deploy I would recommend utilising two more LICs to provide a broad exposure to the smaller end of the ASX. This, I consider, a conservative strategy given the higher risks involved with smaller companies.

QV Equities' objective is to own a portfolio of stocks outside the S&P/ASX 20 (Index: ^AXTL) (ASX: XTL). QV's portfolio holds a range of appealing stocks with a skew towards the larger end of the ASX ex-top 20.

Meanwhile, WAM Capital focuses more on small and mid-cap companies, thereby providing shareholders with exposure to the smaller end of the ASX.

Essentially, by owning both LICs an investor gains a broad exposure to non-blue chip stocks via portfolios managed by well regarded, market-beating fund managers.

The post 6 shares I'd buy with $50,000 today appeared first on The Motley Fool Australia.

The latest Investment Update from QV Equities has some advice worth taking for investors who are currently chasing yield in this low interest rate environment.

A poignant warning

"Investors need to recognise that the investment risk on shares is generally greater than on interest-bearing assets: share returns are more volatile; and some companies may have to cut their dividends if their earnings disappoint."

Some good advice

The important thing is to seek out dividends that are sustainable or, better still, are likely to rise over time. Investors particularly need to avoid "dividend yield traps": a high dividend yield might simply reflect the collapse in a company's share price in anticipation of an imminent cut in its dividend."

So how is Investors Mutual positioning QV's portfolio so that it can ultimately benefit from the types of companies which have dividends that are hopefully sustainable and growing?

Here are four holdings mentioned in the latest update.

Flight Centre Travel Group Ltd (ASX: FLT) has a rock solid balance sheet thanks to its large cash balance. While we don't know what Investors Mutual is forecasting, according to forecast data supplied by CommSec, shareholders are expected to receive dividends totalling 148 cents per share (cps) in financial year 2017. With the share price falling recently to around $32, the implied yield is 4.6%.

Steadfast Group Ltd (ASX: SDF) has a trailing yield of 2.5% but given its defensive earnings base and market-leading position the outlook is positive.

AGL Energy Ltd (ASX: AGL) is forecast to increase its dividend to 76.6 cps in FY 2017 according to CommSec. With the stock trading at just under $19, the expected fully franked yield is 4%.

ASX Ltd's (ASX: ASX) dividend is forecast to grow to $2 a share in FY 2017 according to forecast data from CommSec. A share price of $45 means a forecast yield of 4.4%.

The post Top fund manager identifies 4 shares to help you avoid a dividend trap appeared first on The Motley Fool Australia.

QV Equities is a $200 million portfolio managed by the highly regarded funds management group Investors Mutual.

Amongst the appealing attributes of QV Equities is not just the long-term track record of its manager (which has a total of over $5 billion in funds under management) but also the scaled fee structure which includes no performance fee, the portfolio's focus on stocks outside of the largest 20 ASX-listed companies and the current 21% cash holding.

Here are three stocks which Investors Mutual singled out as portfolio holdings which it believes can "self" generate earnings growth:

1. Amaysim Australia Ltd (ASX: AYS) is a branded reseller of mobile network SIM cards. The company offers customers appealing deals such as no lock-in contracts which in turn have led to industry-leading customer satisfaction levels. Amaysim has been growing its market share and is currently trading on a price-to-earnings (PE) ratio of around 17.7x and with a yield of 4.5% (according to the QV Equities presentation).
2. Pact Group Holdings Ltd (ASX: PGH) is the largest manufacturer of rigid plastic containers in Australasia. The company can boast of a 50% market share with 62 manufacturing sites and long-term blue chip customers. The stock is currently priced on a PE of around 13x and with a yield of 5%, partly franked.
3. Spark Infrastructure Group (ASX: SKI) operates electricity distribution assets in South Australia and Victoria and electricity transmission assets in New South Wales. These infrastructure assets are regulated and as such they provide a reliable dividend. The yield on the stock is currently around 6.6% (unfranked)

The post Should you buy Amaysim Australia Ltd, Pact Group Holdings Ltd and Spark Infrastructure Group today? appeared first on The Motley Fool Australia.

Listed in August 2014, and focussed on investing in ASX stocks outside of the Top 20, QVE has produced an after tax portfolio return since listing of 5.5% compared with a 0.6% decline in its benchmark.

The investment manager Investors Mutual, states that its investment philosophy is to focus on quality business and aims to buy and own "companies with a competitive advantage, with recurring earnings, run by capable management, that can grow, at a reasonable price."

Here are three stocks which fit that philosophy and been added to the QVE portfolio since its initial public offering (IPO).

