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|
|2020 (to 30/Apr)||-15.5||-12.0||1.6|
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-February and end-August 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 %|
|British American Tobacco||Equity||ZA||4.6|
|Capital & Counties||Property||ZA||3.9|
Monthly Commentary – April 2020
- Global equities (+10.7%) rebounded off the March lows to post the best one-month gain in thirty years, led by the US (+13.1%) after unprecedented global fiscal and monetary stimulus in support of faltering economies – emerging markets (+9.2%) also gained despite more than 80 countries seeking IMF aid
- The FTSE/JSE Capped All Share Index (+14.2% in rands) was led higher by resources (+23.0%) – financials (+11.9%) and industrials (+9.6%) were also stronger in line with the global rally, while SA listed property (+7.0%) lagged
- Within resources, the core holding in BHP Group (+14.8%) added value – but partially offset by the zero allocation to precious metals miners (+48.7%)
- Principal industrial holdings Aspen (+25.1%), British American Tobacco (+18.3%) and Naspers (+13.5%) contributed meaningfully – Anheuser-Busch Inbev (+5.9%) and UK property stock Capital & Counties (+4.3%) posted positive returns but detracted from performance relative to the broader market index
- The big investment in best-quality bank RMB Holdings (+7.3%) also moved higher – but relative returns suffered from zero allocation to Absa (+30.0%) and an underweight position in Nedbank (+38.1%), both poorer quality stocks recovering from severe sell-offs in March
- The rand (-3.9% vs the US dollar) weakened more as the economic shock of the extended lockdown compounds South Africa’s structural growth challenges – S&P downgraded SA debt further into sub-investment grade on forecasts of accelerating deterioration of public finances
- The fund remains defensively structured given the weak South African economy and uncertainty about the extent of the economic shutdown – good diversification, optionality and high levels of liquidity position the portfolio exceptionally well for the current environment
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.