World Bond Fund

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					World Bond Fund
Liberty Active Limited Reg. No. 1984/011344/06

July 2009

about the portfolio
Fund Managers Underlying Managers Launch Date Fund size Classification Risk Profile**
Low Med High

* portfolio manager's review
STANLIB Wealth Management Fidelity Investments 1 November 1998 R12.05 million Offshore Fixed Interest Paul Hansen STANLIB Wealth Management Although we reduced our holding in the Fidelity high yield bond funds during the quarter, we remained invested in the Fidelity International Bond Fund, with extra tilts in the Sterling and European Bond Funds. The impact of currencies was again high because the euro gained 4.3% against the euro and also 7.3% against the pound. Corporate bonds in the US, UK and Europe continued to perform strongly as their yields declined further. Private American investors have pumped large sums of money into bond funds (far more than into equity funds) in their hunt for yield because both money markets (0.05%) and government bonds (3.2%) are yielding so little. Although returns going forward should be somewhat lower, we remain positive on corporate bonds in particular over the next three to six months.

Benchmark Once-off Charges Allocation Charges and Policy Fees Bid-offer Spread Recurring Charges

100% SBB World Gov. Bond Index

As per policy quote 1%

Liberty Active Management Fee p.a. 0.5% Fund Manager's Management Fee p.a. Maximum Shareholders' Participation in Surplus Guarantee At Maturity On Death before Maturity None The greater of: Return of premiums; or The value of investments 1% 10%

portfolio analysis

top holdings
STANLIB USD Bond Fund Fidelity US High Yield Fund 92.52% 7.48% Offshore Bonds 100.00%








Rand Returns
Since 1 Year 4.85% 5.67% 4.85% 5.67% -1.00% 0.08% 3 Years 4.90% 6.71% 4.72% 6.49% 2.73% 4.63% 5 Years 4.93% 6.30% 4.75% 6.32% 4.56% 6.28%

investment strategy
The portfolio aims to provide an attractive income together with the possibility of capital growth, by investing in a diversified portfolio of government and non-government bonds. No attempt is made to time movements in or out of long- or short-term bonds. Value is added through a multi strategy approach and involves accessing the relative attractiveness of corporate and government bonds.

Single Premium Policies Endowment Retirement Annuity Annual Premium Policies Endowment Retirement Annuity Monthly Premium Policies Endowment Retirement Annuity

Inception 3.57% 4.05% 2.47% 3.29% 2.47% 3.32%

Liberty Active Fund Fact Sheet

1. Returns in this report are calculated on portfolios on a sell-to-sell basis. 2. These returns should be used when comparing the performance of Liberty Active portfolios against relevant portfolio benchmarks or other funds’ performances, where these are calculated on a sell-to-sell basis. 3. These returns are not ideal for calculating individual policy returns. It is important to note that portfolio returns can only be earned while money is invested in the portfolio. 4. Sell-to-sell returns apply to allocation (investment) amounts and are gross of any bid-offer spreads. 5. These returns are net of tax, management fees and shareholder profit participation. 6. Past returns are not necessarily an indication of future returns. 7. Whilst every effort has been made to minimise the likelihood of errors, the values quoted above are for illustrative purposes only and cannot be guaranteed. 8. Unless stated otherwise, returns can be negative as well as positive. * Information updated on a quarterly basis. ** Risk ratings take exchange rate movements into consideration and are representative of the fund in rand terms.

Dollar Returns
Since Single Premium Policies Endowment Retirement Annuity Annual Premium Policies Endowment Retirement Annuity Monthly Premium Policies Endowment Retirement Annuity -0.52% 0.31% -6.76% -5.75% -1.21% 0.61% 0.16% 1.81% -0.51% 0.28% -1.26% -0.49% 0.69% 2.40% 0.35% 1.85% Inception 0.55% 1.01% -1.26% -0.49% 0.87% 2.61% 0.52% 1.84% 1 Year 3 Years 5 Years

STANLIB is the entity referred to where reference is made to STANLIB Wealth Management, which is a FSB approved investment manager and linked investment service provider. Please note that the views and opinions expressed in this document are those of STANLIB Wealth Management. In formulating the above, STANLIB Wealth Management has taken due care to ensure that the views and opinions are based on information which is relevant and accurate. While every care has been taken before opinions and views are given, no representation, warranty, or undertaking (express or implied) is given and no responsibility or liability is accepted by any member of STANLIB Wealth Management as to the accuracy of any information contained herein. All opinions, views or recommendations conveyed may be changed after publication at anytime without notice. Any party relying on any view, opinion or model portfolio contained herein does so at its own risk. Potential investors must consult with their financial adviser as far as their own unique needs are concerned. The investments highlighted here are generally medium- to long-term investments. The value of an investment may go down as well as up and past performance is not necessarily a guide to the future.

Liberty Active Limited Physical Address Jorissen Place, 9th Floor, 66 Jorissen Street, Braamfontein, 2001 Care Line 0860 102 013 Phone +27 (0) 11 408-5511/+27 (0) 11 408-5500

STANLIB Wealth Management Limited An authorised FSP i.t.o. the FAIS Act, 2002 (Licence No. 26/10/590) 17 Melrose Boulevard, Melrose Arch, 2196 | P O Box 202, Melrose Arch, 2076 Tel: +27 (0) 11 448-6000 | Fax: 0867 277 505 | Contact Centre: 0860 123 003

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