| Investment type | Invests in a pool of assets including cash, term deposits and mortgage loans. | Investment in single assets through a contributory mortgage. |
| Mortgage types | First and second mortgages. | First and second mortgages. |
| Investor suitability | This fund is designed for investors who prefer a managed investment experience with their funds invested in a diverse pool of loans. | This fund is designed for investors who prefer to take a self-directed interest in which underlying first or second mortgage loan(s) their funds are invested. |
| Risk / Return | All investors share equally according to their relative proportional interest in the pooled account that they’ve selected. | Your income return as well as return of capital are directly linked to the specific loan(s) that you select. |
| Minimum investment | $100,000 | $100,000 |
| Income distributions | Paid monthly in arrears to either a nominated bank account or reinvested as additional units in the Fund. | Income distributions are paid in accordance with the terms of the underlying loan as outlined in the Supplementary Information Memorandum relating to the specific mortgage investment. |
| Expected returns | The income distributions from the Pooled Fund accounts are variable and subject to changes in the fund’s underlying asset base and the income received by the Fund each month. | The expected income distribution of the Fund depends on the loan(s) selected by an individual investor and the relevant borrowers meeting their repayment obligations. |
| Investment term | The Pooled Fund is open-ended, with an initial minimum term required for the Core Account (6 months), and the Opportunity Account (12 months). | Generally 6 months to 2 years. The investment term is directly linked to the underlying loan term of the particular mortgage investment. The term is outlined in the Supplementary Information Memorandum relating to the specific mortgage investment. |
| Withdrawal of capital | Investments may be redeemed quarterly, subject to the initial term being met, and provided at least 30 days written notice is received. | Investors cannot withdraw their funds until the loan is repaid. |
| Early withdrawal | Generally early redemptions from these accounts are not permitted. If an early withdrawal is permitted, an early withdrawal fee of 1.5% of the withdrawal amount (minimum $500) will apply. | Investors cannot withdraw their funds until the loan is repaid. |
| Fees | Payton charges a fee of 0.5% p.a. of NAV for managing the Pooled Fund. All returns are net of this fee. | None. |
| Income reinvestment | Distribution of returns can be reinvested, but, save for the Cash-Plus Account, can only be withdrawn on a quarterly redemption date. | Distribution of returns can be reinvested into one of the pooled fund accounts, but, save for the Cash-Plus Account, can only be withdrawn on a quarterly redemption date. |
