The information on the Adviser and Institutional areas of this site have been tailored for investment professionals. Appropriate product, fund and service information
for private investors can be accessed on the Personal area of our site. Terms & conditions.
This fund may invest in any listed share, but focuses on financially sound companies which offer exceptional value. This portfolio may invest in derivatives for efficient portfolio management. This portfolio may also invest in participatory interests of underlying unit trust portfolios.
Illustrative Cumulative Growth of an investment of R100
Minimum Disclosure Document (Fund Fact Sheet)
Performance Fees FAQ
Source of graph : Morningstar Direct
This graph illustrates how an investment of R100 would have grown had you invested for the time period displayed. 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 by this graph happened in the past and is not guaranteed. The performance is calculated by taking into account initial and ongoing fund manager fees and assumes that you reinvested all the income earned by the fund over this period.
The other line on the graph is for the performance of the designated benchmark of the fund – normally either an index or other funds in the industry that are comparable to the fund you’ve chosen.
The Manager has the right to close the portfolio to new investors in order to manage it more efficiently in accordance with its mandate. The actual fund performance can be viewed on the Minimum Disclosure Document. Annualised return is the weighted average compound growth rate over the period measured.
Portfolio Manager - B.Com (Hons); CFA
Claude began his career in 1993 when he worked for Karlein Investments (a private client investment company). He first joined Sanlam Asset Management in 1994 as an equity analyst. After five and a half years of service he worked as an analyst and portfolio manager with Gryphon Asset Management, where he was responsible for running unit trusts and pension fund portfolios, as well as retaining research responsibilities. He returned to SIM in 2002, where he became the Head of Equities and also successfully ran the Sanlam Investment Management General Equity unit trust for five years from January 2006, achieving consistent top-quartile performance for each of the five years during which the fund was under his management. Before that, he ran the SIM Industrial Fund, which achieved S&P and a Raging Bull award. Claude co-founded SIM Unconstrained Capital Partners with Ricco Friedrich in 2011.
Retail Class (%)
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. Fluctuations or movements in exchange rates may cause
the value of underlying international investments to go up or own.
Total Expense Ratio (TER) | PERIOD: 01 January 2015 to 31 December 2017
Total Expense Ratio (TER) | 1.76% of the value of the Financial Product was incurred as expenses
relating to the administration of the Financial Product. A higher TER does not necessarily imply a
poor return, nor does a low TER imply a good return. The current TER may not necessarily be an
accurate indication of future TER’s. Inclusive of the TER of 1.76%, a performance fee of 0.18% of
the net asset value of the class of participatory interest of the portfolio was recovered.
Transaction Cost (TC) | 0.28% of the value of the Financial Product was incurred as costs relating
to the buying and selling of the assets underlying the Financial Product.
Transaction Costs are a necessary cost in administering the Financial Product and impacts
Financial Product returns. It should not be considered in isolation as returns may be impacted by
many other factors over time including market returns, the type of Financial Product, the
investment decisions of the investment manager and the TER.
Total Investment Charges (TER + TC) | 2.04% of the value of the Financial Product was incurred
as costs relating to the investment of the Financial Product.
Manager Performance Fee (incl. VAT) | Performance Fee Benchmark: FTSE/JSE All Share Index,
Base Fee: 1.53%, Fee at Benchmark: 1.53%, Fee hurdle: FTSE/JSE All Share Index, Sharing
ratio: 20%, Minimum fee: 1.53%, Maximum fee: 3.42%, Fee example: 1.53% p.a. if the fund
performs in line with its Performance Fee benchmark being FTSE/JSE All Share Index.
The performance fee is accrued daily, based on performance over a rolling one year period with
payment to the manager being made monthly. Performance fees will only be charged once the
performance fee benchmark is outperformed and only if the fund performance is positive. A copy
of the Performance fee Frequently Asked Questions can be obtained from our website: www.sanlamunittrusts.co.za.
Our smart online system is working to make investing more profitable for you. The management fee you 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
Sanlam Investment Management (SIM) is the local active asset management house within Sanlam Investments. When choosing a fund managed by us, you have on your side one of SA’s largest and most reputable, risk conscious investment teams, consistently meeting or exceeding our benchmarks. Sanlam Collective Investments has appointed SIM as the asset manager for its unit trust funds, catering for the full spectrum of risk profiles.
After the euphoric end to the markets in 2017, the first quarter of 2018 was the worst
quarter in over eight years. The biggest contributors to the 6% fall in the FTSE/JSE
All Share Index were Naspers (-16%), British American Tobacco (-15%) and Reinet
Continued strength in the currency also impacted the rand basket prices for both
platinum and gold producers resulting in these sectors falling 21% and 13%
respectively. The contagion from the Resilient group of real estate companies did
not help the real estate indices, which underperformed the market. The strong
momentum of SA Inc. stocks continued in the first quarter with strong performances
from general retailers (+9%), automobiles and parts (+7%), construction and
materials (+6%) and banks (+4.2%).
The fund materially outperformed its benchmark in the first quarter. Big contributors
to the outperformance came from our investments in Hudaco (+16.5%), AECI
(+15.5%), Anglo American (+10.5%) and Shoprite (+15%). Stocks which detracted
from performance were Northam (-30%), Reinet (-16%) and Capital & Counties (-
We have seen a number of positive developments since the ANC elective
conference in December 2017, which bodes well for improving consumer and
investor confidence. This has supported Moody’s maintaining South Africa’s
investment-grade rating (with a stable outlook). In addition, the 25-basis point cut in
interest rates will help offset the negative impact of a higher VAT rate and higher
petrol prices on consumers.
There is certainly light at the end of the tunnel, we are just not sure how long the
tunnel is. Share prices have reacted sharply to a potential economic recovery and
while GDP growth forecasts have been revised upwards we should not be naïve to
the structural reform challenges required to get South Africa back on a sustainable,
long-term growth path. There is much to look forward to when one looks at other
countries such as India and Brazil, which recently went through positive regime
changes. These countries experienced P/E multiple expansion which, together with
a recovery in corporate profits, provided strong tailwinds for equity returns.
We are well positioned to benefit from an improving outlook with significant
exposure to underpriced domestic cyclical and smaller-cap stocks. Because value
does well in environments where growth is abundant, we think that the recovery in
value currently represents the best contrarian trade in the market. This is supported
by the extremely attractive discount at which value trades. The P/E discount of the
MSCI South Africa Value Index versus the MSCI South Africa Growth Index is the
widest it’s been in over 20 years.