Sygnia 4th Industrial Revolution Global Equity Fund Class A

Investment objective and strategy
The Sygnia 4th Industrial Revolution Global Equity Fund is a high-risk, dynamically managed active fund that offers investors access to global companies optimally positioned to benefit from new technologies and innovations that have the potential to transform the global economy across a broad range of sectors. These technologies include autonomous vehicles, clean tech, drones, 3D printing, robotics, nanotech, smart buildings, virtual reality, cybersecurity, space and wearables, among others. This transformation, termed the 4th Industrial Revolution, brings together the physical, digital and biological worlds at an exponential pace. Sygnia manages the allocation between different sectors and indices in a dynamic manner based on its proprietary investment approach and methodology.

Benchmark
S&P 500 net total return index (SPTR500N)

The fund has a high risk profile, as it has a high strategic allocation to global equities, which combine both equity market and currency risks. The fund invests specifically in companies involved in new and emerging technologies. The payoff profile and time horizon to profitability of these technologies are not certain. Risk is managed by spreading investments across a large number of companies in different industries.

Investors seeking currency diversification and higher returns who are willing to tolerate higher volatility and are aiming to maximise capital accumulation over the longer term through exposure to companies involved in transformative technologies.

Sygnia charges an annual management fee, calculated and accrued daily and payable monthly in arrears. The performance fee is calculated and accrued daily and is deducted monthly. Consequently, the TER of the product may be higher than the annual management fee quoted above. A performance fee of (0.43%) of the net asset value of the class of financial product was recovered and included in the TER (1.36%).

Please note that the performance fee is 20% of outperformance of the S&P500 Net TotalReturn Index benchmark with a cap of 2.30%.

Sygnia does not provide advice and therefore does not charge advice fees. If a financial planner is appointed, initial and ongoing advice fees may be payable as agreed upon between you and your financial advisor. The payments of these fees are facilitated by the linked investment service provider (LISP) and not directly by Sygnia. 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. 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.

The Sygnia Group is a member of the Association for Savings and Investment SA. Sygnia Collective Investments RF (Pty) Ltd is a registered and approved Manager in Collective Investment Schemes in Securities. Collective investment schemes are generally medium to long-term investments. Sygnia Asset Management (Pty) Limited (FSP 873), an authorised financial services provider, is the appointed investment manager of the Fund. The portfolio may invest in other unit trust portfolios which levy their own fees, and may result in a higher fee structure and that the value of investments / units / unit trusts may go down as well as up. Past performance is not necessarily a guide to future performance. Collective investments are traded at ruling prices and can engage in borrowing and scrip lending. A schedule of fees and charges and maximum commissions is available from the Manager on request. Performance is based on NAV to NAV calculations with income reinvestments done on the ex-div date. Performance is calculated for the portfolio and the individual investor performance may differ as a result of initial fees, actual investment date, date of reinvestment and dividend withholding tax. The Manager does not provide any guarantee either with respect to the capital or the return of a portfolio. Collective investments are calculated on a net asset value basis, which is the total market value of all assets in the portfolio including any income accruals and less any deductible expenses such as audit fees, brokerage and service fees. Forward pricing is used. All the portfolio options presented are approved collective investment schemes in terms of Collective Investment Schemes Control Act, No 45 of 2002 (“CISCA”). The fund may from time to time invest in foreign countries and therefore it may have risks regarding liquidity, the repatriation of funds, political and macroeconomic situations, foreign exchange, tax, settlement, and the availability of information. The Manager has the right to close any portfolios to new investors to manage them more efficiently in accordance with their mandates. A copy of the Minimum Disclosure Document (MDD) is available on our website: www.sygnia.co.za.