New to investing
New to investing
Our unit trust funds are managed by a team of highly-skilled investment professionals who apply unconventional thinking (thinking deeply and independently) and unearth opportunities in today’s changing markets. We offer a range of South African and global unit trust funds, and you can invest tax-free too.
What are unit trusts?
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Why invest?
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Tax-free investing
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How do I invest?
What are unit trusts?
Unit trusts are generally medium to long-term investments
- A unit trust is also known as a collective
investment scheme. - In a unit trust fund, contributions from many investors are pooled and invested in a specific range of assets.
- Unit trusts are managed by investment professionals and different funds have different investment objectives.
What are unit trusts?
Unit trusts are generally medium to long-term
investments.
- Unit trusts are divided into identical units, which investors can buy or sell at any time.
- The amount that you contribute and the unit price at the time of investment will determine the amount of units allocated to you.
- When you invest in a unit trust fund, the value of your investment is not guaranteed as the unit price will fluctuate.
The benefits of a unit trust
Cost effective
Designed to offer good value because contributions from a variety of investors are pooled. Investment managers can then buy a range of assets that would normally be unaffordable if you were to buy them on your own.
Flexible
You can add money, stop investing, switch between funds or withdraw at any time – no penalties.
Easy access
No minimum investment periods – you can withdraw your funds at any time.
The benefits of a unit trust
Diversification
Unit trusts invest in a broad range of investments, spreading risk across many investments. Therefore, if one performs poorly, it does not mean that the whole fund underperforms.
In tune with your needs
There are various types of funds to choose from, depending on the risk you are comfortable with, whether you want to invest tax-free or prefer a Shariah-compliant fund.
The benefits of a unit trust
Transparent
You will always know where and how your money is invested.
Professional expertise
Unit trusts are managed by highly-qualified investment managers with the expertise and experience to make sound investment decisions.
What are unit trusts?
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Why invest?
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Tax-free investing
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How do I invest?
Why invest?
It all comes down to goals…
We all have different ideas of wealth. Setting yourself a goal gives you a structure to work towards what you really want. This could be:
A worry-free retirement – or the freedom to choose when, where and how you work… if at all!
Quality education for your kids – at the school or university of their choice
A bucket list holiday – or a year-long sabbatical
Why invest?
It all comes down to goals…
A dream house – or a second/third property. Or whatever is personal to you. As they say:
True wealth is not what money can buy but what you would not exchange for any money on earth.
Historically, we’ve seen that the longer you have to invest, the better the chance of a good outcome.
This is the beauty of compound interest: the interest you earn on the money you start with, boosted by all the interest earned on the interest that has accumulated over time.
Understanding risk
With all investments, there will be an amount of risk. Markets will go through periods of volatility and your investment may increase or decrease over time as a result. The greater the possibility for large returns, the greater the risk associated.
Your tolerance for this is called your risk appetite. A financial adviser can help you work out what your appetite for risk is.
What are unit trusts?
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Why invest?
|
Tax-free investing
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How do I invest?
Tax-free investing
You are allowed to invest up to R36 000 tax-free per year with a lifetime limit of R500 000 across all your tax-free investment accounts with financial institutions.
Benefits of tax-free investing
- You earn tax-free growth on your contributions
into your investment. - You don’t pay tax on any dividends
(normally, 20% tax is charged). - You don’t pay tax on any interest earned.
- You don’t pay tax on capital gains (ie any profit made on the sale of your investment).
Your tax-free investment
You can invest in one or more of nine of our unit trust funds tax-free.
Investment returns are 100% tax-exempt.
What are unit trusts?
|
Why invest?
|
Tax-free investing
|
How do I invest?
How to invest
1. Decide on your goal
It’s good to have a goal.
A dream home, university education or something off your bucket list.
How to invest
2. Know your budget and time frame
A financial adviser can help you work out how much you can afford to save and what your risk appetite is.
How to invest
3. Pick the right funds for you
Speak to a financial adviser to select the right combination of funds for your needs – including Shariah compliant ones.
We accept lump sums (minimum of R5 000) and/or regular debit orders (minimum of R500 per debit order).
How to invest
4. Complete and sign an application form
Submit the application form along with the required supporting documents, to our Client Service team. The application form contains more details on the payment options available.
How to invest
5. Build and view your investments
Register online to monitor your transactions and view your up-to-date balances.
You will also be able to transact online (additional investments, switching, etc).
