Manager Watch Annual Survey by Alexforbes

MANAGER WATCH

â&#x201E;¢

ANNUAL SURVEY

Survey of Retirement Fund Investment Managers December 2018

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MANAGER WATCH™ SURVEY

Content Section One ............................................................................................................................................ 3

Introduction ......................................................................................................................................... 5 History of Alexander Forbes Performance Surveys ................................................................................ 6 Survey Changes 2018 .......................................................................................................................... 7 Alexander Forbes Assets under Management Review ........................................................................... 8 Market Indices and Statistics as at 31 December 2018....................................................................... 13 An increasing exposure to China in indices – what does it mean for investors? .................................... 14

Section Two .......................................................................................................................................... 21

Survey Notes...................................................................................................................................... 23 A review of 2018: negative returns all-round ....................................................................................... 26 SA Balanced Manager WatchTM Survey – Best Investment View........................................................... 29 Global Balanced Manager WatchTM Survey – Dynamic ........................................................................ 32 Global Balanced Manager WatchTM Survey – Best Investment View ..................................................... 35 Global Balanced Manager WatchTM Survey – Conservative................................................................... 39 SA Balanced Manager WatchTM Survey – Best Investment View Risk ................................................... 42 Global Balanced Manager WatchTM Survey – Dynamic Risk................................................................. 43 Global Balanced Manager WatchTM Survey – Best Investment View Risk.............................................. 44 Global Balanced Manager WatchTM Survey – Conservative Risk ........................................................... 45 SA and Global Balanced Manager WatchTM Survey – Volatility vs Return.............................................. 46 Global Balanced Manager WatchTM Survey – Conservative and Dynamic – Volatility vs Return.............. 47 Global and SA Balanced Manager WatchTM Survey – Asset Allocation.................................................. 48 Composite Dispersion of SA Balanced Manager WatchTM Managers .................................................... 49 Composite Dispersion of Global Balanced Manager WatchTM Managers ............................................... 50 Seeking alpha – by accident or by design?.......................................................................................... 52

Section Three ....................................................................................................................................... 57

SA Equity Manager Watch™ Survey ................................................................................................... 59 SA Equity Manager WatchTM Survey Composite Dispersion .................................................................. 71 SA Bond Manager Watch™ Survey .................................................................................................... 73 SA Bond Manager Watch™ Survey Composite Dispersion................................................................... 82 SA Money Market Manager WatchTM Survey........................................................................................ 84 SA Money Market Manager Watch™ Survey Composite Dispersion ..................................................... 90 Absolute Return Manager Watch™ Survey ......................................................................................... 91 Absolute Return Manager Watch™ Survey Composite Dispersion ....................................................... 97 Targeted Development Investments Manager Watch™ Survey ............................................................ 99 Fund of Hedge Funds Manager Watch™ Survey .............................................................................. 103 SA Property Manager Watch™ Survey.............................................................................................. 105 Multi-Manager WatchTM (Specialist) Survey ....................................................................................... 108 Multi-Manager WatchTM (Balanced) Survey ....................................................................................... 112 SA Medical Aid Manager Watch™ Survey......................................................................................... 116 BEE Manager Watch™ Survey – Performance Results...................................................................... 118 BEE Manager Watch™ Survey – Empowerment Details .................................................................... 120 LDI Manager WatchTM Survey ........................................................................................................... 122 Quality Shari’ah Funds – Outperform the general market .................................................................. 130 Shari’ah Manager Watch™ Survey ................................................................................................... 133 2019 Investment outlook: a fragile mix of policy uncertainties ........................................................... 142

Section Four....................................................................................................................................... 147 Fees ................................................................................................................................................ 148

Section Five........................................................................................................................................ 153 Investment Survey Glossary.............................................................................................................. 155

Section Six.......................................................................................................................................... 163 Directory of South African Asset Managers ....................................................................................... 164

MANAGER WATCHâ&#x201E;¢ SURVEY

Section One Annual Survey Overview

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SECTION 1

Introduction

The Manager Watch™ Survey of Retirement Fund Investment Managers is an annual survey that showcases the performance of institutional fund managers in South Africa and has been published since 1994.

The Structure of the Retirement Fund Survey This edition includes fourteen surveys with 60 managers and 412 funds, covering three balanced surveys, ten specialist surveys, and the multi-manager survey. The criteria for participation in any of the surveys remains unchanged from 2010 where a fund size of R200 million as well as a 12-month track record, is prerequisite. The R200 million criteria is applicable to all funds in most survey categories except where it is specifically indicated that this criteria is excluded. Managers are encouraged to submit new entrants into the surveys promptly as we are cognisant of not allowing back-fill bias to skew our historic databases. All participants are, from time to time, expected to sign a document pertaining to participation rules for the Alexander Forbes Manager Watch™ surveys. The following surveys are included: SA Manager Watch™ and Global Manager Watch™ Survey – Balanced Mandates

SA Bond Manager Watch™ Survey SA Money Market Manager Watch™ Survey Absolute Return Manager Watch™ Survey Targeted Development Investment Survey Fund of Hedge Funds Survey SA Property Manager Watch™ Survey Multi-Manager Watch™ Survey Medical Aid Manager Watch™ Survey BEE Manager Watch™ Survey LDI Manager Watch™ Survey Shari'ah Manager Watch™ Survey Each survey shows performance returns over different time periods as well as risk-adjusted performance over a three-year period in figures and an easy to use graphical format. 2018 saw a number of exits as well as new entries to the existing surveys with many managers improving their data delivery standards in order to adhere to the Alexander Forbes data standards. The table on page 7 reflects funds that entered and exited the surveys over the past year, as well as any name changes.

SA Equity Manager Watch™ Survey

MANAGER WATCH™ SURVEY

A glossary of commonly used investment terms is included.

The Manager Watch™ Survey includes commentary around the pertinent issues experienced by funds within this survey over the various periods to December 2018. This serves to inform readers of the themes that the markets are being influenced by.

Conclusion It is important to remember that the surveys provide only a platform for asset managers to display returns in a simple and credible way. Whilst trying to keep these surveys simple and easy to read, it is imperative to include a number of useful indicators for greater understanding of risk and performance.

We also give indicative fee ranges for the different mandates based on fee scales that asset managers submit. We have also differentiated between base fees and performance fees. It is important to note that actual negotiated fees could be lower than published fees.

Manager evaluation should never be done in isolation, but rather with a clear understanding of the weaknesses that any data sources inherently bring to the table. Ideally, analyses need to be done through different market environments using a number of different sources and advice, before a fair assessment of strengths and weaknesses can be made. Lastly, past performance is no indication of future performance – Caveat Emptor!

The keynote article for this year’s publication is entitled: An Increasing Exposure To China In Indices – What Does It Mean For Investors? The article discusses investment strategy from a geographical perspective and goes on further to discuss how difficult it will become for investors to ignore investment in listed Chinese shares. At the end of Section 2 Seeking Alpha, by accident or by design: an article which touches on how investors all over the world seek to maximise their investment outcomes. In this section we also provide an economic review of what happened in 2018 and how balanced managers navigated the prevailing economic conditions.

To access our Manager Watch™ Series of Surveys: https://www.alexanderforbes.co.za/ research/publications

Section 3 provides the 2019 investment outlook for the global and local economy. It also features the Shari'ah Manager WatchTM Survey which was launched in 2018. With Shari’ah finance and investment increasing in popularity, the Alexander Forbes survey team found it appropriate to add the Alexander Forbes Shari’ah Manager Watch™ Survey to the series of surveys. Shari’ah investing is for people looking to invest based on Islamic principles as well as those just looking to diversify their portfolios.

History of Alexander Forbes Performance Surveys Enhancements post-1998 • Risk profiling • SA-only and Global-only portfolios • Benchmark returns • Risk-adjusted measures

1994

Manager Watch Performance-Only Survey – a market first!

1998 ■■

■■ ■■ ■■

2001

Absolute Return Survey

2002

Property Survey Surveys Revamped

Specialist Equity Survey

2003

Manager Watch™ Money Market Survey revamped Survey Participation criteria set Large Manager Watch™ - Launched June 1998 -- Top 10 active balanced managers RDP Survey (later renamed Targeted Development Investments Survey)

2013

2007

Specialist Bond Survey

Formalised Survey Goverance

Medical Aid Survey

2004

Hedge FOF Survey

2006

International Survey

2010

BEE Survey

2012

LDI Survey

2014

Equity Funds Analysis

2015 Survey Rules

2017

2019

New Survey Technology

Survey Rules Updated, New LMW Definition

Africa Survey Development

2018

Shar'iah Survey

SECTION 1

Survey changes 2018 Survey

Exits

Entries

SA Manager WatchTM: Best Investment View

Oasis Pan-African

Bridge Managed Growth Fund

SA Manager WatchTM: Conservative SA Large Manager WatchTM: Global Manager WatchTM Dynamic:

Bridge Stable Growth Fund Oasis OMIG MacroSolutions (Profile Edge28) OMIG MacroSolutions Profile Balanced

Global Manager WatchTM: Best Investment View

Global Manager WatchTM: Conservative

Momentum Investments Flexible Factor 6 Momentum Investments Flexible Factor 7 Kagiso Global Balanced Fund Momentum Investments Classic Factor 6 Momentum Investments Target Factor 7 Nedgroup Investments Balanced Fund Obsidian SCI Balanced fund Momentum Investments Classic Factor 5 Momentum Investments Enhanced Factor 4 Momentum Investments Enhanced Factor 5 OMIG MacroSolutions Moderate portfolio PSG Stable Fund

Global Large Manager WatchTM: Nedgroup Investments Flexible Income Fund Bond

Equity

Absolute Survey

Money Market

Kagiso Core SWIX STANLIB Value STANLIB Unconstrained Equity Afena Capital Equity SWIX Prescient Equity Quant Fund VunaniFM Active Capped SWIX Afena Capital Moderate Equity SWIX OMIG Managed Volatility

STANLIB Inflation Plus 3% Fund MMI - Absolute Return (CPI +5%) MMI - Absolute Return (CPI +6%)

Prudential High Interest Fund Kagiso Core Swix Fund Excelsia Capital Core Equity PAM Domestic Balanced

BEE

Medical Aid Property Fund Of Hedge Funds

LDI

Investec Flexible Bond Composite Coronation Flexible Fixed Interest Kagiso Bond Fund Prescient Flexible Bond Composite Vunani FM Inflation Linked Bond Fund Afena Capital Unconstrained Equity Nedgroup Investments Private Wealth Equity Mianzo Active Equity Benguela SA Equity SWIX Perpetua Equity Bridge Equity Income Growth Fund Kagiso Core Equity Capped SWIX Afena Capital Core Equity All Weather Capital SWIX Equity Mazi Asset Management Capped SWIX Sentio General Equity (Capped Swix) Rezco Equity Benguela SA Equity Capped SWIX Argon SA Equity Capped SWIX Momentum Investments Trending Equity Momentum Investments Value Equity Mianzo Absolute Return Fund - CPI+6% Nedgroup Investments Opportunity Fund Sasfin BCI Stable Fund PSG Stable Fund Argon Absolute Return CPI+5% Argon Global Balanced CPI +6% Mianzo Absolute Return Fund - CPI+6% Benguela SA Equity Capped Swix Fund Mianzo Active Equity Fund Perpetua Equity VunaniFM Active Capped SWIX Mazi Asset Management Equity CAPPED SWIX Composite Kagiso Core Equity Capped SWIX

MMI-Medical Aid Money Market Absa Asset Management Medical Aid STANLIB institutional Property Fund Sygnia Absolute Fund Of Hedge Funds Sygnia All-Star Fund of Hedge Funds Sygnia Signature Fund Of Hedge Funds Colourfield Composite 1 Colourfield Composite 2 Colourfield Composite 3 Colourfield Composite 4

TDI Multi Manager

Sygnia Money Market Fund Momentum Investments Absolute Strategies Momentum Investments Classic Factor 5 Momentum Investments Real Return

MANAGER WATCH™ SURVEY

Alexander Forbes Assets Under Management Review Top 20 Asset Managers Ranked by Total Assets Under Management (AUM) as at 30 June 2018 2017 Rank

2018 Rank

–

Old Mutual Investment Group

Asset Manager

Total AUM (R m)* 644721

Total SA Assets 492589

Level 2

BEE status

–

Coronation Fund Managers

531918

422247

Level 3

–

Investec Asset Management

527429

318178

Level 2

–

Allan Gray Limited

522334

342276

Level 4

–

STANLIB Asset Management

483360

480064

Level 2

–

Sanlam Investment Management

477767

379998

Level 3

–

NA –

Alexander Forbes Investments

311937

244317

Level 3

Nedgroup Investments

249805

196629

Level 2

Sanlam Multi-Manager International

208519

165593

Level 3

Prudential Portfolio Managers

207307

183341

Level 2

Futuregrowth Asset Management

177756

177755

Level 2

Momentum Asset Managers

139501

115349

Level 3

Taquanta Asset Managers

138409

134404

Level 2

Foord Asset Management

136094

101541

Level 5

Absa Asset Management

131027

105478

Level 2

Old Mutual Multi Managers

101252

75770

Level 2

Momentum Manager of Managers

98588

79881

Level 3

Prescient Investment Management

86381

84612

Level 3

Abax Investments

76366

69301

Level 3

STANLIB Multi Managers

75803

45570

Level 2

*AUM as reported in the Alexander Forbes AUM survey June 2018 - these figures represent AUM for SA clients only (Domestic, Africa and International assets) and the review of AUM is based on these figures. Rankings are based on the Total AUM figures Please note that due to standardization methodology, numbers may be overstated.

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SECTION 1

Review of AUM for June 2018 Old Mutual Investment Group (OMIG) is still the biggest South African asset manager and saw an increase in assets under management of 10.0%. Coronation Fund Managers followed, and saw an accumulation in AuM due to the reopening of portfolios to new SA institutional clients in March 2017. These products had been closed for five years. Investec Asset Management remained in third position with a 5.9% increase in AuM attributed to a combination of net inflows and positive performance within various underlying strategies. The top 7 investment managers remained in the same positions as 2017 with Nedgroup Investments entering the survey in eighth position and replacing Prudential Portfolio Managers who moved to the tenth position.

The June 2018 survey universe grew by 15 new additions compared to the 47 investment managers in the June 2017 survey. Cadiz Asset Management and Sygnia Asset Management have exited the survey. The Total AuM including Multi Managers increased by 9.5% over the 12 months. The 10 largest investment management companies in South Africa accounted for 68.8% of total AUM including Multi Managers, reflecting a 0.4% decline since June 2017. The next grouping of 10 asset managers (ranked by size) saw a decrease in AuM of 1.6% over the same period, while the balance of the asset managers within the survey universe grew by 2%.

Changes in the AUM Survey for June 2018

Entries

Exits

MANAGER WATCHâ&#x201E;¢ SURVEY

Total Value of Assets Managed (31 December 2008 to 30 June 2018) Growth in Assets (year on year) 6 000 000

5 000 000

Total (R m)

4 000 000

3 000 000

2 000 000

1 000 000

0 Dec-2008

Dec-2009

Dec-2010

Dec-2011

Jun-2012

Jun-2013

Jun-2014

Jun-2015

Jun-2016

Jun-2017

Jun-2018

Total AUM (R m)

2 465 853

2 718 458

3 082 163

3 187 853

3 300 885

3 926 696

4 940 445

5 204 943

5 014 927

5 365 119

5 874 757

Total AUM (R m) excl Multi-Managers

2 190 067

2 433 650

2 760 257

2 850 977

2 950 020

3 428 804

4 147 637

4 409 561

4 291 267

4 443 595

5 078 658

Total AUM (R m)

Total AUM (R m) excl Multi-Managers

Asset Distribution to Manager Size 90.00% 80.00% 70.00% 60.00% 50.00% 40.00% 30.00% 20.00% 10.00% 0.00% Jun-2014

Jun-2015 Top 10 Managers

Jun-2016 Next 10 Managers

Jun-2017 Remaining Managers

Jun-2018

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MANAGER WATCHâ&#x201E;˘ SURVEY

Asset Distribution to Manager BEE ratings The asset distribution shifted in 2018 from Level 2 asset managers with an 8.7% increase in the Level 4 contributors. The change from 2017 to 2018 was indicative of the significant changes in the calculation methodology for the BBBEE (Broad Based Black Economic Empowerment) scorecard some of which were automatic recognition levels for large black owned enterprises, awarded points for procurement spend with empowering suppliers and the youth employment service initiative. Some companies feel that these changes may lead to possible downgrading of their current BBBEE ratings.

Growth in Assets (year on year) 70.00% 60.00% 50.00% 40.00% 30.00% 20.00% 10.00% 0.00%

Level 1

Level 2

Level 3

Level 4

Level 5

Level 6

Level 7

Level 8

Unrated

2017

2.20%

61.35%

32.05%

0.13%

0.00%

3.44%

0.00%

0.63%

0.19%

2018

2.03%

50.87%

33.62%

8.82%

2.27%

0.52%

0.00%

1.45%

0.41%

BEE Ratings of the asset managers were accredited by the following companies: NERA, Veridex BBBEE Verification Agents, AQRate Verification Services, Kbonga BEE Verification Agency (Pty) Ltd, Moore Stephens B-BBEE Verification and Consulting, Sizwe Ntsaluba Gobodo, National Empowerment Rating Agency, Empowerdex, BEESCORE, The Financial Sector Code, Abacus BEE Verification (Pty) Ltd, Honeycomb, Authentic Rating, SAB & T, EVS -Express Verification Service member of Empowerdex, MD Accountants & Auditors, Grant Thornton Verification Devices(Pty) Ltd, Acker & Maloney Inc., EmpowerLogic

Twelve investment managers out of the 60 participating managers are Level 1 contributors. Foord improved their rating from a Level 6 in 2017 to a Level 5 in 2018 while Allan Gray dropped to a Level 4 in June 2018. Ashburton Investments and Melville Douglas both a level 2 contributor in 2017, moved to Level 1 in 2018. Sentio Capital and Aeon Investment Managers saw substantial growth in assets under management over the course of 2018. Fifty percent of the top 10 managers were rated Level 2 contributors with the remaining managers being Level 3 and 4 contributors. There are no level 1 contributors in the top 20 investment managers ranked by size. There are five asset managers in the universe who remain unrated.

BEE ratings according to Manager Distribution 60.00% 50.00% 40.00% 30.00% 20.00% 10.00% 0.00% Top 10 Managers

Level 1

Level 2

Level 3

Level 4

Level 5

Level 6

Level 7

Level 8

Unrated 0.00%

0.00%

50.00%

40.00%

10.00%

0.00%

Next 10 Managers

0.00%

50.00%

40.00%

0.00%

10.00%

0.00%

Remaining Managers

30.00%

35.00%

7.50%

0.00%

2.50%

0.00%

5.00%

12.50%

SECTION 1

Market Indices and Statistics as at 31 December 2018 1 Year (%)

3 Years (% p.a.)

5 Years (% p.a.)

7 Years (% p.a.)

10 Years (% p.a.)

FTSE/JSE All Share Index

-8.53%

4.33%

5.77%

10.69%

12.62%

FTSE/JSE Capped All Share Index

-7.67%

4.25%

5.77%

10.71%

12.76%

FTSE/JSE Capped SWIX All Share Index#

-10.94%

FTSE/JSE SWIX All Share Index

-11.67%

3.69%

5.92%

11.01%

13.02% 12.28%

Equity (Total Return Indices)

FTSE/JSE Top 40 Index

-8.31%

3.55%

5.44%

10.55%

FTSE/JSE Resource 20 Index

17.77%

21.03%

-0.84%

0.23%

3.72%

FTSE/JSE Industrial 25 Index

-17.87%

-1.94%

5.43%

14.63%

16.87%

FTSE/JSE Financial 15 Index

-4.09%

7.30%

9.80%

14.85%

15.19%

FTSE/JSE Mid Cap Index

-9.73%

7.14%

6.34%

10.33%

13.93%

FTSE/JSE Small Cap Index

-14.59%

2.06%

4.25%

10.46%

12.48%

Cash (Total Return Indices)

Alexander Forbes Money Market Index

7.26%

7.41%

6.92%

6.50%

6.70%

Short Term Fixed Interest Rate Index (Revised)

7.29%

7.39%

6.91%

6.47%

6.70%

All Bond Index

7.69%

11.07%

7.71%

7.81%

7.68%

1 - 3 Year Bond Index

9.14%

9.61%

7.81%

7.39%

7.71%

Bonds (Total Return Indices)

3 - 7 Year Bond Index

7.34%

10.64%

8.08%

7.88%

8.07%

7 - 12 Year Bond Index

7.32%

11.20%

7.59%

7.91%

7.85% 6.92%

12+ Year Bond Index

7.65%

11.52%

7.80%

8.03%

Barclays Capital ILB Index

-0.43%

2.89%

4.65%

6.06%

7.43%

OTHI Index

10.24%

12.18%

8.42%

8.71%

8.36%

GOVI Index

6.82%

10.67%

7.52%

7.60%

7.53%

FTSE/JSE SA Listed Property Index

-25.26%

-1.19%

5.70%

9.96%

12.09%

FTSE/JSE All Property Index!

-24.98%

Real Estate (Total Return Indices)

Global (In Rands) (Total Return Indices)

MSCI World !

6.66%

4.29%

12.03%

19.10%

15.27%

Citi WGBI !

15.22%

0.18%

7.38%

8.82%

6.11%

Citi 3M US Treasury Bill

18.36%

-1.48%

7.20%

9.09%

4.89%

Rand / $US

16.20%

-2.45%

6.55%

8.60%

4.52%

Rand / Pound

9.40%

-7.08%

1.10%

5.56%

3.26%

Rand / Euro

10.62%

-0.78%

2.64%

6.65%

2.50%

Exchange rates

Inflation

Headline Inflation

5.18%

5.47%

5.39%

5.42%

5.34%

Headline CPI + 3%

8.18%

8.47%

8.39%

8.42%

8.24%

Headline CPI + 4%

9.18%

9.47%

9.39%

9.42%

9.24%

Headline CPI + 5%

10.18%

10.47%

10.39%

10.42%

10.24%

Headline CPI + 6%

11.18%

11.47%

11.39%

11.42%

11.24%

Foreign Indices (Source: Bloomberg, INET Bridge and Data Stream) All returns quoted above are Total Returns #FTSE/JSE Capped SWIX All Share Index inception date was December 2016 !FTSE/JSE All Property Index inception data was October 2017

Exchange Rates for the past 10 years to December 2018 South African Rand To US $

South African Rand To UK £

South African Rand To Euro €

31/12/2009

7.36

11.89

10.57

31/12/2010

6.62

10.36

8.88

30/12/2011

8.07

12.55

10.48

31/12/2012

8.48

13.79

11.19

31/12/2013

10.47

17.35

14.43

31/12/2014

11.57

18.04

14.00

31/12/2015

15.50

22.84

16.83

31/12/2016

13.68

16.90

14.42

31/12/2017

12.38

16.75

14.87

31/12/2018

14.39

18.32

16.44

MANAGER WATCH™ SURVEY

An increasing exposure to China in indices – what does it mean for investors?

SECTION 1

Economic exposure Investors choose to either invest in indices or use indices as benchmarks that define the universe in which they expect managers to invest. Investors would generally hope that the index they choose will capture the desired economic exposure that they are seeking. But this is often not the case. For example, it is estimated that non-South African factors drive in excess of 50% of earnings of shares included in South African equity indices. Africa ex-South African share indices struggle to capture direct African frontier exposure owing to the large portion of the wealth of Africa that is held either in private or government hands or through offshore companies listed on other stock exchanges.

China economic exposure China is a particular example of the misalignment between so-called economic exposure and its exposure in indices, with a low level of Chinese shares being represented in indices as opposed to its large global economic share. The International Monetary Fund World Economic Outlook for April 2018 indicates that on a nominal GDP basis, the United States (US) ranks highest at 23.3% with China second at 16.1%. Based on purchasing power parity, however, China ranked highest at 18.7% with the US at 15.1%.

The International Monetary Fund World Economic Outlook â&#x20AC;&#x201C; April 2018

23.3% 16.1% Purchasing power parity

Normal GDP basis

15.1% 18.7% 15

MANAGER WATCH™ SURVEY

Availability to international investors A-shares

B-shares

H-shares

Red chips

P-chips

S-chips

N-shares

Country of incorporation

Stock exchange (trading currency)

Largest sector

Example Kweichow Moutai, PetroChina, Ping An Insurance, China Merchants Bank

Under QFII/RQFII/ Stock Connect

PRC

Shanghai (CNY) / Shenzen (CNY)

Financials

No restrictions

PRC

Shanghai (USD)/ Shenzen (HKD)

Industrials

No restrictions

PRC

Hong Kong (HKD)

Financials

No restrictions

Not in PRC

Hong Kong (HKD)

Telecom services

China Mobile, CNOOC, BOC Hong Kong

No restrictions

Not in PRC

Hong Kong (HKD)

Consumer discretionary

Tencent, Geely Automotive, China Evergrande

No restrictions

Not in PRC

Singapore (SGD)

Industrials

No restrictions

Not in PRC

NYSE/ NASDAC/ NYSE MKT (USD)

Information technology

Shanghai Lujiazui Fin & Trade Dev, Inner Mongolia Yitai Coal, Chongquin PetroChina, China Construction Bank, ICBC, Ping An Insurance

Yangzijiang Shipbuilding Holdings, Yanlord Land Group, SIIC Environmental

Alibaba, Baidu, JD.com

Source: FTSE Russell, https://seekingalpha.com/article/4178973-chinese-equities-market-access-equity-benchmarks-shares

Chinese exposure in indices And yet the exposure to China in global equity indices has been a fraction of its economic exposure, not least because investing in Chinese shares has been complex, with foreign investors historically only able to invest in certain classes of shares as shown in the summary table above. China shares accessible to foreigners have for some time been included in indices and represent approximately 30% of the MSCI Emerging Market (EM) index. Chinese A-shares have, however, been excluded from indices until partial inclusion commenced by MSCI on 1 June 2018. China A-shares are stocks of companies incorporated in China, listed in China and traded in local currency only. Despite the Chinese A-share market being the world’s second largest equity market after the US, foreign investors have had limited ability to own these shares. Until November 2014, foreign investors could only access China A-shares through Qualified Foreign Institutional Investor (QFII) or Renminbi Qualified Institutional

Investor (RQFII) schemes, which came into effect in 2002 and 2011. The QFII and RQFII schemes allowed investors to apply for a quota to invest in China A-shares. Restrictions existed on the types of organisations that could apply as well as allocation size and ability to repatriate capital. The Chinese authorities, in line with an expressed commitment to the opening of access to the mainland China equity market, introduced the Stock Connect programme in 2014. Stock Connect is a link between the Shanghai Stock Exchange and the Stock Exchange of Hong Kong, which expanded the connection between the mainland Chinese stock market and the rest of the world. In late 2016, a similar link was established between the Shenzhen Stock Exchange and the Stock Exchange of Hong Kong. The daily quota on Stock Connect was quadrupled from 1 May 2018 to increase liquidity in time for the MSCI’s inclusion of 226 local currency, locally listed Chinese companies in its EM index on 1 June 2018.

SECTION 1

Inclusion in MSCI indices The inclusion of these 226 China A-shares in the MSCIâ&#x20AC;&#x2122;s global equity indices on 1 June 2018 represented 2.5% of the A-Share market, increased to 5% in September 2018. The illustrations on the right illustrate the current 5% of the China A-shares representing 0.8% of the MSCI EM index, compared with how the index will look once 100% of the China A-shares are included, which means that an estimated 42% of the EM index will then be exposed to China shares.

MSCI EM Index with 5% China A-shares

34.3% Others

China

The initial impact of the inclusion of the A-shares has been limited but in the longer term the inclusion will have a significant impact, especially for EM benchmarked portfolios where China exposure will grow to be in excess of 40%. Based on the Korea and Taiwan inclusions as a guide, this may take five to ten years to fully take place. The addition of A-shares has had even less effect on the China exposure in the MSCI All Country Index (ACWI) with a total China exposure of 3.3% at 31 October 2018 after inclusion of the A-shares.

Other index providers FTSE Russell has indicated (September 2018) that it will decide in the near future whether to include China-listed equities in its indices, potentially with a heavier weighting than the current 0.8% weighting used by the MSCI. S&P Dow Jones has initiated consultation (closed 15 October 2018) on the inclusion issue, noting that historically China A-shares have been excluded from S&P Dow Jonesâ&#x20AC;&#x2122;s Global Benchmark Indices owing to limited foreign investor access. Whilst the expansion of the investment options available to foreign investors for China A-shares has been encouraging, concerns remain for S&P Dow Jones, including: currency repatriation limits for foreign investors the high amount of voluntary stock suspensions in the Chinese market

30.5%

15.0%

11.1%

Korea

Taiwan

8.3% India

A -shares

0.8%

MSCI EM Index with 100% China A-shares

28.9% Others

25.8% China

15.0% Korea

9.4% Taiwan

7.0%

16.2%

India

A-shares

challenges with quota applications for QFII and RQFII investors

MANAGER WATCHâ&#x201E;˘ SURVEY

Investment opportunities Despite concerns regarding access and voluntary suspensions, the China A-Share market may be attractive to investors for many reasons. The Chinese A-share market has over 3 000 shares and a market capitalisation in excess of USD8 trillion, second only to the US. Chinese A-shares make up approximately 70% of the market capitalisation of all Chinese listed stocks, with a significant level of diversification. The market is the most liquid in the world with an aggregate trading volume exceeding that of the New York and Nasdaq stock exchanges combined.

Index sector exposure (May 2018) 50

0 Financials

Industrials

Consumer staples

Consumer discretionary

MSCI China A

Historically, Chinese A-shares have exhibited a low correlation with global equity markets, to a large extent because they are still mainly driven by local retail investors, who own more than 75% of the shares. The correlation with other markets will increase over time as markets open up, but this will take time to realise. 5-year correlation of Chinese A-shares with four major indices

MSCI World

Global EM

APAC ex JP

MSCI China

Shenzhen Stock Exchange Composite Index

0.18

0.33

0.19

0.49

Shenzhen Stock Exchange Composite Index

0.20

0.39

0.22

0.59

Healthcare

Materials

Real estate

Utilities

Energy

Telecoms

MSCI China

Investment risks However, investors need to be aware of the risks involved in investing in China A-shares, not least the concerns about Chinese corporate governance and market practices which have not necessarily improved since the MSCI previously rejected inclusion of A-shares in its indices. It is hoped that the MSCI inclusion will create an opportunity for Chinese companies to align their corporate governance practices with international standards. A 2017 MSCI report on corporate governance in China identified several major areas of concern, including: a lack of an independent chair and board majority controlling shareholder and related party transaction conflicts limited protection rights for shareholders Although the market is large and liquid, it is subject to significant volatility and has suffered from liquidity droughts, especially in July 2015 when more than half of the 2 800 companies listed on the Shanghai and Shenzhen exchanges were able to suspend trading of their shares through a stock suspension mechanism that allows companies to apply to regulators for a trading halt.

SECTION 1

The market has experienced high levels of stock suspensions with between 5% and 10% of listings suspended on any day. In the light of this, it should be noted that MSCI has made the decision to exclude stocks that have been subject to trading suspensions for more than 50 days in the past 12 months. Investors may also be concerned about the potential for government intervention, given that the Chinese authorities have exhibited a strong inclination towards control of their financial markets. The Chinese government's ability to impose restrictions on stock trading without prior notice or public discussion remains a significant concern. During Chinaâ&#x20AC;&#x2122;s stock market crash in 2015, the authorities intervened by punishing short selling, suspending initial public offerings, urging fund managers to buy more stocks and providing central bankbacked funds to boost share prices.

