Balanced Fund

Investment strategy

The Fund will have an equity exposure of between 50% and 70% with the balance of the fund invested in fixed income securities, commodities, listed real estate and cash. The fund will primarily use Exchange Traded Funds (ETF's) to meet its investment objective but will also selectively invest in funds managed by active fund managers as well as selected direct equity and fixed income investments.

Benchmark

The Fund has a benchmark of 60% MSCI World Total Return Index and 40% Bloomberg Barclays Global Aggregate Bond Index. It is anticipated that over longer time horizons this return will approximate around 6% per annum.

Who is this fund designed for

This Fund is most suitable for investors who are seeking higher returns and are prepared to accept a larger risk of a significant drawdown in capital values over a rolling seven year period in exchange for greater expected returns over the longer term. It is suitable for investors who wish to have their capital exposed to equity markets for at least seven years.

Risk

This fund has a moderate to high level of risk and is therefore expected to deliver a moderate to high return profile. The Fund will always have a majority of its assets in equities. It is much riskier than cash savings, especially over the short term. Shares, fixed income instruments and commodities go down in value as well as up, so your investment returns will fluctuate daily - sometimes quite significantly - and you may get out less than you put in. Because this Fund invests in securities around the world, there is also the risk of being adversely affected by changes in foreign currency exchange rates.

Information not Advice

All information on our website is meant to help inform you in your investment decisions, not to provide advice on what you should or shouldn’t do. If you are seeking financial advice, please consult a qualified financial adviser.