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0.02  /  0.02%

86.31

NAV on 2019/01/18
NAV on 2019/01/17 86.294
52 week high on 2018/04/30 86.6993
52 week low on 2018/02/01 85.9673
Total Expense Ratio on 2018/09/30 0.85
Total Expense Ratio (performance fee) on 2018/09/30 0
NAV Incl Dividends
1 month change 0% 0.64%
3 month change -0.08% 1.88%
6 month change -0.07% 3.76%
1 year change 0.05% 7.81%
5 year change -0.16% 7.57%
10 year change -0.2% 7.18%
Price data is updated once a day.
  • Sectoral allocations
Fixed Interest 555.69 5.04%
Gilts 6942.52 62.91%
Liquid Assets 197.69 1.79%
Money Market 3339.23 30.26%
  • Top five holdings
U-SBKIMM 555.69 5.04%
MM-07MONTH 453.88 4.11%
MM-09MONTH 403.02 3.65%
MM-05MONTH 384.06 3.48%
MM-04MONTH 328.29 2.98%
  • Performance against peers
  • Fund data  
Management company:
STANLIB Collective Investments (RF) Limited
Formation date:
1978/11/28
ISIN code:
ZAE000021572
Short name:
U-SLEINCR
Risk:
Unknown
Sector:
South African--Interest Bearing--Short Term
Benchmark:
STeFI Composite index
Contact details

Email
contact@stanlib.com

Website
http://www.stanlib.com

Telephone
011-448-6000

  • Fund management  
Mary Hartigan
Mary trained as a money market dealer at CM Interbank in 1989 before moving to Brait, Decillion and Grindrod Bank. She joined STANLIB’s institutional sales desk in 2008 before moving over to the dealing room as a
money market dealer and assistant portfolio manager.


  • Fund manager's comment

STANLIB Extra Income Fund - Sep18

2019/01/03 00:00:00
Fund review
For the quarter under review the Stanlib Extra Income fund increased in size by R1.3bn to R11 billion.Floating rate notes were bought with the inflow of funds. As at the end of September the modified duration of the fund was 0.12years. The volatility in the markets which came as a result of emerging market jitters left investors to seek diversification into income funds. The Fund’s returns remain attractive compared to money market returns due to high yield assets in the portfolio. With currency volatility increasing the risk of an interest rate hike in future, the Fund stands to gain given that it holds floating rate notes.
Market overview
Emerging market currencies and assets continued to sell off in the third quarter amid a stronger US dollar environment as trade and geopolitical tensions heightened, monetary conditions continued to tighten and global inflation expectations accelerated. Risk aversion due to US sanctions on Turkey and Russia and the debt crisis in Argentina contributed to the rand weakening by 3% against the US dollar, with bonds following suit as foreign investors sold R16bn of South African government bonds in the quarter. The US Fed raised interest rates by 25bps in September as widely expected, and indicated that they are planning on raising rates once more this year and three more times in 2019 as growth remains robust and inflation continues to increase.
Local GDP surprised by contracting again in the second quarter, tipping the economy into a technical recession and sparking fears of a possible ratings downgrade by Moody’s on the 12th of October. Longer dated bonds sold off as a result, as markets were pricing in a higher probability of an increase in government bond issuance as tax revenue was likely to come under pressure. The spread between the 30 year maturity bond and the 10 year maturity bond increased by 10 basis points to end the quarter at 93 basis points, reflecting these risks. Headline Inflation increased from 4.4% to 4.9% in August due to higher fuel prices and higher VAT but core inflation remains subdued as the economic activity remains subdued. The Reserve Bank as a result left interest rates unchanged leaving the markets pricing in higher probabilities of an interest rate hike at their November meeting should the current negative environment persist.
Looking ahead
The fourth quarter comes with a number of event risks with possible significant impact on returns. The three major rating agencies will give their rating updates on South Africa; with the Moody’s decision the most important one as a downgrade from them would result with major outflows due to South Africa being excluded from the World Government Bond Index. In September the government tabled measures to stimulate economic growth, details of which will be shared in the Medium Term Budget Policy Statement in late October. The stimulus package was well received by the markets and the details in the budget will be assessed for the impact on National Treasury’s debt consolidation plans. The Land Reform Committee is also expected to report back to parliament on its recommendations, which can have material impact on markets. Internationally, elections in Brazil in October and in the US in November will also be watched with keen interest as they can influence the risk environment. The commentary gives the views of the portfolio manager at the time of writing. Any forecasts or commentary included in this document are not guaranteed to occur.
  • Fund focus and objective  
The STANLIB EXTRA INCOME FUND will invest its assets in South African markets at all times and will be permitted to invest in a flexible mix of non-equity securities, including but not limited to money market instruments, bonds, fixed deposits, listed debentures and other high yielding securities, as well as any other securities which may be approved by the Registrar from time to time and which are consistent with the investment policy of the portfolio, to the maximum levels permitted by the Collective Investment Schemes Control Act, No. 45 of 2002, and the Regulations thereto, as amended from time to time. In respect of the flexible nature of this portfolio, the portfolio may thus be fully invested in any of the above-mentioned asset classes at any particular time, while complying with the maximum weighted average modified duration of 2 years of the portfolio.
The portfolio will be managed in compliance with the Prudential Investment Guidelines that are applicable to retirement funds from time to time.Nothing contained in this supplemental deed shall preclude the manager from varying the ratios of securities to best position the portfolio to achieve its objective in a changing economic environment or market conditions or to meet the requirements, if applicable, of any exchange recognised in terms of the Act and from retaining cash or placing cash on deposit in terms of the deed and any supplemental deeds.The STANLIB EXTRA INCOME FUND may from time to time invest in financial instruments, in accordance with the provisions of the Collective Investment Schemes Control Act, No. 45 of 2002, and the Regulations thereto, as amended from time to time, in order to achieve the portfolio's investment objective.The STANLIB EXTRA INCOME FUND will be permitted to invest its assets in foreign investment markets.
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.'
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