What does it mean for investors? Investment in listed Chinese shares will be difficult for investors to ignore as they become a larger and larger portion of EM and all world indices. Key takeaways for investors include the following:

Credit

Liability Driven Investing

Largest black-owned manager in South Africa

Specialist fixed income and multi-asset class manager

Customised solutions specific to client investment objects

Strong track record across asset classes

Menzi Lukhele (Head of Business Development)

Nominal Bonds

Purely passive investors investing into either all-country indices or a combination of developed markets (DM) and EM indices will take on more exposure to Chinese as A-shares are added to the all-country and EM indices. Given the large portion that China will represent in the EM indices in future and the concerns that investors may have about this exposure, some passive investors may consider splitting their investments between DM, EM ex-China and China indices, with the potential for active over- or underallocation between these sub-sectors. Investors who allocate active mandates to managers will need to consider whether current all-country or EM indices are appropriate for defining the universe for existing active managers, or whether separate China or China A-share mandates should be considered. The research process and skill set required for active selection within the A-share universe is likely to require significantly different approaches given the diverse conditions and factors currently driving this market. Irrespective, investors will need to consider whether existing investment approaches and risk measures sufficiently capture the different characteristics that A-shares may have compared with other sub-sectors of their investment universes.

Inflation Linked Bonds

Balanced Funds

Cash

Systematic investment approach for the long term

Experienced professionals with true teambased approach

MenziL@taquanta.com

+27 21 681 5156

19 www.taquanta.com

MANAGER WATCHâ&#x201E;¢ SURVEY

MANAGER WATCH™ SURVEY

Section Two Manager Watch™ Survey

Sasfin Wealth offers you one asset classthe world. We are no ordinary boutique asset manager. Our range of top-performing and award-winning unit trusts are designed to return value to the most discerning of retail and institutional investors. Featuring some of the country’s most highly regarded fund managers, we present to you a single asset class – the world. To find our more contact Martin Hyde on 011 809 7779 or martin.hyde@sasfin.com

sasfin.com | 0861 SASFIN Sasfin Wealth comprises Sasfin Securities (Pty) Ltd, JSE member and NCA credit provider – NCRCP 2139; Sasfin Asset Managers (Pty) Ltd, FSP No. 21664 and Sasfin Financial Advisory Services (Pty) Ltd, FSP No. 5711. This advert is general in nature and is not advice. Sasfin Wealth accepts no liability for errors or changes. All data and examples are given as indicators only and are not guaranteed unless confirmed in writing. Past performance is not necessarily indicative of future performance. As clients are responsible for their decisions, they should obtain independent advice before taking any action.

SECTION 2

Survey information relating to the year ended 31 December 2018

The changes which took place in the 2018 calendar year are summarised in the below. SA Manager WatchTM – Best Investment View

Bridge Managed Growth entered in April 2018 Pan-African exited in June 2018 Oasis exited in July 2018

SA Manager Watch™ – Conservative

Bridge Stable Growth entered in April 2018

SA Large Manager Watch™

Oasis exited in July 2018

Global Manager Watch™ – Dynamic

OMIG MacroSolutions (Profile Edge28) exited in April 2018 Momentum Investments Flexible Factor 6 entered in October 2018 Momentum Investments Flexible Factor 7 entered in October 2018

Global Manager Watch™ – Best Investment View

Nedgroup Investments Balanced Fund entered in February 2018 OMIG MacroSolutions Profile Balanced exited in August 2018 Momentum Investments Classic Factor 6 entered in October 2018 Momentum Investments Target Factor 7 entered in October 2018 Kagiso Global Balanced Fund entered in November 2018 Obsidian SCI Balanced fund entered in November 2018

Global Manager Watch™ – Conservative

Momentum Investments Enhanced Factor 4 entered in October 2018 Momentum Investments Classic Factor 5 entered in October 2018 Momentum Investments Enhanced Factor 5 entered in October 2018 PSG Stable Fund entered in October 2018 OMIG MacroSolutions Moderate portfolio entered in December 2018

Global Large Manager Watch™

No changes took place in this survey

Sources of performance Multi-Asset class portfolios build and implement their investment strategies based on a multitude of methods; the most popular being economic macro research; asset allocation modelling (strategic and tactical); relative asset class valuation; assessment of market risks; security valuation; portfolio construction and market hedging strategies. Its primary driver of return is its asset allocation strategy as it will seek to take advantage of the different expected returns between assets; while sector and/or security selection within the asset seek to provide additional sources of performance. The portfolio manager will also use the asset class exposures to manage an overall risk strategy.

MANAGER WATCHâ&#x201E;˘ SURVEY

How managers performed in 2018

2017 delivered positive returns when the JSE and global equities (MSCI Emerging Markets) surged over 20% for the year and most other asset classes delivering double digit returns. 2018 stood in stark contrast with financial markets both locally and abroad, having experienced a tumultuous year.

With both global and local backdrops unfavourable, 2018 asset class returns were poor across a broad range of asset classes and geographies. Market dynamics that influenced performance globally include: Global equities, represented by the MSCI All Countries World Index (ACWI), returned -8.9% in US dollar terms, driven by declines in both advanced economies and emerging market equities. The Citi World Government Bond Index (WGBI) and global corporate bonds returned -0.8% and -3.6%, which was still negative but better than equities. Commodity markets were impacted by Chinaâ&#x20AC;&#x2122;s economic slowdown and geopolitical concerns in the Middle East, resulting in a 4.9% decline in the commodity price index.

South African markets mirrored global markets in terms of poor market performance, which was made worse by the negative domestic economic news developments. Market dynamics that influenced performance domestically include: The JSE All Share Index returned -8.5% for the year, with the decline being broad-based across small, medium and large caps. Industrials (INDI25) returned -17.6%, while the financial sector returned -8.8%, for the year. Resources (RESI20) bucked the trend, with a 15.5% return. Bonds (ALBI) and cash (STEFI) were the best performers for the year, with 7.7% and 6.6%, respectively. Property (JSAPY) didn't recover much from earlier declines, returning -25.3% for the year.

SECTION 2

For the year, the majority of the SA Best Investment View (BIV) managers kept their asset allocation relatively stable with the exception of Coronation and Investec, who increased their allocation to equities by 5% and 9% respectively over their position in December 2017 and STANLIB and Prescient who decreased their equity allocation by 8%. All managers in the SA BIV category had negative returns for the year with Allan Gray and Foord being the two best performers. The most significant contributors to Allan Gray’s outperformance relative to the ALSI were Sasol and the manager’s underweight position in MTN with their largest detractors from relative performance being their underweight position in BHP Billiton and their overweight position in British American Tobacco. From an asset class perspective, the principal contributor to absolute returns was Allan Gray’s fixed Income exposure while equities were the most significant detractor. Good asset allocation decisions contributed to Foord’s performance for the year. Of all the managers in the SA BIV category, Foord’s allocation to equities was the lowest. Holding an underweight position in equities and listed property as well as having a full allocation to domestic government bonds added value. The worst performing manager for the year was Coronation followed by Bridge. While these two managers had a relatively high exposure to equities, of all the managers in the SA BIV category they had the highest exposure to listed property. Bridge’s underperformance relative to its peers, came as a result of its significant exposure of 24.4% to SA Listed Property as at December 2018. The Global Best Investment View significantly underperformed the domestic mandates with a 7.7% differential between the medians. For the year, the majority of the managers in this category kept their domestic asset allocation relatively stable with the exception of Ashburton who increased their allocation to equities by 7.9% over their position in December 2017. Most managers remain close to the limits of 30% for investment in international assets allowed by Regulation 28 of the Pension Funds Act.

Nedgroup and Rezco were the best performing managers in the Global BIV category for the year. Dollar denominated SA bank subordinated debt, precious metal miners and financials contributed to Nedgroup’s performance. In an environment of tough equity markets, bank subordinated debt fared well. Rezco reversed a poor 2017 by being one of the strongest performing managers in 2018 returning 1.6% in a year where only three managers in the peer group achieving a positive return. Rezco’s main contributors to performance were Discovery, Palladium and avoiding Steinhoff whose share price was decimated at the end of 2017. While 2017 seemed to be the year of the multi-manager with the two best performers in the Global BIV category being Old Mutual Multi-Managers and Momentum Multi-Managers, 2018 was a reversal of fortunes for these two multi-managers. Asset allocation decisions relating to domestic and global equities as well as global bonds detracted from Momentum’s performance resulting in it being the worst performer in the category for the year. Looking at the SA and Global BIV surveys over the 1 year period, Alexander Forbes Investments and Investec delivered consistent performances. Alexander Forbes Investments ranked fourth and fourth in the two surveys respectively, while Investec ranked third and fifth respectively. Alexander Forbes Investments’ asset allocation and stock selection contributed to performance for the year. Holding underweight positions in domestic equities and property and being overweight cash added to outperformance. Within offshore, global equities, being overweight IT and healthcare sectors and underweight energy benefitted relative to peers. Investec’s underweight position in domestic property as well as their active allocation to domestic bonds has been positive contributors to returns from an asset allocation perspective. Their allocation to commodities, specifically Palladium also added to returns in 2018.

Of the 27 managers, only 9 were lower than the limit of 30% by more than 4%. Kagiso was the lowest at 14.5% followed by Cadiz and Ashburton at 14.4% and 7.5% respectively.

MANAGER WATCH™ SURVEY

A review of 2018: negative returns all-round Global growth moderated but the US outperformed

Trump tariffs hampered trade and introduced volatility

2018 came to an end in a disappointing fashion, after starting with positive expectations for the global economic growth outlook and therefore financial markets. It seemed, at the time, that we were going to experience an expansion in both emerging and advanced economies, but that wasn’t the case. According to the International Monetary Fund, global economic growth for 2018 was 3.7% – slightly lower than the 3.8% recorded in 2017. The moderation in global growth was due to a slowdown in both advanced and emerging economies. In the advanced economies, growth was weaker in many countries except in the United States where corporate tax cuts boosted the economy. In emerging markets, the slowdown was driven by weaker growth in Asia (especially China), Russia, emerging Europe, Nigeria and South Africa.

In addition to the unfavourable impact of lower growth, higher inflation and increasing interest rates, portfolio returns were negatively impacted by trade policy decisions and geopolitical tensions. In particular, the decision by US President Donald Trump to impose import tariffs on solar panels (30%–50%), steel (25%) and aluminium (10%) from several countries, including China, hampered global trade and resulted in volatile financial markets. Furthermore, financial markets were impacted by Trump’s trade policy, which included the renegotiation of the North Atlantic Free Trade Area (NAFTA) – a trade agreement between the US, Mexico and Canada.

UK Brexit and Italy’s budget problems dent sentiment in Europe Global inflation increased Despite the weaker global economic growth, inflation rose to 3.8% in 2018 from 3.2% in 2017 – driven by a pickup in both advanced and emerging economies, which resulted in several global central banks increasing interest rates. The four interest rate hikes by the US Federal Reserve were more impactful for financial market performance. They led to the appreciation of the US dollar against other currencies and a sell-off in risky assets, including emerging market bonds and equities as investors saw better return opportunities in the US than elsewhere.

5.0%

Brexit (the withdrawal of the UK from the European Union) negotiations are ongoing; however, the outcome remains uncertain. Prime Minister Teresa May have so far failed to get a deal that is acceptable with UK law makers. The UK is scheduled to leave the EU on March 2019 but several steps need to take place before then, beginning with a parliamentary vote on Plan B on 29 January. Currently, both revoking Article 50 – the provision that triggered Brexit – and extending the negotiation period seem impossible. In addition to Brexit uncertainties, Italy continues to battle with high debt levels which are higher than Eurozone prescribed levels. Consequently, the uncertainty that had a negative effect on the UK and Eurozone stock markets and trade in 2018 will continue in 2019.

3.8% 3.6% 3.4% 2.9%

-0.75%

-1.0%

SECTION 2

Emerging markets affected by Argentina’s debt and Turkey’s currency problems Argentinian debt issues as well as Turkey’s currency problems all combined over the course of the year and shifted sentiment away from emerging markets, which resulted in currency depreciation against the US dollar, and bond and equity markets sell-off.

Political and policy uncertainties in South Africa remain a risk Being a small open economy, the South African economy and financial markets are always impacted by global factors, which have been largely negative for the year 2018. As was the case for the past several years, domestic, political and policy uncertainties reduced consumer and business confidence, which weakened economic activity and introduced financial market volatility. The February budget review and the October mini-budget both disappointed, showing a rise in public debt with low economic growth. A change in finance ministers, the constant attack on the independence of the South African Reserve Bank (SARB) and the adoption of the expropriation of land without compensation by the ruling party’s elective conference in December 2017 all had a negative effect on markets.

The SARB cut and hiked interest rates in one year From an economic point of view, inflation declined to a low of 3.8% in March 2018, which resulted in the SARB cutting interest rates to 6.5% from 6.75%. However, the rise in oil prices and the depreciation of the rand against the US dollar led to several increases in petrol prices, pushing inflation higher over the course of the year. In its assessment of risks to inflation at the November 2018 Monetary Policy Committee (MPC), the SARB projected a higher inflation profile with upside risks and resolved to hike interest rates by 0.25% to 6.75%, essentially bringing interest rates to the same level to where they started the year at.

-0.95%

27 -1.2%

MANAGER WATCH™ SURVEY

South Africa’s economy entered a technical recession Owing to low household and business confidence, economic growth was poor in 2018. In fact, the economy entered a technical recession as GDP growth contracted by 2.6% and 0.7% in the first and second quarters, before rebounding into positive territory in the third quarter. We expect growth for 2018 as a whole to be between 0.5% and 0.7%.

Return environment shifted from low expectations to negative in 2018 With both global and local backdrops unfavourable, 2018 asset class returns were poor across a broad range of asset classes and geographies. Global equities, represented by the MSCI All Countries World Index

(ACWI), returned -8.9% in US dollar terms, driven by declines in both advanced economies and emerging market equities. With poor returns in equities, bonds provided better returns as they usually perform better during times of uncertainty. The Citi World Government Bond Index (WGBI) and global corporate bonds returned -0.8% and -3.6%, which is still negative but better than equities. Commodity markets were impacted by China’s economic slowdown and geopolitical concerns in the Middle East, resulting in a 4.9% decline in the commodity price index. South African markets mirrored global markets in terms of poor market performance, which was made worse by the negative domestic economic news developments. The JSE All Share Index returned -8.5% for the year, with the decline being broad-based across small, medium and large caps. Industrials (INDI25) returned -17.6%, while financials returned -8.8%, for the year. Resources (RESI20) bucked the trend, with a 15.5% return. Bonds (ALBI) and cash (STEFI) were the best performers for the year, with 7.7% and 6.6%, respectively. Property (JSAPY) didn’t recover much from earlier declines, returning -25.3% for the year.

Ashburton Management Company RF (Pty) Ltd is an approved CIS manager in terms of the Collective Investment Schemes Control Act, 45 of 2002.

BEING FULLY INVESTED IS THE DIFFERENCE BETWEEN HAVING A GOAL, AND ACHIEVING IT. Ashburton Investments is fully invested in the outcomes of our clients. Through providing access to fixed income and private markets for diversified sources of returns, like private debt, impact, renewable energy, mezzanine finance and private equity, we have committed to helping our clients achieve better results for themselves, and all those who depend on them. Speak to our specialist institutional distribution team on (011) 282-8800 or email institutional@ashburtoninvestments.co.za www.ashburtoninvestments.com

private debt • impact • renewable energy mezzanine finance • private equity • fixed income

A part of the FirstRand Group

SECTION 2

SA Balanced Manager WatchTM Survey – Best Investment View Objective: The portfolios are balanced (multi-asset class) portfolios, subject to the restrictions imposed by Regulation 28 of the Pension Funds Act and are confined to investing in South Africa only. These portfolios represent the managers’ best investment view. The statistics represent the various categories that portfolios are represented in but only for those managers that are open to new investments.

Range of Returns of SA Best Investment View Investable Universe for the periods ending 31 December 2018 20% 15% 10% 5% 0% -5% -10% 1 Year

3 Years (p.a.)

5 Years (p.a.) 25% – 75%

7 Years (p.a.)

Min – Max

10 Years (p.a.)

Median

Return Statistics (Investable) 1 Year

3 Years (p.a.)

5 Years (p.a.)

7 Years (p.a.)

10 Years (p.a.)

Highest

-3.13%

7.41%

8.37%

10.49%

12.56%

Upper Quartile

-4.39%

5.40%

6.78%

10.30%

12.38%

Median

-5.14%

5.40%

5.56%

9.01%

11.18%

Average

-5.55%

4.88%

5.09%

8.41%

10.65%

Asset-weighted Average

-4.68%

5.29%

6.66%

10.20%

12.20%

Lower Quartile

-6.44%

3.99%

4.91%

9.30%

11.54%

Lowest

-8.78%

1.63%

2.78%

7.49%

10.26%

Range

5.64%

5.78%

5.59%

2.99%

2.30%

Number of Participants

Note: The statistics above only include those portfolios that are investable, in other words those portfolios that are closed to new business will be excluded from the calculations.

MANAGER WATCH™ SURVEY

SA Balanced Manager Watch™ Survey – Best Investment View Objective: The portfolios are balanced (multi-asset class) portfolios, subject to the restrictions imposed by Regulation 28 of the Pension Funds Act and are confined to investing in South Africa only. These portfolios represent the managers’ best investment view.

General information Investment Managers Absa Asset Management Domestic Balanced Alexander Forbes Investments Performer Local Allan Gray

GIPS™ (Verified / Compliant) V N/A V

Bridge Managed Growth Fund

Regulation 28 Compliant Certification (Y/N)

Benchmark Description

Segregated

65% SWIX, 25% ALBI, 10% STeFI 3 month NCD (effective 1 NOVEMBER 2015)

Pooled

Segregated

Pooled

No. of Funds in Composite

Portfolio Size (R m)

3 135

SA LMW Median

N/A

6 744

SA LMW Average

33 300

CPI + 6% p.a. over rolling 60-month periods

1 712

Coronation

Segregated

SA LMW Median

9 726

Foord Domestic Balanced

Segregated

65% ALSI, 5% PROP, 25% ALBI, 5% STFCAD

23 890

Investec Asset Management

Segregated

SA LMW Median

20 788

Prescient Domestic Balanced

Segregated

Inflation

165

Prudential Domestic Balanced

Segregated

SA LMW Median

26 494

STANLIB AM

Segregated

SA BIV Median

Total V = Verified C = Compliant

Portfolio Type

232 126 186

SECTION 2

Investment Data to the end of December 2018 – Performance Data Investment Manager

1 Year Portfolio

Absa Asset Management Domestic Balanced

3 Years (p.a.) Rank

Benchmark

Portfolio

5 Years (p.a.)

Rank

7 Years (p.a.)

Benchmark

Portfolio

Rank

10 Years (p.a.)

Benchmark

Portfolio

Rank

Benchmark Portfolio

Rank

Benchmark

-4.96%

-5.17%

5.44%

6.03%

5.79%

6.03%

8.71%

9.36%

10.61%

10.81%

Alexander Forbes -4.47% Investments Performer Local

-4.44%

5.27%

5.44%

6.47%

5.65%

10.19%

9.18%

12.19%

11.30%

5.54%

10.27%

8.93%

11.85%

-3.13%

-4.78%

7.41%

5.20%

8.37%

Bridge Managed Growth Fund -7.52%

Allan Gray

11.68%

4.36%

11.85%

11.11% *

Coronation

-8.78%

-4.44%

3.87%

5.48%

5.01%

5.67%

9.50%

9.20%

12.09%

11.32%

Foord Domestic Balanced

-4.10%

-4.65%

2.23%

5.77%

4.61%

6.36%

10.18%

9.86%

12.48%

11.14%

5.67%

10.49%

9.20%

12.56%

11.32%

Investec Asset Management

-4.37%

-4.44%

4.91%

5.48%

7.74%

Prescient Domestic Balanced

-4.84%

5.04%

5.11%

6.11%

Prudential Domestic Balanced

-5.73%

-4.44%

6.30%

5.48%

6.30%

5.67%

10.38%

9.20%

12.35%

11.32%

STANLIB AM

-6.68%

-5.14%

1.63%

5.40%

2.78%

5.56%

7.49%

9.01%

10.26%

11.18%

Investment Data to the end of December for the past 5 Calendar years Investment Manager

2017 Portfolio

2016 Rank

Portfolio

2015 Rank

Portfolio

2014 Rank

2013

Portfolio

Rank

Portfolio

Rank

Absa Asset Management Domestic Balanced

13.85%

8.34%

3.21%

9.53%

15.02%

Alexander Forbes Investments Performer Local

12.89%

8.18%

4.51%

12.19%

18.29%

Allan Gray

13.06%

13.14%

6.31%

13.47%

15.33%

Bridge Managed Growth Fund

11.52%

10.20%

4.28%

Coronation

14.80%

7.01%

2.84%

10.81%

21.81%

Foord Domestic Balanced

7.06%

4.07%

3.06%

13.78%

20.20%

Investec Asset Management

14.90%

5.07%

9.95%

14.34%

15.45%

Prescient Domestic Balanced

15.60%

5.58%

2.72%

Prudential Domestic Balanced

16.18%

9.67%

1.97%

10.80%

17.83%

STANLIB AM

7.39%

4.74%

0.67%

8.53%

13.08%

MANAGER WATCH™ SURVEY

Global Balanced Manager Watch™ Survey – Dynamic Objective: The portfolios are balanced (multi-asset class) portfolios, subject to the restrictions imposed by Regulation 28 of the Pension Funds Act and aim to maximise long-term (more than 5 years) capital growth. This may lead to volatility of returns in the short term (less than one year). The statistics represent the various categories that portfolios are represented in but only for those managers that are open to new investments.

Range of returns of Global Dynamic Investable Universe for the periods ending 31 December 2018 20% 15% 10% 5% 0% -5% -10% 1 Year

3 Years (p.a.)

5 Years (p.a.) 25% – 75%

7 Years (p.a.)

Min – Max

10 Years (p.a.)

Median

Return Statistics (Investable) 1 Year

5 Years (p.a.)

7 Years (p.a.)

10 Years (p.a.)

0.50%

6.22%

9.31%

12.94%

13.38%

Upper Quartile

-0.55%

4.59%

7.47%

11.27%

13.33%

Median

-1.39%

4.90%

7.74%

11.77%

12.74%

Average

-2.04%

4.49%

7.49%

11.23%

12.28%

Asset-weighted Average

-1.01%

4.48%

7.60%

11.01%

12.35%

Lower Quartile

-3.14%

3.76%

6.86%

10.35%

11.43%

Lowest

-6.50%

3.63%

5.83%

8.51%

9.55%

Range

7.01%

2.59%

3.47%

4.43%

3.83%

Number of Participants

3 Years (p.a.)

Highest

SECTION 2

General information Investment Managers

GIPS™ (Verified / Compliant)

Portfolio Type

Benchmark Description

No. of Funds Portfolio in Composite Size (R m)

Allan Gray Life Global Absolute Portfolio

Pooled

Global LMW Average

N/A

Coronation (Managed)

Pooled

Global LMW Average

9 651

Investec Asset Management Managed

Pooled

Global LMW Median

N/A

14 278

Investec Opportunity

Pooled

Headline CPI + 6%

46 727

Pooled

47.50% FTSE/JSE SWIX,10.00% FTSE/JSE SA Listed Property Index,5.00% ALBI,5.00% SteFi, 5.00% Barclays BEASSA SA Government ILB Index,2.50% SteFi,20.00% MSCI All Countries World Index,5.00% Citigroup World Government Bond Index

N/A

638

Pooled

55.00% FTSE/JSE SWIX,10.00% FTSE/JSE SA Listed Property Index,5.00% ALBI,5.00% Barclays BEASSA SA Government ILB Index,20.00% MSCI All Countries World Index, 5.00% Citigroup World Government Bond Index

N/A

2 066

Momentum Investments Flexible Factor 6

Momentum Investments Flexible Factor 7

Total

3 504

76 864

V = Verified C = Compliant

GLOBAL & SOUTH AFRICAN LISTED REAL ESTATE INVESTMENT SPECIALISTS Investing in listed real estate is our passion and our sole area of focus. It’s what motivates us and keeps us energised. Consistent outperformance of our benchmarks, since inception in 2001.

Authorised Financial Services Provider No. 45418, 47363 and 36009

CONTACT

ADDRESS

T: +27 21 657 5500 E: mail@catalyst.co.za

4th Floor Protea Place, Protea Road Claremont, 7708, Cape Town, South Africa

MANAGER WATCH™ SURVEY

Investment Data to the end of December 2018 – Performance Data Investment Managers

1 Year

3 Years (p.a.)

5 Years (p.a.)

7 Years (p.a.)

10 Years (p.a.)

Portfolio Rank Benchmark Portfolio Rank Benchmark Portfolio Rank Benchmark Portfolio Rank Benchmark Portfolio Rank Benchmark Allan Gray Life Global Absolute Portfolio

-1.65%

-2.08%

4.67%

4.22%

7.36%

5.95%

8.51%

10.21%

9.55%

11.45%

Coronation (Managed)

-6.50%

-2.08%

4.34%

4.15%

5.83%

5.85%

11.50%

10.12%

13.38%

11.36%

Investec Asset Management Managed

0.50%

-1.96%

6.22%

4.16%

9.31%

6.51%

12.94%

10.65%

13.31%

11.62%

Investec Opportunity

-0.19%

11.19%

4.02%

11.47%

7.51%

11.39%

10.53%

11.41%

12.06%

11.26%

Momentum Investments Flexible Factor 6

-3.27%

-6.21%

3.63%

3.92%

6.97%

7.34%

10.29%

11.30%

Momentum Investments Flexible Factor 7

-2.75%

-7.81%

3.68%

3.57%

6.82%

7.25%

10.60%

11.70%

Investment Data to the end of December for the past 5 Calendar years Investment Managers

2017 Portfolio

2016 Rank

Portfolio

2015 Rank

Portfolio

2014 Rank

Portfolio

2013 Rank

Portfolio

Rank

Allan Gray Life Global Absolute Portfolio

8.08%

7.87%

11.63%

11.45%

16.78%

Coronation (Managed)

12.54%

7.96%

5.10%

11.22%

30.10%

Investec Asset Management Managed

13.78%

4.79%

19.31%

9.14%

23.46%

Investec Opportunity

10.20%

2.32%

15.53%

10.46%

16.23%

Momentum Investments Flexible Factor 6

11.47%

3.22%

11.19%

13.19%

20.87%

Momentum Investments Flexible Factor 7

11.41%

2.86%

10.72%

12.73%

22.66%

SECTION 2

Global Balanced Manager WatchTM Survey – Best Investment View Objective: The portfolios are balanced (multi-asset class) portfolios, subject to the restrictions imposed by Regulation 28 of the Pension Funds Act and represent the managers’ best investment view. The statistics represent the various categories that portfolios are represented in but only for those managers that are open to new investments.

Range of Returns of Global Best Investment View Investable Universe for the periods ending 31 December 2018 20% 15% 10% 5% 0% -5% -10% 1 Year

3 Years (p.a.)

5 Years (p.a.) 25% – 75%

7 Years (p.a.)

Min – Max

10 Years (p.a.)

Median

Return Statistics (Investable) 1 Year

3 Years (p.a.)

5 Years (p.a.)

7 Years (p.a.)

10 Years (p.a.)

Highest

3.31%

8.94%

8.75%

12.19%

13.27%

Upper Quartile

-1.03%

4.87%

7.64%

11.70%

12.74%

Median

-2.32%

4.23%

6.43%

10.47%

11.56%

Average

-1.91%

4.46%

6.15%

10.19%

11.43%

Asset-weighted Average

-1.91%

4.73%

7.40%

11.51%

12.58%

Lower Quartile

-3.34%

3.93%

6.44%

10.17%

11.62%

Lowest

-7.06%

1.38%

4.47%

8.65%

10.03%

Range

10.37%

7.56%

4.28%

3.54%

3.24%

Number of Participants

MANAGER WATCH™ SURVEY

Global Balanced Manager Watch™ Survey – Best Investment View Objective: The portfolios are balanced (multi-asset class) portfolios, subject to the restrictions imposed by Regulation 28 of the Pension Funds Act and represent the managers’ best investment view.

General information Investment Managers Absa Asset Management Global Balanced

GIPS™ (Verified / Compliant) V

Alexander Forbes Investments (Performer) Alexander Forbes Investments (Spectrum)

Benchmark Description

No. of Funds in Composite

No.of funds in composite

Pooled

Global LMW Median

Pooled

Global LMW Median

N/A

Portfolio Size (R m) 5 504 113 877

Pooled

Global LMW Average

N/A

1 047

Allan Gray

Segregated

Global LMW Average (Non Investable)

61 976

Ashburton Global Balanced Composite

Pooled

Market Value Weighted Average Return of ASISA Multi Asset – High Equity Category excluding the Ashburton Balanced Fund.

618

Cadiz Global Balanced

Segregated

Global LMW Median

280

Coronation

Segregated

Global LMW Median

21 605

Foord Global Balanced

Segregated

55% ALSI, 9% MSCI, 6% CITI, 5% PROP, 20% ALBI, 5% STFCAD

38 376

Investec Asset Management

Segregated

Global LMW Median

69 942

Median return of Alexander Forbes Global Large Manager Watch

N/A

1 260

Pooled

47.50% SWIX,10.00% FTSE/JSE SA Listed Property Index, 5.00% ALBI, 5.00% SteFi, 5.00% Barclays BEASSA SA Government ILB Index, 2.50% SteFi, 20.00% MSCI All Countriess World Index, 5.00% Citigroup World Government Bond Index

N/A

526

Pooled

55.00% FTSE/JSE SWIX,10.00% FTSE/JSE SA Listed Property Index, 5.00% ALBI, 5.00% Barclays BEASSA SA Government ILB Index, 20.00% MSCI All Countries World Index, 5.00% Citigroup World Government Bond Index

N/A

17 613

55.00% FTSE/JSE SWIX, 10.00% FTSE/JSE SA Listed Property Index, 5.00% ALBI, 5.00% Barclays BEASSA SA Government ILB Index, 20.00% MSCI All Countries World Index, 5.00% Citigroup World Government Bond Index

N/A

420

N/A

1 767

4 419

Kagiso Global Balanced Fund

Momentum Investments Classic Factor 6

Momentum Investments Enhanced Factor 7

N/A

Pooled

Momentum Investments Target Factor 7

Pooled

Nedgroup Investments Balanced Fund

Unit trust

ASISA South African Multi-Asset High Equity sector average

Unit trust

Headline CPI + 5%

Nedgroup Investments XS Diversified Fund of Funds Oasis

N/A

Segregated

Global BIV Average

771

Obsidian SCI Balanced fund

Pooled

FTSE/JSE All Share Index

N/A

884

Old Mutual Multi Managers Managed

Pooled

Global LMW Median (Non Investable)

N/A

2 539

Old Mutual Multi-Managers Inflation Plus 5-7%

Pooled

Headline CPI + 6%

N/A

10 587

N/A

2 083

4 040

OMIG MacroSolutions (Profile Edge28)

Pooled

The performance target is CPI+6%. No benchmark.

