Cadiz Absolute Yield Fund

Winner of the 2010 and 2011 Morningstar Fund Awards in the Cautious Balanced and Cautious Allocation categories, respectively.

 

Who the fund may be suitable for

The Cadiz Absolute Yield Fund is suitable for conservative investors with a medium- to longer-term view and who may be making use of retirement products such as retirement annuities, preservation funds and living annuities.

Features

The Fund aims to provide investors with a return of 3% in excess of inflation (CPI) over rolling three years and a positive return over any rolling 12 month period. It is expected to deliver more consistent returns than an income fund and reduce the volatility normally inherent in the bond market.

The strategy focuses on both preserving capital and maximising total returns over the long term. Risk diversification and yield enhancement are achieved by investing in a range of fixed interest instruments and listed property stock. Downside market risk is actively managed through derivative hedging strategies.

Read More

Why you should invest in the Cadiz Absolute Yield Fund Oct 2011 (pdf)
Money market reinvestment risk (pdf)
Corporate Credit Risk...Really? Yes, really! (pdf)

Performance as at 31 December 2011

  Fund Benchmark
    SA CPI +3%
1 Year 8.00% 9.12%
3 Year 9.52% 7.88%
5 Year 10.45% 9.82%
Source: Morningstar
Investor need
Income & Growth
Benchmark
CPI +3% pa net of fees over rolling 3 years. No negative returns over rolling 12 months.
Investment vehicle
Unit Trust
Maximum exposure to growth assets (equity exposure)
Maximum of 20% in property and preference shares
Risk rating
Low
Time horizon
Medium term
Asset Class(es)
Property shares, preference shares, money market instruments, cash and bonds.
Launch date
Wednesday, March 01, 2006
ASISA classification (where relevant)
Domestic- Fixed Interest - Varied Specialist
Income distribution / payment
Bi-annual (31 March, 30 September)
Investment minimum
Lump sum: R5 000
Monthly: R500
Ad hoc: R500
Regulation 28
Non compliant
Currency availability
South African rand
Portfolio Manager
Bronwyn Blood
Status
Open
Liquidity
Daily
Initial fee
0.00%
Maximum adviser initial fee
3.00% (excluding VAT)
Annual management fee
0.80% (excluding VAT)
Maximum adviser ongoing fee
1.00% (excluding VAT)
Performance fee
0.00%
Total Expense Ratio (TER) total
0.88% (inclusive VAT)
TER date
31-Dec-11

Total Expense Ratio (TER) is a measure of the costs incurred within the fund. It is not an additional fee.
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