MacQuarie Property Income Fund

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.

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?

What??

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

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!

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?

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).

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.

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.

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'.

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