OMIG MacroSolutions Balanced

Segregated

The benchmark for our full discretionary funds is calculated in-house, using FTSE free market indices and estimated peer group weightings.

Prudential Balanced

PSG Balanced Fund Rezco Value Trend

Segregated

Global LMW Median

10 097

Unit trust

Headline CPI+5%

11 781

Unit trust

FTSE/JSE All Share

5 154 17 727

SIM Global Unique

Segregated

Global LMW Median

STANLIB AM

Segregated

Global BIV Median

1 271

Pooled

Global BIV Median Non Investable

N/A

5 995

STANLIB Multi Manager Balanced Fund Total V = Verified C = Compliant

Portfolio Type

N/A

412 159

SECTION 2

Global Balanced Manager Watch™ Survey – Best Investment View Objective: The portfolios are balanced (multi-asset class) portfolios with exposure to global and local assets, subject to the restrictions imposed by Regulation 28 of the Pension Funds Act and represent the managers’ best investment view.

Investment Data to the end of December 2018 – Performance Data Investment Managers

1 Year

3 Years (p.a.)

5 Years (p.a.)

7 Years (p.a.)

10 Years (p.a.)

Portfolio Rank Benchmark Portfolio Rank Benchmark Portfolio Rank Benchmark Portfolio Rank Benchmark Portfolio Rank Benchmark Absa Asset Management Global Balanced

-1.18%

-1.96%

4.47%

4.16%

6.62%

6.51%

9.85%

10.65%

Alexander Forbes Investments (Performer)

-0.71%

-1.96%

5.30%

4.16%

7.57%

6.51%

11.81%

10.65%

12.82%

11.83%

Alexander Forbes Investments (Spectrum)

-2.15%

-2.08%

4.56%

4.15%

6.21%

5.85%

10.40%

10.12%

11.68%

11.43%

Allan Gray

-1.40%

-2.08%

5.87%

4.22%

8.10%

5.95%

11.37%

10.21%

11.94%

11.45%

Ashburton Global Balanced Composite

-1.41%

-3.70%

Cadiz Global Balanced

-3.09%

-1.96%

4.76%

4.16%

4.47%

6.51%

8.65%

10.65%

10.03%

11.62%

Coronation

-4.92%

-1.96%

3.92%

4.16%

6.50%

6.51%

11.55%

10.65%

13.11%

11.62%

Foord Global Balanced

-3.10%

-2.61%

1.63%

5.35%

5.19%

7.04%

10.45%

10.76%

11.93%

11.35%

Investec Asset Management

-0.88%

-1.96%

4.67%

4.16%

8.43%

6.51%

12.19%

10.65%

13.27%

11.62%

Kagiso Global Balanced Fund

0.47%

-1.96%

8.94%

4.16%

6.72%

6.51%

Momentum Investments Classic Factor 6

-4.54%

-6.22%

4.51%

3.92%

7.20%

7.34%

11.35%

11.30%

Momentum Investments Enhanced Factor 7

-5.73%

-7.81%

4.06%

3.57%

7.02%

7.25%

11.70%

12.52%

Momentum Investments Target Factor 7

-7.06%

-7.81%

3.93%

3.57%

7.29%

7.25%

Nedgroup Investments Balanced Fund

3.31%

4.32%

2.49%

5.14%

Nedgroup Investments XS Diversified Fund of Funds

-1.20%

10.44%

4.35%

10.74%

6.54%

10.66%

10.08%

10.68%

10.19%

10.72%

12.39%

Oasis

-0.89%

-1.91%

3.34%

4.46%

5.67%

6.15%

10.17%

Obsidian SCI Balanced fund

11.43%

-1.11%

-8.53%

4.72%

4.33%

8.04%

5.77%

Old Mutual Multi Managers Managed

-3.01%

-1.96%

4.33%

4.12%

Old Mutual MultiManagers Inflation Plus 5-7%

-6.50%

11.46%

3.48%

12.23%

6.96%

10.88%

OMIG MacroSolutions (Profile Edge28)

-3.58%

4.79%

7.95%

11.79%

12.36%

OMIG MacroSolutions Balanced

-1.48%

-1.95%

5.20%

4.32%

7.22%

7.19%

10.84%

10.96%

11.61%

11.89%

11.62%

Prudential Balanced

-2.36%

-1.96%

6.06%

4.16%

7.71%

6.51%

12.07%

10.65%

12.91%

PSG Balanced Fund

-2.82%

10.67%

7.92%

10.63%

8.75%

10.52%

Rezco Value Trend

1.61%

-8.53%

1.38%

4.33%

6.41%

5.77%

SIM Global Unique

-3.89%

-1.96%

4.89%

4.16%

6.46%

6.51%

10.41%

10.65%

11.62%

STANLIB AM

-0.95%

-2.32%

2.62%

4.23%

5.10%

6.43%

10.04%

10.47%

11.50%

11.56%

STANLIB Multi Manager Balanced Fund

-1.21%

-2.32%

4.44%

4.21%

* *

MANAGER WATCH™ SURVEY

Investment Data to the end of December for the past 5 Calendar years Investment Managers

2017 Portfolio

2016 Rank

Portfolio

2015 Rank

Portfolio

2014 Rank

Portfolio

2013 Rank

Portfolio

Rank

Absa Asset Management Global Balanced

11.26%

3.70%

8.34%

11.57%

16.72%

Alexander Forbes Investments (Performer)

11.93%

5.05%

10.64%

11.50%

25.53%

Alexander Forbes Investments (Spectrum)

11.81%

4.48%

7.21%

10.27%

22.59%

Allan Gray

11.94%

7.51%

12.77%

10.29%

25.05%

Ashburton Global Balanced Composite

9.92%

Cadiz Global Balanced

12.06%

5.86%

4.90%

3.17%

18.18%

Coronation

14.13%

3.44%

8.89%

12.09%

28.88%

19 3

Foord Global Balanced

7.76%

0.53%

10.51%

11.00%

24.02%

9 11

Investec Asset Management

13.77%

1.68%

15.41%

13.26%

23.67%

Kagiso Global Balanced Fund

14.78%

12.11%

-1.85%

9.12%

Momentum Investments Classic Factor 6

14.43%

4.49%

9.89%

12.89%

23.31%

Momentum Investments Enhanced Factor 7

14.99%

3.96%

9.72%

13.55%

25.63%

Momentum Investments Target Factor 7

17.11%

3.14%

9.61%

15.53%

Nedgroup Investments Balanced Fund

5.97%

-1.67%

Nedgroup Investments XS Diversified Fund of Funds

9.67%

4.87%

8.57%

* 11.29%

* 16

21.45%

17 13

Oasis

6.63%

4.43%

5.73%

12.91%

23.11%

Obsidian SCI Balanced fund

7.87%

7.65%

12.12%

14.34%

Old Mutual Multi Managers Managed

12.56%

4.03%

8.02%

Old Mutual Multi-Managers Inflation Plus 5-7%

15.31%

2.77%

11.28%

13.54%

29.54%

OMIG MacroSolutions (Profile Edge28)

15.79%

3.07%

11.07%

14.72%

23.71%

OMIG MacroSolutions Balanced

14.29%

3.40%

8.52%

12.14%

20.89%

Prudential Balanced

14.62%

6.60%

8.84%

11.67%

24.84%

PSG Balanced Fund

12.94%

14.53%

6.77%

13.33%

28.25%

Rezco Value Trend

7.25%

-4.39%

17.99%

10.99%

30.09%

SIM Global Unique

12.37%

6.87%

6.45%

11.32%

21.63%

STANLIB AM

8.64%

0.42%

8.18%

9.69%

22.29%

STANLIB Multi Manager Balanced Fund

11.70%

3.24%

SECTION 2

Global Balanced Manager Watch™ Survey – Conservative Objective: The portfolios are balanced (multi-asset class) portfolios with exposure to both global and local assets, subject to the restrictions imposed by Regulation 28 of the Pension Funds Act and aim to minimise the probability of short-term (less than one year) capital loss while targeting long-term (more than five years) capital return. The statistics represent the various categories that portfolios are represented in but only for those managers that are open to new investments.

Range of Returns of Global Conservative Investable Universe for the periods ending 31 December 2018 20%

15%

10%

-5% 1 Year

3 Years (p.a.)

5 Years (p.a.) 25% – 75%

7 Years (p.a.)

Min – Max

10 Years (p.a.)

Median

Return Statistics (Investable) 1 Year

3 Years (p.a.)

5 Years (p.a.)

7 Years (p.a.)

10 Years (p.a.)

Highest

5.78%

8.33%

8.76%

10.60%

Upper Quartile

3.04%

6.59%

7.99%

9.70%

10.77% 9.99%

Median

3.01%

5.61%

7.39%

9.50%

9.87%

Average

1.73%

5.43%

7.20%

9.36%

9.73%

Asset-weighted Average

2.86%

6.15%

7.88%

9.48%

9.81%

Lower Quartile

-1.74%

4.73%

6.98%

9.03%

9.73%

Lowest

-4.05%

3.72%

6.36%

8.77%

9.44%

Range

9.83%

4.62%

2.40%

1.84%

1.33%

Number of Participants

Note: The statistics above only include those portfolios that are investable, in other words those portfolios that are closed to new business will be excluded from the calculations.

MANAGER WATCH™ SURVEY

General information Investment Managers

GIPS™ (Verified / Compliant)

Alexander Forbes Investments (Conserver)

Benchmark Description

No. of Funds in Composite

No.of funds in composite

Portfolio Size (R m)

Pooled

FTSE/JSE Capped SWIX ALSI 32.00%, All Bond Index 24.00%, STeFI Call Deposit Index 24.00%, MSCI AC World 7.90%, Citi WGBI 6.00%, French Treasury Bill 3.05%, US Treasury Bill 3.05%

N/A N/A

6 823

3 854

3 785

Allan Gray Life Global Stable Portfolio

Pooled

STeFI + 2%

Coronation Inflation Plus Fund

Pooled

Headline CPI + 3.5%

Foord Conservative Balanced

Pooled

Headline CPI+4%

948

Investec Cautious Managed Fund

Pooled

GLMW Median

N/A

12 151

37.5% FTSE/JSE Capped SWIX; 12.5% JSE ASSA ALBI; 7.5% SteFI; 2.5% SteFI; 10% FTSE/JSE Listed Property Index; 10% JSE ASSA IGOV; 15% MSCI All Countries World Index; 5% Citigroup WGBI

N/A

300

Pooled

27.50% FTSE/JSE SWIX,7.50% FTSE/JSE SA Listed Property Index,17.50% ALBI,15.00% SteFi,12.50% Barclays BEASSA SA Government ILB Index, 5.00% SteFi, 10.00% MSCI All Countries World Index, 5.00% Citigroup World Government Bond Index

N/A

434

Pooled

37.50% FTSE/JSE SWIX,10.00% FTSE/JSE SA Listed Property Index, 12.50% ALBI, 7.50% SteFi, 10.00% Barclays BEASSA SA Government ILB Index, 2.50% SteFi, 15.00% MSCI All Countries World Index, 5.00% Citigroup World Government Bond Index

N/A

1 663

Momentum Investments Classic Factor 5

Pooled

Momentum Investments Enhanced Factor 4

Momentum Investments Enhanced Factor 5

Old Mutual Multi Managers Absolute Balanced Fund

Pooled

Headline CPI + 6%

N/A

244

Old Mutual Multi-Managers Inflation Plus 1-3%

Pooled

Headline CPI + 3%

N/A

431

Old Mutual Multi-Managers Inflation Plus 3-5%

Pooled

Headline CPI + 5%

N/A

4 381

The performance target is CPI + 3%. Benchmark is 20% Capped SWIX, 10% MSCI ACWI Net Index, 30% BEASSA Index, 22,5% Stefi 3 Months, 10% Barclays Capital Global Bond Aggregate Index, 5% SAPY, 2.5% Gold Trust EFT Index

N/A

494

OMIG MacroSolutions (Profile Capital)

OMIG MacroSolutions Moderate portfolio

PSG Stable Fund STANLIB Multi-Manager Defensive Balanced Fund Total V = Verified C = Compliant

Portfolio Type

N/A

Pooled

Segregated

Headline CPI + 4%

571

Unit trust

Headline CPI + 3%

N/A

4 582

Pooled

Headline CPI + 3% (1 month lag)

N/A

2 277 42 938

SECTION 2

Investment Data to the end of December 2018 – Performance Data Investment Managers

1 Year

3 Years (p.a.)

5 Years (p.a.)

7 Years (p.a.)

10 Years (p.a.)

Portfolio Rank Benchmark Portfolio Rank Benchmark Portfolio Rank Benchmark Portfolio Rank Benchmark Portfolio Rank Benchmark Alexander Forbes Investments (Conserver)

4.45%

2.22%

6.64%

5.80%

6.90%

7.05%

9.05%

9.29%

9.80%

9.60%

Allan Gray Life Global Stable Portfolio

4.20%

9.04%

7.25%

9.17%

8.76%

8.69%

9.72%

8.28%

9.44%

8.50%

Coronation Inflation Plus Fund

2.65%

5.18%

5.97%

7.63%

6.98%

8.18%

8.96%

8.47%

5.73%

9.60%

7.66%

9.99%

Foord Conservative Balanced

1.77%

8.38%

3.72%

8.62%

Investec Cautious Managed Fund

5.78%

1.05%

5.83%

4.30%

8.03%

Momentum Investments Classic Factor 5

-3.10%

-4.35%

Momentum Investments Enhanced Factor 4

-0.53%

-1.83%

5.09%

5.30%

6.97%

7.07%

8.77%

9.10%

Momentum Investments Enhanced Factor 5

-2.94%

-4.31%

4.65%

4.60%

7.07%

7.20%

9.56%

9.82%

Old Mutual Multi-Managers Absolute Balanced Fund

-3.61%

11.46%

3.79%

11.41%

6.36%

11.55%

Old Mutual Multi-Managers Inflation Plus 1-3%

0.95%

7.28%

5.78%

6.43%

7.63%

5.97%

Old Mutual Multi-Managers Inflation Plus 3-5%

-4.05%

9.37%

4.60%

7.41%

7.46%

6.55%

OMIG MacroSolutions (Profile Capital)

3.30%

4.12%

6.90%

6.77%

7.71%

7.66%

9.70%

8.90%

9.73%

8.99%

OMIG MacroSolutions Moderate portfolio

1.48%

9.75%

6.41%

9.74%

7.98%

9.55%

10.60%

9.55%

10.77%

9.47%

PSG Stable Fund

2.79%

8.66%

8.33%

8.63%

8.49%

STANLIB Multi-Manager Defensive Balanced Fund

1.86%

8.16%

4.97%

8.52%

7.91%

Investment Data to the end of December for the past 5 Calendar years Investment Managers

2017

2016

Portfolio

Rank

2015

Portfolio

Rank

2014

Portfolio

Rank

2013

Portfolio

Rank

Portfolio

Rank

Alexander Forbes Investments (Conserver)

10.26%

5.31%

6.65%

7.93%

14.74%

Allan Gray Life Global Stable Portfolio

10.29%

7.36%

14.46%

7.77%

16.29%

Coronation Inflation Plus Fund

9.09%

6.27%

7.48%

9.56%

13.61%

Foord Conservative Balanced

8.08%

1.44%

10.39%

Investec Cautious Managed Fund

8.94%

2.86%

13.34%

9.54%

Momentum Investments Classic Factor 5

* 8

14.64%

Momentum Investments Enhanced Factor 4

10.31%

5.79%

8.90%

10.79%

11.67%

Momentum Investments Enhanced Factor 5

12.25%

5.19%

9.69%

11.93%

14.97%

Old Mutual Multi Managers Absolute Balanced Fund

11.16%

4.37%

11.62%

9.03%

19.84%

Old Mutual Multi-Managers Inflation Plus 1-3%

11.34%

5.31%

8.57%

12.40%

20.13%

Old Mutual Multi-Managers Inflation Plus 3-5%

14.85%

3.86%

10.86%

12.91%

24.94%

OMIG MacroSolutions (Profile Capital)

11.93%

5.64%

8.17%

9.73%

12.70%

OMIG MacroSolutions Moderate portfolio

13.71%

4.43%

8.40%

12.36%

15.59%

PSG Stable Fund

11.64%

10.80%

8.88%

9.26%

STANLIB Multi-Manager Defensive Balanced Fund

9.41%

3.77%

10.02%

6.30%

1.63%

Prudential Domestic Balanced

STANLIB AM

6.90%

Number of participants

3.99%

1.63%

Lowest

Range

6.01%

6.38%

7.30%

7.13%

5.40%

4.90%

Average

5.40%

Median

Lower Quartile

7.90%

7.41%

8.91%

5.78%

Rank

Lower volatility= higher ranking

6.01%

7.90%

6.21%

7.88%

Upper Quartile

8.80%

8.91%

6.89%

7.37%

6.08%

Highest

Statistics

5.11%

Prescient Domestic Balanced

2.23%

4.91%

Foord Domestic Balanced

Investec Asset Management

3.87%

Coronation

7.41%

4.36%

Allan Gray

Bridge Managed Growth Fund

5.27%

Alexander Forbes Investments Performer Local

5.44%

Absa Asset Management Domestic Balanced

Volatility

-7.50%

-3.05%

-1.57%

-0.79%

-0.27%

2.21%

-3.77%

0.83%

-0.99%

-0.57%

-3.54%

-1.61%

-7.50%

2.21%

-0.17%

-0.59%

Active Return

Tracking Error

Sharpe Ratio

1.31%

1.96%

3.55%

2.96%

3.75%

9.11%

2.78%

1.89%

6.09%

1.99%

3.87%

3.14%

9.11%

1.95%

1.31%

3.36%

-0.96

-0.39

-0.33

-0.29

0.00

-0.96

-0.14

-0.37

-0.32

-0.75

-0.40

-0.34

0.00

-0.29

-0.32

2.78%

4.91%

5.12%

5.64%

6.78%

8.37%

5.59%

2.78%

6.30%

7.74%

4.61%

5.01%

8.37%

6.47%

5.79%

Rank

8.32%

6.05%

6.74%

7.23%

7.20%

7.90%

Rank

Lower volatility= higher ranking

6.05%

7.79%

8.32%

6.94%

8.24%

7.10%

7.29%

6.14%

Volatility

3 Year Return (p.a.)

Rank

Calculated on 5 year Performance Returns 5 Year Return (p.a.)

Calculated on 3 year Performance Returns

Investment Data to the end of December 2018 - Volatility vs Return

-2.78%

-0.93%

0.12%

0.20%

1.13%

2.83%

-2.78%

0.63%

2.07%

-1.74%

-0.66%

2.83%

0.82%

-0.23%

Active Return

1.22%

2.09%

2.56%

2.74%

3.03%

3.76%

2.59%

-0.68

-0.26

-0.16

-0.13

-0.02

0.21

-0.68

-0.08

* 1.60%

0.10 *

-0.33

-0.23

0.21

-0.06

-0.18

Sharpe Ratio

3.15%

3.76%

2.88%

2.25%

1.22%

2.99%

Tracking Error

MANAGER WATCH™ SURVEY

SA Balanced Manager Watch™ Survey – Best Investment View Risk

Objective: The portfolios are balanced (multi-asset class) portfolios with exposure to local assets, subject to the restrictions imposed by Regulation 28 of the Pension Funds Act and represent the managers’ best investment view.

6.22%

4.02%

3.63%

3.68%

Investec Opportunity

Momentum Investments Flexible Factor 6

Momentum Investments Flexible Factor 7

Number of participants

3.76%

3.63%

Lower Quartile

Lowest

6.92%

7.29%

7.77%

7.79%

5.59%

4.84%

Median

8.09%

4.59%

Upper Quartile

8.78%

2.59%

6.22%

Average

Rank

Lower volatility = higher ranking

8.19%

Range

7.79%

7.13%

6.92%

8.78%

7.80%

Highest

Statistics

4.34%

Coronation (Managed)

Investec Asset Management Managed

4.67%

Allan Gray Life Global Absolute Portfolio

Volatility

-7.45%

-0.19%

-0.82%

0.15%

0.38%

2.05%

0.10%

-0.29%

-7.45%

2.05%

0.19%

0.45%

Active Return

Tracking Error

Sharpe Ratio

2.17%

2.82%

3.59%

3.10%

3.45%

6.90%

2.81%

2.17%

6.90%

2.88%

3.49%

3.32%

-0.48

-0.47

-0.38

-0.40

-0.35

-0.17

-0.45

-0.48

-0.47

-0.17

-0.35

5.83%

6.86%

7.52%

7.98%

7.47%

9.31%

3.47%

6.82%

6.97%

7.51%

9.31%

5.83%

7.36%

Rank

6.29%

6.53%

6.92%

6.78%

7.20%

7.89%

Lower volatility = higher ranking

7.29%

6.94%

6.50%

6.29%

7.89%

6.62%

Volatility

3 Year Return (p.a.)

Rank

Calculated on 5 year Performance Returns 5 Year Return (p.a.)

Calculated on 3 year Performance Returns

Investment Data to the end of December 2018 – Volatility vs Return

-3.88%

-0.41%

-0.08%

-0.19%

1.05%

2.80%

-0.42%

-0.37%

-3.88%

2.80%

-0.01%

1.41%

Active Return

2.06%

2.75%

3.59%

3.09%

3.89%

6.52%

2.69%

2.06%

6.52%

3.23%

2.94%

4.10%

Tracking Error

-0.14

-0.01

0.07

0.04

0.09

0.38

-0.01

0.01

0.09

0.38

-0.14

0.07

Sharpe Ratio

SECTION 2

Global Balanced Manager Watch™ Survey – Dynamic Risk

Objective: The portfolios are balanced (multi-asset class) portfolios with exposure to both global and local assets, subject to the restrictions imposed by Regulation 28 of the Pension Funds Act and aim to maximise long-term (more than 5 years) capital returns. This may lead to volatility of returns in the short term (less than one year).

5.30%

4.56%

5.87%

4.76%

3.92%

1.63%

4.67%

8.94%

4.51%

4.06%

3.93%

2.49%

4.35%

3.34%

4.72%

4.33%

3.48%

4.79%

5.20%

6.06%

7.92%

1.38%

4.89%

2.62%

4.44%

Alexander Forbes Investments (Performer)

Alexander Forbes Investments (Spectrum)

Allan Gray

Cadiz Global Balanced

Coronation

Foord Global Balanced

Investec Asset Management

Kagiso Global Balanced Fund

Momentum Investments Classic Factor 6

Momentum Investments Enhanced Factor 7

Momentum Investments Target Factor 7

Nedgroup Investments Balanced Fund

Nedgroup Investments XS Diversified Fund of Funds

Oasis

Obsidian SCI Balanced fund

Old Mutual Multi Managers Managed

Old Mutual Multi-Managers Inflation Plus 5-7%

OMIG MacroSolutions (Profile Edge28)

OMIG MacroSolutions Balanced

Prudential Balanced

PSG Balanced Fund

Rezco Value Trend

SIM Global Unique

STANLIB AM

STANLIB Multi Manager Balanced Fund

1.38%

Lowest

Number of participants

3.93%

Lower Quartile 26

6.42%

7.09%

7.68%

7.63%

4.21%

4.48%

4.87%

Upper Quartile

Median

8.94%

Average

8.06%

7.56% 9.09%

Lower volatility = higher ranking

7.85%

6.42%

7.52%

8.68%

6.51%

7.61%

6.75%

7.13%

8.05%

8.15%

7.08%

6.81%

7.12%

8.07%

8.70%

9.09%

8.04%

7.54%

7.65%

8.84%

8.86%

7.61%

7.73%

7.07%

7.80%

7.00%

Highest

Range

Statistics

4.47%

Absa Asset Management Global Balanced

-8.75%

-1.62%

-0.60%

0.36%

0.59%

4.78%

0.23%

-1.62%

0.73%

-2.95%

-2.71%

1.89%

0.88%

-8.75%

0.22%

0.39%

-1.12%

-6.39%

-2.65%

0.36%

0.49%

0.59%

4.78%

0.50%

-3.72%

-0.24%

0.59%

1.65%

0.41%

1.13%

0.30%

Active Return

Tracking Error

Sharpe Ratio

0.39%

1.54%

3.33%

2.50%

4.46%

9.30%

1.29%

2.55%

2.26%

9.30%

6.24%

1.59%

1.54%

7.63%

1.33%

6.55%

2.50%

6.73%

5.16%

1.20%

1.87%

1.46%

4.17%

1.69%

4.46%

3.00%

4.35%

2.29%

0.39%

1.22%

2.57%

-0.74

-0.43

-0.37

-0.38

-0.34

0.21

-0.38

-0.74

-0.33

-0.69

0.08

-0.18

-0.32

-0.37

-0.49

-0.38

-0.59

-0.43

-0.61

-0.40

-0.37

-0.36

0.21

-0.36

-0.65

-0.39

-0.35

-0.20

-0.40

-0.27

-0.42

4.47%

6.44%

6.20%

6.43%

7.64%

8.75%

4.28%

5.10%

6.46%

6.41%

8.75%

7.71%

7.22%

7.95%

6.96%

8.04%

5.67%

6.54%

7.29%

7.02%

7.20%

6.72%

8.43%

5.19%

6.50%

4.47%

8.10%

6.21%

7.57%

6.62%

Rank

5.73%

6.58%

6.98%

7.05%

7.25%

8.20%

Lower volatility = higher ranking

5.73%

6.76%

7.49%

6.45%

6.85%

6.32%

6.70%

7.12%

7.15%

6.74%

6.26%

8.08%

8.20%

7.32%

7.17%

7.16%

7.74%

7.79%

7.05%

7.09%

6.36%

6.80%

6.26%

Volatility

Calculated on 5 year Performance Returns

Rank

5 Year Return (p.a.)

Volatility

3 Year Return (p.a.)

Rank

Calculated on 3 year Performance Returns

Investment Data to the end of December 2018 – Volatility vs Return

-4.12%

-1.12%

-0.27%

0.01%

0.57%

2.28%

-1.34%

-0.04%

0.64%

-1.77%

1.21%

0.02%

0.45%

1.70%

3.33%

2.50%

4.55%

9.25%

2.49%

1.95%

9.25%

6.40%

1.37%

1.67%

6.88%

* -3.92%

6.13%

2.56%

6.09%

1.02%

1.79%

1.45%

4.67%

2.35%

4.21%

2.58%

4.08%

2.52%

0.45%

1.19%

2.26%

Tracking Error

2.28%

-0.48%

-4.12%

0.04%

-0.23%

-0.13%

0.22%

1.92%

-1.85%

-0.01%

-2.04%

2.14%

0.36%

1.06%

0.12%

Active Return

-0.35

-0.07

-0.01

0.01

0.11

0.29

-0.32

-0.07

0.29

0.12

0.05

0.16

0.01

0.16

-0.18

-0.06

0.05

0.01

0.04

-0.03

0.21

-0.22

-0.05

-0.35

0.17

-0.11

0.10

-0.05

Sharpe Ratio

MANAGER WATCH™ SURVEY

Global Balanced Manager Watch™ Survey – Best Investment View Risk

Objective: The portfolios are balanced (multi-asset class) portfolios with exposure to global and local assets. subject to the restrictions imposed by Regulation 28 of the Pension Funds Act and represent the managers’ best investment view.

5.09%

4.65%

3.79%

5.78%

4.60%

6.90%

6.41%

8.33%

4.97%

Momentum Investments Enhanced Factor 4

Momentum Investments Enhanced Factor 5

Old Mutual Multi Managers Absolute Balanced Fund

Old Mutual Multi-Managers Inflation Plus 1-3%

Old Mutual Multi-Managers Inflation Plus 3-5%

OMIG MacroSolutions (Profile Capital)

OMIG MacroSolutions Moderate Portfolio

PSG Stable Fund

STANLIB Multi-Manager Defensive Balanced Fund

3.40%

3.72%

5.01%

4.21%

5.43%

4.73%

Average

Lower Quartile

Lowest

4.77%

5.61%

Median

6.37%

6.59%

Upper Quartile

6.70%

4.62%

8.33%

Number of participants

Rank

Lower volatility = higher ranking

4.23%

3.40%

4.91%

3.56%

6.51%

3.48%

6.70%

6.67%

4.91%

4.35%

Range

6.65%

4.63%

5.95%

4.21%

Volatility

Highest

Statistics

5.83%

Investec Cautious Managed Fund

5.97%

3.72%

Coronation Inflation Plus Fund

7.25%

Allan Gray Life Global Stable Portfolio

Foord Conservative Balanced

6.64%

Alexander Forbes Investments (Conserver)

Rank

-7.61%

-3.19%

-1.74%

-1.16%

-0.01%

1.53%

-3.56%

-0.30%

-3.32%

0.13%

-2.80%

-0.65%

-7.61%

0.05%

-0.21%

1.53%

-4.90%

-1.66%

-1.92%

0.84%

1.27%

2.07%

3.93%

5.76%

6.72%

4.12%

3.26%

5.19%

2.17%

6.72%

3.74%

6.41%

1.71%

1.70%

2.04%

6.57%

4.19%

5.94%

1.27%

-0.57

-0.47

-0.31

-0.39

-0.18

0.28

-0.57

0.28

-0.20

-0.14

-0.43

-0.46

-0.54

-0.41

-0.47

-0.36

-0.55

-0.31

-0.02

-0.18

6.36%

6.98%

7.20%

7.39%

7.99%

8.76%

2.40%

8.63%

7.98%

7.71%

7.46%

7.63%

6.36%

7.07%

6.97%

8.03%

6.98%

8.76%

6.90%

Rank

3.32%

3.81%

4.53%

4.39%

5.27%

6.10%

Lower volatility = higher ranking

3.32%

4.70%

3.42%

5.65%

3.45%

5.68%

6.10%

4.63%

4.16%

4.14%

5.15%

3.93%

Volatility

Calculated on 5 year Performance Returns Sharpe Ratio

5 Year Return (p.a.)

Tracking Error

3 Year Return (p.a.)

Active Return

Calculated on 3 year Performance Returns

Investment Data to the end of December 2018 - Volatility vs Return

-5.19%

-0.41%

-0.27%

-0.03%

0.33%

2.30%

0.13%

-1.57%

0.05%

0.91%

1.67%

-5.19%

-0.12%

-0.10%

2.30%

-1.20%

0.08%

-0.14%

Active Return

1.51%

2.00%

3.49%

3.59%

4.97%

5.90%

3.42%

4.91%

2.07%

5.90%

3.75%

5.58%

1.72%

1.79%

2.07%

3.96%

5.16%

1.51%

Tracking Error

-0.10

0.02

0.16

0.15

0.24

0.52

0.23

0.10

0.21

-0.10

0.03

0.01

0.27

0.02

0.36

0.00

Sharpe Ratio

SECTION 2

Global Balanced Manager Watchâ&#x201E;˘ Survey â&#x20AC;&#x201C; Conservative Risk

Objective: The portfolios are balanced (multi-asset class) portfolios, subject to the restrictions imposed by Regulation 28 of the Pension Funds Act and aim to minimise the probability of short-term (less than one year) capital loss while targeting long-term (more than five years) capital growth.

MANAGER WATCH™ SURVEY

SA and Global Manager Watch™ – Volatility vs Return Volatility vs Return Scatterplot – SA Best Investment View 3 years ended 31 December 2018 7.54% Allan Gray

6.96% 6.38%

Prudential Domestic Balanced

5.80%

Return (p.a.)

