The fund invests in a flexible combination of investments in the equity, bond and money markets, both locally and abroad, aiming for positive real returns (comprising capital and income growth) over the medium to longer term.
The fund can be recommended to the client who has to comply with the instructions of Regulation 28 under the Law on Pension Funds. The fund is ideally suited to the cautious investor wanting to save for e.g. retirement. The fund is suited for any investor wanting to earn a real return.
Why Choose This Fund?
- The fund aims to smooth returns and reduce volatility and is thus an ideal investment for times of market instability.
- Capital protection is of primary importance. This makes it an ideal investment for the client who has a medium-term (or longer) investment in mind and who requires capital stability.
- The fund is recommended for use as a core fund when following a core/satellite approach, particularly for the more risk-averse client.
- The fund aims to outperform inflation (CPIX) by a margin of 4% (after annual service fee) over any rolling 3-year period, while also aiming to prevent any capital losses over any rolling 12- month period.
- This fund is only cognizant of its target return and not of any peer group.
Additional Fund Information
- The fund manager may borrow up to 10% of the market value of the portfolio to bridge insufficient liquidity.
- Fluctuations or movements in exchange rates may cause the value of underlying international investments to go up or down.
- The frequency of income distributions will change to bi-annually as from June 2005