Gryphon Prudential Fund

The primary objective of the fund is to generate real (after inflation) wealth for investors at lowest possible cost, with due cognisance of risk and, in particular, secular downside risk. This is achieved by consistently producing real returns and long-term capital growth through maximum exposure to equities (the asset class of choice over the long-term to protect investors against inflation) during bull markets, while minimising exposure to equities in secular bear markets. The portfolio complies with the statutory investment limits set for retirement funds (Regulation 28).

  • Investors who have a medium to long-term investment horizon and require returns in excess of inflation
  • Investors lacking the time, infrastructure or resources and/or investment sophistication to select and subsequently monitor the performance of the various asset classes and/or individual stocks and/or individual manager selection
  • Investors cognisant of the effects of costs on their returns
  • Investors of all ages as it maximises return per unit of risk throughout their various life stages
  • Investors seeking style diversification – the unique way in which the fund is managed, differs significantly from its peers

Portfolio Managers: Abri Du Plessis & Reuben Beelders
Benchmark: CPI + 5%

Fees (Incl. VAT):

  • ​Initial fee: 0%
  • Annual Management Fee Fund B: 0.34%

​Minimum lump sum | R2,000
Minimum debit order | R200 p.m.

  • Premised on the philosophy that most value is added by asset allocation as opposed to stock selection
  • Stock selection is indexed, and asset allocation is actively and aggressively managed
  • Coupled with a low-cost focus, this fund aims to achieve superior investment returns through the utilisation of indexed building blocks
  • The fund invests in a combination of Gryphon’s All-Share Tracker Fund, Money Market Fund, Global Equity Fund as well as off-shore cash and bond/property indexed products
  • Funds are allocated based on proprietary quantitative indicators that predict the primary bull/bear market cycles in equities and the South African Rand
  • Short-term volatility and secondary market cycles are generally disregarded as they are less predictable, being driven mainly by emotion (fear and greed); their effect on returns is relatively short-lived
  • The fund can invest up to 75% in equities
  • Maximum foreign exposure limits as permitted by prevailing legislation (currently 45%)
  • Multi-asset funds are inclined to be more tax efficient

Why invest?

Rainy days, exotic holidays, fancy cars, fairy-tale weddings – for most of us, these things are not going to happen unless we make it happen. To do any of this, we need to have money saved to pay for it – debt quickly turns into a dream-stealer we need to avoid.

Different types of funds

  • Cash funds give you the most predictable return,
    but probably won’t surprise you on the upside.
  • Multi asset funds move your assets between classes
    on your behalf – much like a shock absorber.
  • Index trackers follow the markets, they’re cheap
    as chips and can be just as satisfying.

Which fund?

Understanding how comfortable you are with risk can lead you in the right direction.

Ask yourself:

  • How long can I leave the money without touching it?
  • How much can I afford to save every month?
  • Could I add lump sums now and again?
  • How twitchy will I get if my value goes down?

Tools ‘n things

Playing around with the numbers can help you understand our funds a little better and can go a long way in helping you make your investment decisions. You know what they say: “The best way to learn is to do”.

Now what?

You’ve made the commitment to save and decided on a fund – the hard part is over! Now for the paperwork. Don’t despair – it’s easier than getting a driver’s licence, and we are here to walk you through the process, from the beginning until the very end.

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