5.22% 4.64%

Alexander Forbes Investments Performer Local

Absa Asset Management Domestic Balanced

Investec Asset Management

Prescient Domestic Balanced

Bridge Managed Growth Fund

4.06%

Coronation

3.48% 2.90% 2.32% 1.74%

Foord Domestic Balanced Stanlib AM

1.16% 5.90%

6.20%

6.49%

6.79%

7.08%

7.38%

7.67

7.97%

8.26%

8.56%

8.85%

9.15%

Volatility (p.a.) (standard deviation)

Volatility vs Return Scatterplot – Global Best Investment View 3 years ended 31 December 2018 9.12%

Kagiso Global Balanced Fund

8.36% OMIG MacroSolutions Balanced Obsidian SCI Balanced Fund

6.84%

Return (p.a.)

Momentum Investments Classic Factor 6

OMIG MacroSolutions (Profile Edge 28) Prudential Balanced

6.08%

SIM Global Unique

5.32%

Allan Gray Alexander Forbes Investment (Performer) STANLIB Multi Manager Balanced Fund

4.56% Cadiz Global Balanced

3.80%

Coronation Investec Asset Management

Oasis

3.04%

Old Mutual Multi-Managers Inflation Plus 5-7% Nedgroup Investments XS Diversified Fund of Funds

STANLIB AM

2.28%

Nedgroup Investments Balanced Fund Foord Global Balanced

Alexander Forbes Investments (Spectrum)

1.52%

Absa Asset Management Global Balanced

Rezco Value Trend

0.76% 6.21%

6.84%

6.75%

7.02%

7.29%

7.56%

7.83%

8.10%

Volatility (p.a.) (standard deviation)

Momentum Investments Enhanced Factor 7

Momentum Investments Target Factor 7 Old Mutual Multi Managers Managed

PSG Balanced Fund

7.60%

Refer to Volatility table on Pg 46

8.37%

8.64%

8.91%

918%

SECTION 2

Global Balanced Manager Watch™ – Conservative and Dynamic – Volatility vs Return Volatility vs Return Scatterplot – Global Conservative 3 years ended 31 December 2018 8.37% PSG Stable Fund

7.91% 7.44% Allan Gray Life Global Stable Portfolio

6.98%

OMIG MacroSolutions (Profile Capital) Alexander Forbes Investments (Conserver)

Return (p.a.)

6.51%

OMIG MacroSolutions Moderate Portfolio

6.05%

Coronation Inflation Plus Fund Investec Cautious Managed Fund

5.58%

Old Mutual Multi-Managers Inflation Plus 1-3%

Momentum Investments Enhanced Factor 4

5.12%

Momentum Investments Enhanced Factor 5 STANLIB Multi-Manager Defensive Balanced Fund

4.65%

Old Mutual Multi-Managers Inflation Plus 3-5%

4.19% Old Mutual Multi-Managers Absolute Balanced Fund

3.72% Foord Conservative Balanced

3.26% 3.35%

3.69%

4.02%

4.36%

4.69%

5.03%

5.36

5.70%

6.03%

6.37%

6.70%

Volatility (p.a.) (standard deviation)

Volatility vs Return Scatterplot – Global Dynamic 3 years ended 31 December 2018 6.24% Investec Asset Management Managed

5.98% 5.72% 5.46%

Return (p.a.)

5.20% 4.94% 4.68%

Allan Gray Life Global Absolute Portfolio

4.42%

Coronation (Managed)

4.16% Investec Opportunity

3.90% Momentum Investments Flexible Factor 7

Momentum Investments Flexible Factor 6

3.64% 3.38% 6.84%

7.03%

7.22%

7.41%

7.60%

7.79%

7.98%

8.17%

8.36%

8.55%

8.74%

8.93%

Volatility (p.a.) (standard deviation)

MANAGER WATCH™ SURVEY

Global and SA Balanced Manager Watch™ Survey – Asset Allocation Average Asset Allocation of Global Best Investment View as at 31 December 2018 100%

90%

Global 26.46%

25.98%

0.77%

1.81%

28.23%

24.12%

24.66%

2.07%

2.59%

24.56%

SA Cash

80%

70% 14.68% 60%

50%

SA Other

0.41% 2.35% 11.07%

1.69%

14.52% 16.83% 4.10% 4.23% 12.12%

13.20%

9.65%

0.06% 5.05%

6.13%

1.14% 6.24% 0.00% 5.13%

15.29% 13.84%

SA Real Estate SA Listed Property SA Bonds

13.77% SA Equities

12.24%

40%

30% 44.26%

41.48%

36.99%

41.67%

43.20%

45.65%

2013

2014

2015

2016

2017

2018

1.55%

1.29%

11.09%

11.78%

0.00% 6.14%

0.00% 6.41%

19.47%

19.19%

20%

10%

Average Asset Allocation of SA Best Investment View as at 31 December 2018 100%

1.46%

1.87%

1.92%

90%

18.33%

18.91%

18.28%

80%

1.04% 2.61%

0.00% 4.51%

0.00% 4.87%

70%

14.68%

14.80%

17.42%

1.87% 15.78% 0.00% 4.83%

17.71%

SA Other SA Cash SA Real Estate SA Listed Property SA Bonds

60% SA Equities 50%

40% 61.88%

59.91%

57.50%

59.80%

61.71%

61.34%

2013

2014

2015

2016

2017

2018

30%

20%

10%

SECTION 2

Composite Dispersion of SA Balanced Manager WatchTM Managers SA Best Investment View 0.18%

Allan Gray Coronation Domestic

0.09% 0.61%

Foord Segregated Domestic 0.52%

Investec Domestic Balanced Prudential Domestic Balanced

0.08%

0.00%

SA Best Investment View

0.10%

Minimum Return

0.20%

Maximum Return

0.30%

Median Composite Return

0.40%

Composite Dispersion (1yr)

0.50%

Composite Dispersion (3yrs)

0.70%

0.60%

Composite Dispersion (5yrs)

Allan Gray

-3.65%

-2.91%

-3.22%

0.18%

Coronation Domestic

-8.98%

-8.67%

-8.77%

0.09%

0.10%

0.09%

Foord Segregated Domestic

-5.62%

-3.89%

-4.03%

0.61%

0.50%

0.16%

Investec Domestic Balanced

-5.58%

-3.43%

-4.47%

0.52%

0.24%

0.26%

Prudential Domestic Balanced

-5.74%

-5.55%

-5.62%

0.08%

0.04%

* Data not available.

CHARTING THE BEST COURSE FOR YOUR HARD-EARNED INVESTMENT

BRIAN DU PLESSIS (HEAD OF CLIENT RELATIONSHIPS) | BRIAN@REZCO.CO.ZA | REZCO.CO.ZA

MANAGER WATCHâ&#x201E;˘ SURVEY

Composite Dispersion of Global Balanced Manager WatchTM Managers Global Best Investment View Absa Asset Management Global Balanced

0.30%

Allan Gray

0.54%

Ashburton Global Balanced

0.30%

Coronation Full Discretion

0.19%

Foord Global Balanced

0.43%

Investec Balanced International

0.25%

Oasis

1.02%

OMIG MacroSolutions

0.06%

Prudential Balanced

0.05%

STANLIB AM

0.14%

0.00%

0.40%

0.60%

0.80%

1.00%

1.20%

Minimum Return

Maximum Return

Median Composite Return

Absa Asset Management Global Balanced

-1.60%

-0.85%

-1.25%

0.30%

0.57%

0.75%

Allan Gray

-2.55%

-0.80%

-1.32%

0.54%

Ashburton Global Balanced

-2.03%

-1.32%

-1.51%

0.30%

Coronation Full Discretion

-5.35%

-4.74%

-4.96%

0.19%

0.07%

0.06%

Foord Global Balanced

-3.57%

-2.17%

-3.21%

0.43%

0.28%

Investec Balanced International

-1.47%

-0.50%

-0.92%

0.25%

0.17%

0.22%

Oasis

-1.76%

0.87%

-0.63%

1.02%

0.89%

0.32%

OMIG MacroSolutions

-1.64%

-1.52%

-1.58%

0.06%

0.02%

0.03%

Prudential Global Balanced

-2.62%

-2.47%

-2.49%

0.05%

STANLIB AM

-1.23%

-0.87%

-1.05%

0.14%

0.13%

0.10%

Global Best Investment View

* Data not available.

0.20%

Composite Dispersion (1yr)

Composite Dispersion (3yrs)

Composite Dispersion (5yrs)

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MANAGER WATCH™ SURVEY

Seeking alpha

– by accident or by design?

SECTION 2

Investors all over the world seek to maximise their investment outcomes by choosing the best investment fund. In South Africa alone, the investment opportunity is vast, with in excess of 1 500 unit trusts on offer. This immense array of investment options available leaves investors in an obvious conundrum â&#x20AC;&#x201C; how do they determine which fund has the best possible chance of reaching their investment goals? So why is choosing the correct fund and sticking with an investment strategy important? The various approaches taken by investment managers across the country are evident when comparing how differently funds with similar risk profiles and benchmarks can perform. These different performance outcomes can cause investors to switch between funds depending on their performance during a particular cycle. This can lead to the disastrous effect of selling low and buying high â&#x20AC;&#x201C; crystallising losses only to experience the newly acquired investment decreasing in value as the cycle changes. This makes the assessment of which investment managers are able to provide investors consistently with superior returns crucial, but is also no easy feat. Most professional investors would agree that investing is a mix of luck and skill. If one believes that luck is fleeting, then it is manager skill that should be central to any investment decision. Measures based purely on past performance, or even riskadjusted performance, often fail to differentiate between the impact of skill and luck in investment outcomes. The reason for this is that past performance is not an indication of future performance â&#x20AC;&#x201C; a well-known and widely used disclaimer within the investment industry. Why then do the most prestigious awards that aim to recognise exceptional funds and managers across the country base their assessment on this exact metric? Although the importance of rewarding fund managers that have performed well in the past cannot be disputed, these awards do little to evaluate the level of skill applied that will ultimately determine the chances of success in future. Active fund managers are primarily rated on their ability to provide investors with returns in excess of a market benchmark. This excess return is commonly referred to as alpha. Often to achieve this, they either overweight or underweight shares against a market portfolio, tilted towards particular styles or risk factors, such as value, momentum, quality or small cap.

MANAGER WATCH™ SURVEY

The reality is that the skill involved in executing this type of strategy is misleading. The evolution in index-tracking strategies over the past half century has seen the emergence of so-called smart beta funds. These strategies have been available to South African investors for over a decade and have proven to successfully provide investors with access to the benefits of these styles or risk factors in a systematic and cost-effective manner. So if both market returns and returns from factor or style tilts can simply be obtained by investing in a mix of costefficient traditional and smart beta index funds, how do we measure the true value of active investment strategies? In measuring true alpha generated by an investment manager, one cannot only focus on the returns in excess of a market-based benchmark. The returns generated from active tilts towards pure style or factor-based investing strategies should also be removed from the excess fund return. This will expose the true alpha-generating abilities of the investment manager. In order to measure this, a methodology called multi-factor regression analysis can be applied. Through this methodology, true alpha is exposed, providing a clear indication of the skill implied in active manager returns over and above those returns that can be derived from simply investing in smart beta strategies. Although one of the main considerations, returns should certainly not be the only metric that investors should be focused on when assessing the ability of their investment to achieve their outcomes. The volatility of the investment is equally important. The reason for this is twofold – investors prefer a smoother investment return profile and will therefore be more likely to stay invested and reducing volatility in drawdowns can lead to higher returns over time.

Another vital element to consider when assessing suitability of an investment is the peak-to-trough decline or loss that an investor is likely to experience during a specific period. Although it is important to stay invested during times of market turmoil, investors need to avoid situations where they lose significant amounts of capital which forces them to prematurely exit their investment strategy. Last but most certainly not least, the assessment of the ability of a fund manager to consistently generate value is by no means a purely quantitative exercise. It is equally important to consider the qualitative aspects of any investment management house. The research team should apply a rigorous framework in assessing the ability of fund managers to generate returns within a conscientious construct. The application of these principles will identify managers that exhibit a superior skill – those that consistently achieve superior risk-adjusted returns over the long term. They do this through analysing markets and selecting stocks above and beyond the pure factor or style exposure. They generate the elusive alpha – within an exceptional due diligence framework – adding real value in the right way. Luck is not replicable, but skill is: so focus on skill when choosing managers.

Annualised Trailing 10 Year Returns at 31 December 2018 300.00%

This evidences returns generated from a pure equally weighted factor index strategy against returns from the average equity active management strategies in South Africa.

250.00%

200.00%

The equal weighted factor index benchmark outperformed the ALSI by 2.39%, and the average of South African active equity managers by 2.20%.

150.00%

100.00%

The average of South African active equity managers outperformed the ALSI by 0.18%, before considering the effect of fees

50.00%

0.00%

-50.00% 30/4/2008

30/4/2009

30/4/2010

30/4/2011

30/4/2012

30/4/2013

30/4/2014

30/4/2015

30/4/2016

12.8%

15.01%

12.62%

Alexander Forbes Large Manager Watch Equity Average

Equal-Weighted Factor Benchmark

JSE/FTSE All Share Index TR

30/4/2017

30/4/2018

* Returns are calculated prior to fees being taken into account ** Factor benchmark returns attained by equally weighing factor exposure across the following indices: Size and Market (FTSE ALSI); Quality (S&P Quality Index); Value (S&P Enhanced Value Index); Momentum (S&P Momentum South Africa Index); Value (S&P Enhanced Value South Africa) *** Active manager returns based on average returns from the Alexander Forbes large manager watch survey for funds falling within the general equity category

It is vital that true value in active management strategies be measured by the returns generated in excess of the market benchmark and the factor style exposure that could be attained simply and cost efficiently.

Putting your pension money to work since Day 1. Coronation manages the savings of millions of hard-working South Africans. For a quarter of a century, through the highs and lows, we’ve maintained one of the best track records for delivering long-term performance. Good days or bad days, we never stop working to earn our clients’ trust.

Coronation is an authorised financial services provider and approved manager of collective investment schemes. Trust is Earned™.

MANAGER WATCHâ&#x201E;¢ SURVEY

MANAGER WATCH™ SURVEY

Section Three Manager Watch™ Series of Surveys

CONSISTENCY DELIVERS AGAIN AND AGAIN AND AGAIN.

WINNER OF THE MORNINGSTAR BEST FUND HOUSE AWARD,

THREE YEARS IN A ROW.*

prudential.co.za Consistency is the only currency that matters.

*Best Fund House: Larger Fund Range, Morningstar Awards, 2016, 2017, 2018. Prudential Investment Managers (SA) (Pty) Ltd is a Copyright ÂŠ 2014 Morningstar. All Rights Reserved. The information, data and opinions expressed and contained herein are proprietary to Morningstar and/or its content providers and are not intended to represent investment advice or recommendation to buy or sell any security; are not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this Rating, Rating Report or Information contained therein.

SECTION 3

SA Equity Manager Watch™ Survey Objective: The portfolios included in this survey represent specialist active actual equity portfolios with various benchmarks. No carve-outs are reflected.

Range of Returns of SA Equity Total Investable Universe for the periods ending 31 December 2018 20% 15% 10% 5% 0% -5% -10% -15% -20% -25% 1 Year

3 Years (p.a.)

5 Years (p.a.) 25% – 75%

7 Years (p.a.)

Min – Max

10 Years (p.a.)

Median

Return Statistics (Investable) SA Equity Total

1 Year

3 Years (p.a.)

5 Years (p.a.)

7 Years (p.a.)

10 Years (p.a.)

Highest

-1.06%

11.94%

10.94%

15.64%

15.54%

Upper Quartile

-6.42%

5.35%

6.44%

11.72%

13.58%

Median

-8.80%

4.00%

5.41%

10.87%

12.95%

Average

-8.73%

3.82%

5.06%

10.22%

12.44% 11.92%

Lower Quartile

-10.92%

2.40%

3.61%

8.90%

Lowest

-20.01%

-3.57%

-0.13%

3.83%

7.20%

Range

18.95%

15.51%

11.08%

11.81%

8.34%

Number of Participants

Note: The statistics above only include those portfolios that are investable, in other words those portfolios that are closed to new business will be excluded from the calculations.

Benchmarks of Portfolios in the equity survey as a percentage of the Survey Benchmark FTSE/JSE All Share Index

% of Universe 9.38%

FTSE/JSE Capped All Share Index

4.69%

FTSE/JSE SWIX All Share Index

31.25%

FTSE/JSE Capped SWIX ALSI

39.06%

FTSE/JSE Top 40 Index

3.13%

Other

12.50%

MANAGER WATCH™ SURVEY

SA Equity Manager Watch™ Survey Objective: The portfolios included in this survey represent specialist active actual equity portfolios with various benchmarks. No carve-outs are reflected.

General information GIPS™ (Verified/ Compliant)

Managed ITO Regulation 28? (Y/N)

N/A

9 986

Absa Asset Management Core Equity

FTSE/JSE SWIX All Share Index

1 141

Absa Asset Management Prime Equity

FTSE/JSE Top 40 Index

1 041

Aeon Active Equity Fund

FTSE/JSE SWIX All Share Index

9 340

FTSE/JSE Capped All Share Index

424

FTSE/JSE Capped All Share Index

FTSE/JSE Capped SWIX All Share Index

Investment Managers

Benchmark Description

No. of Funds in Composite

Portfolio Size (R m)

Benchmark Cognisant Abax Equity Fund

FTSE/JSE Capped SWIX All Share Index

Afena Capital Core Equity Afena Capital Moderate Equity CAPI

Alexander Forbes Investments Pure Equity Local All Weather Capital SWIX Equity Fund Argon SA Equity Capped SWIX Argon SA Equity Fund

Benguela SA Equity Capped SWIX Fund

C V

Fairtree Asset Management Equity fund First Avenue General Equity

FTSE/JSE SWIX All Share index

934

FTSE/JSE Capped SWIX All Share Index

2 429

FTSE/JSE SWIX All Share Index

685 1 910

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE SWIX All Share index

378

FTSE/JSE SWIX All Share Index

2 639

FTSE/JSE Capped SWIX All Share Index

10 150

FTSE/JSE SWIX All Share Index

1 475

FTSE/JSE Capped SWIX All Share Index

2 152

Kagiso Core Equity Capped SWIX Fund Mergence CAPI Fund

FTSE/JSE Capped All Share Index

1 196

Mergence SWIX Fund

FTSE/JSE SWIX All Share Index

1 875

Mianzo Active Equity Fund

CAPI, SWIX and Capped SWIX combined

Mianzo Enhanced Equity Fund

FTSE/JSE Capped SWIX minus SAPY

1 360

Momentum Investments Classic Equity

N/A

583

FTSE/JSE Capped SWIX All Share Index

13 176

Old Mutual Fundamental Equity

FTSE/JSE Capped SWIX All Share Index

32 094

OMIG Double Alpha Top 40

FTSE/JSE Top 40 Index

426

OMIG Managed Alpha Equity

FTSE/JSE Capped SWIX All Share Index

2 073

FTSE/JSE SWIX All Share Index

1 927

Prudential Core Equity

FTSE/JSE Capped SWIX All Share Index

7 340

Prudential Select Equity

FTSE/JSE Capped SWIX All Share Index

4 255

FTSE/JSE Capped SWIX All Share Index

3 781

FTSE/JSE SWIX All Share Index

8 092

98% FTSE/JSE SWIX ALL Share Index; 2% 4 Major Bank Call Rate

1 619

FTSE/JSE SWIX All Share Index

2 801

FTSE/JSE Capped SWIX All Share Index

3 326

Prescient Core Equity

Sentio General Equity (Capped SWIX) Sentio General Equity Fund SIM Moderate Equity

STANLIB Core Equity

STANLIB Multi Factor Equity

STANLIB Multi-Manager SA Equity Fund

FTSE/JSE Capped SWIX All Share Index

N/A

9 460

Sygnia Core Equity Fund

FTSE/JSE SWIX All Share Index

N/A

4 068

VunaniFM Active Capped SWIX

FTSE/JSE Capped SWIX All Share Index

VunaniFM Core Equity Fund

FTSE/JSE SWIX All Share Index

Total V = Verified C = Compliant

419 16 722

Benguela SA Equity SWIX Fund Coronation Core Equity

N/A

938 241 162 454

SECTION 3

SA Equity Manager Watch™ Survey Objective: The portfolios included in this survey represent specialist active actual equity portfolios with various benchmarks. No carve-outs are reflected.

General information GIPS™ (Verified/ Compliant)

Managed ITO Regulation 28? (Y/N)

Benchmark Description

No. of Funds in Composite

Absa Asset Management Value

FTSE/JSE All Share Index

Afena Capital Unconstrained Equity

FTSE/JSE Capped SWIX All Share Index

1 492

Allan Gray

FTSE/JSE All Share Index

49 754

ASISA South African Equity General Sector Ave

292

FTSE/JSE All Share Index

FTSE/JSE SWIX All Share Index

709

Investment Managers

Portfolio Size (R m)

Not Benchmark Cognisant

Bridge Equity Income Growth Fund Cannon All Equities ALSI Portfolio

ClucasGray Equity Fund

3 932

Coronation Aggressive Equity

FTSE/JSE Capped SWIX All Share Index

10 033

Coronation Houseview Equity

FTSE/JSE Capped SWIX All Share Index

26 604

Denker SA Equity

FTSE/JSE Capped SWIX All Share Index

930

Electus Equity Fund

FTSE/JSE Capped SWIX All Share Index

1 068

Element Equity

FTSE/JSE SWIX All Share Index

314

First Avenue Focused Equity

FTSE/JSE SWIX All Share Index

345

Foord Domestic Equity

FTSE/JSE All Share Index

13 327

Investec Equity

FTSE/JSE Capped SWIX All Share Index

10 787

Investec Value

FTSE/JSE All Share Index

5 089

Kagiso Managed Equity Fund

FTSE/JSE SWIX All Share Index

1 416

Mazi Asset Management Equity CAPPED SWIX Composite

FTSE/JSE Capped SWIX All Share Index

12 701

Mazi Asset Management SWIX Composite

FTSE/JSE SWIX All Share Index

1 957

Momentum Investments Trending Equity

FTSE/JSE Capped SWIX All Share Index

2 254

Momentum Investments Value Equity

FTSE/JSE Capped SWIX All Share Index

2 482

Nedgroup Investments Private Wealth Equity Fund

FTSE/JSE SWIX Top 40 Index

1 730 9 148

Oasis Specialist Domestic Equity

South Africa OE (ASISA) Domestic Equity General

OMIG Premium Equity

FTSE/JSE Capped SWIX All Share Index

575

FTSE/JSE SWIX All Share Index

3 469 230

Perpetua Equity Rezco Equity

FTSE/JSE All Share Index

SIM Aggressive Equity

98% FTSE/JSE Capped SWIX ALSI; 2% STeFI

244

SIM Top Choice Equity Fund

FTSE/JSE SWIX: 97% | STeFI: 3%

1 367

FTSE/JSE SWIX All Share Index

Sygnia Absolute Focus Equity Fund Total

3 915 166 224

V = Verified C = Compliant

MANAGER WATCH™ SURVEY

SA Equity Manager Watch™ Survey Objective: The portfolios included in this survey represent specialist active actual equity portfolios with various benchmarks. No carve-outs are reflected.

Investment Data to the end of December 2018 – Performance Data Investment Managers

Benchmark

1 Year Portfolio

3 Years (p.a.) Benchmark Portfolio

5 Years (p.a.)

Benchmark Portfolio

7 Years (p.a.)

Benchmark Portfolio

10 Years (p.a.)

Benchmark Portfolio

Benchmark

Benchmark Cognisant Abax Equity Fund Absa Asset Management Core Equity Absa Asset Management Prime Equity Aeon Active Equity Fund Afena Capital Core Equity Afena Capital Moderate Equity CAPI Alexander Forbes Investments Pure Equity Local All Weather Capital SWIX Equity Fund Argon SA Equity Capped SWIX Argon SA Equity Fund Benguela SA Equity Capped SWIX Fund Benguela SA Equity SWIX Fund Coronation Core Equity Fairtree Asset Management Equity Fund First Avenue General Equity Kagiso Core Equity Capped SWIX Fund Mergence CAPI Fund Mergence SWIX Fund Mianzo Active Equity Fund Mianzo Enhanced Equity Fund Momentum Investments Classic Equity Old Mutual Fundamental Equity OMIG Double Alpha Top 40 OMIG Managed Alpha Equity Prescient Core Equity Prudential Core Equity Prudential Select Equity Sentio General Equity (Capped SWIX) Sentio General Equity Fund SIM Moderate Equity STANLIB Core Equity STANLIB Multi Factor Equity STANLIB Multi-Manager SA Equity Fund Sygnia Core Equity Fund VunaniFM Active Capped SWIX

FTSE/JSE Capped SWIX All Share Index

-11.09%

-10.94%

1.37%

3.98%

5.83%

6.10%

11.63%

11.14%

13.84%

13.12%

FTSE/JSE SWIX All Share Index

-10.53%

-11.67%

2.25%

3.69%

FTSE/JSE Top 40 Index

-5.50%

-8.31%

4.00%

3.55%

6.81%

5.44%

11.71%

10.55%

FTSE/JSE SWIX All Share Index FTSE/JSE Capped All Share Index FTSE/JSE Capped All Share Index FTSE/JSE Capped SWIX All Share Index

-11.46% -7.07% -6.16%

-11.67% -7.64% -7.67%

4.30% * 5.17%

3.69% * 4.25%

6.64% * 3.94%

5.92% * 5.77%

12.28% * 7.68%

11.01% * 10.71%

13.60% * 10.18%

13.02% * 12.76%

-12.28%

-10.93%

1.74%

2.93%

3.31%

5.45%

8.61%

10.66%

11.33%

12.77%

-7.34%

-11.64%

-6.03%

-10.94%

-7.47%

-11.67%

2.94%

3.69%

6.84%

5.92%

11.91%

11.01%

12.88%

13.02%

-9.79%

-10.94%

-10.91% -11.81%

-11.60% -11.67%

* 4.33%

* 3.69%

* 5.04%

* 5.92%

* 11.31%

* 11.01%

* 14.03%

* 13.02%

FTSE/JSE SWIX All Share index FTSE/JSE Capped SWIX All Share Index FTSE/JSE SWIX All Share Index FTSE/JSE Capped SWIX All Share Index FTSE/JSE SWIX All Share index FTSE/JSE SWIX All Share Index FTSE/JSE Capped SWIX All Share Index FTSE/JSE SWIX All Share Index FTSE/JSE Capped SWIX All Share Index FTSE/JSE Capped All Share Index FTSE/JSE SWIX All Share Index CAPI, SWIX and Capped SWIX combined FTSE/JSE Capped SWIX minus SAPY FTSE/JSE Capped SWIX All Share Index FTSE/JSE Capped SWIX All Share Index FTSE/JSE Top 40 Index FTSE/JSE Capped SWIX All Share Index FTSE/JSE SWIX All Share Index FTSE/JSE Capped SWIX All Share Index FTSE/JSE Capped SWIX All Share Index FTSE/JSE Capped SWIX All Share Index FTSE/JSE SWIX All Share Index 98% FTSE/JSE SWIX ALL Share Index; 2% 4 Major Bank Call Rate FTSE/JSE SWIX All Share Index FTSE/JSE Capped SWIX All Share Index FTSE/JSE Capped SWIX All Share Index FTSE/JSE SWIX All Share Index FTSE/JSE Capped SWIX All Share Index FTSE/JSE SWIX All Share Index

VunaniFM Core Equity Fund Market Indices & Statistics FTSE/JSE All Share Index FTSE/JSE Capped All Share Index FTSE/JSE SWIX All Share Index FTSE/JSE Capped SWIX All Share Index FTSE/JSE Mid Cap Index FTSE/JSE Small Cap Index FTSE/JSE Top 40 Index FTSE/JSE Value Index FTSE/JSE Growth Index

-4.00%

-10.94%

8.89%

3.10%

10.94%

5.56%

15.64%

10.74%

-16.49%

-11.67%

-2.33%

3.69%

3.05%

5.92%

9.04%

11.01%

-7.86%

-10.93%

-6.39% -10.71%

-7.67% -11.67%

3.68% 3.04%

4.25% 3.69%

5.87% 6.11%

5.77% 5.92%

11.02% 11.50%

10.71% 11.01%

12.52% 13.03%

12.76% 13.02%

-7.59%

-11.14%

5.40%

3.31%

-10.17%

-11.76%

5.29%

3.61%

-9.55%

-10.93%

4.18%

4.35%

5.43%

6.32%

10.86%

11.31%

12.84%

13.24%

-9.58%

-10.92%

1.20%

3.11%

5.05%

5.57%

10.73%

10.75%

12.24%

12.83%

-8.04%

-8.31%

4.77%

3.55%

6.47%

5.44%

11.86%

10.55%

-13.80%

-10.92%

0.73%

3.27%

5.16%

5.66%

11.52%

10.82%

-11.46%

-11.67%

4.06%

3.69%

-9.42%

-11.33%

5.71%

3.62%

7.55%

5.88%

13.29%

10.98%

14.65%

13.00%

-8.90%

-10.83%

5.78%

3.93%

7.57%

6.02%

12.81%

11.07%

14.32%

13.06%

-10.49%

-10.93%

-11.15%

-11.67%

2.68%

3.69%

5.94%

5.92%

11.57%

11.01%

-10.82%

-11.32%

3.94%

3.77%

5.86%

5.94%

11.55%

10.92%

13.81%

12.90%

-10.54%

-11.67%

0.46%

3.69%

2.14%

5.92%

8.67%

11.01%

11.63%

13.02%

-9.58%

-10.93%

3.46%

3.65%

5.53%

5.90%

10.69%

11.00%

12.69%

13.01%

-8.53%

-10.94%

2.73%

3.26%

3.99%

5.66%

8.98%

10.81%

-12.06%

-11.67%

1.42%

3.69%

3.83%

5.92%

9.64%

11.01%

-6.02%

-10.94%

-6.99%

-11.67%

4.03%

3.69%

5.75%

5.92%

11.37%

11.01%

-8.53% -7.67% -11.67% -10.94% -9.73% -14.59% -8.31% -4.44% -11.48%

4.33% 4.25% 3.69% * 7.14% 2.06% 3.55% 7.88% 2.32%

5.77% 5.77% 5.92% * 6.34% 4.25% 5.44% 2.49% 7.70%

10.69% 10.71% 11.01% * 10.33% 10.46% 10.55% 7.08% 12.87%

12.62% 12.76% 13.02% * 13.93% 12.48% 12.28% 11.16% 13.00%

SECTION 3

SA Equity Manager Watch™ Survey Objective: The portfolios included in this survey represent specialist active actual equity portfolios with various benchmarks. No carve-outs are reflected.

