Investec Special Income Fund

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					Investec Special Income Fund
Conservative, liquid and dividend yielding




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Conservative, liquid and dividend yielding


The Investec Special Income Fund aims to generate         Typical credit exposures, based on long-term credit
an attractive dividend yield, while preserving capital    ratings
and providing liquidity. The fund targets returns                           A
in excess of the STeFI Money Market Index, less                             10%
individuals’ highest marginal tax rate (currently 40%),
measured over one year periods.
                                                               A+
                                                               20%                                 AAA
What are the objectives of this fund?                                                              50%
• To provide a dividend yield that is higher than
  the after tax return offered by traditional money
  market funds
• To preserve capital                                                 AA
                                                                      20%
• To provide yields that are competitive with
  dividend income funds
• To offer regular dividend income that qualifies for
  STC* credits                                            This model of typical credit exposures serves to
                                                          illustrate that the Investec Special Income Fund only
• To provide liquidity                                    invests in high quality, investment-grade instruments.

Risk profile
                                                          Who should invest?
                                                          • Individuals who have already utilised their tax
  LOW      LOW-MOD       MOD      MOD-HIGH      HIGH
                                                            exemption on interest income earned
                                                          • Investors wanting to use this fund as a “core
Investment strategy                                         cash” portfolio in a well diversified portfolio
The primary focus of the portfolio managers is to         • Corporate investors requiring regular dividend
maximise dividend income earned on redeemable               income that qualifies for STC* credits
preference shares, which are allowed under the
                                                          • Investors seeking an alternative to money market
Collective Investment Schemes Control Act. The
                                                            funds that will yield greater net returns
Investec Special Income Fund may also generate
interest income from investments held to provide          • Short-term investors requiring protection from the
liquidity.                                                  uncertainties of the bond and equity market
                                                          • Investors needing capital security and liquidity
The fund is managed conservatively within the
Investec Asset Management risk framework. This
model ensures that risks resulting from duration,
credit and liquidity are constantly monitored and
managed. All assets held in the portfolio comply with
the Collective Investment Schemes Control Act.




The fund is managed conservatively within
the Investec Asset Management risk framework.
Fund facts

 Unit trust classification:                      Domestic Fixed Interest Varied Specialist
 Benchmark:                                      STeFI Index less individuals’ highest marginal tax rate (currently 40%)
 Risk profile:                                   Low risk
 Minimum lump sum investment:                    R50 000
 Income distribution                             Accrued daily and paid at the end of each calendar month
 Liquidity:                                      Daily
 Portfolio managers:                             Mokgatla Madisha and Vivienne Taberer
 Launch date:                                    3 August 2009
 Capacity:                                       R2 billion
 Initial charges (excl. VAT):                    0.40% payable to the financial adviser
 Annual management fee                           1%
 (excl. VAT):




Investors please note:
• The Investec Special Income Fund has received                     • With a view to protecting the interests of unit
  the necessary approval from the relevant                            holders, we reserve the right to limit the value of
  authorities, as required by the Financial Services                  participatory interest redeemed on any dealing
  Board.                                                              day.
• Dividends are currently exempt from income tax.                   • The fund may be closed to new investments from
  Income tax legislation may change in the future                     time to time.
  and such changes may* have an impact on the
  returns generated by the fund. Investors should
  therefore obtain independent tax advice.
• The Investec Special Income Fund is managed in
  accordance with the requirements of the Collective
  Investment Schemes Control Act.



*Secondary tax on companies. Draft legislation has been published
to provide for the replacement of STC with dividends tax.
Contact us


Financial advisers:                                                                    Individual investors:
• Please visit our website at                                                          • Please visit our website at
  www.investecassetmanagement.com for                                                    www.investinyourfuture.com to learn more
  more information on our range of unit trust                                            about our range of unit trust funds and portfolio
  funds and portfolio products. You’ll also find                                         products. You’ll also find application forms and
  application forms and other key literature on the                                      other key literature on the site.
  site.
                                                                                       • For more information and assistance with
• For more information and assistance with                                               investing, call Investec Client Service on
  investing, call Investec Client Service on                                             0860 555 700.
  0860 500 100. Alternatively, you can contact
  your Investec investment consultant.




Collective Investment Schemes in Securities (CIS) are generally medium- to long-term investments. The
value of participatory interests may go down as well as up and past performance is not necessarily a guide
to the future. CIS are traded at ruling prices and can engage in borrowing and scrip lending. A schedule of
fees, charges and maximum commissions is available on request from the company/scheme. Commission
and incentives may be paid and if so, would be included in the overall costs. Forward pricing is used. With
a view to protecting the interests of unit holders, we reserve the right to limit the value of participatory
interest redeemed on any dealing day. The income tax status is subject to current income tax legislation and
may change in the future. The risk profile is a measure of volatility, i.e. how the absolute return of the fund
varies. Note that there are other risks in the fund, which are not reflected in this rating.
All information and opinions provided are of a general nature and are not intended to address the
circumstances of any particular individual or entity. We are not acting and do not purport to act in any way as
an adviser or in a fiduciary capacity. No one should act upon such information or opinion without appropriate
professional advice after a thorough examination of a particular situation. We endeavour to provide accurate
and timely information but we make no representation or warranty, express or implied, with respect to the
correctness, accuracy or completeness of the information and opinions. We do not undertake to update,
modify or amend the information on a frequent basis or to advise any person if such information subsequently
becomes inaccurate. Any representation or opinion is provided for information purposes only.
Investec Fund Managers SA Ltd is a member of the Association of Savings & Investments SA.                          ����������������

				
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Description: Investec Special Income Fund