Solaris Australian Equity Income Plus Announces Pre-Tax NTA of $1.998 Per Share as of 22 July 2026

Overview of Solaris Australian Equity Income Plus and Its NTA Calculation Approach

Operating as an Australian investment fund listed on the ASX under ticker SET, Solaris Australian Equity Income Plus Limited is headquartered at Level 20, 66 Eagle Street, Brisbane, QLD 4000, with ABN 21 695 278 810. Managed by Pinnacle Investment Management, inquiries can be directed to [email protected]. The fund focuses on Australian equities, aiming to deliver income alongside capital growth for shareholders.

The daily NTA per share update reflects the estimated pre-tax Net Tangible Asset value per share. This key metric shows the underlying asset value available to shareholders after factoring in cash, portfolio valuations, management fees, and estimated operating costs. Solaris performs this calculation daily, providing investors with ongoing transparency and a basis for comparing the fund’s net asset value against its market share price.

Implications of the $1.998 Pre-Tax NTA Per Share Valuation

The pre-tax NTA per share of $1.998 as at 22 July 2026 represents the company’s disclosed asset backing. Solaris notes this figure is unaudited and approximate, derived from daily valuation methods rather than formal audit. The pre-tax designation includes tax on realised gains and earnings but excludes provisions for tax on unrealised gains or losses within the portfolio.

Distinguishing between pre-tax and post-tax NTA is vital for investors assessing the economic value of their holdings. Notably, the NTA excludes the franking account balance, which comprises franking credits from dividends and tax paid on earnings—an important income component for Australian investors. Additionally, deferred tax assets from income tax losses are excluded, reflecting a conservative valuation approach since these tax losses, while potentially reducing future tax liabilities, are not incorporated in the current NTA.

Daily Valuation Process and Adjustments in NTA Calculation

The estimated NTA per share is based on the daily valuation of Solaris’s investment portfolio and cash holdings. This approach ensures investors receive timely updates on the fund’s asset base. The valuation adjusts portfolio and cash values to account for payable management fees and estimated operating expenses, presenting a net figure that reflects actual shareholder value after anticipated costs.

This methodology aligns with standard practices for listed investment companies, where frequent NTA updates offer transparency for market pricing and investment decisions. Including management fee and operating cost adjustments means the reported NTA is a net asset figure rather than a gross asset valuation. Investors should recognize that ongoing fees and expenses will continue to impact realised per-share value, alongside portfolio performance and transaction timing.

Exclusion of Franking Credits and Deferred Tax Assets from NTA

Solaris clarifies that the reported NTA per share excludes any franking account balance. Franking credits, accumulated from dividends and tax paid on Australian equities, provide economic benefits to shareholders, especially Australian residents who can offset tax liabilities. Investors should consider franking credits separately when evaluating total share value.

Similarly, deferred tax assets related to income tax losses are not included in the NTA. While such tax losses can be carried forward to offset future taxable income subject to tax regulations, their exclusion reflects a cautious accounting stance. Consequently, the fund’s actual tax position may be more favorable than the NTA suggests, as future tax losses could enhance net income, but this benefit is not reflected in the current valuation.

Investment Portfolio and Income Generation Strategy

Solaris Australian Equity Income Plus targets regular income through investments in dividend-paying Australian equities. The portfolio likely includes diversified holdings across sectors, with the daily NTA capturing the market value of these shares plus cash balances as at 22 July 2026.

The "income plus" strategy emphasizes current income via dividends and interest, alongside capital growth potential. Portfolio composition and cash allocation directly affect the NTA per share. Fluctuations in equity valuations, dividend yields, and interest rates influence the fund’s NTA over time. Investors should track NTA updates to evaluate portfolio returns and assess whether the share price trades at a discount or premium relative to net asset value.

Importance of Unaudited and Approximate NTA Status

Solaris explicitly states the $1.998 pre-tax NTA per share is unaudited and approximate. This is crucial context, as the figure is based on internal daily valuation processes without independent audit or formal verification. The approximate nature reflects working estimates for components like operating costs and tax provisions.

This practice is common for frequent NTA disclosures, which provide timely investor information ahead of formal audited financial statements. Investors should note that actual realised NTA may vary once all transactions, costs, and tax adjustments are finalized. Nonetheless, daily NTA updates remain valuable for ongoing fund monitoring.

Commitment to Regular NTA Reporting and Investor Transparency

By publishing daily NTA per share updates, Solaris Australian Equity Income Plus demonstrates strong investor communication and transparency. These disclosures enable shareholders and potential investors to track asset backing and compare it with the ASX share price, supporting market efficiency and informed investment decisions.

Frequent NTA updates are especially important for listed investment companies, facilitating price discovery and investor insight. The company’s routine, as shown by this 23 July 2026 update for 22 July 2026 data, indicates ongoing commitment to regular disclosure, allowing investors to continuously monitor asset position and fund performance.

Investor Considerations When Monitoring SET

Investors in Solaris Australian Equity Income Plus should consider the discount or premium of the fund’s shares relative to NTA, a key indicator of market sentiment and demand. A notable discount might signal concerns about management or portfolio outlook, while a premium could reflect investor confidence. The $1.998 pre-tax NTA per share serves as a benchmark for such evaluations.

Tracking NTA trends over time helps assess portfolio returns and cost efficiency. Investors should also factor in management fees, operating costs, tax treatments, and the exclusion of franking credits and deferred tax assets, as these affect the relationship between reported NTA and actual economic value. Reviewing formal financial statements and annual reports will provide further insights into portfolio composition, performance, and tax positions.

Market Context and Share Price Analysis

The pre-tax NTA of $1.998 per share as at 22 July 2026 offers a reference for valuing Solaris Australian Equity Income Plus shares on the ASX. Public information did not specify immediate share price reactions. Investors should compare current market prices to this NTA to identify discounts or premiums, which is particularly relevant for value-oriented investors seeking shares trading below net asset value.

In Australia’s listed investment company sector, discount and premium levels are influenced by factors such as demand for income strategies, valuations of portfolio companies, interest rates, and sentiment towards active management. While the pre-tax NTA methodology ensures consistent reporting, realised returns may vary due to timing of asset sales, tax events, and portfolio performance. Regularly monitoring NTA updates alongside share price movements provides valuable insight into market valuation of the fund relative to its assets.