STEPHEN CRANSTON: Retirement fund sector in good hands with top fund managers
Coronation, Investec and Allan Gray are leading players with Prudential rising up the ranks
It was known as Fica for a while, but it has gone back to its original name of CIA. This is the acronym for the fund managers that dominate the balanced retirement fund sector: Coronation, Investec and Allan Gray. The "F" was dropped because of the recent bad run of returns from Foord Asset Management, which is now focused more on its sparkling new Singapore office than its legacy office in unfashionable Pinelands. I think the next acronym should be Capi, as it is about time Prudential was treated as a top-table manager. It had a very strong 12 months to April, with a 10.4% return from its global balanced fund. Only Investec, with 9.6%, came close. Yet even Prudential was once described to me by a consultant as "a compromise between Old Mutual and Allan Gray", a pragmatic value house with a rather generous definition of what makes up value. I am a bit fed up with these "valuer than thou" debates. Schroders even has an online measuring tool, like something Discovery might use to meas...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.