The fund is one of two fixed income asset allocation funds run by the strong team headed by Henk Viljoen and Victor Mphaphuli. The other is the Aggressive Income fund. It would certainly reduce confusion if these two funds were merged.Aggressive has a simple but compelling benchmark of one third each in bonds, cash (the Stefi) and property. This puts it outside the realm of regulation 28 compliant funds, as a 33% property holding would exceed prudential limits — in fact the maximum in the Aggressive fund is 50%.The Flexible fund is regulation 28 compliant but it has a somewhat old-fashioned benchmark of the one-to-three-year duration bond index. It also has some conservative limits of 10% into property when the maximum in the sector is 25%.It is predominantly a bond fund with about 85% of its assets composed of bonds and just 11% in the money market. But only about 20% of its bond exposure is to SA government bonds, with a much higher allocation, close to 30%, in bank paper, from In...
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.