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-1.49  /  -0.44%

339.18

NAV on 2019/11/14
NAV on 2019/11/13 340.67
52 week high on 2019/11/13 340.67
52 week low on 2019/01/04 301.76
Total Expense Ratio on 2019/03/31 1.87
Total Expense Ratio (performance fee) on 2019/03/31 0
NAV Incl Dividends
1 month change 2.02% 2.02%
3 month change 3.91% 3.91%
6 month change 4.67% 4.67%
1 year change 7.35% 7.9%
5 year change 5.83% 6.59%
10 year change 0% 0%
Price data is updated once a day.
  • Sectoral allocations
Bonds 101.47 12.24%
Fixed Interest 38.78 4.68%
Liquid Assets 4.33 0.52%
Managed 221.24 26.68%
Real Estate 32.54 3.92%
Spec Equity 89.69 10.81%
Offshore 341.28 41.15%
  • Top five holdings
U-OMFLEX 221.24 26.68%
U-OMGILT 101.47 12.24%
U-OMSMALL 89.69 10.81%
OLDMUTVLEGLO 65.48 7.9%
ACADIANGLOEQU 65.36 7.88%
  • Performance against peers
  • Fund data  
Management company:
Old Mutual Unit Trust Managers (RF) (Pty) Ltd.
Formation date:
2013/07/01
ISIN code:
ZAE000178703
Short name:
U-OMMAXR
Risk:
Unknown
Sector:
Worldwide--Multi Asset--Flexible
Benchmark:
60% FTSE/JSE Capped Shareholder Weighted Index, 35% MSCI All Country World Index, 5% STeFI Composite Index
Contact details

Email
unittrusts@oldmutual.com

Website
http://www.omut.co.za

Telephone
021-503-7100

  • Fund management  
Arthur Karas
Arthur joined MacroSolutions as Portfolio Manager in October 2011. Arthur is responsible for the domestic equity portfolios of the dynamic funds, including the Old Mutual Flexible Fund.
Prior to joining MacroSolutions, Arthur was the Chief Investment Officer at Hermes Asset Management where he was responsible for the investment process and strategy, equity research and portfolio management. Before joining at Hermes, he served as a senior portfolio manager and an equity analyst at various prominent investment houses, including Quaystone Asset Management, Syfrets and BoE. Arthur has 25 years of investment experience.
Peter Brooke
Peter is an award-winning analyst who has extensive experience in the investment arena. He worked at a stockbroker for 10 years as an analyst and equity strategist, after which he was the Head of Research and Head of Equities for Cazenove South Africa.
Peter joined Old Mutual in May 2005 and has been the Head of MacroSolutions since 2007. Peter has specific responsibility for third-party funds, including the Profile range. He also manages two unit trust funds, Old Mutual Maximum Return Fund of Funds and Old Mutual Flexible Fund. The Old Mutual Edge28 Life Fund is also part of his portfolio. Having analysed countries and companies, Peter can integrate top-down and bottomup drivers and valuations to create an optimal portfolio.


  • Fund manager's comment

Old Mutual Maximum Return FoF comment - Sep 19

2019/10/23 00:00:00
The tale of the tape for the third quarter of 2019: Local equities fell 5% and local bonds returned nearly 1%, while global equities and bonds were approximately flat and 1% higher respectively in US dollar terms, and the rand weakened by over 7% against the US dollar.
Various measures have pointed to a broad-based slowdown in global economic activity, which was compounded by a re-escalation in trade tensions between the US and China during the quarter. In addition, the state of the UK political environment remains one of confusion with no clarity on the likely outcome. In response to the muted growth outlook and increased uncertainty, several central banks, including the US Federal Reserve, have clearly stepped off the brake and are slowly reapplying the accelerator. Time will tell if this is sufficient to offset the uncertainty created by political developments. In the meantime, equity markets remained somewhat directionless, while industrial metals continued to come under pressure. Global bond yields moved lower again and precious metal prices rose as investors sought safe havens. Many sovereign bonds are once again trading on negative yields, while the US 10-year bond yield reached a low of 1.5% before unwinding a little towards the end of the quarter.
The South African economy has been and remains tied to the hip of the global economy. Hence the impact of slower global growth filtered through to South African markets and the currency. While a Chief Reorganisation Officer was finally appointed at Eskom during the quarter, visa restrictions were relaxed on several countries and President Ramaphosa announced his Economic Growth Advisory Council, progress on inducing a meaningful economic recovery has been slower than many expected. At the end of September, the President published his first weekly newsletter – over the coming months this may shed further light on the focus of Government. The South African Reserve Bank trimmed interest rates by 0.25% in the quarter as inflation remains well contained and growth anaemic.
The last quarter was a disappointing period for South African equity markets, as they fell 5%. This was a sharp underperformance compared to global equities and adding the weakness of the rand, which fell 7.5% against the mighty US dollar, showed South Africa out of favour. This was partially driven by poor company results as well as a lack of action from Government, which resulted in “Ramaphoria” turning to disappointment. We have taken a more balanced view and think there has been some progress, but also recognise that the next couple of months are critical. Continued inaction on state-owned enterprises and the Budget will result in a downgrade to junk status in the medium term. This is important for the fund’s positioning as we have a decent holding in South African bonds. These have been the best performing local asset class over the last year, delivering a return of 11.5%. In fact, they have even beaten offshore equity in rand terms, which delivered a return of 9.2% over the same period.
The Old Mutual Maximum Return Fund of Funds remains fairly diversified in its positioning, with roughly 50% invested offshore and 50% invested locally. It has 70% invested in growth assets, with the largest weight in global equity. We also have a reasonable exposure to some smaller capitalisation companies in South Africa which have underperformed materially and we think offer good value. As we mentioned last quarter, we increased this exposure through selling some local financials, which worked well in the short term. We see our 70% growth exposure as on the low side for an aggressive fund and reflects some caution on global equity markets. During the quarter, we lightened equity marginally and have a small cash buffer of around 13%, ready to reinvest on any weakness.
Performance over the 12 months has been a meagre 1.4%, dragged down by the fund’s investments in local equity, which fell by 2.4%. Over five years, the fund’s return has been 6.5%, a couple of percent better than local equity returns, but disappointing relative to global equity returns. Looking forward, we expect good real returns from local equity and bonds due to their cheap valuations. Global equity, the other major component of the portfolio, offers lower real returns but provides valuable diversification.
  • Fund focus and objective  
The fund aims to generate the maximum possible investment return over a long-term investment horizon.
The fund is suitable for investors requiring long-term growth and who appreciate the nature of this worldwide flexible fund of funds, and who are able to accept the return volatility likely to be associated with its objective of maximising returns.
The fund of funds invests primarily in a selection of Old Mutual Group collective investment scheme portfolios offering exposure to South African and international assets. While the primary focus is on shares, nothing prevents the fund manager from gaining exposure to bonds, listed property, cash or other asset classes in order to maximise longterm growth. There is no minimum or maximum that the fund must hold in South African or international assets. Derivatives may be used for efficient portfolio management purposes.
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