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Southern Charter BCI Worldwide Flexible FoF as at 31 May 2016Minimum Disclosure Document - Date of issue 25 June 2016 page 1|2
Risk profile
Low Low-Mod Mod Mod-High High
Portfolio manager
Ursula Maritz / Mark Thompson
First Floor, Silverberg Terrace
Steenberg Office Park
Steenberg Road
TOKAI, 7945
Authorised Financial Services Provider
FSP No. 740
Contact: Mark Thompson / Ursula MaritzTelephone: (021) 7001000Web: http://www.southerncharter.co.za
Portfolio details
Sector: Worldwide Multi Asset FlexibleLaunch date: 01 October 2013Size of fund: R79.0 MBenchmark: CPI+5% p.a.
Minimum investment
R10 000 Lump sum or R1000 monthly debit order.
Income distribution
Income distribution 2015: 0.52 centsIncome distribution 2016: 0.33 centsDeclaration date 29 Feb, 31 AugPayment date 2nd working day of March /SeptemberValuation time 08h00 (T + 1)Transaction time 14H00
Total Expense Ratio (TER)
Total Expense Ratio (Including VAT) 2.78%Performance fee included in TER 0.16%Portfolio Transaction Cost 0.11%Total Investment Charge (TER + TC) 2.89%
A higher TER ratio does not necessarily imply a poor
return, nor does a low TER imply a good return. The
current TER cannot be regarded as an indication of
future TERs. Transaction Costs are a necessary cost in
administering the Fund and impacts Fund 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 Fund, the investment
decisions of the investment manager and the TER. The
TER and Transaction cost is calculated for the 3 year
period / since inception (annualised) ending 31 March
2016.
Fees incl VAT
Manager's upfront charge (max) 0.00%FSP upfront commission (max) 0.00%Annual management fee 1.14%
Performance fee
15% of excess performance above benchmark,
calculated over a 2 year rolling period, capped at a
maximum of 1.5% p.a. ex VAT.
Investment objectiveThe Southern Charter BCI Worldwide Flexible Fund of Funds primary objective is to generate moderateto high long term total returns. The fund aims to provide investors with capital growth of 5 % aboveinflation over a 2 year rolling period, by investing in a combination of asset classes including local andinternational equities, fixed interest, property and cash. The manager shall have maximum flexibility interms of asset allocation and shall not be precluded from continually varying the underlying exposureto both local and offshore assets such as equities, non-equity securities, bonds, preference shares,property, fixed interest and money market portfolios and assets in liquid form. This fund is NOTRegulation 28 compliant and therefore will reflect our best unconstrained asset allocation strategy. It isideal for investors with discretionary funds and who are willing to have a high exposure to offshoreassets.
StrategyThe Fund is actively managed and reflects our best unconstrained asset allocation strategy.
Fund Performance (net of all fees)
Fund Return 1 Year Since Inception
SC Flexible FoF's Cumulative 11.4% 41.2%
CPI + 5% Cumulative 11.5% 32.4%
SC Flexible FoF's Annualised 11.4% 13.8%
CPI + 5% Annualised 11.5% 11.1%
Highest and Lowest Monthly Figures per Calendar Year
Year 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006
High 5.60% 1.98% 2.88 - - - - - - -
Low -2.03% -0.51% 0.54 - - - - - - -
R145K
R141K
Fund Average Fund
Ince
ptio
n
Sep
13
Oct
13
Nov
13
Dec
13
Jan
14
Feb
14
Mar
14
Apr
14
May
14
Jun
14
Jul 1
4
Aug
14
Sep
14
Oct
14
Nov
14
Dec
14
Jan
15
Feb
15
Mar
15
Apr
15
May
15
Jun
15
Jul 1
5
Aug
15
Sep
15
Oct
15
Nov
15
Dec
15
Jan
16
Feb
16
Mar
16
Apr
16
May
16
95K
100K
105K
110K
115K
120K
125K
130K
135K
140K
145K
Fund CommentarySARB held its rates steady at its May meeting to favour growth fundamentals as opposed to inflationdynamics. Global risk aversion and renewed fears of a downgrade were among the factors driving therand lower against major currencies. The rand depreciated by 10.4% vs the USD in May, which led torand hedges outperforming significantly, as BAT, SABMiller and Naspers soared +11.3%, +12.8% and+18.4% respectively. Hence the ALSI gained +1.8%, although gains were not across the board asthe resources index fell -3.8%, tracking commodity prices lower, whilst financial shares followed therand and bond yields lower, losing -2.0%, banks were down -4.0% on fears of a downgrade andhigher borrowing costs.
