STRENGTH THROUGH BALANCE
Old Mutual Unit Trust
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OLD MUTUAL NAMIBIA UNIT TRUSTS
Old Mutual Namibia Unit Trusts offer investors expertly managed Funds to suit a
variety of investment and savings needs. These Funds can be accessed via accredited
financial advisors or through brokers.
WHAT IS A UNIT TRUST?
Unit Trusts use the combined money of investors to invest in global markets and economies.
This combined investment is managed by investment professionals, called Portfolio Managers,
who buy shares and other assets classes on behalf of their clients, according to the mandate of
the Unit Trust. Simply put, Unit Trusts offer an easy, convenient and affordable way to invest in
shares, and other asset classes. There are many types of Unit Trust Funds that are designed to
offer you, the investor, a range of different benefits depending on your particular needs. These
can range from long-term growth, to Funds that give the investor regular income.
An added benefit is that because Unit Trusts are made up of more than one investment, the
Portfolio Manager can make a decision to buy assets that are performing well, and to sell
under-performing assets in order to meet the objectives on the Unit Trust, and your own investment goals.
Old Mutual Namibia Unit Trusts offers a range of Unit Trust Funds with different risk profiles,
from the very conservative to more aggressive Funds, in order that you can build a diversified
investment portfolio tailored to meet your personal investment needs, your risk profile, and
your long term investment goals.
There is no contractual term with a Unit Trust, and you may sell your investment at
any time. However, it is recommended that you view your Unit Trust portfolio as a
medium to long-term investment.
FEATURES & BENEFITS
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Unit Trusts offer you the flexibility to tailor an investment portfolio to suit your specific
needs and time horizon.
You can buy them directly from your financial adviser or broker.
You can access the stock exchange without needing prior knowledge or experience in
investing in equities.
You gain the ability to diversify (spread) your investment across different markets, sectors,
and economies - greatly reducing your overall investment risk.
Money invested in Unit Trusts is easily accessible, especially when you most need it.
Unit Trusts offer exciting capital growth opportunities, but should be viewed as a medium
to long-term investment tool.
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MAKE MONEY ON YOUR OWN MONEY
Did you know that when investing, your money is working for you through a simple
concept called compounding growth?
SAVING WITH COMPOUND INTEREST
As an example, an initial once-off investment of N$ 10,000 invested for 5 years at an annual
interest rate of 10% would give you an amount of N$ 16,105 if compounded annually. This
amounts to an additional N$ 1,105 above the N$ 15,000 you would have had when compounding was not used. The graph below shows three investors who each invested N$ 500 a
month until they were 65, but starting at different ages. Notice the difference in contributions
as the investor who invested at a later stage would have to contribute far more to achieve the
same final amount.
THE EFFECTS OF COMPOUND INTEREST
Started at 25
Started at 35
Started at 45
3,500,000
3,000,000
2,500,000
2,000,000
1,500,000
1,000,000
500,000
0
25303540 455055 6065
BUT THERE’S A CATCH
Compound growth is only effective over time. The longer you put off investing, the longer it will
take to reach your goal and the more it will cost you.
And whilst few of us have the luxury of investing a lump sum, investing smaller amounts regularly over time can be just as effective to build wealth, without making too dramatic an impact
on your budget.
A Unit Trust offers the flexibility to change your monthly investment as your circumstances
change - without you incurring penalties. We also offer the option to have your debit order
amount automatically increased each year, helping you combat the ravages of inflation.
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AND DON’T FORGET THE RISK
Unit Trust Funds come with an element of risk, based on a “risk profile” from 1 being low risk,
to 5 being a more aggressive Fund. Lower risk Funds are made up of more cash and bond
elements, whereas higher risk Funds concentrate more on the equities market across many
economies.
Compounding simply means making money on your original investment, as well as
on the gains made in the following years (i.e. growth on growth over time). If you
leave your investment over a long period of time, the investment not only grows each
year, but grows exponentially. This interest is called compound interest, and is the key
to long term growth and wealth.
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OLD MUTUAL NAMIBIA NEDBANK
NAMIBIA MONEY MARKET FUND
WHO IS THE FUND FOR?
The Old Mutual Nedbank Namibia Money Market Fund is suitable for investors who want a
liquid investment that delivers a regular income and/or maximum capital protection.
WHAT ARE THE OBJECTIVES OF THE FUND?
The Fund aims to deliver a regular income and to outperform bank deposits over time, whilst
preserving the capital invested.
HOW IS THE FUND MADE UP?
The Fund invests in money market securities with a maximum average maturity of 180 days. At
least 35% of the portfolio is invested in Namibian instruments.
