The Old Mutual Albaraka Income Fund will be a specialist South African multi-asset income portfolio that will seek to provide a high level of income by predominantly including financially sound non-equity securities that comply with the Shari'ah Standards of the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI), whilst complying with the prudential asset allocation guidelines as set out by Regulation 28 of the Pension Funds Act.
In order to achieve the portfolio's investment objectives, the Old Mutual Albaraka Income Fund may have exposure to listed equity securities, listed and unlisted non-equity securities, listed property securities, assets in liquid form and other listed and unlisted securities as may be allowed by the Act from time to time.
The portfolio may from time to time include participatory interests or any other form of participation in portfolios of collective investment schemes or other similar schemes registered in the Republic of South Africa, whether listed on an exchange or not, or of participatory interests or any other form of participation in portfolios of collective investment schemes or other similar schemes operated in territories other than South Africa, whether listed on an exchange or not, subject to the requirements of the Act and Notices issued there-under, as may change from time to time.
The Old Mutual Albaraka Income Fund will be permitted to invest in foreign investment markets to the extent of the industry limit from time to time for domestic portfolios, as legislation permits.
Nothing in this supplemental Deed shall preclude the Manager from varying the ratios of securities, to maximise capital growth and investment potential in a changing economic environment or market conditions or to meet the requirements, if applicable, of any exchange and from retaining cash or placing cash on deposit in terms of the Deed and this Supplemental Deed, provided that the Manager shall ensure that the aggregate value of the assets comprising the portfolio shall consist of assets of the aggregate value required from time to time by the Act.
For the purpose of this portfolio, the Manager shall reserve the right to close the portfolio to new investors on a date determined by the Manager. This will be done in order to be able to manage the portfolio in accordance with its mandate. The Manager may, once a portfolio has been closed, open that portfolio again to new investors on a date determined by the Manager.
The Trustee shall ensure that the investment policy set out in this Supplemental Deed is carried out.
The underlying securities held by this portfolio will never be a mirror of any other existing portfolio of the Manager from a portfolio construction and asset allocation perspective.