Investment Data to the end of December 2018 – Performance Data Investment Managers

Benchmark

1 Year Portfolio

3 Years (p.a.) Benchmark

Portfolio

5 Years (p.a.)

Benchmark

Portfolio

7 Years (p.a.)

Benchmark

Portfolio

10 Years (p.a.)

Benchmark

Portfolio

Benchmark

Not Benchmark Cognisant Absa Asset Management Value FTSE/JSE All Share Index

-8.24%

-8.53%

3.51%

4.33%

3.82%

5.77%

8.55%

10.69%

11.89%

12.62%

Afena Capital Unconstrained Equity

-9.90%

-12.32%

7.76%

3.44%

1.66%

5.77%

6.22%

10.90%

FTSE/JSE Capped SWIX All Share Index

Allan Gray

FTSE/JSE All Share Index

-7.47%

-8.53%

6.08%

4.33%

7.73%

5.77%

11.36%

10.69%

13.27%

12.62%

Bridge Equity Income Growth Fund

ASISA South African Equity General Sector Ave

-7.52%

-9.21%

4.46%

1.76%

Cannon All Equities ALSI Portfolio

FTSE/JSE All Share Index

-5.94%

-8.53%

4.33%

-0.13%

5.77%

3.83%

10.69%

7.47%

12.62%

ClucasGray Equity Fund

FTSE/JSE SWIX All Share Index

-4.23%

-11.67%

Coronation Aggressive Equity

FTSE/JSE Capped SWIX All Share Index

-11.84%

-10.94%

5.84%

2.92%

2.97%

5.45%

9.65%

10.66%

13.35%

12.77%

Coronation Houseview Equity

FTSE/JSE Capped SWIX All Share Index

-12.46%

-10.94%

2.69%

2.92%

3.61%

5.45%

10.56%

10.66%

13.52%

12.77%

Denker SA Equity

FTSE/JSE Capped SWIX All Share Index

-3.62%

-12.36%

3.52%

3.36%

1.63%

5.69%

6.50%

10.73%

Electus Equity Fund

FTSE/JSE Capped SWIX All Share Index

-3.60%

-10.94%

4.92%

3.75%

5.57%

5.41%

9.82%

10.43%

12.43%

12.44%

Element Equity

FTSE/JSE SWIX All Share Index

-1.96%

-11.67%

11.24%

3.69%

3.15%

5.92%

4.11%

11.01%

7.20%

13.02%

First Avenue Focused Equity

FTSE/JSE SWIX All Share Index

-20.01%

-11.67%

-3.57%

3.69%

2.95%

5.92%

Foord Domestic Equity

FTSE/JSE All Share Index

-12.22%

-8.53%

-1.56%

4.33%

2.64%

5.77%

9.92%

10.69%

13.21%

12.62%

Investec Equity

FTSE/JSE Capped SWIX All Share Index

-7.01%

-10.94%

2.56%

3.98%

7.92%

6.10%

12.23%

11.14%

13.22%

13.12%

Investec Value

FTSE/JSE All Share Index

-4.85%

-8.53%

11.94%

4.33%

5.19%

5.77%

4.08%

10.69%

8.29%

12.62%

Kagiso Managed Equity Fund

FTSE/JSE SWIX All Share Index

-6.42%

-11.67%

6.41%

3.69%

3.44%

5.92%

8.59%

11.01%

12.02%

13.02%

Mazi Asset Management Equity FTSE/JSE Capped SWIX CAPPED SWIX Composite All Share Index

-12.42%

-10.94%

Mazi Asset Management SWIX Composite

FTSE/JSE SWIX All Share Index

-13.24%

-11.67%

0.08%

3.69%

5.24%

5.92%

12.10%

11.01%

15.54%

13.02%

Momentum Investments Trending Equity

FTSE/JSE Capped SWIX All Share Index

-9.22%

-10.94%

Momentum Investments Value Equity

FTSE/JSE Capped SWIX All Share Index

-5.29%

-10.94%

-12.12%

-0.99%

2.70%

5.41%

5.61%

12.43%

10.90%

13.77%

12.77%

Nedgroup Investments Private FTSE/JSE SWIX Top 40 Wealth Equity Fund Index Oasis Specialist Domestic Equity

South Africa OE (ASISA) Domestic Equity General

-6.91%

-9.23%

6.14%

1.81%

3.65%

3.29%

8.40%

7.71%

11.03%

9.94%

OMIG Premium Equity

FTSE/JSE Capped SWIX All Share Index

-7.52%

-10.92%

4.70%

3.27%

6.93%

5.66%

11.74%

10.82%

Perpetua Equity

FTSE/JSE SWIX All Share Index

-10.13%

-11.67%

6.03%

3.69%

Rezco Equity

FTSE/JSE All Share Index

-1.06%

-8.53%

SIM Aggressive Equity

98% FTSE/JSE Capped SWIX ALSI; 2% STeFI

-2.59%

-9.62%

7.90%

4.42%

6.44%

6.35%

10.88%

11.22%

13.34%

13.11%

SIM Top Choice Equity Fund

FTSE/JSE SWIX: 97% STeFI: 3%

-5.88%

-11.13%

3.71%

3.82%

6.44%

5.97%

12.13%

10.89%

Sygnia Absolute Focus Equity Fund

FTSE/JSE SWIX All Share Index

-8.70%

-11.67%

1.77%

3.69%

6.67%

5.92%

10.83%

11.01%

Market Indices & Statistics FTSE/JSE All Share Index

-8.53%

4.33%

5.77%

10.69%

12.62%

FTSE/JSE Capped All Share Index

-7.67%

4.25%

5.77%

10.71%

12.76%

FTSE/JSE SWIX All Share Index

-11.67%

3.69%

5.92%

11.01%

13.02%

FTSE/JSE Capped SWIX All Share Index

-10.94%

-9.73%

7.14%

6.34%

10.33%

13.93%

FTSE/JSE Mid Cap Index FTSE/JSE Small Cap Index FTSE/JSE Top 40 Index FTSE/JSE Value Index FTSE/JSE Growth Index

-14.59%

2.06%

4.25%

10.46%

12.48%

-8.31%

3.55%

5.44%

10.55%

12.28%

-4.44%

7.88%

2.49%

7.08%

11.16%

-11.48%

2.32%

7.70%

12.87%

13.00%

MANAGER WATCH™ SURVEY

SA Equity Manager Watch™ Survey Objective: The portfolios included in this survey represent specialist active actual equity portfolios with various benchmarks. No carve-outs are reflected.

Investment Data to the end of December for the past 5 Calendar years Investment Managers

Benchmark

2017

2016

Portfolio Benchmark Portfolio

2015

2014

2013

Benchmark Portfolio Benchmark Portfolio Benchmark Portfolio

Benchmark

Benchmark Cognisant

Abax Equity Fund

FTSE/JSE Capped SWIX All Share Index

Absa Asset Management Core Equity

FTSE/JSE SWIX All Share Index

16.97%

21.21%

Absa Asset Management Prime Equity

FTSE/JSE Top 40 Index

14.73%

23.07%

Aeon Active Equity Fund

FTSE/JSE SWIX All Share Index

25.79%

21.21%

Afena Capital Core Equity

FTSE/JSE Capped All Share Index

16.91%

Afena Capital Moderate Equity CAPI

FTSE/JSE Capped All Share Index

Alexander Forbes Investments Pure Equity Local

FTSE/JSE Capped SWIX All Share Index

All Weather Capital SWIX Equity Fund

FTSE/JSE SWIX All Share index

Argon SA Equity Capped SWIX

FTSE/JSE Capped SWIX All Share Index

Argon SA Equity Fund

FTSE/JSE SWIX All Share Index

Benguela SA Equity Capped SWIX Fund

FTSE/JSE Capped SWIX All Share Index

Benguela SA Equity SWIX Fund

FTSE/JSE SWIX All Share index

Coronation Core Equity

FTSE/JSE SWIX All Share Index

Fairtree Asset Management Equity fund

18.32%

21.21%

-0.97%

4.13%

11.01%

3.62%

14.77%

15.42%

28.05%

20.71%

2.14%

4.13%

10.04%

3.62%

3.75%

-1.60%

9.76%

7.52%

12.58%

9.17%

26.82%

22.77%

1.86%

4.13%

7.14%

3.62%

13.48%

15.42%

28.23%

20.71%

18.07%

15.15%

18.06%

7.66%

3.94%

-0.81%

5.17%

5.12%

11.08%

18.63%

21.55%

15.21%

17.57%

4.20%

4.13%

1.11%

3.62%

10.52%

15.42%

22.98%

20.71%

20.89%

21.21%

17.45%

21.21%

0.36%

4.13%

9.81%

3.62%

16.22%

15.42%

25.26%

20.71%

19.71%

21.34%

21.98%

21.21%

5.57%

4.13%

0.33%

3.62%

12.25%

15.42%

29.01%

20.71%

FTSE/JSE Capped SWIX All Share Index

21.47%

18.17%

10.71%

4.13%

8.42%

3.62%

20.07%

15.42%

24.93%

20.71%

First Avenue General Equity

FTSE/JSE SWIX All Share Index

14.65%

21.21%

-2.68%

4.13%

9.53%

3.62%

13.85%

15.42%

20.21%

20.71%

Kagiso Core Equity Capped SWIX Fund

FTSE/JSE Capped SWIX All Share Index

Mergence CAPI Fund

FTSE/JSE Capped All Share Index

13.96%

18.06%

4.47%

3.94%

7.78%

5.17%

10.74%

11.08%

25.07%

21.55%

Mergence SWIX Fund

FTSE/JSE SWIX All Share Index

17.07%

21.21%

4.66%

4.13%

7.31%

3.62%

14.61%

15.42%

25.46%

20.71%

Mianzo Active Equity Fund

CAPI, SWIX and Capped SWIX combined

17.10%

19.17%

8.21%

4.13%

-2.21%

4.41%

Mianzo Enhanced Equity Fund

FTSE/JSE Capped SWIX minus SAPY

20.43%

21.52%

7.90%

3.72%

Momentum Investments Classic Equity

FTSE/JSE Capped SWIX All Share Index

18.06%

22.51%

5.89%

4.13%

2.58%

3.62%

12.34%

15.42%

25.37%

20.71%

Old Mutual Fundamental Equity

FTSE/JSE Capped SWIX All Share Index

14.49%

18.19%

0.11%

4.14%

6.77%

3.62%

15.59%

15.42%

27.59%

20.71%

OMIG Double Alpha Top 40

FTSE/JSE Top 40 Index

25.07%

23.07%

-0.01%

-1.60%

8.32%

7.52%

9.82%

9.17%

23.90%

22.77%

OMIG Managed Alpha Equity

FTSE/JSE Capped SWIX All Share Index

16.16%

18.72%

2.07%

4.14%

8.78%

3.62%

15.69%

15.42%

24.91%

20.71%

Prescient Core Equity

FTSE/JSE SWIX All Share Index

21.62%

21.21%

4.63%

4.13%

4.25%

3.62%

Prudential Core Equity

FTSE/JSE Capped SWIX All Share Index

23.19%

20.50%

5.86%

4.13%

5.82%

3.62%

15.10%

15.42%

28.07%

20.71%

Prudential Select Equity

FTSE/JSE Capped SWIX All Share Index

23.64%

20.91%

5.09%

4.12%

6.22%

3.78%

14.53%

14.99%

26.76%

20.79%

Sentio General Equity (Capped SWIX)

FTSE/JSE Capped SWIX All Share Index

Sentio General Equity Fund

FTSE/JSE SWIX All Share Index

16.06%

21.21%

4.98%

4.13%

6.31%

3.62%

15.97%

15.42%

23.03%

20.71%

SIM Moderate Equity

98% FTSE/JSE SWIX ALL Share 19.58% Index; 2% 4 Major Bank Call Rate

20.92%

5.30%

4.19%

3.43%

3.67%

14.49%

15.22%

26.83%

20.39%

STANLIB Core Equity

FTSE/JSE SWIX All Share Index

13.41%

21.21%

-0.07%

4.13%

-0.37%

3.62%

10.07%

15.42%

18.65%

20.71%

STANLIB Multi Factor Equity

FTSE/JSE Capped SWIX All Share Index

21.66%

20.06%

0.65%

4.13%

2.68%

3.62%

15.09%

15.41%

18.89%

20.73%

STANLIB Multi-Manager SA Equity Fund

FTSE/JSE Capped SWIX All Share Index

14.14%

18.71%

3.85%

4.13%

0.40%

3.62%

11.70%

15.42%

23.00%

20.71%

Sygnia Core Equity Fund

FTSE/JSE SWIX All Share Index

16.51%

21.21%

1.82%

4.13%

3.42%

3.62%

11.85%

15.42%

25.52%

20.71%

VunaniFM Active Capped SWIX

FTSE/JSE Capped SWIX All Share Index

VunaniFM Core Equity Fund

FTSE/JSE SWIX All Share Index

16.00%

21.21%

4.36%

4.13%

7.60%

3.62%

9.18%

15.42%

21.88%

20.71%

Market Indices & Statistics FTSE/JSE All Share Index

20.95%

2.63%

5.13%

10.88%

21.43%

FTSE/JSE Capped All Share Index

18.06%

3.94%

5.17%

11.08%

21.55% 20.71%

FTSE/JSE SWIX All Share Index

21.21%

4.13%

3.62%

15.42%

FTSE/JSE Capped SWIX All Share Index

16.49%

FTSE/JSE Mid Cap Index

7.36%

26.89%

-7.54%

19.62%

12.99%

FTSE/JSE Small Cap Index

2.95%

20.90%

-3.92%

20.57%

26.31%

FTSE/JSE Top 40 Index

23.07%

-1.60%

7.52%

9.17%

22.77%

FTSE/JSE Value Index

12.15%

17.15%

-13.90%

4.59%

17.47%

FTSE/JSE Growth Index

25.56%

-3.63%

17.72%

14.90%

23.28%

SECTION 3

SA Equity Manager Watchâ&#x201E;¢ Survey Objective: The portfolios included in this survey represent specialist active actual equity portfolios with various benchmarks. No carve-outs are reflected.

Investment Data to the end of December for the past 5 Calendar years Investment Managers

Benchmark

2017 Portfolio

2016 Benchmark

Portfolio

2015 Benchmark

Portfolio

2014 Benchmark

Portfolio

2013 Benchmark

Portfolio

Benchmark

Not Benchmark Cognisant Absa Asset Management Value

FTSE/JSE All Share Index

13.94%

20.95%

6.09%

2.63%

-3.24%

5.13%

12.39%

10.88%

18.72%

21.43%

Afena Capital Unconstrained Equity

FTSE/JSE Capped SWIX All Share Index

11.42%

21.21%

24.65%

4.13%

-14.75%

3.62%

1.80%

15.42%

17.06%

20.72%

Allan Gray

FTSE/JSE All Share Index

14.51%

20.95%

12.66%

2.63%

5.16%

5.13%

15.59%

10.88%

22.90%

21.43%

Bridge Equity Income Growth Fund

ASISA South African Equity General Sector Ave

13.54%

12.53%

8.56%

3.14%

Cannon All Equities ALSI Portfolio

FTSE/JSE All Share Index

-0.56%

20.95%

21.42%

2.63%

-10.84%

5.13%

-1.91%

10.88%

16.02%

21.43%

ClucasGray Equity Fund

FTSE/JSE SWIX All Share Index

18.39%

21.21%

Coronation Aggressive Equity

FTSE/JSE Capped SWIX All Share Index

15.96%

17.57%

15.98%

4.13%

-8.85%

3.62%

7.08%

15.42%

30.91%

20.71%

Coronation Houseview Equity

FTSE/JSE Capped SWIX All Share Index

15.76%

17.57%

6.85%

4.13%

0.10%

3.62%

10.15%

15.42%

32.57%

20.71%

Denker SA Equity

FTSE/JSE Capped SWIX All Share Index

-1.69%

20.92%

17.09%

4.19%

-11.72%

3.67%

10.70%

15.22%

18.03%

20.39%

Electus Equity Fund

FTSE/JSE Capped SWIX All Share Index

11.29%

22.07%

7.65%

2.71%

-0.40%

5.13%

14.00%

10.88%

24.61%

21.44%

Element Equity

FTSE/JSE SWIX All Share Index

15.50%

21.21%

21.57%

4.13%

-16.14%

3.62%

1.15%

15.42%

2.18%

20.71%

First Avenue Focused Equity

FTSE/JSE SWIX All Share Index

16.94%

21.21%

-4.14%

4.13%

12.86%

3.62%

14.29%

15.42%

20.78%

20.71%

Foord Domestic Equity

FTSE/JSE All Share Index

5.39%

20.95%

3.11%

2.63%

2.90%

5.13%

16.05%

10.88%

28.48%

21.43%

Investec Equity

FTSE/JSE Capped SWIX All Share Index

13.21%

21.21%

2.47%

4.13%

15.26%

3.62%

17.73%

15.42%

22.45%

20.71%

Investec Value

FTSE/JSE All Share Index

-4.05%

20.95%

53.62%

2.63%

-18.82%

5.13%

13.09%

10.88%

-0.28%

21.43%

Kagiso Managed Equity Fund

FTSE/JSE SWIX All Share Index

16.20%

21.21%

10.80%

4.13%

-8.71%

3.62%

7.66%

15.42%

25.13%

20.71%

Mazi Asset Management Equity CAPPED SWIX Composite

FTSE/JSE Capped SWIX All Share Index

Mazi Asset Management SWIX Composite

FTSE/JSE SWIX All Share Index

18.53%

21.21%

-2.54%

4.13%

12.51%

3.62%

14.48%

15.42%

26.10%

20.71%

Momentum Investments Trending Equity

FTSE/JSE Capped SWIX All Share Index

Momentum Investments Value Equity

FTSE/JSE Capped SWIX All Share Index

Nedgroup Investments Private Wealth Equity Fund

FTSE/JSE SWIX Top 40 Index

4.22%

24.00%

4.58%

-0.60%

12.13%

6.16%

19.57%

14.23%

31.52%

22.05%

South Africa OE (ASISA) Oasis Specialist Domestic Equity Domestic Equity General

11.80%

12.76%

14.89%

3.12%

-9.49%

0.99%

10.53%

10.29%

16.55%

19.45%

OMIG Premium Equity

FTSE/JSE Capped SWIX All Share Index

17.43%

18.72%

5.70%

4.14%

6.12%

3.62%

14.79%

15.42%

17.97%

20.71%

Perpetua Equity

FTSE/JSE SWIX All Share Index

8.60%

21.22%

22.11%

4.13%

-13.01%

3.62%

Rezco Equity

FTSE/JSE All Share Index

SIM Aggressive Equity

98% FTSE/JSE Capped SWIX ALSI; 2% STeFI

13.95%

20.92%

13.19%

4.19%

-1.97%

3.67%

10.95%

15.22%

25.61%

20.39%

SIM Top Choice Equity Fund

FTSE/JSE SWIX: 97% STeFI: 3%

13.19%

20.80%

4.70%

4.24%

7.43%

3.72%

14.04%

15.13%

32.22%

20.24%

Sygnia Absolute Focus Equity Fund

FTSE/JSE SWIX All Share Index

12.80%

21.21%

2.34%

4.13%

11.68%

3.62%

17.35%

15.42%

22.49%

20.71%

Market Indices & Statistics FTSE/JSE All Share Index

20.95%

2.63%

5.13%

10.88%

21.43%

FTSE/JSE Capped All Share Index

18.06%

3.94%

5.17%

11.08%

21.55%

FTSE/JSE SWIX All Share Index

21.21%

4.13%

3.62%

15.42%

20.71%

FTSE/JSE Capped SWIX All Share Index

16.49%

FTSE/JSE Mid Cap Index

7.36%

26.89%

-7.54%

19.62%

12.99%

FTSE/JSE Small Cap Index

2.95%

20.90%

-3.92%

20.57%

26.31%

FTSE/JSE Top 40 Index

23.07%

-1.60%

7.52%

9.17%

22.77%

FTSE/JSE Value Index

12.15%

17.15%

-13.90%

4.59%

17.47%

FTSE/JSE Growth Index

25.56%

-3.63%

17.72%

14.90%

23.28%

4.19%

4.90%

-2.88%

0.21%

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE Top 40 Index

FTSE/JSE Capped SWIX All Share Index

Momentum Investments Classic Equity

Old Mutual Fundamental Equity

OMIG Double Alpha Top 40

OMIG Managed Alpha Equity

3.56%

0.50%

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE SWIX All Share Index

98% FTSE/JSE SWIX ALL Share Index; 2% 4 Major Bank Call Rate

FTSE/JSE SWIX All Share Index

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE SWIX All Share Index

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE SWIX All Share Index

Sentio General Equity (Capped SWIX)

Sentio General Equity Fund

SIM Moderate Equity

STANLIB Core Equity

STANLIB Multi Factor Equity

STANLIB Multi-Manager SA Equity Fund

Sygnia Core Equity Fund

VunaniFM Active Capped SWIX

VunaniFM Core Equity Fund

-8.53%

-7.67%

-11.67%

-10.94%

-9.73%

-14.59%

-8.31%

-4.44%

-11.48%

FTSE/JSE Capped All Share Index

FTSE/JSE SWIX All Share Index

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE Mid Cap Index

FTSE/JSE Small Cap Index

FTSE/JSE Top 40 Index

FTSE/JSE Value Index

FTSE/JSE Growth Index

4.68%

4.92%

-0.40%

2.40%

1.36%

1.13%

0.43%

1.93%

Rank

FTSE/JSE All Share Index

Market Indices & Statistics

0.52%

FTSE/JSE Capped SWIX All Share Index

Prudential Select Equity

1.92%

FTSE/JSE SWIX All Share Index

FTSE/JSE Capped SWIX All Share Index

Prescient Core Equity

Prudential Core Equity

0.27%

1.34%

1.38%

1.59%

CAPI, SWIX and Capped SWIX combined

1.28%

0.96%

FTSE/JSE Capped All Share Index

FTSE/JSE SWIX All Share Index

Mergence CAPI Fund

Mergence SWIX Fund

FTSE/JSE Capped SWIX minus SAPY

3.07%

FTSE/JSE Capped SWIX All Share Index

Kagiso Core Equity Capped SWIX Fund

Mianzo Active Equity Fund

-4.82%

FTSE/JSE SWIX All Share Index

First Avenue General Equity

Mianzo Enhanced Equity Fund

6.94%

Fairtree Asset Management Equity fund FTSE/JSE Capped SWIX All Share Index

-0.14%

0.69%

FTSE/JSE SWIX All Share Index

Argon SA Equity Fund

FTSE/JSE SWIX All Share Index

FTSE/JSE Capped SWIX All Share Index

Argon SA Equity Capped SWIX

4.30%

FTSE/JSE SWIX All Share index

All Weather Capital SWIX Equity Fund

-1.34%

Coronation Core Equity

FTSE/JSE Capped SWIX All Share Index

Alexander Forbes Investments Pure Equity Local

1.52%

0.57%

Benguela SA Equity SWIX Fund

FTSE/JSE Capped All Share Index

Afena Capital Moderate Equity CAPI

1.15%

FTSE/JSE Capped All Share Index

Afena Capital Core Equity

0.21%

2.81%

1.13%

-0.16%

Benguela SA Equity Capped SWIX Fund FTSE/JSE Capped SWIX

FTSE/JSE Top 40 Index

FTSE/JSE SWIX All Share Index

Absa Asset Management Prime Equity

FTSE/JSE SWIX All Share Index

Aeon Active Equity Fund

FTSE/JSE Capped SWIX All Share Index

Absa Asset Management Core Equity

Benchmark

Abax Equity Fund

Benchmark Cognisant

Investment Managers

Active Return: 1 Year

2.32%

7.88%

3.55%

2.06%

7.14%

3.69%

4.25%

Rank

4.33%

0.34%

-2.27%

-0.53%

-0.19%

-3.23%

0.17%

-1.01%

1.85%

2.09%

0.36%

-2.54%

1.22%

-1.92%

-0.17%

1.68%

2.09%

-0.65%

-0.57%

-6.02%

5.79%

0.64%

-0.76%

-1.18%

0.92%

0.60%

0.45%

-1.45%

-2.61%

Active Return: 3 Years (p.a.)

7.70%

2.49%

5.44%

4.25%

6.34%

5.92%

5.77%

Rank

5.77%

-0.17%

-2.09%

-1.67%

-0.37%

-3.78%

-0.08%

0.02%

1.54%

1.67%

-0.50%

1.03%

-0.52%

-0.89%

0.19%

0.11%

-2.87%

5.38%

-0.88%

0.91%

-2.14%

-1.83%

0.72%

1.37%

-0.27%

Active Return: 5 Years (p.a.)

12.87%

7.08%

10.55%

10.46%

10.33%

11.01%

10.71%

Rank

10.69%

0.36%

-1.38%

-1.83%

-0.31%

-2.34%

0.63%

0.56%

1.75%

2.32%

0.70%

1.31%

-0.01%

-0.45%

0.48%

0.31%

-1.97%

4.90%

0.29%

0.89%

-2.05%

-3.03%

1.26%

1.16%

0.48%

Active Return: 7 Years (p.a.)

13.00%

11.16%

12.28%

12.48%

13.93%

13.02%

12.76%

Rank

12.62%

-0.32%

-1.39%

0.92%

1.26%

1.65%

-0.59%

-0.39%

0.01%

-0.24%

1.00%

-0.14%

-1.44%

-2.58%

0.58%

0.73%

Active Return: 10 Years (p.a.)

25.56%

12.15%

23.07%

2.95%

7.36%

16.49%

21.21%

18.06%

Rank

20.95%

-5.22%

-4.70%

-4.57%

1.60%

-7.81%

-1.34%

-5.16%

2.73%

2.69%

0.41%

-2.56%

2.00%

-3.70%

-4.45%

-1.09%

-2.07%

-4.15%

-4.10%

-6.56%

3.30%

0.77%

-1.63%

-3.76%

-0.32%

-2.36%

-2.92%

-1.15%

4.58%

-8.34%

-4.25%

-2.90%

Active Return - 2017

-3.63%

17.15%

-1.60%

20.90%

26.89%

4.13%

3.94%

Rank

2.63%

0.23%

-2.31%

-0.28%

-3.48%

-4.20%

1.11%

0.86%

0.97%

1.73%

0.50%

-2.07%

1.59%

-4.03%

1.76%

4.18%

4.08%

0.53%

-6.80%

6.59%

1.44%

-3.77%

0.07%

3.72%

-2.27%

5.35%

-1.98%

-5.10%

Active Return - 2016

17.72%

-13.90%

7.52%

-3.92%

-7.54%

3.62%

5.17%

Rank

5.13%

3.98%

-0.20%

-3.22%

-0.94%

-3.99%

-0.25%

2.69%

2.45%

2.20%

0.63%

5.16%

0.81%

3.16%

-1.04%

-6.62%

3.69%

2.61%

5.91%

4.80%

-3.29%

6.19%

-2.51%

-5.98%

3.52%

2.24%

6.42%

7.40%

Active Return - 2015

17.72%

4.59%

9.17%

20.57%

19.62%

15.42%

11.08%

Rank

10.88%

-6.24%

-3.57%

-3.72%

-0.33%

-5.35%

-0.73%

0.54%

-0.46%

-0.32%

0.27%

0.65%

0.17%

-3.08%

-0.81%

-0.34%

-1.57%

4.65%

-3.17%

0.80%

-4.90%

-5.95%

-1.94%

3.40%

-0.65%

Active Return 2014

Calender Year Returns

Due to differing benchmarks, the portfolios below are ranked by active returns only (actual performance less benchmark return) and are purely for illustrative purposes.

Investment Data to the end of December 2018 – Performance Data

23.28%

17.47%

22.77%

26.31%

12.99%

20.71%

21.55%

Rank

21.43%

1.17%

4.81%

2.29%

-1.84%

-2.06%

6.44%

2.32%

5.97%

7.36%

4.20%

1.12%

6.88%

4.66%

4.75%

3.52%

-0.50%

4.22%

8.30%

4.55%

2.27%

-2.93%

7.52%

4.05%

7.34%

Active Return - 2013

MANAGER WATCH™ SURVEY

SA Equity Manager Watch™ Survey

Objective: The portfolios included in this survey represent specialist active actual equity portfolios with various benchmarks. No carve-outs are reflected.

2.42%

1.06%

1.70%

7.43%

-0.91%

-1.52%

8.74%

7.34%

-3.69%

3.93%

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE All Share Index

ASISA South African Equity General Sector Ave

FTSE/JSE All Share Index

FTSE/JSE SWIX All Share Index

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE Capped SWIX

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE SWIX All Share Index

FTSE/JSE All Share Index

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE All Share Index

FTSE/JSE SWIX All Share Index

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE SWIX All Share Index

Allan Gray

Bridge Equity Income Growth Fund

Cannon All Equities ALSI Portfolio

ClucasGray Equity Fund

Coronation Aggressive Equity

Coronation Houseview Equity

Denker SA Equity

Electus Equity Fund

Element Equity

First Avenue Focused Equity

Foord Domestic Equity

Investec Equity

Investec Value

Kagiso Managed Equity Fund

Mazi Asset Management Equity CAPPED SWIX Composite

Mazi Asset Management SWIX Composite

2.32%

3.40%

1.54%

7.47%

7.03%

FTSE/JSE SWIX Top 40 Index

South Africa OE (ASISA) Domestic Equity General

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE SWIX All Share Index

FTSE/JSE All Share Index

98% FTSE/JSE Capped SWIX ALSI; 2% STeFI

FTSE/JSE SWIX: 97% | STeFI: 3%

FTSE/JSE SWIX All Share Index

Nedgroup Investments Private Wealth Equity Fund

Oasis Specialist Domestic Equity

OMIG Premium Equity

Perpetua Equity

Rezco Equity

SIM Aggressive Equity

SIM Top Choice Equity Fund

Sygnia Absolute Focus Equity Fund

3.55% 7.88%

-11.67%

-10.94%

-9.73%

-14.59%

-8.31%

-4.44%

-11.48%

FTSE/JSE SWIX All Share Index

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE Mid Cap Index

FTSE/JSE Small Cap Index

FTSE/JSE Top 40 Index

FTSE/JSE Value Index

FTSE/JSE Growth Index

2.32%

2.06%

7.14%

3.69%

4.25%

-7.67%

4.33%

-1.93%

-8.53%

-0.12%

3.48%

2.33%

1.43%

4.33%

-3.69%

-3.62%

2.71%

7.61%

-1.42%

-5.89%

-7.26%

7.55%

1.17%

0.16%

-0.24%

2.92%

0.01%

2.70%

1.75%

4.32%

-0.81%

FTSE/JSE Capped All Share Index

2.97%

Rank

Active Return: 3 Years (p.a.)

FTSE/JSE All Share Index

Market Indices & Statistics

5.65%

1.18%

FTSE/JSE Capped SWIX

Momentum Investments Value Equity

5.25%

1.72%

Momentum Investments Trending Equity FTSE/JSE Capped SWIX

-1.57%

-1.49%

5.24%

3.68%

-8.35%

9.71%

2.59%

0.29%

FTSE/JSE All Share Index

Afena Capital Unconstrained Equity

Benchmark

Absa Asset Management Value

Not Benchmark Cognisant

Investment Managers

Active Return: 1 Year

Rank

7.70%

2.49%

5.44%

4.25%

6.34%

5.92%

5.77%

0.75%

0.47%

0.10%

1.27%

0.36%

-0.20%

-0.68%

-2.49%

-0.58%

1.82%

-3.13%

-2.97%

-2.78%

0.16%

-4.06%

-1.84%

-2.49%

-5.90%

1.96%

-4.10%

-1.94%

Active Return: 5 Years (p.a.)

Rank

12.87%

7.08%

10.55%

10.46%

10.33%

11.01%

10.71%

10.69%

-0.18%

1.24%

-0.34%

0.92%

0.69%

1.54%

1.09%

-2.42%

-6.61%

1.09%

-0.77%

-6.90%

-0.61%

-4.23%

-0.10%

-1.00%

-6.86%

0.67%

-4.67%

-2.14%

Active Return: 7 Years (p.a.)

