We believe that the benchmark choice and resulting returns form the most important elements of an equity strategy - by investing in a passive vehicle the returns to investment strategies are known. By applying a full replication strategy there is no risk of deviation from the chosen benchmark.
Illustrative Annualised Investment Performance
Minimum Disclosure Document (Fund Fact Sheet)
Source of graph : Morningstar
This graph illustrates how an investment of R100 would have grown had you invested in 2010 until 2016. Like everything in life, all investments can change and come with some degree of risk. That’s why we need this disclaimer, to tell you that past performances are not necessarily a guide to future performances, and that the value of investments/units/unit trusts may go down as well as up. The performance shown in the table above is a graphical representation of your selection (of the benchmark’s past performance of the fund you selected) – including your investment objective, risk profile and fund choice – and is based on the past performance of the fund in relation to your investment. This performance is indicative and not guaranteed. The graph is for illustrative purposes only and investment performance is calculated by taking into account initial fees and all ongoing fees that you have to pay and the income reinvested on the reinvestment date. The actual fund performance can be viewed on the Minimum Disclosure Document. The Manager has the right to close the portfolio to new investors in order to manage it more efficiently in accordance with its mandate
View, print and complete the form of your choice.
Email or fax the completed form to UTinstructions@sanlaminvestmentssupport.com or 0860 724 467
Chief Executive Officer – Satrix
With a CFA and multiple degrees in Maths and Applied Maths, Helena clearly knows numbers. She started in a small start-up investment team, cut her teeth as a statistical research officer at Sanlam Life and also worked on the creation of Sanlam’s linked-product company, now known as Glacier. Since rejoining Sanlam Investment Management in 2000, Helena has built up a smart-thinking team that manages the largest equity portfolio of exchange traded funds (ETFs) in South Africa. They also have more than R30 billion in assets under management. That's quite a number.
Advice fee | Any advice fee is negotiable between the client and their financial advisor. An annual
advice fee negotiated is paid via a repurchase of units from the investor.
The portfolio manager may borrow up to 10% of the market value of the portfolio to bridge
insufficient liquidity. This fund is also available via certain LISPS (Linked Investment Service
Providers), which levy their own fees.
Total Expense Ratio (TER) | The Total Expense Ratio (TER) is the charges incurred by the
portfolio, for the payment of services rendered in the administration of the CIS. The TER is
expressed as a percentage of the daily NAV of the CIS and calculated over a period of 3 years on
an annualised basis. The TER is calculated from 01 April 2013 to 31 March 2016. A higher TER
does not imply a poor return nor does a low TER imply a good return.
The Transaction Cost (TC) is the cost incurred by the portfolio in the buying and selling of
underlying assets. This is expressed as a percentage of the daily NAV of the CIS and calculated
over a period of 3 years on an annualised basis.
Traditionally, investment advice come with a fee of up to 1%. But our smart online system is working to make investing cheaper and more profitable for you. The management fee you do pay is based on the fund selected and calculated on your total contributions, and then applied to the overall value of your portfolio.
YOUR INVESTMENT WILL NOT CHARGE THE FOLLOWING FEES
SO YOU’RE ONLY CHARGED THE RELEVANT FUND-MANAGEMENT FEE
Satrix, pioneers in the passive management space are now fully owned by Sanlam. It was the first to market with a passive solution and recently launched SA’s first smart beta multi-asset fund. The Satrix range is Sanlam’s answer to the growing demand for low-cost investments with a predictable index-linked outcome.
Sanlam Collective Investments (RF) (Pty) Ltd and Satrix Managers (RF) (Pty) Ltd, a registered and approved Manager in Collective Investment Schemes in Securities. Collective investment schemes are generally medium- to long-term investments. Past performance is not necessarily a guide to future performance, and that the value of investments / units / unit trusts may go down as well as up.
A schedule of fees and charges and maximum commissions is available from the Manager on request. Collective investments are traded at ruling prices and can engage in borrowing and scrip lending. The Manager does not provide any guarantee either with respect to the capital or the return of a portfolio.
Annualised Total Returns
Annualised return is the weighted average compound growth rate over the period measured.
The UK vote to leave the EU surprised almost everyone, especially market
participants and it left unprecedented uncertainty about future economic and political
relations between the UK and the EU. From a US perspective, the market sell-off
has been large but orderly.
The short-term Brexit issues seemed to wash out of markets during the last few
days of June with almost all global market indices recovering to pre-Brexit levels,
largely on the back of hints from both the Bank of England and the European
Central Bank that stimulus may again be on the cards if required. That being said,
longer-term trade policy and UK political leadership issues will still be a concern for
a long time to come. Whereas spot prices have stabilized, there appears to be little
conviction amongst financial market participants about the course of exchange rates
and asset prices going forward. Interestingly, gold also remained high despite
sentiment shifting back towards risk-on. Maybe the market is trying to tell investors
In terms of central bank policy, there is now a growing belief that, in light of the
recent global uncertainty, the Fed might keep interest rates unchanged this year.
This renewed belief in easy money - as well as lower yield in the US - has also led
to some renewed interest from international investors in emerging markets.
In local markets, the trade surplus for May came in significantly higher than
expected at R18.7 billion, giving further impetus to an already strengthening rand.
Being one of the most volatile emerging market (EM) currencies, the rand was the
second best EM performer in June against the dollar, gaining 6.7% over the month.
Given this currency improvement, somewhat stronger economic data, the fact that
credit agencies left SA’s credit rating unchanged and a recent inflation reading
coming in lower than expected, investors will be eager to see whether the MPC
decides to halt its rates upcycle, for now.
In South Africa the FTSE/JSE All Share Index (ALSI) still managed to end the
quarter up about 0.44%, despite all the volatility and the very poor performance from
the basket of SA corporates, with exposure to UK earnings - namely INTU
Properties, Capital and Counties, Redefine, Brait, Investec and Netcare, to name
just a few. During the quarter we saw strong performances from Resources (+6.4%),
whilst Industrials also managed a positive return of 0.5% and Financials returned a
very weak -4.3%.
South Africa also saw significant inflows into equities (R58bn) during the month of
June, reversing year-to-date numbers to a positive figure of around R20 billion.
After the very strong return of the FTSE/JSE Dividend Plus Index of about 18%
during the first quarter, there was definitely some profit taking over the last three
months where the index managed a more disappointing return of -1.8%,
underperforming the All Share return by close to 2%. For the year to date the plus
15% return should still go some way in restoring the confidence in the payoff profile
of the yield factor. The performance difference, relative to the market, was mainly due to the higher
exposure to Financials (all high-yielding shares), which were seriously affected by
the Brexit event in late June. The Financials index lost more than 4% over the last
three months. Although Gold shares performed well, the Dividend Plus Index only
had exposure to Sibanye Gold, which managed a return of -11% against that of the
Gold index of plus 16%. The overweight positions in PPC, Nampak and the
underweight exposure to BHP Billiton destroyed some further value. This
underperformance was somewhat negated by overweight positions in Telkom and
Southern Sun Holdings.
The Dividend Plus Index only get reviewed twice a year in March and September.
The forward dividend yield of the index is currently around 5.5%.
Your fund managed to perform in line with its benchmark.
Market sentiment remains tentative and small catalysts could be very disruptive in
future. Uncertainty can induce a significant drag on economic growth. The Brexit
vote amplifies uncertainty with unprecedented economic and political considerations
whose impact on global economic activity is difficult to discern.