DOES IT PAY A REGULAR INCOME?
No.
WHAT IS THE RECOMMENDED MINIMUM INVESTMENT TERM?
1 Year +
3 Year +
5 Year +
WHAT IS THE RISK PROFILE OF THIS FUND?
Low Risk
High Risk
1 2345
WHAT IS THE MINIMUM INVESTMENT REQUIREMENT?
Monthly: N$ 300
Lump Sum: N$ 5 000
OLD MUTUAL NAMIBIA NEDBANK MONEY MARKET FUND COMPOSITION
100
90
80
70
60
0-6 Months
24.7%
6-12 Months
28.9%
12+ Months
40.7%
Cash & Funds on Call
5.7%
50
40
30
20
10
0
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CHARGES:
An initial charge of maximum 1%, which may include commission.
Admin Commission:< N$100 000 0.4% Max. 0.6%. > N$100 000 0.25% Max. 0.6%.
Total expense ratio (TER): 0.70% (September 2014)
• Service fee (included in TER): 0.6% p.a. This fee is accrued daily and paid to the management company on a monthly basis.
• Other charges incurred by the fund, and deducted from its portfolio, are included in the TER.
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CHARGES:
An initial charge of maximum 1%, which may include commission.
Admin Commission:< N$100 000 0.4% Max. 0.6%. > N$100 000 0.25% Max. 0.6%.
Total expense ratio (TER): 0.65% (September 2014)
• Service fee (included in TER): 0.6% p.a. This fee is accrued daily and paid to the management company on a monthly basis.
• Other charges incurred by the fund, and deducted from its portfolio, are included in the TER.
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OLD MUTUAL NAMIBIA NEDBANK
NAMIBIA CORPORATE FUND
WHO IS THE FUND FOR?
The Old Mutual Nedbank Namibia Corporate Fund is suitable for investors who want a liquid
investment that delivers a regular income and/or maximum capital protection.
WHAT ARE THE OBJECTIVES OF THE FUND?
The Fund aims to deliver a regular income and to outperform bank deposits over time, whilst
preserving the capital invested.
HOW IS THE FUND MADE UP?
The Fund invests in money market securities with a maximum average maturity of 180 days.
At least 35% of the portfolio is invested in Namibian instruments.
DOES IT PAY A REGULAR INCOME?
No.
WHAT IS THE RECOMMENDED MINIMUM INVESTMENT TERM?
1 Year +
3 Year +
5 Year +
WHAT IS THE RISK PROFILE OF THIS FUND?
Low Risk
High Risk
1 2345
WHAT IS THE MINIMUM INVESTMENT REQUIREMENT?
Lump Sum: N$ 25 000
Ad-Hoc: N$ 10 000
OLD MUTUAL NAMIBIA NEDBANK CORPORATE FUND COMPOSITION
100
90
80
70
60
0-6 Months
32.0%
6-12 Months
21.9%
12+ Months
39.0%
Cash & Funds on Call
7.1%
50
40
30
20
10
0
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OLD MUTUAL NAMIBIA
INCOME FUND
WHO IS THE FUND FOR?
The Old Mutual Namibia Income Fund is suitable for investors who require a regular income
from their investment.
WHAT ARE THE OBJECTIVES OF THE FUND?
The Fund aims to offer to pay out a high regular income without putting the investors’ money
at undue risk, through a portfolio of Namibian and South African interest-bearing investments.
HOW IS THE FUND MADE UP?
The Fund invests in local interest-bearing investments including fixed and floating rate bonds and
money market instruments. The average duration of the Fund will always be less than two years.
DOES IT PAY A REGULAR INCOME?
No. Periodic income can be received on request.
WHAT IS THE RECOMMENDED MINIMUM INVESTMENT TERM?
1 Year +
3 Year +
5 Year +
WHAT IS THE RISK PROFILE OF THIS FUND?
Low Risk
High Risk
1 2345
WHAT IS THE MINIMUM INVESTMENT REQUIREMENT?
Monthly: N$ 300 Lump Sum: N$ 1 000
Ad-Hoc: N$ 300
OLD MUTUAL NAMIBIA INCOME FUND COMPOSITION
100
1-3 Year Bonds
53.6%
3-7 Year Bonds
9.0%
70
7-12 Year Bonds
3.3%
60
12+ Year Bonds
9.0%
50
Money Market Instruments 25.1%
90
80
40
30
20
10
0
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CHARGES:
An initial charge of maximum 1%, which may include commission.