The SA 10-year yield jumped from 8.96% at the end of the previous month to 9.37% the end of May.As a result, the ALBI rendered a -1.5% return for the month. South African markets have seen capitaloutflows in both equity- and bond markets for May, to the tune of R17.2 bn and R10.1 bnrespectively. However on an YTD basis, bond inflows amount to R24.7 bn, with equity outflows atR60.2 bn.
The global growth recovery remains fragile and inflation out of sight, which should cap developedmarket bond yields, especially as inflation pressures remain subdued. Continued uncertaintyregarding the Chinese economy remains a risk, especially for commodity producers like South Africa.
Southern Charter BCI Worldwide Flexible FoF as at 31 May 2016 page 2|2
Risk profile
Low Low-Mod Mod Mod-High High
Medium | Medium-High Risk
These portfolio's generally hold more equity exposure
than low risk portfolio's but less than high risk
portfolios. In turn the expected volatility is higher than
low risk portfolios, but less than high risk portfolios.
The probability of losses are higher than that of the low
risk portfolios, but less than high risk portfolios.
Expected potential long term investment returns could
therefore be lower than high risk portfolios due to lower
equity exposure, but higher than low risk portfolios.
FAIS Disclosure
Please note that your financial advisor may be a related
party to the conaming partner and/or BCI. It is your
financial advisor's responsibility to disclose all fees
he/she receives from any related party. The portfolio's
TER includes all fees paid by portfolio to BCI, the
trustees, the auditors, banks, the co-naming partner,
underlying portfolios, and any other investment
consultants/managers as well as distribution fees and
LISP rebates, if applicable. The portfolio's performance
numbers are calculated net of the TER expenses. The
investment manager earns a portion of the service
charge and performance fees where applicable. In some
instance portfolios invest in other portfolios which forms
part of the BCI Schemes. These investments will be
detailed in this document, as applicable.
JSE Code
Southern Charter BCI Flexible Fund of Funds: SCMCA
ISIN Code
Southern Charter BCI Flexible Fund of Funds:
ZAE000182911
Bloomberg Code
SOCMWFA: SJ
Full details and basis of the award is available from the
company
Asset Allocation
Fund Benchmark *
27.5%
7.7%
1.5%
4.3%
1.9%
8.1%
45.6%
3.4%
52.5%
9.0%
13.5%
0.0%
0.0%
0.0%
15.0%
10.0%
Local Equity
Property
Bonds
Cash
Int Cash
Int Property
Int Equity
Int Fixed Income
0 % 10 % 20 % 30 % 40 % 50 % 60 %
Asset Class Performance
Monthly 1 Year
1.8%
-3.5%
-1.5%
0.6%
10.9%
11.6%
9.1%
6.3%
9.4%
1.0%
6.8%
32.1%
24.9%
36.2%
ALSI
Property
Bonds
Cash
Global Property
MSCI World
Global Bonds
0% 10% 20% 30%
Manager Selection
1.1%8.1%
2.7%
6.2%
2.8%
1.7%
13.3%
6.3%
17.4%
9.5%
13.1%
3.8%
6.3%
7.7%
Atlantic Stable Income - 1.1%Catalyst Global Property - 8.1%Coronation Global Strategic USD Inc FF - 2.7%DBX Euro 50 - 6.2%DB X-TRACKER MSCI JAPAN - 2.8%Money Market - 1.7%Foord Equity - 13.3%Foord Int Feeder Fund - 6.3%Nedgroup Global Equity - 17.4%Nedgroup Mining & Resource - 9.5%Investec Worldwide Equity - 13.1%Prescient Income Provider - 3.8%Prudential Dividend Maximiser - 6.3%Prudential Property Tracker - 7.7%
Top 10 Equity Holdings
Holding Fund Weight Holding Fund Weight
Sasol 3.29% Steinhoff 1.51%
Billiton 2.47% SAB 1.47%
BAT 2.31% Anglos 1.47%
Naspers 1.77% Mondi Plc 1.36%
Comcast 1.66% First Rand 1.29%