Rank

13.00%

11.16%

12.28%

12.48%

13.93%

13.02%

12.76%

12.62%

0.23%

1.09%

1.00%

2.51%

-1.01%

-4.34%

0.11%

0.59%

-5.82%

-0.01%

0.75%

0.58%

-5.15%

0.64%

-0.73%

Active Return: 10 Rank Years (p.a.)

25.56%

12.15%

23.07%

2.95%

7.36%

16.49%

21.21%

18.06%

20.95%

-8.42%

-7.61%

-6.98%

-12.62%

-1.29%

-0.96%

-19.78%

-2.69%

-5.02%

-25.00%

-8.00%

-15.57%

-4.27%

-5.72%

-10.78%

-22.61%

-1.81%

-1.61%

-2.82%

-21.51%

1.01%

-6.44%

-9.80%

-7.01%

Active Return - 2017

Rank

-3.63%

17.15%

-1.60%

20.90%

26.89%

4.13%

3.94%

2.63%

-1.79%

0.46%

9.00%

17.99%

1.56%

11.77%

5.18%

-6.66%

6.67%

51.00%

-1.66%

0.48%

-8.27%

17.44%

4.94%

12.90%

2.72%

11.85%

18.79%

5.42%

10.03%

20.53%

3.46%

Active Return - 2016

Calender Year Returns

Rank

17.72%

-13.90%

7.52%

-3.92%

-7.54%

3.62%

5.17%

5.13%

8.06%

3.71%

-5.65%

-16.63%

2.50%

-10.48%

5.97%

8.89%

-12.33%

-23.94%

11.64%

-2.23%

9.24%

-19.76%

-5.53%

-15.39%

-3.51%

-12.46%

-15.97%

0.03%

-18.37%

-8.36%

Active Return - 2015

Rank

14.90%

4.59%

9.17%

20.57%

19.62%

15.42%

11.08%

10.88%

1.92%

-1.10%

-4.27%

-0.64%

0.24%

5.34%

-0.94%

-7.76%

2.21%

2.31%

5.17%

-1.13%

-14.28%

3.12%

-4.52%

-5.27%

-8.34%

-12.79%

4.72%

-13.62%

1.52%

Active Return - 2014

Rank

Due to differing benchmarks, the portfolios below are ranked by active returns only (ie actual performance less benchmark return) and are purely for illustrative purposes.

Investment Data to the end of December 2018

23.28%

17.47%

22.77%

26.31%

12.99%

20.71%

21.55%

21.43%

1.78%

11.98%

5.22%

-2.74%

-2.89%

9.47%

5.39%

4.42%

-21.71%

1.74%

7.05%

0.07%

-18.53%

3.17%

-2.36%

11.86%

10.20%

-5.41%

1.46%

-3.66%

-2.71%

Active Return - 2013

Rank

SECTION 3

SA Equity Manager Watchâ&#x201E;¢ Survey

Objective: The portfolios included in this survey represent specialist active actual equity portfolios with various benchmarks. No carve-outs are reflected.

5.29%

1.20%

4.77%

FTSE/JSE Capped SWIX minus SAPY

FTSE/JSE Capped SWIX ALSI

Mianzo Enhanced Equity Fund

Momentum Investments Classic Equity

Old Mutual Fundamental Equity

4.06%

5.71%

5.78%

2.68%

3.94%

FTSE/JSE SWIX All Share Index

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE SWIX All Share Index

98% FTSE/JSE SWIX ALL Share Index; 2% 4 Major Bank Call Rate

Prescient Core Equity

Prudential Core Equity

Prudential Select Equity

Sentio General Equity Fund

SIM Moderate Equity

2.73%

1.42%

FTSE/JSE Capped SWIX ALSI

FTSE/JSE SWIX All Share Index

STANLIB Multi-Manager SA Equity Fund

Sygnia Core Equity Fund

VunaniFM Core Equity Fund

4.03%

0.46%

3.46%

FTSE/JSE SWIX All Share Index

FTSE/JSE Capped SWIX All Share Index

STANLIB Core Equity

STANLIB Multi Factor Equity

0.73%

FTSE/JSE Top 40 Index

FTSE/JSE Capped SWIX ALSI

OMIG Double Alpha Top 40

OMIG Managed Alpha Equity

4.18%

3.04%

5.40%

FTSE/JSE SWIX All Share Index

CAPI, SWIX and Capped SWIX combined

Mergence SWIX Fund

Mianzo Active Equity Fund

3.68%

FTSE/JSE Capped All Share Index

Mergence CAPI Fund

8.89%

-2.33%

FTSE/JSE Capped SWIX ALSI

FTSE/JSE SWIX All Share Index

4.33%

First Avenue General Equity

FTSE/JSE SWIX All Share Index

Coronation Core Equity

2.94%

1.74%

5.17%

4.30%

4.00%

2.25%

1.37%

3 year return

Rank

Lower volatility = higher ranking

10.78%

10.95%

10.34%

10.49%

10.74%

11.34%

11.47%

10.42%

10.98%

11.65%

10.70%

12.81%

10.21%

10.52%

11.25%

10.22%

10.82%

10.31%

11.04%

13.11%

12.02%

11.33%

9.97%

10.49%

11.15%

11.58%

11.10%

11.24%

Volatility (Risk)

0.34%

-2.27%

-0.53%

-0.19%

-3.23%

0.17%

-1.01%

1.85%

2.09%

0.36%

-2.54%

1.22%

-1.92%

-0.17%

1.68%

2.09%

-0.65%

-0.57%

-6.02%

5.79%

0.64%

-0.76%

-1.18%

0.92%

0.60%

0.45%

-1.45%

-2.61%

Active Return

Calculated on 3 year performance returns

Fairtree Asset Management Equity fund

FTSE/JSE Capped SWIX ALSI

FTSE/JSE SWIX All Share Index

Argon SA Equity Fund

FTSE/JSE Capped All Share Index

Afena Capital Moderate Equity CAPI

Alexander Forbes Investments Pure Equity Local

FTSE/JSE Top 40 Index

FTSE/JSE SWIX All Share Index

Aeon Active Equity Fund

FTSE/JSE SWIX All Share Index

Absa Asset Management Prime Equity

FTSE/JSE Capped SWIX ALSI

Abax Equity Fund

Benchmark

Absa Asset Management Core Equity

Benchmark Cognisant

Investment Managers

Investment Data to the end of December 2018 – Volatility vs Return

Rank

3.23%

1.15%

3.15%

1.81%

3.20%

1.76%

4.32%

2.62%

3.02%

0.49%

2.03%

0.74%

2.92%

2.14%

2.06%

3.49%

1.90%

1.89%

4.03%

5.72%

1.75%

3.54%

2.01%

1.72%

3.17%

3.06%

3.44%

3.52%

Tracking Error

0.71

0.11

-1.97

-0.17

-0.11

-1.01

0.10

-0.23

0.75 0.69

Rank

-1.25

1.65

-0.66

-0.08

0.82

0.60

-0.34

-0.30

-1.49

1.01

0.37

-0.21

-0.59

0.54

0.19

0.15

-0.42

-0.74

Information Ratio

5.75%

3.83%

3.99%

5.53%

2.14%

5.86%

5.94%

7.57%

7.55%

5.16%

6.47%

5.05%

5.43%

6.11%

5.87%

3.05%

10.94%

5.04%

6.84%

3.31%

3.94%

6.64%

6.81%

5.83%

5 Year Return

Rank

Lower volatility = higher ranking

10.48%

10.47%

10.05%

10.54%

10.30%

10.86%

10.75%

10.12%

10.59%

10.51%

12.12%

10.14%

10.15%

10.59%

10.18%

11.04%

12.39%

11.37%

10.85%

9.84%

10.61%

10.64%

10.81%

10.94%

Volatility (Risk)

-0.17%

-2.09%

-1.67%

-0.37%

-3.78%

-0.08%

0.02%

1.54%

1.67%

-0.50%

1.03%

-0.52%

-0.89%

0.19%

0.11%

-2.87%

5.38%

-0.88%

0.91%

-2.14%

-1.83%

0.72%

1.37%

-0.27%

Active Return

Calculated on 5 year performance returns

Rank

3.00%

1.34%

3.25%

1.81%

3.51%

1.55%

3.80%

2.29%

2.55%

2.28%

0.75%

2.59%

2.24%

1.96%

1.86%

3.86%

4.94%

2.29%

3.17%

2.42%

2.75%

2.82%

2.87%

3.38%

Tracking Error

-0.06

-1.56

-0.51

-0.21

-1.08

-0.05

0.00

0.67

0.66

-0.22

1.37

-0.20

-0.40

0.10

0.06

-0.74

1.09

-0.38

0.29

-0.89

-0.67

0.26

0.48

-0.08

Information Ratio

Rank

MANAGER WATCH™ SURVEY

SA Equity Manager Watch™ Survey Risk

Objective: The portfolios included in this survey represent specialist active actual equity portfolios with various benchmarks. No carve-outs are reflected.

FTSE/JSE All Share Index

ASISA South African Equity General Sector Ave

Allan Gray

Bridge Equity Income Growth Fund

4.92%

11.94%

6.41%

FTSE/JSE Capped SWIX ALSI

FTSE/JSE All Share Index

Investec Equity

Investec Value

6.14%

4.70%

6.03%

7.90%

3.71%

South Africa OE (ASISA) Domestic Equity General

FTSE/JSE Capped SWIX ALSI

FTSE/JSE SWIX All Share Index

98% FTSE/JSE Capped SWIX ALSI; 2% STeFI

FTSE/JSE SWIX: 97% | STeFI: 3%

FTSE/JSE SWIX All Share Index

Oasis Specialist Domestic Equity

OMIG Premium Equity

Perpetua Equity

SIM Aggressive Equity

SIM Top Choice Equity Fund

Sygnia Absolute Focus Equity Fund

3.69%

FTSE/JSE SWIX All Share Index

7.14%

2.06%

3.55%

7.88%

2.32%

FTSE/JSE Mid Cap Index

FTSE/JSE Small Cap Index

FTSE/JSE Top 40 Index

FTSE/JSE Value Index

FTSE/JSE Growth Index

4.25%

FTSE/JSE Capped SWIX All Share Index

4.33%

FTSE/JSE Capped All Share Index

1.77%

FTSE/JSE All Share Index

Market Indices & Statistics

6 11

-0.99%

FTSE/JSE SWIX Top 40 Index

Nedgroup Investments Private Wealth Equity Fund

0.08%

FTSE/JSE SWIX All Share Index

Kagiso Managed Equity Fund

Rank

Mazi Asset Management SWIX Composite

2.56%

-1.56%

-3.57%

FTSE/JSE SWIX All Share Index

FTSE/JSE All Share Index

Foord Domestic Equity

11.24%

First Avenue Focused Equity

FTSE/JSE Capped SWIX ALSI

FTSE/JSE SWIX All Share Index

Electus Equity Fund

FTSE/JSE Capped SWIX

Denker SA Equity

Element Equity

2.69%

FTSE/JSE Capped SWIX All Share Index

Coronation Houseview Equity

3.52%

5.84%

FTSE/JSE Capped SWIX All Share Index

4.33%

4.46%

6.08%

7.76%

3.51%

3 year return

Rank

12.60%

13.58%

12.63%

10.62%

13.87%

11.51%

10.87%

11.47%

Lower volatility = higher ranking

11.17%

11.71%

11.26%

12.09%

10.19%

9.79%

11.10%

11.38%

10.81%

21.50%

11.26%

11.25%

11.35%

9.99%

8.36%

11.43%

11.21%

11.46%

10.43%

9.52%

11.31%

9.70%

Volatility (Risk)

-1.93%

-0.12%

3.48%

2.33%

1.43%

4.33%

-3.69%

-3.62%

2.71%

7.61%

-1.42%

-5.89%

-7.26%

7.55%

1.17%

0.16%

-0.24%

2.92%

0.01%

2.70%

1.75%

4.32%

-0.81%

Active Return

Calculated on 3 year performance returns

Coronation Aggressive Equity

Cannon All Equities ALSI Portfolio FTSE/JSE All Share Index

FTSE/JSE All Share Index

FTSE/JSE Capped SWIX All Share Index

Absa Asset Management Value

Benchmark

Afena Capital Unconstrained Equity

Not Benchmark Cognisant

Investment Managers

Investment Data to the end of December 2018 – Volatility vs Return

Rank

3.25%

4.78%

5.55%

8.97%

1.93%

5.19%

5.15%

3.04%

5.39%

20.62%

4.19%

5.52%

4.34%

9.26%

6.24%

7.46%

3.49%

5.29%

10.28%

7.63%

4.57%

6.23%

3.95%

Tracking Error

-0.59

-0.02

0.63

0.26

0.74

0.83

-0.72

-1.19

0.50

0.37

-0.34

-1.07

-1.68

0.82

0.19

0.02

-0.07

0.55

0.00

0.35

0.38

0.69

-0.21

Information Ratio

Rank

7.70%

2.49%

5.44%

4.25%

6.34%

5.92%

5.77%

Rank

5.77%

6.67%

6.44%

6.93%

3.65%

5.41%

5.24%

3.44%

5.19%

7.92%

2.64%

2.95%

3.15%

5.57%

1.63%

3.61%

2.97%

-0.13%

7.73%

1.66%

3.82%

5 Year Return

Rank

11.65%

13.79%

11.86%

10.50%

13.15%

11.01%

10.57%

10.94%

Lower volatility = higher ranking

10.41%

11.00%

10.67%

9.85%

10.72%

11.40%

10.55%

10.76%

21.17%

11.11%

10.69%

11.28%

11.87%

8.27%

11.59%

10.81%

11.40%

10.18%

10.11%

12.21%

10.03%

Volatility (Risk)

0.75%

0.47%

0.10%

1.27%

0.36%

-0.20%

-0.68%

-2.49%

-0.58%

1.82%

-3.13%

-2.97%

-2.78%

0.16%

-4.06%

-1.84%

-2.49%

-5.90%

1.96%

-4.10%

-1.94%

Active Return

Calculated on 5 year performance returns

Rank

3.40%

4.35%

4.91%

1.87%

5.30%

4.71%

3.28%

6.17%

19.58%

4.36%

4.95%

4.36%

10.56%

5.94%

7.25%

3.91%

5.68%

9.39%

4.29%

7.69%

3.72%

Tracking Error

0.22

0.11

0.02

0.68

0.07

-0.04

-0.21

-0.40

-0.03

0.42

-0.63

-0.68

-0.26

0.03

-0.56

-0.47

-0.44

-0.63

0.46

-0.53

-0.52

Information Ratio

Rank

SECTION 3

SA Equity Manager Watch™ Survey Risk (continued)

Objective: The portfolios included in this survey represent specialist active actual equity portfolios with various benchmarks. No carve-outs are reflected.

MANAGER WATCH™ SURVEY

SA Equity Manager Watch™ Survey – Volatility vs Return Volatility vs Return Scatterplot on SA Equity Managers – Benchmark Cognisant 3 Years ended 31 December 2018 12.44%

Fairtree Asset Management Equity fund OMIG Double Alpha Top 40 Coronation Core Equity

10.89%

Prescient Core Equity Absa Asset Management Prime Equity

9.33%

FTSE/JSE All Share Index SIM Moderate Equity

7.78%

Mianzo Enhanced Equity Fund Prudential Core Equity

Return (p.a.)

6.22%

Prudential Select Equity Mianzo Active Equity Fund

4.67%

Afena Capital Moderate Equity CAPI Aeon Active Equity Fund Momentum Investments Classic Equity

3.11%

Mergence CAPI Fund STANLIB Multi Factor Equity Mergence SWIX Fund Absa Asset Management Core Equity Alexander Forbes Investments Pure Equity Local

1.56% 0.00%

FTSE/JSE SWIX All Share Index Sentio General Equity Fund Argon SA Equity Fund

Old Mutual Fundamental Equity OMIG Managed Alpha Equity

Abax Equity Fund Sygnia Core Equity Fund

-1.56%

VunaniFM Core Equity Fund STANLIB Core Equity

-3.11%

First Avenue General Equity

-4.67% 7.89%

9.21%

10.52%

11.84%

13.15%

14.47%

15.78%

17.10%

18.41%

19.73%

21.04%

22.36%

Volatility (p.a.) (standard deviation)

Volatility vs Return Scatterplot on SA Equity Managers – Not Benchmark Cognisant 3 years ended 31 December 2018 12.44% 10.89% 9.33%

Electus Equity Fund

Investec Value

Element Equity Allan Gray Oasis Specialist Domestic Equity OMIG Premium Equity SIM Aggressive Equity Afena Capital Unconstrained Equity

7.78%

Kagiso Managed Equity Fund

Return (p.a.)

6.22% Bridge Equity Income Growth Fund

4.67%

FTSE/JSE All Share Index SIM Top Choice Equity Fund

3.11%

Denker SA Equity Coronation Houseview Equity Investec Equity Sygnia Absolute Focus Equity Fund Mazi Asset Management SWIX Composite

1.56% 0.00%

Foord Domestic Equity Cannon All Equities ALSI Portfolio

-3.11%

First Avenue Focused Equity Absa Asset Management Value

-4.67% 9.21%

10.52%

11.84%

13.15%

14.47%

15.78%

17.10%

Volatility (p.a.) (standard deviation)

FTSE/JSE SWIX All Share Index

Nedgroup Investments Private Wealth

-1.56%

7.89%

Perpetua Equity Coronation Aggressive Equity

18.41%

19.73%

21.40%

22.36%

SECTION 3

Composite Dispersion of SA Equity Manager Watchâ&#x201E;¢ Survey 1 Year to 31 December 2018 Benchmark Cognisant Absa Asset Management Prime Equity

0.18% 2.12%

Absa Asset Management Core Equity 0.73%

Aeon Active Equity Fund Afena Capital Moderate Equity CAPI Afena Capital Equity CAPI

0.01% 0.00% 1.39%

Ashburton SA Equity 0.29%

Benguela SA Equity Capped SWIX Coronation Core Equity

0.08% 0.27%

Prescient Core Equity

2.01%

Mianzo Active Equity 0.04%

Old Mutual Fundamental Equity

0.01%

OMIG Double Alpha Top 40

0.20%

Prudential Core Equity SWIX

0.39%

SIM Moderate Equity 0.25%

Vunani Capped SWIX 0.00%

Not Benchmark Cognisant

0.50%

Minimum Return

Maximum Return

1.00%

Median Composite Return

1.50%

Composite Dispersion (1yr)

2.00%

Composite Dispersion (3yrs)

2.50%

Composite Dispersion (5yrs)

Absa Asset Management Prime Equity

-5.85%

-5.49%

-5.67%

0.18%

0.23%

Absa Asset Management Core Equity

-14.24%

-9.09%

-11.51%

2.12%

0.55%

Aeon Active Equity Fund

-11.77%

-9.39%

-10.48%

0.73%

Afena Capital Moderate Equity CAPI

-6.17%

-6.16%

-6.17%

0.01%

Afena Capital Equity CAPI

-7.08%

-7.07%

-7.08%

0.00%

Ashburton SA Equity

-8.77%

-4.80%

-7.79%

1.39%

Benguela SA Equity Capped SWIX

-10.21%

-9.59%

-10.20%

0.29%

Coronation Core Equity

-12.59%

-12.25%

-12.45%

0.08%

0.02%

0.01%

Prescient Core Equity

-11.54%

-10.93%

-11.43%

0.27%

Mianzo Active Equity

-10.10%

-5.13%

-5.79%

2.01%

0.85%

Old Mutual Fundamental Equity

-9.66%

-9.57%

-9.64%

0.04%

0.06%

0.02%

OMIG Double Alpha Top 40

-8.06%

-8.03%

-8.04%

0.01%

0.03%

0.02%

Prudential Core Equity SWIX

-9.95%

-9.22%

-9.39%

0.20%

SIM Moderate Equity

-10.83%

-9.89%

-10.49%

0.39%

Vunani Capped SWIX

-6.15%

-5.66%

-5.91%

0.25%

* Data not available.

MANAGER WATCHâ&#x201E;˘ SURVEY

Composite Dispersion of SA Equity Manager Watchâ&#x201E;˘ Survey 1 Year to 31 December 2018 Not Benchmark Cognisant

Absa Asset Management Value

1.53%

Allan Gray

0.20%

Coronation Aggressive Equity

0.07% 0.04%

Coronation Houseview Equity Excelsia Capital Aggressive Equity

0.40%

Foord Specialist Domestic Equity

0.27%

Investec Equity

0.23%

Investec Value

2.59%

Mazi Capital Equity SWIX

0.49%

Mazi Capital Equity Capped SWIX

0.37%

Oasis Specialist Domestic

1.34% 0.17%

OMIG Premium Equity

0.10%

Perpetua True Value Equity

0.34%

Prudential Select Equity

0.50%

0.00%

Not Benchmark Cognisant

Maximum Return

Median Composite Return

1.50%

Composite Dispersion (1yr)

2.00%

2.50%

Composite Dispersion (3yrs)

3.00%

Composite Dispersion (5yrs)

Absa Asset Management Value

-9.35%

-6.09%

-8.25%

1.53%

0.43%

Allan Gray

-7.93%

-6.92%

-7.44%

0.20%

Coronation Aggressive Equity

-11.98%

-11.77%

-11.86%

0.07%

0.04%

0.85%

Coronation Houseview Equity

-11.81%

-11.70%

-11.80%

0.04%

0.07%

0.05%

Excelsia Capital Aggressive Equity

-11.97%

-11.18%

-11.58%

0.40%

Foord Specialist Domestic Equity

-12.89%

-12.18%

-12.37%

0.27%

0.09%

0.11%

Investec Equity

-7.56%

-6.56%

-7.07%

0.23%

0.12%

0.22%

Investec Value

-8.79%

-1.98%

-5.46%

2.59%

4.11%

1.77%

Mazi Capital Equity SWIX

-14.01%

-12.43%

-13.62%

0.49%

0.14%

0.34%

Mazi Capital Equity Capped SWIX

-13.60%

-12.10%

-12.54%

0.37%

Oasis Specialist Domestic

-7.64%

-4.40%

-5.25%

1.34%

1.02%

0.55%

OMIG Premium Equity

-7.71%

-7.37%

-7.54%

0.17%

0.11%

0.16%

Perpetua True Value Equity

-10.14%

-9.95%

-10.05%

0.10%

0.12%

Prudential Select Equity

-9.18%

-8.38%

-8.60%

0.34%

0.40%

0.30%

* Data not available.

Minimum Return

1.00%

SECTION 3

SA Bond Manager Watch™ Survey Objective: The portfolios included in this survey represent specialist bond portfolios with ALBI as their benchmark and have an effective modified duration mandate of ±2 years around the ALBI. This survey also include the following two categories: inflation linked bonds and flexible bonds-income.

Range of Returns of Bond Universe for the periods ending 31 December 2018 25%

20%

15%

10%

0% 1 Year

3 Years (p.a.)

5 Years (p.a.) 25% – 75%

7 Years (p.a.)

Min – Max

10 Years (p.a.)

Median

Return Statistics (Investable) 1 Year

3 Years (p.a.)

5 Years (p.a.)

7 Years (p.a.)

10 Years (p.a.)

Highest

10.00%

13.18%

9.88%

10.24%

Upper Quartile

9.05%

12.39%

8.83%

8.88%

8.76%

Median

8.57%

12.07%

8.48%

8.55%

8.60%

10.17%

Average

8.60%

12.01%

8.54%

8.70%

8.74%

Lower Quartile

8.31%

11.73%

8.24%

8.36%

8.47%

Lowest

6.85%

10.36%

7.58%

8.02%

8.17%

Range

3.15%

2.82%

2.30%

2.22%

2.01%

Number of Participants

Note: The statistics above only include those portfolios that are investable, in other words those portfolios that are closed to new business will be excluded from the calculations.

MANAGER WATCH™ SURVEY

General information Investment Managers

GIPS™ Managed ito (Verified/ Regulation Compliant) 28? (Y/N)

Benchmark Description

Portfolio Modified Duration

% Invested No.of in AAA rated funds in instruments composite

Portfolio Size (R m)

Specialist Bonds Absa Asset Management Bond Fund

All Bond Index

58.60%

1987

5.94

68.00%

N/A

4023

6.92

72.27%

6521

7.23

89.91%

825

BEASSA ALBI

7.35

74.08%

763 1302

Alexander Forbes Investments Pure Fixed Interest Local

N/A

All Bond Index

ALUWANI Active Bond

N/A

BEASSA ALBI

Argon SA Bond Fund

BEASSA ALBI

Ashburton Bond Composite

Balondolozi Bond Fund

6.77

N/A

ALBI+1%

6.92

72.55%

Cadiz Houseview Bond Fund

All Bond Index

9.01

37.52%

562

Coronation Active Bond Portfolio (Composite)

All Bond Index

7.71

82.47%

5601

Futuregrowth Core Bond Composite

BEASSA All Bond Index (ALBI)

6.89

78.33%

17585

Futuregrowth Yield Enhanced

BEASSA All Bond Index (ALBI)

6.92

43.53%

14352

Investec Corporate Bond Composite

All Bond Index

7.15

38.50%

15669

Investec Triple Alpha

All Bond Index

7.59

56.16%

1711

JM BUSHA BondPlus

All Bond Index

6.93

1277

Kagiso Bond Fund

All Bond Index

7.62

75.00%

485

Momentum Investments SA Bond

All Bond Index

7.16

90.80%

4290

Pan African AM Segregated Domestic Bond Fund

All Bond Index

6.84

61.04%

1860

Prescient Bond Quant

All Bond Index

7.20

76.40%

214

Prescient Bond QuantPlus

All Bond Index

6.97

86.02%

5492

N/A

All Bond Index

6.80

63.91%

405

Prudential Yield Enhanced Portfolio

Prowess Corporate Bond Portfolio

All Bond Index

7.58

88.20%

2497

SIM Institutional Total Return Bond Fund

All Bond Index

7.57

73.97%

6078

STANLIB Core Bond Portfolio

BESA All Bond Index

7.22

65.10%

5601

7.24

63.20%

N/A

3850

7.22

61.96%

STANLIB Multi-Manager Bond

N/A

BESSA JSE All bond Index (ALBI)

VunaniFM Active Bond Fund

All Bond Index

Total

3657 106 606

Inflation Linked Bonds Coronation Absolute Bond Portfolio

All Bond Index

4.03

35.94%

5888

Coronation Flexible Fixed Interest

Higher of STeFI 3m/ALBI

6.47

67.71%

6856

Coronation Strategic Bond Composite

All Bond Index

7.55

79.83%

4744

Investec Flexible Bond Composite

All Bond Index

8.03

69.00%

6738

Prescient Flexible Bond Fund

ALBI

5.79

22.00%

Total

3001 27 226

Inflation Linked Bonds ALUWANI Active Inflation Linked Bond

N/A

JSE IGOV index

10.35

83.43%

3358

Investec Inflation Linked Bond Composite

IGOV

10.78

76.91%

3580

Prescient Inflation Linked Bond Composite

90 ILBI / 10 STEFI Call

8.32

84.92%

3021

SIM Inflation Linked Bond Fund

Barclays BESA Govt Inflationlinked Bond Index

12.70

80.92%

2253

STANLIB Inflation Linked Bond Fund

STeFi Overnight Index 10%; Barclays Inflation Linked Government Bond Index 90%

11.27

50.10%

1312

VunaniFM Active Inflation-linked Bond Fund

CILI

10.03

55.68%

457

Indices All Bond Index V = Verified C = Compliant

7.19

SECTION 3

Investment Data to the end of December 2018 – Performance Data Investment Managers

1 Year

Rank

3 Years (p.a.)

Rank

5 Years (p.a.)

Rank

7 Years (p.a.)

Rank

10 Years (p.a.)

Rank

Specialist Bonds Absa Asset Management Bond Fund

8.51%

12.47%

9.17%

Alexander Forbes Investments Pure Fixed Interest Local

8.83%

8.52%

8.73%

12.16%

ALUWANI Active Bond

8.44%

11.89%

8.84%

8.29%

8.89%

8.72%

8.49%

8.63%

Argon SA Bond Fund

9.28%

12.42%

9.01%

9.39%

8.47%

Ashburton Bond Composite

8.77%

Balondolozi Bond Fund

8.54%

11.91%

12.72%

8.52%

8.93%

Cadiz Houseview Bond Fund

6.85%

10.36%

7.58%

8.06%

8.17%

Coronation Active Bond Portfolio (Composite)

8.60%

12.22%

8.83%

9.08%

8.87%

Futuregrowth Core Bond Composite

8.21%

11.65%

8.17%

8.53%

8.45%

Futuregrowth Yield Enhanced Investec Corporate Bond Composite

9.52%

12.70%

9.88%

10.24%

10.17%

10.00%

13.18%

9.15%

9.38%

9.80%

Investec Triple Alpha

8.79%

12.02%

8.44%

8.58%

8.64%

JM BUSHA BondPlus

8.93%

11.75%

8.38%

* *

Kagiso Bond Fund

9.04%

12.14%

Momentum Investments SA Bond

7.66%

11.43%

8.04%

8.31%

8.49%

* 13

Pan African AM Segregated Domestic Bond Fund

9.09%

11.90%

8.39%

8.54%

8.57%

Prescient Bond Quant

7.95%

11.68%

8.26%

8.28%

8.33%

Prescient Bond QuantPlus

8.35%

12.12%

8.73%

8.57%

8.73%

Prowess Corporate Bond Portfolio

8.00%

10.79%

7.96%

8.02%

Prudential Yield Enhanced Portfolio

7.93%

11.64%

7.96%

8.31%

8.54%

SIM Institutional Total Return Bond Fund

8.37%

11.93%

8.23%

8.43%

8.40%

STANLIB Core Bond Portfolio

8.40%

12.45%

8.56%

8.81%

8.77%

STANLIB Multi-Manager Bond

9.15%

12.21%

VunaniFM Active Bond Fund

9.20%

12.38%

8.54%

* 10

8.88%

* 6

9.05%

Specialist Bonds Statistics Highest

10.00%

13.18%

9.88%

10.24%

Upper Quartile

9.05%

12.39%

8.83%

8.88%

10.17% 8.76%

Median

8.57%

12.07%

8.48%

8.55%

8.60%

Average

8.60%

12.01%

8.54%

8.70%

8.74%

Lower Quartile

8.31%

11.73%

8.24%

8.36%

8.47%

Lowest

6.85%

10.36%

7.58%

8.02%

8.17%

Range

3.15%

2.82%

2.30%

2.22%

2.01%

Number of Participants Flexible Bonds – Income Coronation Absolute Bond Portfolio

8.92%

9.93%

8.64%

Coronation Flexible Fixed Interest

6.63%

10.58%

8.72%

Coronation Strategic Bond Composite

7.07%

11.36%

8.54%

Investec Flexible Bond Composite

7.93%

11.70%

Prescient Flexible Bond Fund

7.83%

12.12%

9.50%

9.11%

9.39%

Coronation Absolute Bond Portfolio

8.92%

9.93%

8.64%

8.72%

10.26%

Coronation Flexible Fixed Interest

6.63%

10.58%

* 3

9.02%

10.26%

* 2

8.98%

Flexible Bonds – Income Statistics *

Coronation Strategic Bond Composite

7.07%

11.36%

8.54%

Investec Flexible Bond Composite

7.93%

11.70%

Prescient Flexible Bond Fund

7.83%

12.12%

9.50%

Lowest

6.63%

9.93%

8.54%

8.72%

8.98%

Range

2.29%

2.19%

0.96%

0.39%

1.28%

Number of Participants

9.02%

* 2

* 1

9.11%

8.98%

* 1

9.39%

MANAGER WATCH™ SURVEY

SA Bond Manager Watch™ Survey (continued) Objective: The portfolios included in this survey represent specialist bond portfolios with ALBI as their benchmark and have an effective modified duration mandate of ±2 years around the ALBI. This survey also include the following two categories: inflation linked bonds and flexible bonds-income.

