Help Centre

Actively managed funds are managed by specialist portfolio managers who aim to outperform a particular benchmark (typically a market index) over time through superior selection of stocks that they choose to invest in. These decisions are based on extensive research. However, as the overall market is a zero-sum game (i.e. for every buyer there is a seller), actively managed funds can either get it right and outperform the benchmark or get it wrong and underperform the benchmark. While actively managed funds charge significant fees for their expertise, they can have several disadvantages:

• Few active asset managers outperform market indices
• Fewer still do so consistently
• And even fewer do so after all the costs of active management have been deducted.

Most importantly, once you diversify your investments across a number of active asset managers, it is unlikely that all of your choices will outperform the market index at the same time. Hence, as an investor, you are likely to earn market index-type returns before costs are deducted.

In comparison, index-tracking funds aim to deliver the performance of a market index at a low cost. Hence, index-tracking funds are more suitable for “buy and hold” investors who want to take a long-term view and not worry about the short-term outperformance or underperformance of their investment choices.

Sygnia has an investment management team who manages their active and passively managed portfolios which has a 13-year track record. Other funds, including international and domestic funds, may be managed by third-party asset managers selected by Sygnia based on their expertise and cost.

The following administration fee applies depending on the investment funds that you have chosen:

* 0.35% (excl. VAT) is levied on the proportionate value of Sygnia unit trust and ETF funds below R2million.
** 0.15% (excl. VAT) is levied on the proportionate value of Sygnia unit trust and ETF funds above R2million.
*** 0.00% (excl. VAT) is levied on the proportionate value of Sygnia unit trust and ETF funds above R10million.

You can start investing with a lump sum of R10 000 or a debit order of R500 per month.

Sygnia does not offer comprehensive financial planning advice.

We encourage investors to speak to a financial advisor if they are unsure of their requirements.

We use a number of different strategies to keep our fees low because we believe South Africans should be able to access excellent investments at the most competitive prices.

We do not charge you anything to move your assets onto our platform. Sygnia does not charge:

• Up-front fees if you are transferring from another provider
• Switch fees if you want to change your strategy
• Penalties if you want to move away from Sygnia to another provider in the future.

This fee only applies if you have appointed a financial advisor and agreed upon a fee with them.

This is the fee paid to the investment manager of the unit trust and includes:

• Annual service fee
• Fund’s bank charges
• Fund’s audit fees
• Taxes (e.g. stamp duty, VAT)
• Custodian and trustee fees (custodians and trustees are appointed to protect the interests of the unitholders, and the fees pay for their services)
• Costs related to scrip lending
• Performance fees.

These are necessary expenses that arise from managing and administering a unit trust and include:

• VAT
• Brokerage
• Securities transfer tax (STT)
• Investor protection levy
• STRATE contract fees
• Exchange rate costs
• Bond spread costs
• Fees associated with Contract for Difference (CFDs).

The total investment charge is the sum of the total expense ratio (TER) and the transaction cost (TC).

In the context of collective investment schemes such as unit trusts, the distribution of profits typically occurs through the declaration of distributions. Here’s how it generally works:

1. Accumulation of income Over time, the fund accumulates income from various sources, such as dividends from equities, interest from bonds, and other income-generating assets.
2. Declaration of distributions At designated dates, the fund declares distributions, which are a combination of dividend and interest portions. These dates are specified in the fund’s minimum disclosure document or fact sheet.
3. Distribution to investors When a distribution is declared, the income is distributed to investors. This is often done by reinvesting the income back into the fund, which means you acquire additional units in the unit trust equivalent to the rand value of the distributed income.
4. Adjustment of unit price The price of the unit trust typically decreases after a distribution is declared, because the income has been removed from the fund.

Sygnia does not guarantee the capital or return of unit trust distributions; the actual distribution amount will vary based on vary based on the performance of the underlying assets in the fund.

While both unit trusts and ETFs are regulated and registered under the Collective Investment Scheme Control Act, ETFs trade on stock exchanges like any other listed, tradable security. ETFs are traded intraday, during exchange trading hours, unlike unit trusts, which can only be traded at the end of the trading day.

