The Perpetual Diversified Income Fund has been upgraded to a “5 IP” rating from Research IP, with a score of 4.27/5.
The Perpetual Diversified Income Fund aims to provide regular income and consistent returns above the Bloomberg AusBond Bank Bill Index (before fees and taxes) over rolling three-year periods by investing in a diverse range of income-generating assets. The Fund’s approach to delivering returns and managing risk is through an active and risk aware investment process which invests in a diversified core portfolio of liquid investment grade credit securities. Perpetual believes these assets provide investors with protection in times of market stress.
What is the Fund’s competitive advantage?
Qualitative Research Report
Research IP says
The Perpetual Diversified Income Fund has been upgraded to a “5 IP” rating from Research IP, with a score of 4.27/5.
Research IP, 22 December 2025
- Experienced team: One of the most seasoned Australian credit teams, offering deeper market knowledge and longer cycle experience than many peers, particularly boutiques with smaller analyst benches.
- Structured investment process: The proprietary credit scoring model, quality filter and risk-unit framework provide a more disciplined and data-driven approach than many traditional credit-income strategies.
- Active trading capability: Demonstrates stronger market agility than buy-and-hold competitors, benefiting from scale, broker access and in-house trading capability.
- Defensive positioning: Predominantly investment-grade, floating-rate construction makes the Fund more conservative than high-yield or multi-asset income peers, appealing during volatile periods but potentially limiting upside in aggressive credit rallies.
- Governance strength: Institutional-grade risk management and compliance exceed the formality of most boutique peers and align with top-tier Australian managers.
- ESG integration: Well developed and supported by ISO and Regnan, stronger than many mid-sized peers but less thematic than specialist ESG funds.
- Capacity and liquidity: Fund size enhances execution and scalability without imposing material constraints, positioning it favourably relative to peers operating in smaller or less liquid segments.
- Overall: A high-quality, risk-aware, defensively oriented credit strategy with strong process integrity and consistent peer-relative positioning, with a competitive fee.
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Disclaimer, Disclosures and Warnings
Research IP strongly recommends this document and report be read in conjunction with the relevant Product Disclosure Statement. Research IP gives no warranty of accuracy or completeness of information in this document. Any information, opinions, views or recommendations are general information only and do not take into consideration any person’s particular financial situation or goals and therefore does not constitute financial advice. This document should not be relied upon as a substitute for financial advice from your financial adviser.
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