South Africa Economic Update
The Investec Opportunity Fund is a multi-asset fund, which aims to produce inflation-beating returns over time.
The fund is ideal for medium- and long-term investors who don’t actively want to manage their own allocation of assets. The portfolio manager decides how much should be invested in equities, bonds, property or cash depending on market conditions.
Fund Overview
- Has a strong focus on capital preservation and absolute returns through active asset allocation and stock selection decisions
- Aims to outperform inflation by 6% p.a. over a rolling three year period
- Has lower volatility than traditional asset allocation funds
- May invest up to 25% offshore
- Typical equity asset allocation range 40% - 75%
- Is suitable for retirement savings
Why invest in the Investec Opportunity Fund?
- A 13 year track record of delivering consistent top quartile returns
- It is an equity centric fund that has produced excellent real returns, regardless of the direction of the market
- A tried and tested philosophy and ‘common sense’ approach to investing
- Aims to preserve wealth by managing downside risk
- Diversification across asset classes
Portfolio Manager: Clyde Rossouw
Clyde is a portfolio manager at Investec Asset Management with a focus on absolute return investing. His portfolio manager duties include the Investec Opportunity Fund unit trust. Clyde joined Investec Asset Management in November 1999 as an asset allocation and sector allocation strategist. Prior to Investec Asset Management, Clyde was awarded a bursary by Sanlam and worked in their group for eight years, including five years in asset management. His experience in investments includes fixed income analysis and portfolio management. Clyde completed his Bachelor of Science (Statistics and Actuarial Science) degree at the University of Cape Town in 1991. He was awarded the Certificates in Actuarial Techniques (1995), and Finance and Investments (1997) by the Institute of Actuaries in London, and gained his Chartered Financial Analysts qualification in 1999.
Creating Wealth
Since inception, the fund has beaten inflation with much lower volatility than the FTSE/JSE All Share Index, despite being a fund that is invested across equities, bonds and cash.
What would you have if you had invested R10 000 10 years ago (September 2000 - September 2011)?
Preserving Wealth
If you had invested in the Investec Opportunity Fund in May 2008, the peak of the SA equity market, the fund would have returned 25.86% to the end of September 2011. Over the same period the SA equity market gained 0.01%.
Managing Risk
The Investec Opportunity Fund provides equity-like returns with significantly less risk as can be seen in the chart below which details annualised returns for 10 years to 30 June 2011.