Admin Commission:< N$100 000 0.4% Max. 0.6%. > N$100 000 0.25% Max. 0.6%.
Total expense ratio (TER): 0.81% (September 2014)
• Service fee (included in TER): 0.75% p.a. This fee is accrued daily and paid to the management company on a monthly basis.
• Other charges incurred by the fund, and deducted from its portfolio, are included in the TER.
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CHARGES:
The buying price of units includes the following charges:
• An initial charge of maximum 1%, which may include commission.
Admin Commission:< N$100 000 0.4% Max. 0.6%. > N$100 000 0.25% Max. 0.6%.
• Compulsory charges of 0.38%.
Total expense ratio (TER): 1.31% (September 2014)
• Service fee (included in TER): 1.2% p.a. This fee is accrued daily and paid to the management company on a monthly basis.
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OLD MUTUAL NAMIBIA
REAL INCOME FUND
WHO IS THE FUND FOR?
The Old Mutual Real Income Fund is suitable for retired investors who require a relatively low
income that maintains its buying power relative to inflation.
It is also suitable for investors approaching retirement who target inflation-beating returns.
WHAT ARE THE OBJECTIVES OF THE FUND?
The Fund aims to provide the highest level of income payout that can be sustained without
eroding the funds.
HOW IS THE FUND MADE UP?
The Fund invests into bonds, money market instruments, debentures, listed property, preference
shares, equities and other instruments across Namibian and South African markets.
DOES IT PAY A REGULAR INCOME?
The Real Income Fund has a distribution of profits on a quarterly basis.
WHAT IS THE RECOMMENDED MINIMUM INVESTMENT TERM?
1 Year +
3 Year +
5 Year +
WHAT IS THE RISK PROFILE OF THIS FUND?
Low Risk
High Risk
1 2345
WHAT IS THE MINIMUM INVESTMENT REQUIREMENT?
Monthly: N$ 300 Lump Sum: N$ 1 000
Ad-Hoc: N$ 300
OLD MUTUAL NAMIBIA REAL INCOME FUND COMPOSITION
100
90
80
70
60
50
40
30
20
10
0
Namibia & SA Convertible Bonds Namibia & SA Nominal Bonds
Namibia & SA Equities
Namibia & SA Property
International Equity
International Bonds
International Cash
International Property
Money Market Instruments*
Preference Shares
2.6%
25.8%
8.4%
8.9%
6.5%
6.6%
0.1%
3.2%
33.8%
4.1%
* Money market instruments include cash, NCD’s and treasury bills
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OLD MUTUAL NAMIBIA
MANAGED FUND
WHO IS THE FUND FOR?
The Old Mutual Namibia Managed Fund is suitable for investors who require long term
growth, with less volatility in the short term than investing in pure equities.
It is suitable as a stand-alone retirement investment.
WHAT ARE THE OBJECTIVES OF THE FUND?
The Fund aims to achieve longterm inflation-beating growth. The Fund has a growth asset bias
and will invest more heavily in shares.
HOW IS THE FUND MADE UP?
The Fund is exposed to all sectors of the Namibia and South African Market (shares, bonds and
property). The Fund complies with the Namibian Retirement Fund Legislation.
DOES IT PAY A REGULAR INCOME?
The Namibia Managed Fund has a distribution of profits on a biannual basis.
WHAT IS THE RECOMMENDED MINIMUM INVESTMENT TERM?
1 Year +
3 Year +
5 Year +
WHAT IS THE RISK PROFILE OF THIS FUND?
Low Risk
High Risk
1 2345
WHAT IS THE MINIMUM INVESTMENT REQUIREMENT?
Monthly: N$ 300 Lump Sum: N$ 1 000
Ad-Hoc: N$ 300
OLD MUTUAL NAMIBIA MANAGED FUND COMPOSITION
100
90
80
70
60
50
40
30
20
10
1-3 Year Bonds
5.3%
3-7 Year Bonds
3.3%
7-12 Year Bonds
1.9%
12+ Year Bonds
10.9%
Financials16.1%
Industrials19.6%
International Equities
31.1%
Liquid Assets
7.1%
Exchange Traded Funds
0.3%
Resources4.4%
0
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CHARGES:
The buying price of units includes the following charges:
• An initial charge of maximum 1%, which may include commission.
Admin Commission:< N$100 000 0.4% Max. 0.6%. > N$100 000 0.25% Max. 0.6%.
• Compulsory charges of 0.38%.
Total expense ratio (TER): 1.44% (September 2014)
• Service fee (included in TER): 1% p.a. This fee is accrued daily and paid to the management company on a monthly basis.
