WHAT IS THE FUND OBJECTIVES

The Fund aims to consistently outperform the Association for Savings and Investment South Africa (ASISA) South-African Multi-Asset Medium Equity category (after investment management fees) over any 3-year rolling period. The Fund, therefore, targets moderate real returns and is aimed at investors that have a medium risk tolerance and with an investment time horizon of at least 3 years.

WHAT DOES THE FUND INVEST IN?

The Fund is well diversified across both local and offshore asset classes as well as a combination of highly reputable and best of breed local and offshore investment managers and will have a maximum exposure of 60% to local and offshore equities. A maximum of 30% may be allocated to offshore assets and an additional 10% to Africa investments.

The Fund has a moderate allocation to growth assets such as local and global equities and property. Over the long term, such growth assets are the key to delivering real returns to investors.

The Fund construction incorporates both actively managed and passively managed investment mandates investing and the Fund invests across local and offshore equity, bond and property markets and money market instruments.

The Fund is actively managed with assets being shifted between the various markets, asset classes and investment managers to reflect changing economic and market conditions to maximise total returns over the long term.

WHO SHOULD CONSIDER THE FUND?

The Fund is ideally suited for a moderate risk profiled investor who wishes to maximize long term capital growth, which requires a well-diversified, actively managed multi-asset and multi-manager investment portfolio, that adheres to the guidelines as set by ASISA and Regulation 28 of the Pension Fund Act.

In order to achieve high real returns over any 3-year rolling periods, the Fund will have a maximum exposure of 60% to local and offshore equities. Therefore, investors need to be comfortable with capital losses of 10% any 12-month rolling period.

Download Moderate FoF July 2019