With R226bn under management, low equity (or cautious allocation) funds are the fourth-most popular sector after high equity (balanced) funds, general equity funds and money market funds.

They are conservative funds, but more risky than flexible fixed income. They can have a bias towards growth assets, as up to 40% can be invested in equity and a further 15% in property. And they have the same international asset limit as balanced funds — 30%...

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