Additional information●Additional information, including application forms, annual or quarterly reports can be obtained from BCI, free of charge or can be accessed on ourwebsite www.bcis.co.za●Valuation takes place daily and prices can be viewed on our website (www.bcis.co.za) or in the daily newspaper.●Actual annual performance figures are available to existing investors on request.●Upon request the Manager will provide the investor with portfolio quarterly investment holdings reports.
Custodian: The Standard Bank of South Africa Limited: Tel (021) 441-4100. Boutique Collective Investments (RF) (Pty) Limited, Catnia Building,Bella Rosa Village, Bella Rosa Street, Bellville, 7530. Tel: 021 007 1500/1/2 | Fax: 086 502 5319 | Email: [email protected]|www.bcis.co.za. Registration No 2003/024082/07.Boutique Collective Investments (RF) (Pty) Ltd ("BCI") is a registered Manager of the Boutique Collective Investments Scheme, approved in terms ofthe Collective Investments Schemes Control Act, No 45 of 2002 and is a full member of the Association for Savings and Investment SA. CollectiveInvestment Schemes in securities are generally medium to long term investments. The value of participatory interests may go up or down and pastperformance is not necessarily an indication of future performance. The Manager does not guarantee the capital or the return of a portfolio.Collective Investments are traded at ruling prices and can engage in borrowing and scrip lending. A schedule of fees, charges and maximumcommissions is available on request. BCI reserves the right to close and reopen certain portfolios from time to time in order to manage them moreefficiently. Additional information, including application forms, annual or quarterly reports can be obtained from BCI, free of charge. Performancefees are calculated and accrued on a daily basis based upon the daily outperformance, in excess of the benchmark, multiplied by the share rate andpaid over to the manager monthly. Performance figures quoted are from Morningstar, as at the date of this MDD for a lump sum investment, usingNAV-NAV with income reinvested and do not take any upfront manager's charge into account. Income distributions are declared on the ex-dividenddate. Actual investment performance will differ based on the initial fees charge applicable, the actual investment date, the date of reinvestment anddividend withholding tax. Investments in foreign securities may include additional risks such as potential constraints on liquidity and repatriation offunds, macroeconomic risk, political risk, foreign exchange risk, tax risk, settlement risk as well as potential limitations on the availability of marketinformation. Boutique Collective Investments (RF) Pty Ltd retains full legal responsibility for the third party named portfolio. Although reasonablesteps have been taken to ensure the validity and accuracy of the information in this document, BCI does not accept any responsibility for any claim,damages, loss or expense, however it arises, out of or in connection with the information in this document, whether by a client, investor orintermediary. This document should not be seen as an offer to purchase any specific product and is not to be construed as advice or guidance in anyform whatsoever. Investors are encouraged to obtain independent professional investment and taxation advice before investing with or in any ofBCI/the Manager's products. A fund of funds is a portfolio that invests in portfolios of collective investment schemes that levy their own charges,which could result in a higher fee structure. A fund of funds is a portfolio that invests in portfolios of collective investment schemes that levy theirown charges, which could result in a higher fee structure.