The objective of the Sygnia Itrix Solactive Healthcare 150 ETF is to provide an investment vehicle that gives easy access to investors who want to achieve long term capital appreciation in tracking the performance of the Solactive Developed Markets Healthcare 150 Index (.SDMH150P) (“benchmark index”).
“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 objective of the Sygnia Itrix Solactive Healthcare 150 ETF is to provide an investment vehicle that gives easy access to investors who want to achieve long-term capital appreciation in tracking the performance of the benchmark Solactive Developed Markets Healthcare 150 Index (.SDMH150P). The Sygnia Itrix Solactive Healthcare 150 ETF is a high-risk, passively managed index-`tracking fund, registered as a collective investments scheme, and is listed on the Johannesburg Stock Exchange as an exchange traded fund with the objective to replicate the price and yield performance of its benchmark index as closely as possible by physically holding a portfolio of securities equivalent to the basket of securities comprising the ndex in similar weightings to the Index. The benchmark index tracks the performance of the largest 150 companies from the developed market healthcare industry and is based on the Solactive Global Benchmark Series. Constituents are selected and weighted based on free-float market capitalisation. Index performance data can be sourced from Solactive, Reuters and at www.sygnia.co.za.
What the fund invests in
| Top 10 holdings | Percentage | Allocation |
|---|---|---|
| Eli Lilly Ord Shs | 8.3 | |
| UnitedHealth Group Ord Shs | 5.8 | |
| Novo Nordisk Ord Shs Class B | 5.1 | |
| Johnson & Johnson Ord Shs | 4.8 | |
| Merck & Co Ord Shs | 4.2 | |
| AbbVie Ord Shs | 4.0 | |
| Thermo Fisher Scientific Ord Shs | 2.8 | |
| Astrazeneca Ord Shs | 2.5 | |
| Abbott Laboratories Ord Shs | 2.5 | |
| Novartis Ord Shs | 2.4 |
Risk profile
The fund has a 100% strategic allocation to global equities. The risk in the fund is managed by spreading investments across countries and individual shares, but the structure of the fund is dictated by the composition of the Solactive Developed Markets Healthcare 150 Index. The focus on the largest, more liquid companies provides an added benefit in terms of risk management.
Who Should Invest?
It is a suitable investment for investors seeking higher returns, those willing to tolerate higher volatility and those aiming to maximise capital accumulation over the longer term. The investment is also suitable for investors who wish to maximise their returns in the most cost-effective manner without having to select asset managers or take on the risk of active and subjective investment decision-making processes.
| Annual management fee | 0.43% p.a. (excl. VAT) |
| Other expenses | 0.01% |
| VAT | 0.07% |
| Total expense ratio (TER) | 0.51% (Mar 2024) |
| Transaction costs (TC) | 0.01% (Mar 2024) |
| Total investment charge (TIC) | 0.53% (Mar 2024) |
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. TCs are a necessary cost in administering the financial product and impact financial product returns. TCs 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.
Disclosure
The Sygnia Group is a member of the Association for Savings and Investment SA. Sygnia ltrix (RF) (Pty) Ltd is a registered and approved Manager under the Collective Investment Schemes Control Act, 2002 (CISCA). Sygnia Asset Management (Pty) Limited (FSP 873), an authorised financial services provider, is the appointed investment manager of the fund. Sygnia ltrix does not provide any guarantee with respect to the capital or return of the portfolio. Collective investment schemes are generally medium- to long-term investments. Collective investment schemes are traded at ruling prices and can engage in borrowing and scrip lending. The value of investments/units may go down as well as up, and past performance is not necessarily an indicator of future performance. ETFs trade on stock exchanges and may therefore incur additional costs associated with listed securities. Unlike a unit trust, which can be bought or sold only once per day, an ETF can be traded intraday, during exchange trading hours. ETFs may invest in foreign securities, which may be exposed to macroeconomic, settlement, political, tax, liquidity and foreign exchange risks. Performance is calculated for the portfolio, and individual investor performance may differ as a result of trading cost and price paid for investment share. Additional information on the Index, including its performance and tracking error can be viewed on the relevant minimum disclosure document (MDD) on www.sygnia.co.za. A schedule of fees, charges and – where the ETF engages in securities lending activities, information on such securities lending activities – may be requested via admin@sfs.sygnia.co.za or 0860 794 642. The complete terms and conditions of your ETF investment are contained in the fund’s offering circular, pre-listing statement, programme memorandum and/or supplemental deed, and index constituents with prices are published daily on Sygnia’s website. The documents/information may be obtained from www.sygnia. co.za or on request from Sygnia. Nothing in this document shall be considered to state or imply that the fund is suitable for a particular type of investor. All the portfolio options presented are approved collective investment schemes in terms of CISCA. The Manager has the right to close any portfolios to new investors to manage the portfolios more efficiently in accordance with their mandates.
Index disclosure
The funds or securities referred to herein are not sponsored, endorsed or promoted by Solactive AG, and Solactive AG bears no liability with respect to any such funds or securities or any index on which such funds or securities are based. The complete terms and conditions of your ETF investment are contained in the fund’s offering circular, pre-listing statement and the relevant supplement.