Investment Data to the end of December 2018 – Performance Data Investment Managers

1 Year

Rank

3 Years (p.a.)

Rank

5 Years (p.a.)

Rank

7 Years (p.a.)

Rank

10 Years (p.a.)

Inflation Linked Bonds ALUWANI Active Inflation Linked Bond

0.86%

3.54%

Investec Inflation Linked Bond Composite

0.26%

2.82%

4.60%

6.01%

* 4

* *

Prescient Inflation Linked Bond Composite

1.76%

4.37%

5.37%

6.18%

SIM Inflation Linked Bond Fund

0.83%

3.32%

4.87%

6.28%

STANLIB Inflation Linked Bond Fund

1.68%

3.95%

VunaniFM Active Inflation-linked Bond Fund

1.76%

4.09%

4.78%

* 3

6.18

* *

Inflation Linked Bonds Statistics Highest

1.76%

4.37%

5.37%

6.28%

4.76%

Upper Quartile

1.74%

4.06%

5.00%

6.23%

4.30%

Median

1.27%

3.75%

4.83%

6.18%

3.50%

Average

1.19%

3.68%

4.91%

6.16%

3.60%

Lower Quartile

0.84%

3.38%

4.74%

6.10%

2.85%

Lowest

0.26%

2.82%

4.60%

6.01%

2.64%

Range

1.50%

1.55%

0.76%

0.27%

2.12%

All Bond Index

7.69%

11.07%

7.71%

7.81%

7.68%

1-3 Year Bond Index

9.14%

9.61%

7.81%

7.39%

7.71%

Number of Participants Indices

3-7 Year Bond Index

7.34%

10.64%

8.08%

7.88%

8.07%

7-12 Year Bond Index

7.32%

11.20%

7.59%

7.91%

7.85%

12+ Year Bond Index

7.65%

11.52%

7.80%

8.03%

6.92%

Barclays - BESA SA Inflation Linked Index

-0.43%

2.89%

4.65%

6.06%

BESA Standard Bank Credit Index

-8.68%

-2.14%

-1.18%

0.92%

GOVI

6.82%

10.67%

7.52%

7.60%

7.53%

OTHI

10.24%

12.18%

8.42%

8.71%

8.36%

STeFI

7.25%

7.39%

6.91%

6.47%

6.70%

Rank

SECTION 3

Investment Data to the end of December for the past 5 Calendar years Investment Managers

2017

Rank

2016

Rank

2015

Rank

2014

Rank

2013

Rank

Specialist Bonds Absa Asset Management Bond Fund

12.41%

16.63%

Alexander Forbes Investments Pure Fixed Interest Local

-1.14%

10.27%

11.35%

ALUWANI Active Bond

11.09%

Argon SA Bond Fund

11.74%

Ashburton Bond Composite

11.27%

0.71%

16.53%

-2.56%

16.28%

-3.52%

16.37%

-2.47%

15.81%

-2.47%

11.08%

2.40%

10.18%

1.38%

11.08%

2.69%

10.12%

Balondolozi Bond Fund

12.32%

17.49%

-0.82%

7.96%

Cadiz Houseview Bond Fund

8.95%

15.47%

-2.51%

9.98%

1.93%

Coronation Active Bond Portfolio (Composite)

11.55%

16.65%

-2.98%

11.33%

2.30%

Futuregrowth Core Bond Composite

11.08%

15.79%

-3.56%

10.33%

2.10%

Futuregrowth Yield Enhanced

11.77%

16.95%

-0.82%

12.81%

3.29%

Investec Corporate Bond Composite

12.53%

17.13%

-0.20%

7.08%

3.22%

Investec Triple Alpha

11.40%

15.99%

-2.00%

8.83%

1.91%

JM BUSHA BondPlus

10.69%

15.73%

-2.22%

9.59%

1.28%

Kagiso Bond Fund

11.32%

16.17%

Momentum Investments SA Bond

10.78%

16.00%

-3.53%

10.27%

1.36%

Pan African AM Segregated Domestic Bond Fund

10.90%

15.82%

-3.21%

10.31%

1.72%

Prescient Bond Quant

11.14%

16.11%

-3.08%

10.12%

1.60%

Prescient Bond QuantPlus

11.80%

16.36%

-1.67%

9.66%

3.01%

Prowess Corporate Bond Portfolio

10.93%

13.50%

-1.09%

9.03%

2.49%

Prudential Yield Enhanced Portfolio

10.64%

16.52%

-4.05%

9.86%

1.78%

SIM Institutional Total Return Bond Fund

10.84%

16.73%

-4.29%

10.67%

1.70%

STANLIB Core Bond Portfolio

11.64%

17.51%

-3.25%

9.61%

1.66%

STANLIB Multi-Manager Bond

11.36%

16.24%

-2.67%

VunaniFM Active Bond Fund

11.17%

16.93%

-3.25%

9.69%

* 15

2.41%

Specialist Bonds Statistics Highest

12.53%

17.51%

-0.20%

12.81%

3.29%

Upper Quartile

11.66%

16.67%

-1.84%

10.33%

2.43%

Median

11.29%

16.32%

-2.56%

10.12%

1.92%

Average

11.28%

16.28%

-2.50%

9.99%

2.05%

Lower Quartile

10.92%

15.95%

-3.25%

9.63%

1.65%

Lowest

8.95%

13.50%

-4.29%

7.08%

0.71%

Range

3.58%

4.01%

4.09%

5.73%

2.58%

Number of Participants Flexible Bonds – Income Coronation Absolute Bond Portfolio

10.87%

10.02%

4.98%

8.51%

Coronation Flexible Fixed Interest

11.49%

13.74%

1.93%

Coronation Strategic Bond Composite

11.07%

16.12%

-2.33%

11.69%

Investec Flexible Bond Composite

11.51%

15.79%

-1.88%

Prescient Flexible Bond Fund

13.34%

15.34%

1.53%

10.02%

4.56%

* 1

2.76%

* 2

7.32%

Flexible Bonds – Income Statistics Highest

13.34%

16.12%

4.98%

11.69%

7.32%

Upper Quartile

11.51%

15.79%

1.93%

10.85%

5.94%

Median

11.49%

15.34%

1.53%

10.02%

4.56%

Average

11.66%

14.20%

0.85%

10.07%

4.88%

Lower Quartile

11.07%

13.74%

-1.88%

9.26%

3.66%

Lowest

10.87%

10.02%

-2.33%

8.51%

2.76%

Range

2.47%

6.10%

7.30%

3.17%

4.56%

Number of Participants

MANAGER WATCH™ SURVEY

Investment Data to the end of December for the past 5 Calendar years Investment Managers

2017

Rank

2016

Rank

2015

Rank

2014

Rank

2013

Rank

Inflation Linked Bonds ALUWANI Active Inflation Linked Bond

3.03%

6.82%

4.11%

Investec Inflation Linked Bond Composite

2.64%

5.62%

3.88%

10.91%

1.11%

* 3

Prescient Inflation Linked Bond Composite

4.76%

6.64%

3.66%

10.22%

1.35%

SIM Inflation Linked Bond Fund

2.79%

6.43%

3.73%

10.87%

1.12%

STANLIB Inflation Linked Bond Fund

3.97%

6.26%

4.86%

VunaniFM Active Inflation-linked Bond Fund

4.41%

6.15%

3.53%

8.17%

* 4

0.66%

Flexible Bonds – Income Statistics Highest

6.82%

4.86%

10.91%

1.35%

Upper Quartile

6.58%

4.06%

10.88%

1.17%

Median

6.34%

3.81%

10.55%

1.11%

Average

6.32%

3.96%

10.04%

1.06%

Lower Quartile

6.17%

3.68%

9.71%

1.00%

Lowest

5.62%

3.53%

8.17%

0.66%

Range

1.20%

1.33%

2.74%

0.69%

Number of Participants Indices

All Bond Index

7.69%

10.22%

15.45%

-3.93%

10.15%

1-3 Year Bond Index

9.14%

9.61%

10.08%

4.10%

6.23%

3-7 Year Bond Index

7.34%

11.23%

13.44%

0.93%

7.90%

7-12 Year Bond Index

7.32%

11.03%

15.40%

-3.19%

8.30%

12+ Year Bond Index

7.65%

9.69%

17.46%

-7.04%

12.91%

Barclays - BESA SA Inflation Linked Index

-0.43%

2.93%

6.27%

3.68%

11.15%

BESA Standard Bank Credit Index

-8.68%

1.25%

1.37%

-7.85%

0.00%

GOVI

6.82%

10.39%

14.93%

-3.44%

9.81%

OTHI

10.24%

9.71%

16.73%

-5.08%

11.81%

STeFI

7.25%

7.54%

7.39%

6.47%

5.91%

12.47% 12.16% 11.89% 12.42% 11.91% 12.72% 10.36% 12.22% 11.65% 12.70% 13.18% 12.02% 11.75% 12.14% 11.43% 11.90% 11.68% 12.12% 10.79% 11.64% 11.93% 12.45% 12.21% 12.38%

13.18% 12.39% 12.07% 12.01% 11.73% 10.36% 24

9.93% 10.58% 11.36% 11.70% 12.12%

12.12% 11.70% 11.36% 11.14% 10.58% 9.93% 5

Statistics Highest Upper Quartile Median Average Lower Quartile Lowest Number of participants

Flexible Bonds – Income Coronation Absolute Bond Portfolio Coronation Flexible Fixed Interest Coronation Strategic Bond Composite Investec Flexible Bond Composite Prescient Flexible Bond Fund

Statistics Highest Upper Quartile Median Average Lower Quartile Lowest Number of participants

5 4 3 2 1

4 10 17 6 15 2 24 8 20 3 1 13 18 11 22 16 19 12 23 21 14 5 9 7

7.35% 6.65% 5.05% 5.19% 4.65% 2.23% 5

2.23% 4.65% 6.65% 7.35% 5.05%

7.28% 7.02% 6.79% 6.77% 6.56% 5.50% 24

1 2 4 5 3

6.51% 4 6.46% 3 7.02% 18 7.10% 22 6.76% 12 6.83% 13 6.72% 10 6.95% 15 6.56% 7 6.56% 6 6.88% 14 7.02% 17 6.69% 9 6.65% 8 6.96% 16 6.53% 5 7.06% 21 6.39% 2 5.50% 1 7.28% 24 7.17% 23 7.05% 20 6.76% 11 7.03% 19 Lower volatility = higher ranking

4.47% 1.05% 0.63% 1.19% 0.29% -0.49% 5

4.47% -0.49% 0.29% 0.63% 1.05%

2.11% 1.32% 1.00% 0.93% 0.66% -0.71% 24

1.40% 1.09% 0.82% 1.35% 0.84% 1.65% -0.71% 1.15% 0.58% 1.63% 2.11% 0.95% 0.68% 1.06% 0.36% 0.83% 0.61% 1.05% -0.28% 0.57% 0.86% 1.38% 1.14% 1.31%

Calculated on 3 year Performance Returns 3 Year Return Volatility Active Rank Rank (p.a.) (Risk) Return

Specialist Bonds Absa Asset Management Bond Fund Alexander Forbes Investments Pure Fixed Interest Local ALUWANI Active Bond Argon SA Bond Fund Ashburton Bond Composite Balondolozi Bond Fund Cadiz Houseview Bond Fund Coronation Active Bond Portfolio (Composite) Futuregrowth Core Bond Composite Futuregrowth Yield Enhanced Investec Corporate Bond Composite Investec Triple Alpha JM BUSHA BondPlus Kagiso Bond Fund Momentum Investments SA Bond Pan African AM Segregated Domestic Bond Fund Prescient Bond Quant Prescient Bond QuantPlus Prowess Corporate Bond Portfolio Prudential Yield Enhanced Portfolio SIM Institutional Total Return Bond Fund STANLIB Core Bond Portfolio STANLIB Multi-Manager Bond VunaniFM Active Bond Fund

Investment Managers

Investment Data to the end of December 2018 – Volatility vs Return

1 5 4 3 2

4 10 17 6 15 2 24 8 20 3 1 13 18 11 22 16 19 12 23 21 14 5 9 7

Rank

2.92% 2.84% 2.74% 2.03% 1.06% 0.60% 5

2.74% 2.92% 1.06% 0.60% 2.84%

1.78% 0.91% 0.68% 0.75% 0.48% 0.26% 24

1.03% 0.89% 0.29% 0.48% 0.92% 0.99% 1.46% 0.67% 0.70% 0.79% 0.48% 0.45% 0.65% 0.73% 0.58% 0.85% 0.26% 1.15% 1.78% 0.28% 0.55% 0.61% 0.90% 0.47%

Tracking Error

1.63 1.04 0.37 0.63 0.27 -0.17 5.00

1.63 -0.17 0.27 1.04 0.37

4.39 2.16 1.52 1.61 0.96 -0.49 24

1.35 1.23 2.79 2.80 0.91 1.67 -0.49 1.72 0.83 2.07 4.39 2.12 1.05 1.47 0.62 0.98 2.36 0.92 -0.16 2.05 1.57 2.26 1.26 2.77

Information Ratio

1 5 4 2 3

14 16 3 2 20 11 24 10 21 8 1 7 17 13 22 18 5 19 23 9 12 6 15 4

Rank

9.50% 9.07% 8.64% 8.90% 8.59% 8.54% 3

8.64% * 8.54% * 9.50%

9.88% 8.83% 8.48% 8.54% 8.24% 7.58% 22

9.17% 8.84% 8.29% 9.01% 8.52% 8.93% 7.58% 8.83% 8.17% 9.88% 9.15% 8.44% 8.38% * 8.04% 8.39% 8.26% 8.73% 7.96% 7.96% 8.23% 8.56% * 8.54%

19 13 16 8 21 20 17 9

2 6 15 4 11 5 22 7 18 1 3 12 14

7.33% 6.33% 5.33% 5.05% 3.90% 2.48% 3

2.48% * 7.33% * 5.33%

8.09% 7.71% 7.53% 7.45% 7.25% 5.92% 22

7.01% 3 7.21% 4 7.71% 16 7.72% 18 7.39% 8 6.87% 2 7.22% 6 7.62% 14 7.71% 17 7.48% 10 7.48% 11 7.58% 12 7.40% 9 * 7.68% 15 7.35% 7 7.75% 19 7.21% 5 5.92% 1 8.00% 21 8.09% 22 7.80% 20 * 7.61% 13 Lower volatility = higher ranking

3.25% 2.52% 1.79% 1.95% 1.31% 0.83% 3

3.25% * 0.83% * 1.79%

2.16% 1.12% 0.77% 0.82% 0.52% -0.13% 22

1.46% 1.12% 0.57% 1.30% 0.81% 1.21% -0.13% 1.11% 0.45% 2.16% 1.44% 0.72% 0.66% * 0.32% 0.67% 0.54% 1.02% 0.24% 0.25% 0.52% 0.85% * 0.82%

Calculated on 5 year Performance Returns Active 5 Year Return Volatility Rank Rank Return (p.a.) (Risk)

19 13 16 8 21 20 17 9

2 6 15 4 11 5 22 7 18 1 3 12 14

Rank

3.01% 2.93% 2.84% 2.29% 1.93% 1.02% 3

2.84% * 1.02% * 3.01%

2.12% 1.16% 0.81% 0.96% 0.63% 0.33% 22

1.18% 0.92% 0.47% 0.71% 0.83% 1.85% 1.43% 0.63% 0.64% 0.87% 2.12% 1.15% 0.73% * 0.58% 0.78% 0.33% 1.17% 2.07% 0.53% 0.53% 0.67% * 0.86%

Tracking Error

1.14 0.98 0.81 0.85 0.70 0.59 3.00

1.14 * 0.81 * 0.59

2.49 1.23 0.93 1.00 0.66 -0.09 22

1.23 1.22 1.22 1.84 0.97 0.66 -0.09 1.78 0.71 2.49 0.68 0.63 0.91 * 0.56 0.86 1.66 0.87 0.12 0.46 0.98 1.27 * 0.96

Information Ratio

19 14 4 13 21 20 9 5

6 7 8 2 10 17 22 3 15 1 16 18 12

Rank

SECTION 3

SA Bond Manager Watch™ Survey Risk

Objective: The portfolios included in this survey represent specialist bond portfolios with ALBI as their benchmark and have an effective modified duration mandate of ±2 years around the ALBI. This survey also include the following two categories: inflation linked bonds and flexible bonds-income.

MANAGER WATCH™ SURVEY

SA Bond Manager Watch™ Survey Risk (continued) Objective: The portfolios included in this survey represent specialist bond portfolios with ALBI as their benchmark and have an effective modified duration mandate of ±2 years around the ALBI. This survey also include the following two categories: inflation linked bonds and flexible bonds-income.

Investment Data to the end of December 2018 – Volatility vs Return Investment Managers

Calculated on 3 year Performance Returns 3 Year Return (p.a.)

Rank

Calculated on 5 year Performance Returns

Volatility (Risk)

Rank

5 Year Return (p.a.)

Rank

Volatility (Risk)

Rank

Inflation Linked Bonds ALUWANI Active Inflation Linked Bond

3.54%

5.73%

Investec Inflation Linked Bond Composite

2.82%

5.86%

4.60%

5.83%

Prescient Inflation Linked Bond Composite

4.37%

4.67%

5.37%

4.85%

SIM Inflation Linked Bond Fund

3.32%

5.62%

4.87%

5.68%

STANLIB Inflation Linked Bond Fund

3.95%

5.73%

VunaniFM Active Inflation-linked Bond Fund

4.09%

5.99%

4.78%

Lower volatility = higher ranking

* 3

6.05% Lower volatility = higher ranking

Statistics Highest

4.37%

5.99%

5.37%

6.05%

Upper Quartile

4.06%

5.83%

5.00%

5.88%

Median

3.75%

5.73%

4.83%

5.76%

Average

3.68%

5.60%

4.91%

5.60%

Lower Quartile

3.38%

5.65%

4.74%

5.48%

Lowest

2.82%

4.67%

4.60%

4.85%

Number of participants

Indices All Bond Index

11.07%

7.19%

7.71%

7.91%

Barclays - BESA SA Inflation Linked Index

2.89%

6.33%

4.65%

6.11%

BESA Standard Bank Credit Index

-2.14%

6.17%

-1.18%

7.10%

SECTION 3

SA Bond Manager Watch™ Survey Active Return vs Tracking Error Scatterplot on SA Bond Managers – 3 Years ended 31 December 2018 4.68%

IR = 2 ALUWANI Active Bond Investec Corporate Bond Composite Argon SA Bond Fund

3.64%

VunaniFM Active Bond Fund SIM Institutional Total Return Bond Fund STANLIB Core Bond Portfolio Coronation Active Bond Portfolio (Composite) Kagiso Bond Fund Futuregrowth Yield Enhanced

3.12% 2.60% Return (p.a.)

Coronation Absolute Bond Portfolio

Investec Triple Alpha

4.16%

IR = 1

Pan African AM Segregated Domestic Bond Fund Alexander Forbes Investments Pure Fixed Interest Local

2.08%

STANLIB Multi-Manager Bond Balondolozi Bond Fund

1.56%

IR = 0.5

STANLIB Multi-Manager Bond Prescient Bond QuantPlus

1.04%

Prescient Flexible Bond Fund

Ashburton Bond Composite Investec Flexible Bond Composite

0.52%

Coronation Strategic Bond Composite Futuregrowth Core Bond Composite

0.00% 0.52% -1.04% 0.00%

Momentum Investments SA Bond Investec Flexible Bond Composite

Prowess Corporate Bond Portfolio

0.27%

0.54%

0.81%

Coronation Flexible Fixed Interest

Cadiz Houseview Bond Fund

Prudential Yield Enhanced Portfolio Prescient Bond Quant

1.08%

1.35%

1.62%

1.89%

2.16%

2.43%

2.70%

2.97%

Tracking Error (p.a.)

Volatility vs Return Scatterplot on SA Bond Managers – 3 Years ended 31 December 2018 13.33% 13.00% 12.68% 12.35%

Argon SA Bond Fund STANLIB Core Bond Portfolio Coronation Active Bond Portfolio (Composite) Futuregrowth Yield Enhanced Absa Asset Management Bond Fund Coronation Active Bond Portfolio (Composite)

Prescient Bond QuantPlus

Alexander Forbes Investments Pure Fixed Interest Local Kagiso Bond Fund

12.03% Return (p.a.)

Investec Corporate Bond Composite

VunaniFM Active Bond Fund Prescient Flexible Bond Fund

Pan African AM Segregated Domestic Bond Fund

11.70%

Futuregrowth Core Bond Composite

JM BUSHA BondPlus

11.38%

All Bond Index Ashburton Bond Composite

11.05%

Coronation Strategic Bond Composite Prowess Corporate Bond Portfolio

10.73%

Coronation Strategic Bond Composite Momentum Investments SA Bond Cadiz Houseview Bond Fund

Coronation Flexible Fixed Interest

10.40%

SIM Institutional Total Return Bond Fund Prudential Yield Enhanced Portfolio Investec Flexible Bond Composite ALUWANI Active Bond

10.08% Coronation Absolute Bond Portfolio

9.75% 2.06%

Investec Triple Alpha

STANLIB Multi-Manager Bond

2.58%

3.09%

3.61%

4.12%

4.64%

5.15%

5.67%

6.18%

6.70%

7.73%

Tracking Error (p.a.)

MANAGER WATCH™ SURVEY

Composite Dispersion of SA Bond Manager Watch™ Survey 1 Year to 31 December 2018 Specialist Bonds ALUWANI Active Bond

0.15%

Ashburton Bond

0.56%

Balondolozi Bond

0.18%

Coronation Active Bond

0.13%

FutureGrowth Core Bond

0.25% 0.47%

FutureGrowth Yield Enhanced Investec Corporate Bond

0.29%

Investec Triple Alpha

0.10%

Pan Africa AM Segregated Domestic Bond

0.27%

Prescient Bond QuantPlus

0.30% 0.09%

Prowess Corporate Bond Prudential Yield Enhanced

0.17%

SIM Institutional Total Return Bond

0.09%

STANLIB Core Bond

0.12% 0.35%

Vunani Active Bond

0.00%

Specialist Bonds ALUWANI Active Bond Ashburton Bond Balondolozi Bond Coronation Active Bond FutureGrowth Core Bond FutureGrowth Yield Enhanced Investec Corporate Bond Investec Triple Alpha Pan Africa AM Segregated Domestic Bond Prescient Bond QuantPlus Prowess Corporate Bond Prudential Yield Enhanced SIM Institutional Total Return Bond STANLIB Core Bond Vunani Active Bond * Data not available.

0.10%

Minimum Return 8.17% 7.73% 8.21% 8.40% 10.56% 11.48% 9.28% 8.69% 8.56% 8.00% 8.00% 7.79% 8.26% 7.88% 8.21%

0.20%

Maximum Return 8.73% 9.17% 8.64% 8.76% 11.22% 12.66% 10.11% 8.92% 9.11% 8.76% 8.19% 8.17% 8.59% 8.27% 9.41%

0.30%

0.40%

0.50%

0.60%

Median Composite Return 8.43% 8.63% 8.63% 8.60% 10.91% 12.16% 9.89% 8.79% 8.83% 8.35% 8.10% 8.00% 8.36% 8.03% 9.11%

Composite Dispersion (1yr) 0.15% 0.56% 0.18% 0.13% 0.25% 0.47% 0.29% 0.10% 0.27% 0.30% 0.09% 0.17% 0.09% 0.12% 0.35%

Composite Dispersion (3yrs) 0.15% * * 0.30% 0.15% 0.31% 0.05% 0.10% * 0.18% * * 0.24% 0.28% 0.32%

Composite Dispersion (5yrs) 0.10% * * 0.27% 0.09% 0.52% 0.34% 0.09% * 0.13% * * 0.27% 0.19% 0.07%

SECTION 3

Composite Dispersion of SA Bond Manager Watchâ&#x201E;¢ Survey 1 Year to 31 December 2018 Inflation Linked Bonds 0.19%

ALUWANI Active

0.32%

Investec Inflation Linked Bond 0.08%

SIM Inflation Linked Bond Fund

0.23%

Vunani Inflation Linked Bond

0.00%

0.05%

0.10%

Minimum Return

Inflation Linked Bonds

0.15%

Maximum Return

0.20%

Median Composite Return

0.25%

0.30%

Composite Dispersion (1yr)

0.35%

Composite Dispersion (3yrs)

0.40%

Composite Dispersion (5yrs)

ALUWANI Active

0.31%

0.80%

0.76%

0.19%

0.38%

0.08%

Investec Inflation Linked Bond

0.15%

0.85%

0.60%

0.32%

0.20%

0.16%

SIM Inflation Linked Bond Fund

0.80%

0.96%

0.88%

0.08%

0.01%

0.14%

Vunani Inflation Linked Bond

1.46%

1.92%

1.69%

0.23%

* Data not available.

Flexible Bonds 0.18%

Coronation Absolute Bond 0.08%

Coronation Strategic Bond

0.15%

Investec Flexible Bond

0.35%

Prescient Flexible Bond

0.00%

Inflation Linked Bonds

0.05%

0.10%

Minimum Return

0.15%

Maximum Return

0.20%

Median Composite Return

0.25%

0.30%

Composite Dispersion (1yr)

0.35%

Composite Dispersion (3yrs)

0.40%

Composite Dispersion (5yrs)

Coronation Absolute Bond

8.59%

8.95%

8.77%

0.18%

0.03%

Coronation Strategic Bond

6.91%

7.17%

7.00%

0.08%

0.19%

0.18%

Investec Flexible Bond

7.47%

8.02%

7.91%

0.15%

0.10%

0.04%

Prescient Flexible Bond

7.19%

8.16%

7.92%

0.35%

* Data not available.

Futuregrowth Core Money Market Composite

Investec Money Market Fund

Momentum Investments Money Market*

This includes multi-managers thus must be noted as possible "double-counting"

V = Verified C = Compliant

STeFI

Taquanta Cash Fund

STANLIB Enhanced Yield Fund

STeFI

Y Y N Y

STeFI STeFI STeFI STeFI 3M STeFI

STeFI

Sygnia Money Market Fund

SIM Cash Enhanced

C N/A

Momentum Investments Diversified Money Market Momentum Investments Enhanced Yield Nedgroup Investments Core Income Fund Old Mutual Multi-Managers Money Market Prescient Yield Quantplus Fund

Investec Money Fund

STeFI

Balondolozi Cash Fund

Coronation Institutional Cash Futuregrowth 180 Day Enhanced Money Market Composite

STeFI

STeFI STeFI STeFI

N Y Y

Aluwani Cash Plus Argon Enhanced Money Market Fund Ashburton Cash Plus

STeFI

STeFI 3M

STeFI

STeFI Call STeFI Call

STeFI

STeFI 3M

STeFI

N/A V C

STeFI STeFI

Alexander Forbes Investments Banker

Maximum duration up to 91-180 days

This includes multi-managers thus must be noted as possible "double-counting"

Y N

Able to invest in instruments that have a maturity longer than one year

Y Y

STANLIB Money Market Portfolio

Able to invest in instruments that have a maturity longer than one year

Notes

Managed ITO Benchmark Regulation Description 28? (Y/N)

Prescient Money Market Composite

Pan Africa Segregated Domestic Cash

N/A N/A

Coronation Strategic Cash*

Nedgroup Investments Corporate Money Market Fund Nedgroup Investments Money Market Fund

Ashburton Money Market Composite

GIPS™ (Verified / Compliant)

Absa Asset Management Money Market

Maximum duration up to 90 days

Investment Managers

General information

Segregated

Pooled

Segregated Segregated Unit trust Pooled Segregated

Pooled

Segregated

Pooled Multi-Managed Segregated Segregated Segregated

Pooled

Segregated

Unit trust Unit trust

Segregated

Pooled

Segregated

Classification

True Daily Time Weighted Accrual Mark-to-Market Mark-to-Market Mark-to-Market TWRR Modified Dietz Return True Time Weighted Modified Dietz Daily timeweighted

Mark-to-Market

Mark-to-Market Mark-to-Market Mark-to-Market Time-weighted rate of return Mark-to-Market

Mark-to-Market

TWRR True Time Weighted

Mark to Market

Accrual Accrual

Mark-to-Market

Mark-to-Market True Daily Time Weighted

Accrual

Mark-to-Market

Accrual

Valuation Methodology

06/12/2019

01/11/2026

180 days

18/10/2023

01/02/2048

01/09/2046

01/09/2021

180 days 180 days

26/04/2026 01/06/2022 08/11/2023 01/05/2019 01/03/2020

01/09/2022

15/11/2021

09/03/2028

01/02/2020

09.11/2023 15/11/2021 05/08/2033

180 days 180 days 180 days 180 days 180 days

180 days

180 days 180 days 180 days

180 days

100%

22%

84%

81% 99% 99% 99% 91%

98%

97%

100%

99% 100% 87%

100%

Total

1 2 1 N/A 14

13 3 7

N/A

1 1

9 100%

100% 100%

95%

97%

100%

93%

100%

90 days

01/08/2019

08/11/2019 13/09/2019

01/10/2022

11/12/2019

04/10/2021

27/11/2019

No. of Funds in Composite

90 days

90 days 90 days

90 days

% of portfolio Maximum Maturity of invested Duration of longest dated in F1 and Portfolio instrument better rated instruments

159 959

6 228

1 977

15 033

8 096

276 10 837 40 402 893 14 957

10 395

8 597

299

1024

10 906 1294 10 447

18 298

259 996

85 987

4 797

673

22 010 14 097

8 249

28 786

15 338

2 739

3 088

74 232

Portfolio Size (R m)

MANAGER WATCH™ SURVEY

SA Money Market Manager Watch™ Survey

Objective: The portfolios in this survey represent short-term debt securities that are highly marketable and trade in large denominations.

7.99%

8.67%

8.01%

8.06%

8.26%

7.98%

8.03%

8.36%

8.23%

7.94%

Coronation Strategic Cash*

Futuregrowth Core Money Market Composite

Investec Money Market Fund

Momentum Investments Money Market

Nedgroup Investments Corporate Money Market Fund

Nedgroup Investments Money Market Fund

Pan Africa Segregated Domestic Cash

Prescient Money Market Composite

STANLIB Money Market Portfolio

7.25%

6.57%

6.92%

7.43%

7.93%

Short Term Fixed Interest Rate Index

STeFI Call Deposit Index

STeFI 3 Month NCD Rate

STeFI 6 Month NCD Rate

STeFI 12 Month NCD Rate

0.89%

0.78%

Number of Participants

Range

8.05%

7.98%

7.89%

Lower Quartile

Lowest

8.17%

8.14%

8.32%

8.03%

8.13%

Median

Average

8.46%

8.67%

8.24%

8.94%

8.07%

7.58%

7.04%

6.77%

7.39%

7.37%

8.16%

8.27%

8.94%

8.17%

8.11%

8.69%

8.17%

8.20%

8.65%

8.05%

8.12%

Highest

Upper Quartile

Market Statistics

7.29%

Alexander Forbes Money Market Index

Statistics

7.89%

Ashburton Money Market Composite

3 Years Portfolio

Rank

1 Year

Portfolio

Absa Asset Management Money Market

Maximum duration up to 90 days

Investment Managers

Investment Data to the end of December 2018

Rank 9

5 Years

0.78%

7.44%

7.53%

7.71%

7.59%

7.92%

8.22%

7.53%

7.11%

6.57%

6.30%

6.91%

6.86%

7.52%

7.67%

8.22%

7.58%

7.49%

8.01%

7.60%

7.55%

8.02%

7.44%

Portfolio

Rank

7 Years

0.92%

6.94%

7.04%

7.26%

7.09%

7.54%

7.86%

7.03%

6.63%

6.17%

5.91%

6.47%

6.46%

7.02%

7.15%

7.86%

7.08%

7.54%

7.09%

7.04%

7.65%

6.94%

Portfolio

Rank

10 Years

0.77%

7.13%

7.24%

7.46%

7.31%

7.77%

7.90%

7.36%

6.83%

6.39%

6.13%

6.70%

6.79%

7.24%

7.41%

7.88%

7.31%

7.77%

7.31%

7.23%

7.90%

7.13%

Portfolio

Rank

SECTION 3

SA Money Market Manager Watchâ&#x201E;˘ Survey

Objective: The portfolios in this survey represent short-term debt securities that are highly marketable and trade in large denominations.

