This website uses cookies. Read more. Okay

Foord Equity Fund

For long-term investors in JSE-listed securities

INVEST NOW

INVESTMENT OBJECTIVE

The fund aims to outperform the FTSE/JSE Capped All Share Index over the long term, with lower risk of loss.

FOR SOUTH AFRICAN INVESTORS

  •    With a higher risk profile
  •    Seeking long-term growth over periods exceeding five years
  •    From a portfolio of JSE-listed equity, commodity and property stocks
  •    And able to withstand investment volatility in the short to medium term.

Performance

Returns
Year Fund Return % Benchmark Return % SA Inflation %
2002 (from 01/Sep) 5.3 -2.9 3.1
2003 22.4 16.1 0.3
2004 32.6 25.4 3.4
2005 49.5 47.3 3.6
2006 43.6 41.2 5.9
2007 14.2 19.2 8.9
2008 -18.5 -23.2 9.5
2009 32.3 32.1 6.3
2010 29.0 19.0 3.5
2011 9.8 2.6 6.1
2012 33.4 26.7 5.7
2013 30.0 21.4 5.4
2014 16.4 10.9 5.3
2015 2.9 5.1 5.2
2016 3.0 2.6 6.8
2017 5.4 21.0 4.7
2018 -12.2 -7.4 4.5
2019 5.9 10.5 4.0
2020 -0.3 6.5 3.1
2021 (to 31/Mar) 10.1 12.8 1.4

Characteristics
Benchmark

Total return of the FTSE/JSE Capped All Share Index.

Time horizon

Longer than five years.

Inception date

1 September 2002

Minimum investment

R50 000 lump sum or R1 000 per month

Significant restrictions

SA equity exposure between 80% and 100%, with balance invested in cash and oither JSE listed securities.

Income distributions

End-February and end-August each year.

Income characteristics

Low gross yield, similar to FTSE/JSE All Share Index dividend yield. Income distributions are reduced by the annual service charge, which varies with the relative performance of the fund against its benchmark.

Portfolio orientation

A portfolio of quality JSE shares that present compelling long-term investment value.

Risk of loss

High in periods shorter than one year. Lower in periods greater than three years.

Top 10
Security description Asset class Market Portfolio weight %
Naspers "N" Equity ZA 12.3
BHP Group Equity ZA 8.2
Aspen Equity ZA 6.5
FirstRand Equity ZA 5.3
CF Richemont Equity ZA 4.4
Standard Bank Equity ZA 4.1
Anheuser-Busch Equity ZA 3.8
Prosus "N" Equity ZA 3.1
Netcare Equity ZA 2.9
Anglo American Equity ZA 2.7
Commentary

Monthly Commentary – March 2021

  • Global equities (+2.7% in US dollars) rose on expectations for accelerating global growth following vaccine rollouts, further stimulus measures and ongoing accommodative monetary policy—developed market equities (+3.3%) outperformed while the emergence of more virulent COVID-19 strains weighed on emerging markets (-1.5%)
  • Emerging markets (-1.5%) underperformed as the dollar strengthened—weighed by rising cases of new COVID-19 strains, regulatory scrutiny on US-listed Chinese ADRs (-6.3%) and Turkish central bank turmoil (-15.8%)
  • Industrial commodities oil (-3.9%) and copper (-2.2%) retraced on US dollar strength—precious metals gold (-0.8%) and silver (-10.1%) declined on the opportunity cost of higher bond yields and the benign inflation outlook from central banks
  • The FTSE/JSE Capped All Share Index (+2.0% in rands) rose on broad-based strength—industrials (+1.9%), financials (+1.7%) and resources (+1.2%) all posted positive returns after Q4 2020 economic growth surprised and on expectations for robust economic growth this year
  • Midcaps Metair (+24.4%), Spurcorp (+17.4%) and The Foschini Group (+16.9%) contributed meaningfully to the fund’s relative performance, as did the underweight position in commodity cyclicals—partially offset by the zero holding in the platinum sector which continued to surge, the NewGold ETF (-4.2%) on the stronger rand and weaker gold price and Standard Bank (-5.7%) on weaker than expected financial results
  • The SA listed property sector (+1.2%) rose in line with the broader market strength—fund staple Capital & Counties (-4.1%) retraced after its rapid rise (+26.1%) last month
  • The rand (+2.3% vs the US dollar) bucked emerging market currency weakness as Q4 2020 GDP growth surprised—the lack of competitiveness and strained public finances continue to make the currency vulnerable over the longer term
Fees

The fee is a performance based fee that varies around the at-benchmark fee rate as disclosed on the fact sheet. The daily fee rate is adjusted up or down based on the portfolio’s one-year rolling return relative to that of its benchmark. Minimum fee rates apply.

WHAT IF YOU HAD INVESTED WITH US IN THE PAST?


Experience the compounding phenomenon of a sustained, long-term investment with Foord.

Calculate
Currency
Using rand returns of Foord’s best investment view South African funds. ? In calculating the current value of your hypothetical investment, we have applied the returns of Foord Asset Management’s retirement fund track record from 1 January 1990 to 31 March 2008 (gross of fees) combined with the net returns of the Foord Flexible Fund of Funds from 1 April 2008. Any information provided is not intended nor does it constitute financial, tax, legal, investment, or other type of advice, and the suitability or potential value of any information or particular investment source is not guaranteed. Performance may be affected by changes in the market or economic conditions and legal, regulatory and tax requirements. Distributions may be subject to mandatory withholding taxes. Foord does not provide any guarantee either with respect to the capital or the performance return of investments.
Using US dollar returns of Foord’s best investment view global fund. ? In calculating the current value of your investment, we have applied the long-term returns of the Foord International Trust. These returns are calculated net of fees. Past performance is no guarantee of future performance. Foord Asset Management (Singapore) Pte. Limited disclaims any liability for any loss, liability, or damages (whether direct or consequential) of any nature whatsoever that may be suffered as a result of, or which may be attributable, directly or indirectly to the use of or reliance upon the information provided.
Value Today: R0
Annualised Return: 0%
The annualised return is the effective annual percentage return achieved over the term of the investment. Results for an investment term of less than one year should be treated with caution.

Insights

19 Apr 2021

Quo vadis, cleantech investors?

Renewed global commitment to the environment has ignited much investment chatter, driving stocks in the cleantech and renewables space to ultra-high valuations. Foord Singapore portfolio manager, Brian Arcese…

Read more

12 Apr 2021

Finding Inflation-beating Returns

Portfolio manager at Foord Singapore, Brian Arcese, reflects on the anniversary of the pandemic-driven sell-off and how investors can find inflation-beating opportunities in the markets.

Listen now
newsletter subscription