Daintree Core Income Active ETF Declares 17 Cents Monthly Distribution

Distribution Announcement and Key Dates

Perennial Investment Management Limited has announced an estimated monthly distribution of 17.00 cents per unit for the Daintree Core Income Active ETF (ASX: DCOR) for January 2025. This announcement provides investors with important information on the timing and mechanics of the upcoming income payment.

The ex-distribution date is scheduled for Monday, 17 February 2025, with the record date following on Tuesday, 18 February 2025. Investors must be registered unitholders by the record date to qualify for the distribution. The payment date is set for Monday, 24 February 2025, although these dates remain indicative and subject to change.

Distribution Reinvestment Plan (DRP) and Payment Details

In addition to cash payments, the Fund offers a Distribution Reinvestment Plan (DRP), allowing unitholders to reinvest their distributions into additional units of the ETF. To participate, investors must elect to join the DRP by 5 PM on 18 February 2025. If no bank account details are provided, or no distribution method is nominated, the Fund will automatically enroll unitholders in the DRP.

Importantly, distributions are paid exclusively via electronic transfer. Investors are urged to ensure their bank details are up to date with the registrar, SS&C Solutions Pty Ltd, to avoid delays. This electronic-only payment approach reflects a broader industry trend towards streamlined, efficient distribution processes.

Fund Strategy and Investor Implications

The Daintree Core Income Active ETF is managed by Daintree Capital, a specialist in absolute return cash and fixed income strategies. The Fund targets a steady income stream and capital stability over the medium term by investing in a diversified portfolio of fixed income securities and cash. Its objective is to deliver a total return exceeding the RBA Cash Rate within a market cycle, positioning it as an attractive option for income-focused investors seeking lower volatility.

Given the current low interest rate environment, the 17.00 cents per unit distribution signals the Fund’s ability to generate consistent income, which may appeal to retirees and conservative investors. However, the indicative nature of distribution dates and the reliance on electronic payments underscore the importance of investor preparedness to fully benefit from the income stream.

Looking Ahead

As the Fund continues to navigate fixed income markets, monitoring future distribution announcements and DRP participation rates will provide insights into investor confidence and the Fund’s income sustainability. The interplay between market interest rates and the Fund’s performance will remain a key focus for stakeholders.