The investment objective of the Sygnia Enhanced All Bond Fund is to outperform the JSE All Bond Composite Index (ALBI). This actively managed fixed income portfolio offers access to a selection of South African fixed rate bonds.
“Our funds are designed to challenge the status quo, because we want our investors to feel like the world is their oyster, that everything is possible.”
Kyle Hulett, Head of InvestmentsInvestment objective and strategy
The investment objective of the Sygnia Enhanced All Bond Fund is to outperform the
JSE All Bond Composite Index (ALBI). This actively managed fixed income portfolio
offers access to a selection of South African fixed rate bonds. The underlying
investments are based on yield offered by South African corporates, banks, government
and state-owned enterprises, and consideration is also given to the composition
of the JSE All Bond Composite Index. Derivatives are allowed for efficient portfolio
management.
What the fund invests in
| Maturity bands | Modified duration | Percentage | Allocation |
|---|---|---|---|
| 1–3 years | 1.2 | 13.0 | |
| 3–7 years | 4.0 | 18.0 | |
| 7–12 years | 5.9 | 26.0 | |
| > 12 years | 7.7 | 43.0 | |
| Overall | 5.7 |
Risk profile
The fund has a 100% strategic allocation to South African bonds. The structure of the fund is dictated by the composition of the JSE All Bond Composite Index and yield on appropriate corporates, state-owned entities and banks.
Who should invest
The Sygnia Enhanced All Bond Fund targets an overall 100% allocation to a broad selection of South African bonds and has a low-to-medium risk profile. It is a suitable investment for investors who are risk averse and seeking exposure to less volatile assets. The fund is also suitable for investors seeking an investment vehicle focused equally on capital growth and income generation. The fund is a specialist product and should form part of a broadly diversified investment strategy.
And for how long?
A minimum of 3 years.
| Initial fees | 0.00% (excl. VAT) |
| Management fees | 0.35% p.a. (excl. VAT) |
| Performance fees | N/A |
| Other expenses | 0.02% p.a. (excl. VAT) |
| VAT | 0.06% |
| Total expense ratio (TER) | 0.42% (Dec 2024) |
| Transaction costs (TC) | 0.03% (Dec 2024) |
| Total investment charge (TIC) | 0.45% (Dec 2024) |
Sygnia charges an annual management fee, calculated and accrued daily. This fee is payable monthly in arrears.
Disclosures
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.
Disclaimer
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