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.
|Year||Fund Return %||Benchmark Return %||SA Inflation %|
|2002 (from 01/Sep)||5.3||-2.9||3.1|
|2021 (to 30/Sep)||20.8||15.2||5.1|
Total return of the FTSE/JSE Capped All Share Index.
Longer than five years.
1 September 2002
R50 000 lump sum or R1 000 per month
SA equity exposure between 80% and 100%, with balance invested in cash and oither JSE listed securities.
End-March and end-September each year.
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.
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.
|Security description||Asset class||Market||Portfolio weight %|
Monthly Commentary – September 2021
- Global equities (-4.1%) fell after seven straight months of gains—slowing global economic growth amid growing uncertainties around new COVID-19 variants, Evergrande contagion, energy supply issues in Europe and China, and global supply chain difficulties giving rise to higher inflation all dampened enthusiasm
- Industrial commodities iron ore (-24.9%) and copper (-6.2%) fell on concerns of a slowdown in Chinese economic growth compounded by Chinese power supply constraints as oil (+7.6%), gas (+87.5%) and coal (+53.4%) rose sharply as alternatives—precious metals platinum (-4.8%), palladium (-22.6%), silver (-10.5%) and gold (-3.3%) moved lower on US dollar strength, with palladium impacted by continued auto production problems
- The FTSE/JSE Capped All Share Index (-3.1% in rands) was dragged lower by another sharp fall in the resources sector (-9.3%) on lower precious metals prices in particular—industrials (-0.8%) also finished lower with financials (+2.1%) pulled up by select banks and life insurance companies
- Fund outperformance was driven by the meaningful overweight allocation to healthcare (+16.4%) and the low allocation to commodity cyclicals (-7.8%) and precious metals miners (-12.8%)—the low weight to telecommunications stocks (+4.7%) via zero holding in large index stock MTN (+5.9%) was the only notable detractor
- The longstanding investment in Aspen (+39.5%) rose sharply as the company continued to re-rate from an oversold position, as did the overweight allocation to Sasol (+27.4%) that was sharply higher on a surging oil price—stock selection in SA Inc. stocks continued to add value with quality mid-cap companies Omnia (+18.4%), Spurcorp (+12.0%) and Metair (+9.6%) all outperforming
- The rand (-3.8% vs the US dollar) weakened on broad-based dollar strength and negative emerging market sentiment with investors now more actively positioning for a moderation of the prevailing accommodative US monetary policy and the subsequent rise in interest rates—the currency remains vulnerable as the short-term platinum group metals price terms of trade bonus starts to dissipate
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.