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-0.13  /  -0.12%

105.49

NAV on 2019/11/14
NAV on 2019/11/13 105.62
52 week high on 2019/03/19 106.79
52 week low on 2019/05/28 98.97
Total Expense Ratio on 2019/09/30 0.83
Total Expense Ratio (performance fee) on 2019/09/30 0
NAV Incl Dividends
1 month change 1.17% 1.17%
3 month change 4.24% 4.24%
6 month change 6.14% 6.14%
1 year change 2.29% 10.13%
5 year change 0% 0%
10 year change 0% 0%
Price data is updated once a day.
  • Sectoral allocations
Derivatives 14.18 14.33%
Fixed Interest 25.16 25.43%
General Equity 21.22 21.45%
Gilts 11.53 11.65%
Liquid Assets -12.96 -13.10%
Money Market 3.67 3.71%
Other Sec 8.04 8.12%
Real Estate 12.76 12.90%
Offshore 15.33 15.49%
  • Top five holdings
LOCALUNITTEQT 19.62 19.83%
U-PFLEXFI 14.34 14.49%
DERIVATIV 12.98 13.13%
U-PSCPROP 12.76 12.9%
U-PRESCMM 6.01 6.07%
  • Performance against peers
  • Fund data  
Management company:
Prescient Management Company Ltd. (PIM)
Formation date:
2017/07/04
ISIN code:
ZAE000246781
Short name:
U-PABSDEF
Risk:
Unknown
Sector:
South African--Multi Asset--Low Equity
Benchmark:
Consumer Price Index (CPI) + 4% p.a. before fees.
Contact details

Email
info@prescient.co.za

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

Telephone
+27-21-700-3600

  • Fund management  
Raphael Nkomo
Prescient Balanced Team


  • Fund manager's comment

Prescient Absolute Defensive comment - Sep 19

2019/10/17 00:00:00
The wave of global central bank policy easing remained intact over the month of September. The US Federal Reserve (Fed) cut the Fed Fund rate by a quarter of a percentage point as markets expected, while the European Central Bank (ECB) delivered a package of easing measures, including a 10 basis point deposit rate cut and 'open-ended' quantitative easing. Indeed, the downturn in global PMI's had monetary policymakers scurrying in a bid to arrest the downward trend.
Separately, supply/demand imbalances in the US repo market led to a spike in the overnight rate (to 8% - 10%) on the 17th of September. Market pundits posit that several technical factors may have affected short-term rates, such as the deadline for quarterly corporate tax payments coinciding with the settlement date for a Treasury auction, resulting in an estimated decrease of $100 billion in cash available for short-term financing. As such, the Fed responded by injecting liquidity into fed funds market to the tune of $128 billion over two days in a bid to calm the market down.
Geopolitically, the Sino-US trade tensions continued to dominate headlines and Iran has been accused of being behind the attacks on two major oil facilities in Saudi Arabia. The latter triggered a 14% rally in the Brent crude price before it receded back to pre-strike levels as the US pledged to release strategic oil reserves to alleviate supply-side pressures.
On the local front, members of the South African Reserve Bank's Monetary Policy Committee (MPC) unanimously left the repo rate unchanged even though local inflation dynamics remain benign. SA's deteriorating fiscus appears to be limiting the MPC's appetite for lowering borrowing costs as SA needs to maintain healthy interest rate differentials to attract the capital needed to fund a wider budget deficit. Moreover, National Treasury announced that the medium-term budget policy statement has been delayed by a week – leading to speculations that the parties involved in the budget process are finding it difficult to reach consensus on the most appropriate fiscal programming given the numerous factors that continue to put the sovereign balance sheet under strain.
Contributors to performance: Preference shares delivered the strongest performance amongst the asset classes, while local equities, bonds and property were marginally higher over the month of September.
Detractors from performance: The rand ended the month a touch stronger, which resulted in marginal performance detraction from the Fund's offshore allocation.
  • Fund focus and objective  
The Prescient Absolute Defensive Fund will aim to provide a high and stable income yield and long-term capital growth over time. In order to achieve this objective the fund will invest in a diversified range of local and foreign asset classes as permitted by legislation. These assets include, but not limited to, equities, fixed income, money market instruments, debentures, instruments based on the value of any precious metal, property, preference shares, bonds, currencies and listed and unlisted financial instruments in line with the conditions as determined by legislation from time to time. The asset allocation will be managed actively with the equity allocation managed at lower levels with a maximum effective equity exposure of up to 40% and a maximum effective property exposure of up to 25%. The Fund will seek to capture value opportunities by switching between asset classes and also focus on equity and fixed income selection opportunities. The fund will predominately invest in South African markets, but is however permitted to include investments in offshore jurisdictions subject to the investment conditions determined by legislation from time to time.
The fund will be subject to the Prudential Investment Guidelines for South African Retirement Funds, being Regulation 28 of the Pension Funds Act, or such other legislation published from time to time. The fund may apart from assets in liquid form also include participatory interests or any other form of participation in portfolios of collective investment schemes or other similar schemes. Where the aforementioned schemes are operated in territories other than in South Africa, participatory interests or any other form of participation in these schemes will be included in the portfolio only where the regulatory environment is to the satisfaction of the manager and trustee and is of a sufficient standard to provide investor protection at least equivalent to that in South Africa.
Nothing in the supplemental deed shall preclude the manager from varying the ratios of securities, to maximise capital growth and investment potential in changing economic environments or market conditions or to meet the requirements, if applicable, of any exchange formally recognised in terms of legislation and from retaining cash or placing cash on deposit in terms of the Deed and any Supplemental Deeds thereto; provided that the manager shall ensure that the aggregate value of the assets comprising the portfolio shall consist of securities of the aggregate value required from time to time by the Act. The Trustee shall ensure that the investment policy set out in this supplemental deed, the Deed and in all Supplemental Deeds thereto is carried out. For the purpose of this portfolio, the manager in consultation with the Investment 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.
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