NAV on 2019/09/16
|NAV on 2019/09/13
|52 week high on 2018/09/17
|52 week low on 2019/01/04
|Total Expense Ratio on 2019/03/31
|Total Expense Ratio (performance fee) on 2019/03/31
Old Mutual Unit Trust Managers (RF) (Pty) Ltd.
85% Customised SA Shari’ah Equity Index & 15% S&P Developed Markets Large and Mid-Cap Shari’ah Index
Saliegh has 21 years of financial market experience encompassing the entire investment value chain, including dealing, equity analysis, portfolio management and leadership.
Saliegh is responsible for driving performance of the Shari’ah funds and specialist equity (managed volatility and managed alpha) funds. He has been the lead fund manager and champion of Shari’ah products (equity and multi-asset) since 2007. In addition, Saliegh is also the lead fund manager on Old Mutual High Yield Opportunity Fund (managed volatility) and co-fund manager on managed alpha funds. Saliegh is the liaison for the Shari’ah board and Shari’ah product partners. Saliegh is a member of the boutique’s Exco and Sales committee.
Grant has 22 years of financial market experience encompassing managing currency, derivative, hedge fund and multi-asset class portfolios. Grant began his career in the currency markets, trading currency derivatives on a proprietary basis for one of the large South African banks. Grant is a qualified stock broker and was a founder member of the team that set up one of the first hedge funds in South Africa in 1997. He joined Futuregrowth Asset Management in 2004, heading up their Alternative Investments business. Futuregrowth was acquired by Old Mutual Investment Group in 2008.
Grant is the Joint Boutique Head of Customised Solutions. This boutique has assets under management in excess of R100 billion. These assets comprise local and global investments across the investment spectrum. Grant is involved in driving the boutique investment process, developing and implementing the boutique strategy and managing various portfolios across the hedge fund, general equity, specialist equity and multi-asset class range.
Warren was appointed as a quantitative analyst in 1998 and participated in quantitative research and building quantitative models. He worked closely with Old Mutual Investment Group’s chief asset allocation strategist. Warren then joined the Quantitative and Risk Unit when it was formed. He was responsible for investment risk management and his duties included building quantitative models at a security level, risk management and quantitative research of all Old Mutual Investment Group’s clients/products.
Warren is responsible for constructing and managing portfolios. In addition to these responsibilities, he is accountable for quantitative research, which is paramount to the success of the boutique’s strategies.
OM Albaraka Equity comment - Jun 19
Markets responded negatively to a State of the Nation Address that was big on goals but short on action plans and we now have an increasingly likely rate cut by the South African Reserve Bank (SARB) in the third quarter. Globally, the US-China trade saga took another hopeful turn and the markets are optimistic that talks will eventually lead to a deal by year-end. Markets saw a risk on sentiment regarding an expansionary European Central Bank and priced in a dovish US Federal Reserve rate cut in July and another in Q4.
The FTSE/JSE All Share (ALSI) was up by 3.92% over the quarter ending June 2019. Large, midand small caps returned +4.61%, +1.45% and +1.84% respectively for June 2019. The sectors that contributed positively in the ALSI for the quarter were telecommunications and consumer goods, returning 18.65% and 5.63% respectively. The worst performing sectors for the quarter, down by -8.26% and -2.02% respectively, were healthcare and industrials. The local currency strengthened against the greenback by 2.72%, by 5.37% against the sterling and 1.44% against the euro for the quarter ending June 2019. In this context, the fund returned +2.22% for June 2019.
The fund’s current positioning from an offshore allocation perspective is at approximately 25%, providing investors with significant diversification and investment opportunity benefits. In addition, the fund’s valuation, sentiment and risk indicators are all attractive compared to its benchmark.
Our strategy seeks to achieve a greater return and less volatility than the market over a long-term horizon. The fund has high exposure to international equities, allowing the fund to achieve greater diversification and consequently a reduction in volatility. The strengthening of the rand detracted from performance of the portfolio.
Through time, equity has achieved greater returns than the other asset classes. Our high exposure to equities benefits from this and, similarly, within equities we are positioned to achieve lower volatility when compared to the fund’s benchmark.
The Old Mutual Albaraka Equity Fund is a Shari'ah compliant fund which provides investors with cost-effective access to a broad spectrum of JSE listed investments.
The Fund is strictly managed in accordance with Shari'ah Law and therefore does not invest in shares that have an association with alcohol, gambling, non-halaal foodstuffs or interest-bearing instruments. The Shari'ah Supervisory Board assists in ethical issues and ensures that investments meet the stringent considerations of the mandate.
The Fund is exposed to the movements and sensitivities of the equity market. The Fund also assumes mandate risk as its mandate precludes investments in non-Shari'ah compliant shares including financial shares and interest-bearing instruments.