South African residents have a personal offshore investment allowance (also referred to a Single Discretionary Allowance), which allows them to invest a certain amount of money outside of South Africa. This is typically up to R10 million per calendar year. Investing in funds with 100% offshore exposure through Sygnia does not directly impact your personal offshore allowance as per SARS regulations.

When withdrawing funds from a Sygnia ETF, the amount you receive may differ slightly from the amount requested due to market price fluctuations at the time of the transaction. ETFs are traded on the stock exchange, and their prices vary throughout the trading day. Sygnia sells the appropriate number of ETF units to match your requested value, but the final amount is based on the actual execution price at the time of sale. In some cases, fees and the rounding of fractional units may also impact the final payout.

The investment objective of each portfolio is to replicate the price and yield performance of the relevant indices they track and offer investors access to international investments (where applicable) through a regulated structure in an easy and cost-effective manner.

Fees and costs vary across the Sygnia Itrix ETF fund range. For a detailed breakdown of ETF-specific fees, please refer to the Sygnia Alchemy ETF and ETN Fund Summary.

The good news is that your tax-free investment is always at your disposal. You can dip into your TFSA whenever you want!

The executor of your estate will close the TFSA and distribute the funds according to your will – or, if there is no will, in accordance with the laws of intestate succession.

Anything over the R36 000 annual limit will face a 40% tax, so it’s wise to keep tabs.

We totally understand that life can throw financial curveballs. The great news is that with our TFSA, you can pause and resume contributions whenever you need to, without any penalties.

Any TFSA service provider will send you a quarterly rundown of your contributions. Sygnia will send you a quarterly report reflecting your contributions. You can keep track on your online portal.

Yes! For example, the Sygnia Stargazer Fund is designed for just that, offering three simple portfolios and a unique glide-path design to control your child’s portfolio risk.

First, check that the provider is authorised to provide a tax-free investment product. National Treasury and SARS have stated that only specific institutions can provide tax-free investments.

A TFSA is a valuable tool for long-term retirement savings; due to its tax efficiency, it works alongside pre-retirement savings provisions. Still got some questions, or just need a bit more clarity? If you have any queries please contact your financial advisor or we can put you into contact with one.

While you are free to withdraw from a TFSA at any time, any capital withdrawn cannot be reinvested, as it will count towards your annual and lifetime limits as a new investment. For example, let’s say you’ve already invested R200 000 in your TFSA, leaving you with R300 000 available over your lifetime. If you withdraw R50 000 from your TFSA, your lifetime contribution balance remains unchanged at R300 000.

Not directly, but you can invest via rand-denominated offshore investments. Your capital will be invested overseas but will return to SA and be converted to Rands when you redeem your investment.

Yes, but be sure to keep your total annual contributions across your accounts within the R36 000 annual limit.

If you choose not to invest the full R36 000 annual limit, it’s important to remember that any unused portion of the limit cannot be rolled over to the next year. For instance, let’s say you only invest R25 000 during the year, leaving R11 000 unused. Unfortunately, that remaining R11 000 cannot be carried forward and will be forfeited, so it’s best if you use your full annual limit to maximise its benefits.

All South African residents are eligible to open a TFSA, including parents/guardians for their children.

We have a simple and streamlined application process and will appoint a dedicated consultant to help you navigate every step.

For more information, contact us on retail@sfs.sygnia.co.za or call us on 0860 794 642.

You as the advisor. We only seek to expand and enrich your relationship with your clients.

ETFs are regulated and registered under the CIS Control Act, so the licence (1.14) you have to market unit trusts will be sufficient.

Sygnia allows you to streamline your practice so you can spend less time on paperwork and more time on the activities that add value to your clients and your business. You’ll be able to deliver a better experience to your clients while spending more time cultivating relationships and growing your business.

You are allocated a BDE, CRM and have access to manage them on the interactive advisor portal.

The Sygnia Skeleton balanced funds are diversified investment portfolios that use index tracking to gain exposure across various asset classes. The funds are built around three options – 40, 60 and 70 – each number representing the percentage of equity exposure and corresponding risk level. Investors simply select based on their risk tolerance: 40 for conservative, 60 for balanced or 70 for moderate to high long-term investing.