1. AGL Energy Ltd (ASX: AGL) – The investment manager has a positive view on Australia's lowest cost electricity generator. As an incumbent gas and electricity retailer with a strong brand, a new CEO and revamped management team and growth through significant cost-out opportunities AGL appears to have met a range of qualitative checks. Add in a price-to-earnings (PE) ratio of around 15x and a yield around 4% and AGL has met the quantitative check too.
2. Pact Group Holdings Ltd (ASX: PGH) – Boasting a 50% market share, Pact is a leading provider of packaging to the fast moving consumer goods (FMCG) industry which contribute around 75% of revenues. Pact can also point to a long-term blue chip customer base and being the largest manufacturer of rigid plastics in Australasia. Investors Mutual sees growth via bolt-on acquisitions and a PE of 15x and yield approaching 5%.
3. Shopping Cntrs Austrls Pprty Gp Re Ltd (ASX: SCP) – As a significant owner of shopping centres tenanted by Woolworths Limited (ASX: WOW), the group enjoys a reliable rent stream (60% from Woolworths) and long-term leases averaging around 15 years. Shopping Cntrs Austrls Pprty Gp Re Ltd has a strong balance sheet with gearing of 33% and trades on a PE of around 14.5x with a yield over 6%.

The post AGL Energy Ltd, Pact Group Holdings Ltd, Shopping Cntrs Austrls Pprty Gp Re Ltd: 3 quality stocks for your portfolio appeared first on The Motley Fool Australia.

Argo Investments Limited (ASX: ARG) and Australian Foundation Investment Co.Ltd. (ASX: AFI) are prime examples. There are also plenty of Listed Investment Companies (LICs) that investors can use.

One of this 'new wave' of LICs is QV Equities Limited (ASX: QVE) which undertook an initial public offer (IPO) in August 2014. The Q and V stand for 'Quality' and 'Value' and the company is managed by the highly regarded fund management firm Investors Mutual.

Investors Mutual has a proven long-term track record of successfully adding value as an investment manager. This makes QV Equities an LIC worth considering if you prefer to 'outsource' your portfolio management.

Alternatively, for investors who are 'hands on' and prefer to buy their stocks directly it's interesting to learn which companies Investors Mutual have been buying for their portfolio over the past seven months since the LIC was created.

Of the total 35 stocks which are currently in the portfolio, here are four of the largest positions…

1. Sonic Healthcare Limited (ASX: SHL) – According to Investors Mutual (IM) the stock is trading on a financial year (FY) 2015 price-to-earnings (PE) ratio of 19.4x and dividend yield of 3.6%.
2. Bank of Queensland Limited (ASX: BOQ) – Based on IM's numbers the stock is on a FY15 PE of 15.2x and dividend yield of 5%.
3. ASX Ltd (ASX: ASX) – IM's calculations show a FY15 PE of 21.4x and dividend yield of 4.2%.
4. Ansell Limited (ASX: ANN) – IM's forecasts suggest a FY15 PE of 16.2x and dividend yield of 2.2%.

The post Here's what a top investor's portfolio looks like appeared first on The Motley Fool Australia.

With the release of QV's January Investment Update, investors have a timely opportunity to review the ten largest positions in the portfolio. With reporting season now in full swing on the ASX, the profit results of these high conviction stock ideas could certainly be worth keeping an eye on.

Here are the Top Ten and when they are due to report:

• AGL Energy Ltd (ASX: AGK): 11 February
• Orica Ltd (ASX: ORI) operates on a September financial year so investors will have to wait until 12 May for the group's half year results to be announced
• Sonic Healthcare Limited (ASX: SHL): 17 February
• Bank of Queensland Limited (ASX: BOQ): 26 March
• ASX Ltd (ASX: ASX): 12 February
• Salmat Limited (ASX: SLM): 24 February
• Ansell Limited (ASX: ANN) has already reported strong results which you can read a review of here
• Fletcher Building Limited (Australia) (ASX: FBU): 18 February
• Energy Developments Limited (ASX: ENE): 25 February with the company recently providing an update that it would exceed previous guidance for the first half
• Oil Search Limited (ASX: OSH) has already reported and you can review the results here

The post 10 high conviction stocks that investors should be watching this reporting season appeared first on The Motley Fool Australia.

The group's strong market position has led it to report solid earnings per share (EPS) growth over the past decade. EPS has grown from 59.3 cents per share (cps) in FY 2003 to 195.5 cps in FY 2013.

Equally importantly, its share price has fallen 5.1% in the last month, resulting in the stock trading on a forecast FY 2015 price-to-earnings (PE) ratio of 17.1x and a fully franked yield of 5.2%.

Whilst the ASX Ltd looks like it could be an appealing investment proposition at present, the problem faced by many investors is that deciding to invest in the ASX Ltd means analysing and valuing the stock – a process many are unwilling or unable to undertake.

Seeking professional help

There are ways to invest in equities that don't require you to personally be a top notch stock picker. Professional investment services from newsletters and investment advisors through to share brokers and fund managers are all options to consider.

