The Sygnia International Flexible Fund of Funds is a high-equity offshore fund that seeks to outperform its composite benchmark of 75% MSCI All Country World Index and 25% Barclays Capital Aggregate Bond Index on a regular basis.
“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 Sygnia International Flexible Fund of Funds is a high-equity offshore fund that seeks
to outperform its composite benchmark of 75% MSCI All Country World Index and 25%
Barclays Capital Aggregate Bond Index on a regular basis. It operates on a fund of
funds basis and has exposure to both foreign equities and fixed interest assets through
a number of underlying funds managed by different managers selected by Sygnia. The
fund uses tactical asset allocation to reduce risk and enhance returns. Derivatives are
allowed for efficient portfolio management.
What the fund invests in
| Asset class | Percentage | Allocation |
|---|---|---|
| International Equities | 73.8 | |
| International Cash | 16.6 | |
| International Fixed Interest | 7.0 | |
| International Property | 2.7 |
Risk profile
The fund has a medium-to-high risk profile, as it has a 75% strategic allocation to
equities. Risk is managed by spreading investments across asset classes, geographical
regions, currencies and a number of asset management houses. The former ensures
a diverse source of returns over market cycles, while the latter diversifies investment
styles and philosophies. Tactical asset allocation is used to take advantage of short-term
mispricing opportunities in the market in an efficient and cost-effective manner and as a
risk management tool in times of market downturns.
Who should invest
Investors seeking currency diversification and higher returns who are willing to tolerate
higher volatility and aim to maximise capital accumulation over the longer term.
And for how long?
A minimum of 3 to 5 years.
| Initial fees | 0.00% p.a. (excl. VAT) |
| Management fees | 1.10% p.a. (excl. VAT) |
| Performance fees* | 0.21% p.a. (excl. VAT) |
| Other expenses | 0.23% p.a. (excl. VAT) |
| VAT | 0.22% |
| Total expense ratio (TER) | 1.78% (Dec 2024) |
| Transaction costs (TC) | 0.03% (Dec 2024) |
| Total investment charge (TIC) | 1.81% (Dec 2024) |
Sygnia charges an annual management fee, calculated and accrued daily. This fee is payable monthly in arrears. The performance fee is calculated and accrued daily and is deducted monthly. The underlying asset managers may charge performance-related fees relative to performance benchmarks designed by Sygnia, which are intended to incentivise the manager to maximise returns. These performance fees are accrued daily and collected monthly. Consequently, the TER of the product may be higher than the annual management fee quoted above.
*Please note that the performance fee is 10% of outperformance of the 75% MSCI All
Country World Index, 25% Barclays Global Agg Bond Index benchmark with a cap of
1.75%.
Fee disclosure
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 TERs. Transaction costs are a necessary
cost in administering the financial product and impact
financial product returns. They 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