Key features include:

• Simplified risk selection through the 40/60/70 system
• Low-cost index-tracking approach
• Consistent risk profiles maintained over time
• Offshore diversification
• A 10-year track record of market-beating performance

Sygnia Skeleton Balanced 40 Fund:

• Equity exposure: Approximately 40% allocation to South African and global equities, suitable for investors seeking lower risk
• Risk profile: Low, ideal for conservative investors aiming for capital preservation with modest growth
• Recommended investment horizon: Minimum of 2 years
• Management fee: 0.35% per annum (excluding VAT)
• Total expense ratio (TER): 0.46% as of March 2025

Sygnia Skeleton Balanced 60 Fund:

• Equity exposure: Approximately 60% allocation to equities, balancing growth potential with moderate risk
• Risk profile: Medium, suitable for investors seeking a balance between risk and return
• Recommended investment horizon: Minimum of 3 years
• Management fee: 0.35% per annum (excluding VAT)
• Total expense ratio (TER): 0.45% as of March 2025

Sygnia Skeleton Balanced 70 Fund:

• Equity exposure: Approximately 70% allocation to South African and global equities, targeting higher long-term growth.
• Risk profile: Medium to high, appropriate for investors comfortable with increased volatility for potential higher returns.
• Recommended investment horizon: Minimum of 5 years
• Management fee: 0.35% per annum (excluding VAT)
• Total expense ratio (TER): 0.45% as of March 2025

The two-pot system started on 1 September 2024 and changed how retirement funds pay benefits. Any money already saved in the fund before 1 September 2024 stayed in the fund and continues to grow with investment returns until you leave the fund (this is your vested pot). For any contributions deposited after 1 September 2024, one-third goes into the savings pot and two-thirds will only be available to you at retirement (retirement pot).

Keep these points in mind:

• Additional documents like divorce or maintenance orders may be requested.
• The minimum withdrawal amount is R2000 and will be disinvested proportionally from your Savings Component.
• You are limited to one withdrawal per tax year from your Savings Component.
• The withdrawal will be subject to the following deductions:
  – A processing fee of 2% excl VAT (of the total withdrawal amount, minimum fee of R100 excl VAT and a maximum fee of R600 excl VAT)
  – Tax: Calculated on your marginal tax rate.
  – Outstanding tax or penalties due to SARS, if applicable.
• The withdrawal can only be processed once all the requirements are met.
• Once we have applied for a tax directive, the transaction cannot be cancelled. Please refer to your e-filing profile for a tax simulation and a statement of account for any amounts owed to SARS.

Follow these steps:

1. Log into the Alchemy online portal
2. Click Download
3. Click Forms
4. Select ‘Retirement Savings Component Withdrawal form’
5. Complete the form
6. Print sign and submit to instructions@sfs.sygnia.co.za

You will receive an email confirming your withdrawal submission.

Please note funding for 2025 has closed.

If you would like to apply for funding in 2026, please note that our funding period runs from 1 February 2026 to 31 March 2026.

• Individuals
• Political or quasi-political bodies
• Religious organisations
• Trade unions
• Individual school requests
• Overseas tours and exchanges
• Sporting activities, sports and recreation clubs
• Music festivals/choirs and/or video and film productions
• Fundraising gala events
• Conferences, workshops and memorial lectures
• Advertising in educational or other supplements
• Company promotions and membership subscriptions
• General fundraising requests
• Commercial ventures (closed corporations and other for-profit activities)
• Loans and investments
• Employees of Sygnia

Proposals are reviewed and funding decisions are made in March each year. Successful applicants will be advised in writing. While we endeavour to respond to every application, if you have not received any correspondence from us by end-May, please consider your application unsuccessful.

If you are a registered organisation that focuses on education from early childhood development through to tertiary education, please send the application form together with all required documentation to sygcsi@sygnia.co.za. Incomplete applications will not be considered.

• Registered public benefit organisations (PBOs) with projects in education/educational support.
• Sustainable partners who can create a long-term, lasting impact, and who consistently and effectively raise funds from a variety of different donors to meet their objectives, rather than being dependent on only one or two donors.
• Partners with a proven track record of successful outcomes are preferred.