A new option

One of the most recent examples of the ASX's innovation has been the launch of its mFunds platform…

Technically speaking:

An mFund product is an unlisted managed fund admitted for settlement under the ASX and available to investors through the mFunds settlement service. Perhaps the single most important point about mFunds is that it is not a transaction between two investors, as is the case when you buy and sell shares or exchange traded funds, rather it is a transaction between the investor and the fund manager.

Interestingly, just as this service is being launched, some leading fund managers are choosing to bypass this new offering and instead float listed investment company (LIC) structures. These include the recently listed Acorn Capital Investment Fund Ltd (ASX: ACQ) and QV Equities Ltd (ASX: QVE), which is managed by Investors Mutual. LICs by other prominent fund managers are also in the pipeline – Perpetual Limited's Equity Investment Company Limited and Ellerston's Global Investments Limited (ASX: EGI) should both launch before the end of the year.

Geoff Wilson, who heads up three LICs, including WAM Capital Limited (ASX: WAM), has been a major proponent of the benefits of the LIC structure. Perhaps the most important of these benefits is that a LIC has a "closed-end" structure. This can protect investors from a squeeze caused by redemptions which can see forced sales at precisely the wrong time.

On the flip side, mFunds is providing a convenient way for investors to gain access to a much wider array of fund managers than are available through LICs. Currently mFunds provides access to 63 funds across 20 fund managers – these numbers are likely to expand significantly over the coming years.

The post Is the ASX Ltd's new mFunds product right for you? appeared first on The Motley Fool Australia.

The low rate is good news for borrowers but it's a serious conundrum and hindrance for many self-funded retirees who are forced to climb higher up the risk curve – mainly into property and equities – in an attempt to seek out higher returns on their savings.

For many self-managed super funds (SMSFs) the need for income has led to high-yielding defensive stocks such as Telstra Corporation Ltd (ASX: TLS). The worry is that some retirees may not be adequately prepared for running their own portfolio and they could end up with too much company specific risk. Lack of diversification is a serious risk and more likely if an investor does not have a solid grasp of portfolio management.

This has led many SMSF investors to seek out professional advice. One area that has been popular recently has been the listed investment company (LIC) sector. LICs are effectively listed managed funds – there are some important differences– but the concept of outsourcing the management of your portfolio remains.

Recently, numerous fund managers have been floating LICs in response to heighted investor demand for these products; presumably SMSFs have been major buyers of these initial public offerings.

Here are three new LICs to watch.

It was recently announced that leading fund manager Perpetual Limited (ASX: PPT) is seeking to raise $600 for its first LIC. The company will be called Perpetual Equity with a mandate which will allow the portfolio to invest in global as well as ASX-listed stocks.

QV Equities Ltd (ASX: QVE) is a recent offering from fund manager Investors Mutual. Investors Mutual has a strong history of adding value for its clients making this LIC one worth watching.

Future Generation Investment Fund Ltd (ASX: FGX) boasts an impressive line-up of fund managers in what is effectively a fund-of-fund. The company listed in September and offers exposure to a range of leading fund managers across the spectrum of investment styles.

The post Here's how SMSFs are beating the RBA appeared first on The Motley Fool Australia.

As more Australians take control of their finances with the aim of positioning themselves to retire comfortably via SMSFs, they will be increasing  popularity for vehicles such as listed investment companies (LICs) and the new mFunds platform which the ASX recently launched.

mFunds will provide direct access to managed funds by allowing investors to purchase units in a fund directly – as though they were shares. Meanwhile there are some exciting new LICs available (or soon to be) that allow investors to access the skills of some very highly regarded fund managers. One of the advantages of investing in an LIC is that from time-to-time they may trade below their net asset value (NAV) – this creates the opportunity to purchase at a discount.

Here are three new LICs which look particularly interesting.

• Acorn Capital Investment Fund Ltd (ASX: ACQ) listed in May 2014 and has failed to trade above its initial public offer price of $1 per share. With stated net tangible assets before any tax effects of 97.5 cents per share (cps) and with the shares currently trading at 91.5 cps there is an appealing discount on offer.

• QV Equities Limited (ASX: QVE) is set to list later this month. The manager behind QV is the successful Investors Mutual. One particularly pleasing aspect to QV is the fee structure – a management fee of 0.9% if the NAV is below $150 million, with the management fee falling to 0.75% if the NAV surpasses $150 million.

• Future Generation Investment Fund (ASX: FGX) offers a potential win-win for investors as I previously highlighted here. The cost structure is appealing, the access to high quality managers is appealing and the fact that a percentage of the fund goes to charity rather than as fees to the managers is an additional bonus.

The post Here's how SMSF investors can enjoy a wealth of new opportunities appeared first on The Motley Fool Australia.