• Other charges incurred by the fund, and deducted from its portfolio, are included in the TER.
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CHARGES:
The buying price of units includes the following charges:
• An initial charge of maximum 5%, which may include commission.
Admin Commission:< N$100 000 2% Max. 3%. > N$100 000 0.25% Max. 3%.
• Compulsory charges of 0.49%.
Total expense ratio (TER): 1.09%
• Service fee (included in TER): 1% p.a. This fee is accrued daily and paid to the management company on a monthly basis.
• Other charges incurred by the fund, and deducted from its portfolio, are included in the TER.
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OLD MUTUAL NAMIBIA
GROWTH FUND
WHO IS THE FUND FOR?
The Old Mutual Namibia Growth Fund is suitable for investors wishing to benefit from the wealth
creation activities of Namibian and South African companies that show potential for superior growth.
WHAT ARE THE OBJECTIVES OF THE FUND?
The Fund aims to offer superior returns over the medium to longer term by targeting the shares
of growth-style companies.
HOW IS THE FUND MADE UP?
The Fund invests in shares across all sectors of the stock market, focusing on shares of growth style
companies from within the local Equity Markets.
DOES IT PAY A REGULAR INCOME?
The Namibia Growth Fund has a distribution of profits on a biannual basis.
WHAT IS THE RECOMMENDED MINIMUM INVESTMENT TERM?
1 Year +
3 Year +
5 Year +
WHAT IS THE RISK PROFILE OF THIS FUND?
Low Risk
High Risk
1 2345
WHAT IS THE MINIMUM INVESTMENT REQUIREMENT?
Monthly: N$ 300 Lump Sum: N$ 1 000
Ad-Hoc: N$ 300
OLD MUTUAL NAMIBIA GROWTH FUND COMPOSITION
100
90
80
Financials33.7%
Industrials52.0%
70
Liquid Assets
4.4%
60
Resources9.9%
50
40
30
20
10
0
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OLD MUTUAL NAMIBIA
PROPERTY FUND
WHO IS THE FUND FOR?
This fund is suitable for investors seeking exposure to the property market without the potential
difficulties and capital outlay of direct property investments. The investor should accept the volatility
of investing in the property sector.
WHAT ARE THE OBJECTIVES OF THE FUND?
The fund offers investors a high income yield, accompanied by capital growth over the
medium to longer term.
INVESTMENT MANDATE
The fund invests in selected property shares, which are identified on the basis of growth
potential, quality of the entities and the value they present. The fund may also invest in
international property shares.
WHAT IS THE RECOMMENDED MINIMUM INVESTMENT TERM?
1 Year +
3 Year +
5 Year +
WHAT IS THE RISK PROFILE OF THIS FUND?
Low Risk
High Risk
1 2345
WHAT IS THE MINIMUM INVESTMENT REQUIREMENT?
Monthly: N$ 100 Lump Sum: N$ 300
Ad-Hoc: N$ 100
OLD MUTUAL NAMIBIA PROPERTY FUND COMPOSITION
100
90
80
Property 95.0%
Cash 5.0%
70
60
50
40
30
20
10
0
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CHARGES:
The buying price of units includes the following charges:
• An initial charge of maximum 5%, which may include commission.
Admin Commission:< N$100 000 2% Max. 3%. > N$100 000 0.25% Max. 3%.
• Service fee: 0.85% p.a. This fee is accrued daily and paid to the management company on a monthly basis.
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FOR MORE INFORMATION, PLEASE EMAIL YOUR DETAILS TO:
[email protected] or for existing customers,
call the Old Mutual Call Centre on (061) 239 513.
For new clients call (061) 299 3999, or visit our website at
www.oldmutual.com.na
ALTERNATIVELY,
YOU ARE WELCOME TO
CONTACT YOUR FINANCIAL
ADVISER OR BROKER
FOR FURTHER INFORMATION.
Unit trusts are generally medium to long term investments. Past performance is no indication of future growth. It is important that you are
prepared for some shorter term fluctuations as your investment moves in line with the markets. Fluctuations or movements in exchange rates
may cause the value of underlying international investments to go up or down. An annual service fee is calculated on the market value of
the fund’s assets (excluding income and permissible deductions) and deducted from the portfolio on a monthly basis. A schedule of fees and
charges and maximum commissions is available from the company/intermediary. The daily price is the current value of the fund’s assets plus
interest income (minus expenses). You can easily sell your investment at the ruling price of the day (calculated at 15h00 on a forward pricing
basis). The Old Mutual Nedbank Namibia Money Market Fund unit price is static and interest is declared daily at 13h00.