86 3 Years Portfolio

Rank

1 Year

Portfolio

Rank

Portfolio

5 Years Rank

Portfolio

7 Years Rank

Portfolio

10 Years

3 13

8.18%

9.03%

Argon Enhanced Money Market Fund

Ashburton Cash Plus

9.06%

Taquanta Cash Fund

8.59%

7.58%

7.43%

7.93%

STeFI 6 Month NCD Rate

STeFI 12 Month NCD Rate

1.20%

1.11%

Number of Participants

Range

8.07%

8.53%

8.00%

Lower Quartile

Lowest 17

8.63%

8.79%

8.71%

8.66%

Median

Average

8.81%

9.27% 8.99%

9.10%

8.83%

Highest

Upper Quartile

Market Statistics

6.77% 7.04%

6.57%

6.92%

STeFI Call Deposit Index

STeFI 3 Month NCD Rate 8.07%

7.39%

7.29%

7.25%

7.37%

9.08%

8.59%

9.27%

8.99%

8.90%

8.07%

8.71%

8.84%

9.03%

8.81%

8.48%

8.63%

8.71%

8.77%

Alexander Forbes Money Market Index

8.86% 9.04%

Short Term Fixed Interest Rate Index

Statistics

8.83%

8.52%

STANLIB Enhanced Yield Fund

8.71%

SIM Cash Enhanced

Sygnia Money Market Fund

8.00%

8.73%

Old Mutual Multi-Managers Money Market

Prescient Yield Quantplus Fund

8.65%

8.56%

Momentum Investments Enhanced Yield

8 1

8.71%

9.10%

Investec Money Fund

Momentum Investments Diversified Money Market

Nedgroup Investments Core Income Fund

8.20%

Futuregrowth 180 Day Enhanced Money Market Composite

8.53%

8.69%

Balondolozi Cash Fund

Coronation Institutional Cash

8.80%

8.99%

Alexander Forbes Investments Banker

Aluwani Cash Plus

0.84%

7.43%

7.92%

8.02%

8.10%

8.17%

8.26%

7.53%

7.11%

6.57%

6.30%

6.91%

6.86%

8.21%

7.79%

8.26%

8.16%

8.26%

7.43%

7.96%

8.14%

8.15%

7.98%

7.78%

8.04%

8.07%

7.80%

8.23%

8.14%

0.74%

7.04%

7.44%

7.56%

7.60%

7.73%

7.78%

7.03%

6.63%

6.17%

5.91%

6.47%

6.46%

7.78%

7.38%

7.78%

7.67%

7.77%

7.04%

7.55%

7.72%

7.62%

7.57%

7.26%

7.55%

7.46%

7.34%

7.76%

7.67%

0.61%

7.36%

7.72%

7.78%

7.82%

7.94%

7.97%

7.36%

6.83%

6.39%

6.13%

6.70%

6.79%

7.97%

7.95%

7.72%

7.89%

7.36%

7.82%

7.95%

7.81%

7.71%

7.46%

7.94%

7.83%

Maximum duration up to 91 - 180 days

Investment Managers

Investment Data to the end of December 2018

Rank 6

MANAGER WATCH™ SURVEY

SA Money Market Manager Watch™ Survey

Objective: The portfolios in this survey represent short-term debt securities that are highly marketable and trade in large denominations.

Market statistics Alexander Forbes Money Market Index Short Term Fixed Interest Rate Index

Investment Managers

7.41% 7.39%

0.06% 0.08%

6.92% 6.91%

0.18% 0.19%

Calculated on 3 year Performance Returns Calculated on 5 year Performance Returns 3 Year Return (p.a.) Rank Volatility (Risk) Rank Active Return Rank 5 Year Return (p.a.) Rank Volatility (Risk) Rank Maximum duration up to 90 days Absa Asset Management Money Market 8.12% 9 0.11% 6 0.72% 9 7.44% 10 0.30% 9 Ashburton Money Market Composite 8.05% 11 0.08% 1 0.65% 11 * * Coronation Strategic Cash* 8.65% 3 0.18% 10 1.25% 3 8.02% 2 0.27% 7 Futuregrowth Core Money Market Composite 8.20% 5 0.12% 7 0.81% 5 7.55% 7 0.27% 6 Investec Money Market Fund 8.17% 6 0.10% 5 0.78% 6 7.60% 5 0.23% 2 Momentum Investments Money Market 8.69% 2 0.16% 9 1.29% 2 8.01% 3 0.28% 8 Nedgroup Investments Corporate Money Market Fund 8.11% 10 0.09% 3 0.72% 10 7.49% 9 0.23% 4 Nedgroup Investments Money Market Fund 8.17% 7 0.09% 4 0.78% 7 7.58% 6 0.22% 1 Pan Africa Segregated Domestic Cash 8.94% 1 0.23% 11 1.54% 1 8.22% 1 0.36% 10 Prescient Money Market Composite 8.27% 4 0.09% 2 0.88% 4 7.67% 4 0.23% 3 STANLIB Money Market Portfolio 8.16% 8 0.13% 8 0.77% 8 7.52% 8 0.25% 5 Lower volatility Lower volatility = higher ranking = higher ranking Maximum duration up to 91 - 180 days Alexander Forbes Investments Banker 8.86% 7 0.20% 10 1.47% 7 8.14% 8 0.37% 8 Aluwani Cash Plus 9.04% 3 0.16% 6 1.65% 3 8.23% 3 0.32% 5 Argon Enhanced Money Market Fund 8.59% 14 0.25% 14 1.20% 14 7.80% 13 0.38% 9 Ashburton Cash Plus 8.77% 10 0.19% 9 1.38% 10 8.07% 9 0.34% 7 Balondolozi Cash Fund 8.71% 11 0.29% 15 1.32% 11 * * Coronation Institutional Cash 8.63% 13 0.18% 8 1.23% 13 8.04% 10 0.26% 1 Futuregrowth 180 Day Enhanced Money Market Composite 8.48% 16 0.14% 2 1.08% 16 7.78% 15 0.30% 4 Investec Money Fund 8.81% 9 0.20% 11 1.42% 9 7.98% 11 0.39% 10 Momentum Investments Diversified Money Market 9.03% 4 0.21% 12 1.63% 4 8.15% 6 0.41% 14 Momentum Investments Enhanced Yield 8.84% 8 0.15% 5 1.45% 8 8.14% 7 0.29% 3 Nedgroup Investments Core Income Fund 8.71% 12 0.11% 1 1.32% 12 7.96% 12 0.40% 13 Old Mutual Multi-Managers Money Market 8.07% 17 0.15% 3 0.68% 17 7.43% 16 0.28% 2 Prescient Yield Quantplus Fund 8.90% 6 0.15% 4 1.50% 6 8.26% 1 0.32% 6 SIM Cash Enhanced 8.99% 5 0.25% 13 1.60% 5 8.16% 5 0.39% 12 STANLIB Enhanced Yield Fund 9.27% 1 0.42% 17 1.88% 1 8.26% 2 0.50% 15 Sygnia Money Market Fund 8.59% 15 0.17% 7 1.20% 15 7.79% 14 0.39% 11 Taquanta Cash Fund 9.08% 2 0.31% 16 1.68% 2 8.21% 4 0.51% 16

Volatility vs Return

1.23% 1.32% 0.89% 1.16% * 1.13% 0.87% 1.08% 1.24% 1.23% 1.05% 0.52% 1.35% 1.25% 1.35% 0.88% 1.31%

0.53% * 1.11% 0.64% 0.69% 1.10% 0.58% 0.67% 1.31% 0.76% 0.61%

Active Return

10 15 11 6 7 12 16 1 5 2 14 4

8 3 13 9

2 7 5 3 9 6 1 4 8

Rank

SECTION 3

SA Money Market Manager Watchâ&#x201E;˘ Survey Risk

Objective: The portfolios in this Survey represent short-term debt securities that are highly marketable and trade in large denominations.

MANAGER WATCH™ SURVEY

SA Money Market Manager Watch™ Survey Volatility vs Return Scatterplot on Money Market Managers (up to 90 day duration) – 3 Years ended 31 December 2018 9.00% Pan Africa Segregated Domestic Cash

8.91% 8.82% 8.73% Momentum Investments Money Market

Coronation Strategic Cash*

Return (p.a.)

8.64% 8.55% 8.46% Nedgroup Investments Corporate Money Market Fund

8.37%

Nedgroup Investments Money Market Fund Prescient Money Market Composite

8.28%

Investec Money Market Fund Futuregrowth Core Money Market Composite

8.19%

STANLIB Money Market Portfolio Absa Asset Management Money Market

8.10%

Ashburton Money Market Composite

8.01% 0.08%

0.09%

0.11%

0.12%

0.14%

0.15%

0.17%

0.18%

0.20%

0.21%

0.23%

0.24%

Volatility (p.a.) (standard deviation)

Volatility vs Return Scatterplot on Money Market Managers (91–180 day duration) – 3 Years ended 31 December 2018 9.38% STANLIB Enhanced Yield Fund

9.25% Momentum Investments Diversified Money Market

9.13%

Aluwani Cash Plus

Taquanta Cash Fund

9.00%

SIM Cash Enhanced Prescient Yield Quantplus Fund

Return (p.a.)

8.88% 8.75% 8.63%

Alexander Forbes Investments Banker Investec Money Fund Ashburton Cash Plus Balondolozi Cash Fund

Momentum Investments Enhanced Yield Nedgroup Investments Core Income Fund Sygnia Money Market Fund

Coronation Institutional Cash

Argon Enhanced Money Market Fund

8.50% Futuregrowth 180 Day Enhanced Money Market Composite

8.38% 8.25% 8.13% Old Mutual Multi-Managers Money Market

8.00% 0.08%

0.09%

0.11%

0.12%

0.14%

0.15%

0.17%

0.18%

Volatility (p.a.) (standard deviation)

0.20%

0.21%

0.23%

0.24%

SECTION 3

SA Money Market Manager Watchâ&#x201E;˘ Survey Objective: The portfolios in this survey represent short-term debt securities that are highly marketable and trade in large denominations.

Investment Data to the end of December for the past 5 Calendar years Investment Managers

2017

2016

2015

2014

2013

Maximum duration up to 90 days Absa Asset Management Money Market

8.17%

8.29%

6.94%

5.94%

Ashburton Money Market Composite

8.09%

8.07%

6.94%

5.52% *

Coronation Strategic Cash

8.72%

8.56%

7.32%

6.83%

6.79%

Futuregrowth Core Money Market Composite

8.36%

8.23%

6.87%

6.28%

5.63%

Investec Money Market Fund

8.32%

8.14%

7.15%

6.36%

5.70%

Momentum Investments Money Market

8.95%

8.86%

7.37%

6.61%

6.18%

Nedgroup Investments Corporate Money Market Fund

8.26%

8.09%

6.91%

6.22%

5.54%

Nedgroup Investments Money Market Fund

8.32%

8.16%

7.00%

6.39%

5.74%

Pan-African Segregated Domestic Cash

9.50%

8.95%

7.59%

6.74%

6.40%

Prescient Money Market Composite

8.38%

8.21%

7.02%

6.53%

5.68%

STANLIB Money Market Portfolio

8.33%

8.21%

6.88%

6.24%

5.68%

Maximum duration 91 - 180 days Alexander Forbes Investments Banker

8.81%

8.97%

7.38%

6.74%

6.46%

Aluwani - Money Market (Max 91-180)

9.25%

8.89%

7.37%

6.67%

6.42%

Argon Enhanced Money Market Fund

8.83%

8.78%

6.92%

6.30%

5.90%

Ashburton Cash Plus

8.99%

8.29%

7.55%

6.52%

5.80%

Balondolozi Cash Fund

8.90%

8.72%

Coronation Institutional Cash

8.96%

8.23%

7.56%

6.76%

6.04%

Futuregrowth 180 Day Enhanced Money Market Composite

8.63%

8.60%

7.15%

6.36%

5.67%

Investec Money Fund

9.18%

8.55%

7.28%

6.23%

6.35%

Momentum Investments Diversified Money Market

9.24%

8.74%

7.38%

6.33%

6.25%

Momentum Investments Enhanced Yield

9.21%

8.66%

7.47%

6.71%

6.47%

Nedgroup Investments Core Income Fund

8.87%

8.71%

7.51%

6.16%

6.32%

Old Mutual Multi-Managers Money Market.

8.21%

8.01%

6.73%

6.22%

5.92%

Prescient Yield Quantplus Fund

9.05%

8.90%

7.53%

7.11%

6.62%

SIM Cash Enhanced

9.08%

9.18%

7.31%

6.53%

6.36%

STANLIB Enhanced Yield Fund

9.42%

9.56%

7.04%

6.46%

6.71%

Sygnia Money Market Fund

8.85%

8.40%

7.21%

6.01%

6.31%

Taquanta Cash Fund

9.45%

8.73%

7.57%

6.28%

6.50%

Market statistics Alexander Forbes Money Market Index

7.53%

7.42%

6.42%

5.97%

5.31%

Short Term Fixed Interest Rate Index

7.52%

7.39%

6.44%

5.90%

5.18%

STeFI Call Deposit Index

6.88%

6.84%

5.79%

5.42%

4.79%

STeFI 3 Month NCD Rate

7.15%

7.05%

6.08%

5.65%

5.03%

STeFI 6 Month NCD Rate

7.73%

7.58%

6.69%

6.11%

5.29%

STeFI 12 Month NCD Rate

8.29%

8.00%

7.16%

6.32%

5.56%

MANAGER WATCH™ SURVEY

Composite Dispersion of SA Money Market Manager Watch™ Survey 1 Year to 31 December 2018 Maximum duration up to 90 days 0.19%

Absa Management Money Market

0.68%

Ashburton Money Market Bolodolozi Cash

0.01%

Futuregrowth Core Money Market

0.10%

Prescient Money Market

0.10% 0.07%

SIM Cash Enhanced

0.08%

STANLIB Money Market 0.00%

0.10%

Minimum Return

Maximum up to 90 days

0.20%

Maximum Return

0.30%

Median Composite Return

0.40%

Composite Dispersion (1yr)

0.50%

0.60%

Composite Dispersion (3yrs)

0.70%

Composite Dispersion (5yrs)

Absa Management Money Market

7.80%

8.33%

7.95%

0.19%

0.21%

0.23%

Ashburton Money Market

6.46%

8.24%

7.39%

0.68%

0.11%

0.05%

Bolodolozi Cash

8.50%

8.53%

8.52%

0.01%

Futuregrowth Core Money Market

8.17%

8.44%

8.24%

0.10%

0.06%

Prescient Money Market

8.07%

8.33%

8.25%

0.10%

SIM Cash Enhanced

8.59%

8.84%

8.72%

0.07%

0.20%

0.32%

STANLIB Money Market

7.90%

8.09%

7.94%

0.08%

0.11%

0.08%

* Data not available.

Maximum duration from 91–180 days 0.12%

ALUWANI Cash Plus

0.18%

Ashburton Cash Plus 0.11%

Balondolozi Cash Fund Futuregrowth Yield Enhanced 180 Day Money Market Composite

0.67%

Prescient Yield Quantplus Fund

0.16%

STANLIB Enhanced Yield Fund

0.12% 0.00%

Maximum from 91–180 days

Minimum Return

0.20%

Maximum Return

0.30%

Median Composite Return

0.40%

Composite Dispersion (1yr)

0.50%

Composite Dispersion (3yrs)

0.60%

0.70%

Composite Dispersion (5yrs)

ALUWANI Cash Plus

8.78%

9.18%

8.98%

0.12%

0.13%

0.09%

Ashburton Cash Plus

7.41%

9.25%

8.47%

0.57%

Balondolozi Cash Fund

8.47%

8.69%

8.58%

0.11%

Futuregrowth Yield Enhanced 180 Day Money Market Composite

8.35%

10.01%

8.54%

0.67%

0.21%

0.11%

Prescient Yield Quantplus Fund

8.46%

9.05%

8.67%

0.16%

0.24%

0.22%

STANLIB Enhanced Yield Fund

8.67%

8.90%

8.79%

0.12%

0.14%

0.23%

* Data not available.

0.10%

Dec-01

Oct-13

Oct-17 Aug-99 Jun-02 Oct-06 Jul-06 Jun-11 Aug-03

Nov-09

Dec-02

Jan-07

Dec-03

May-03 Dec-05 Mar-05 Mar-05

Aug-16 Aug-99

SIM Absolute

Taquanta True Absolute Headline CPI + 4% Absa Asset Management Absolute Domestic CPI+4% Absa Asset Management Absolute Global CPI +4% Alexander Forbes Investments Real Return Focus Local Alexander Forbes Investments Real Return Focus Portfolio Argon Absolute Return Fund Coronation Absolute Mergence CPI + 4% Fund Momentum Investments Absolute Strategies Old Mutual Multi Managers Absolute Defensive Fund OMIG MacroSolutions Stable Growth Fund Sasfin Absolute Fund Headline CPI + 5% Argon Absolute Return CPI+5% Coronation Absolute Foord Absolute JM BUSHA Absolute AllClass Mergence CPI +5% Fund Nedgroup Investments Opportunity Fund OMIG Wealth Defender

Prudential Domestic Real Return Plus 5%

Prudential Real Return + 5%

SIM CPI + 5%

SIM CPI + 5% Global

SMM Moderate Absolute Fund STANLIB Absolute Plus Fund STANLIB Multi-Manager Real Return Fund Vunani Fund Managers CPI+5% Headline CPI + 6% Argon Global Balanced CPI +6% Investec Opportunity

Jan-03

SIM CPI + 6%

V = Verified C = Compliant

Total

Dec-02

Prudential Domestic Real Return Plus 6%

Mar-16

V C C V C V

V V C

Old Mutual Multi Managers Absolute Balanced Fund

Mianzo Absolute Return Fund - CPI+6%

Sep-11

Aug-09 Dec-06 May-03 Nov-02 Oct-06 Jan-04 Oct-09 Dec-03 Sep-02 Jul-07 Mar-13

Mar-08

OMIG Capital Builder

Prescient Positive Return Fund PSG Stable Fund

Domestic

Global

Domestic

Global Global

Global Domestic and Global Domestic and Global Domestic

Global

Domestic

Global

Domestic

Global Global Global Domestic Domestic Global Global

Domestic Global Domestic Global Domestic Domestic Domestic Domestic Global Global Global

Domestic

Domestic Domestic

Domestic

Domestic Domestic Domestic Domestic Domestic

GIPSâ&#x201E;˘ Global / Domestic (Verified / Mandate Compliant)

Portfolio Inception Date

Oct-02 Apr-05 Mar-12 Jan-15 Jul-03

Headline CPI + 3% Absa Asset Management Absolute CPI +3% Alexander Forbes Investments Stable Focus Balondolozi Absolute Return Fund Mianzo Absolute Return Fund Momentum Investments Real Return

Investment Managers

General Information

Y Y

Y Y N Y

Y Y Y Y Y Y Y

Y Y Y Y Y Y Y Y Y Y Y

Y Y

Y Y Y Y Y

Managed ITO Regulation 28? (Y/N)

Headline CPI + 6%

Headline CPI + 6% Headline CPI + 6%

Headline CPI + 5% Headline CPI + 5% Headline CPI + 5% Headline CPI + 5%

Headline CPI + 5%

Headline CPI + 5% Headline CPI + 5% Headline CPI + 5% Headline CPI + 5% Headline CPI + 5% Headline CPI + 5% Headline CPI + 5%

Headline CPI + 4% Headline CPI + 4% Headline CPI + 4% Headline CPI + 4% Headline CPI + 4% Headline CPI + 4% Headline CPI + 4% Headline CPI + 4% Headline CPI + 4% Headline CPI + 4% Headline CPI + 4%

Headline CPI + 3%

Headline CPI + 3% Headline CPI + 3%

Headline CPI + 3%

Headline CPI + 3% Headline CPI + 3% Headline CPI + 3% Headline CPI + 3% Headline CPI + 3%

CPI Target Return

The primary objective is to outperform CPI by 6% (gross of fees) over a rolling 3-year period. The secondary objective is to reduce the risk of capital loss over any rolling 12-month period. The primary objective is to outperform CPI by 6% (gross of fees) over a rolling 3-year period. The secondary objective is to reduce the risk of capital loss over any rolling 12-month period. SIM targets low volatility real returns that match the upside return objective (e.g. CPI+X %) over rolling three-year periods. At the same time, they target not to lose capital over rolling one-year periods

The fund performance objectives is no negative returns in any 1 year rolling period and out performance of the benchmark (CPI+6% over a 3 year period).

Capital preservation over a rolling 12 month period

The primary objective is to outperform CPI by 5% (gross of fees) over a rolling 3-year period. The secondary objective is to reduce the risk of capital loss over any rolling 12-month period. The primary objective is to outperform CPI by 5% (gross of fees) over a rolling 3-year period. The secondary objective is to reduce the risk of capital loss over any rolling 12-month period. SIM targets low volatility real returns that match the upside return objective (e.g. CPI+X %) over rolling three-year periods. At the same time, they target not to lose capital over rolling one-year periods SIM targets low volatility real returns that match the upside return objective (e.g. CPI+X %) over rolling three-year periods. At the same time, they target not to lose capital over rolling one-year periods

No negative returns over a rolling 1-year period

Preserve capital over a rolling 12m period

No negative returns over rolling 1-year periods

No negative returns over rolling 12 month period No negative returns over rolling 12 month period No negative returns over 1 year rolling period. Preserve capital over a rolling 12m period

SIM targets low volatility real returns that match the upside return objective (e.g. CPI+X %) over rolling three-year periods. At the same time, they target not to lose capital over rolling one-year periods

Targets both positive returns every quarter and CPI+4% pa, or Cash+3% pa over rolling 3-year periods.

Limit negative returns in any 1 year rolling period.

No negative returns over rolling 12 month period

Dual Objective (if applicable)

N/A

2 13

1 1 0 1

3 1 1 1 1 N/A 4

8 3 N/A N/A 1 6 4 1 N/A 1 2

6 N/A

1 N/A 3 1 1

No. of Funds in Composite

192 488

833

2 581

244

343

355 46 727

561 7 101 1 181 1 560

22 127

624

32 753

1813

744 2 730 204 205 1 109 7 343 6193

4 050 7 434 7 061 4 526 120 3 186 1 757 1 162 911 6 219 650

2 151

1 688

2 444 4 582

1 305

401 3 567 727 628 587

Portfolio Size (R m)

SECTION 3

Absolute Return Manager Watchâ&#x201E;˘ Survey

Objective: The portfolios in this survey comply with Regulation 28 and represent products targeted at real returns with a CPI objective.

92 Calendar Year Returns

* Inflation figures in this table are lagged by one month

1 Year 3 Years 5 Years 7 Years 10 Years Investment Managers 2017 2016 2015 Portfolio Benchmark Portfolio Benchmark Portfolio Benchmark Portfolio Benchmark Portfolio Benchmark Headline CPI + 3% Absa Asset Management Absolute CPI +3% 9.63% 8.18% 9.06% 8.47% 8.41% 8.39% 8.84% 8.42% 9.17% 8.24% 10.44% 7.13% 5.13% Alexander Forbes Investments Stable Focus 4.07% 8.18% 6.53% 8.47% 6.61% 8.39% 7.78% 8.42% 8.49% 8.24% 9.19% 6.38% 4.53% Balondolozi Absolute Return Fund 4.73% 8.18% 7.43% 8.47% * * * * * * 12.48% 5.25% * Mianzo Absolute Return Fund -0.47% 8.18% 7.30% 8.47% * * * * * * 13.20% 9.66% * Momentum Investments Real Return 6.37% 8.18% 7.52% 8.47% 7.28% 8.39% 8.01% 8.42% 7.92% 8.24% 9.25% 6.97% 5.34% OMIG Capital Builder 1.84% 8.18% 5.93% 8.47% 5.81% 8.39% 7.01% 8.42% 7.08% 8.24% 11.06% 5.09% 3.39% Prescient Positive Return Fund 3.73% 8.18% 6.14% 8.47% 6.25% 8.39% 7.21% 8.42% 7.38% 8.24% 7.91% 6.81% 5.82% PSG Stable Fund 2.79% 8.18% 8.33% 8.47% 8.63% 8.39% * * * * 11.64% 10.80% 8.88% SIM Absolute 4.44% 8.18% 8.63% 8.47% 8.25% 8.39% 8.96% 8.42% 9.93% 8.24% 10.53% 11.05% 6.73% Taquanta True Absolute 12.33% 8.18% 12.32% 8.47% 9.74% 8.39% * * * * 12.71% 11.94% 10.17% Headline CPI + 4% Absa Asset Management Absolute Domestic CPI+4% 5.22% 9.18% 7.38% 9.47% 7.46% 9.39% 9.00% 9.42% * * 9.73% 7.24% 4.96% Absa Asset Management Absolute Global CPI +4% 3.95% 9.18% 5.35% 9.47% 7.40% 9.39% 9.01% 9.42% 9.84% 9.24% 8.20% 3.94% 9.54% Alexander Forbes Investments Real Return Focus Local 1.28% 9.18% 6.86% 9.47% 6.81% 9.39% 8.35% 9.42% 9.25% 9.24% 11.85% 7.70% 3.28% Alexander Forbes Investments Real Return Focus 3.29% 9.18% 6.13% 9.47% 7.28% 9.39% 9.19% 9.42% 9.51% 9.24% 10.05% 5.16% 8.06% Portfolio Argon Absolute Return Fund -0.23% 9.18% 5.85% 9.47% 7.27% 9.39% 9.18% 9.42% 9.23% 9.24% 11.48% 6.62% 7.19% Coronation Absolute -2.51% 9.18% 5.24% 9.47% 5.09% 9.39% 7.55% 9.42% 10.07% 9.24% 10.31% 8.37% 0.05% Mergence CPI + 4% Fund 0.12% 9.18% 5.56% 9.47% 5.82% 9.39% 7.75% 9.42% * * 11.01% 5.82% 5.05% Momentum Investments Absolute Strategies 0.47% 9.18% 5.88% 9.47% 6.19% 9.39% 6.74% 9.42% 7.00% 9.24% 9.84% 7.56% 4.91% Old Mutual Multi Managers Absolute Defensive Fund 0.27% 9.18% 4.11% 9.47% 6.87% 9.39% 9.46% 9.42% 9.66% 9.24% 8.25% 3.96% 12.15% OMIG MacroSolutions Stable Growth Fund 3.67% 9.18% 7.11% 9.47% 8.04% 9.39% 10.22% 9.42% 10.66% 9.24% 12.41% 5.43% 8.57% Sasfin Absolute Fund 5.24% 9.18% * * * * * * * * * * * Headline CPI + 5% Argon Absolute Return CPI+5% -0.27% 10.18% * * * * * * * * * * * Coronation Absolute -0.21% 10.18% 5.01% 10.47% 6.21% 10.39% 9.84% 10.42% 11.36% 10.24% 8.93% 6.52% 6.21% 10.39% 10.39% 10.42% 11.59% 10.24% 7.52% -0.92% 11.20% Foord Absolute -3.60% 10.18% 0.89% 10.47% 4.89% JM BUSHA Absolute AllClass 0.30% 10.18% 7.10% 10.47% 6.55% 10.39% 9.72% 10.42% 10.54% 10.24% 13.52% 7.89% -0.29% Mergence CPI +5% Fund -1.86% 10.18% 6.12% 10.47% 6.25% 10.39% 8.38% 10.42% 8.73% 10.24% 14.17% 6.66% 3.80% Nedgroup Investments Opportunity Fund -2.12% 10.18% 4.52% 10.47% * * * * * * 4.65% 11.48% 6.38% OMIG Wealth Defender -1.35% 10.18% 4.60% 10.47% 6.46% 10.39% 9.61% 10.42% 10.30% 10.24% 11.43% 4.11% 9.45% Prudential Domestic Real Return Plus 5% -3.65% 10.18% 6.03% 10.47% 7.09% 10.39% * * * * 13.20% 9.29% 4.08% Prudential Real Return + 5% -3.62% 10.18% 4.27% 10.47% 7.21% 10.39% 10.52% 10.42% * * 11.86% 5.13% 10.23% SIM CPI + 5% 2.39% 10.18% 7.94% 10.47% 7.97% 10.39% 9.42% 10.42% 10.38% 10.24% 11.43% 10.25% 6.39% SIM CPI + 5% Global 4.15% 10.18% 6.69% 10.47% 8.36% 10.39% 10.31% 10.42% 10.39% 10.24% 9.56% 6.41% 12.06% SMM Moderate Absolute Fund 3.94% 10.18% 4.67% 10.47% 7.53% 10.39% 9.66% 10.42% 10.36% 10.24% 7.99% 2.15% 11.27% STANLIB Absolute Plus Fund 1.78% 10.18% 6.62% 10.47% 7.53% 10.39% 9.34% 10.42% 10.70% 10.24% 13.45% 4.97% 7.78% STANLIB Multi-Manager Real Return Fund 1.04% 10.18% 4.78% 10.47% 6.41% 10.39% 8.48% 10.42% 9.40% 10.24% 10.35% 3.18% 8.40% Vunani Fund Managers CPI+5% 1.06% 10.18% 4.95% 10.47% 6.72% 10.39% 9.68% 10.42% 10.36% 10.24% 10.95% 3.10% 9.43% Market Statistics Combination of old CPIX and new CPI 5.18% 5.47% 5.39% 5.42% 5.27% 4.62% 6.61% 4.77% Consumer Price Inflation (Old/New combined CPI) 5.18% 5.47% 5.39% 5.42% 5.24% 4.62% 6.61% 4.77% Consumer Price Inflation (Headline CPI) [I-Net code: 5.18% 5.47% 5.39% 5.42% 5.34% 4.62% 6.61% 4.77% AECPI] STEFI 7.25% 7.39% 6.91% 6.47% 6.70% 7.54% 7.39% 6.47% Number of Participants 36 34 31 28 25 34 34 32

Investment Data to the end of December 2018

14.72% 10.72% 12.76% 9.23% 6.88% 17.39% 14.27% * * 21.20% 24.82% 12.17% 9.78% * 18.94% * 17.23% 12.41% 16.95% 18.11% 15.40% 13.32% 12.36% 5.35% 5.35% 5.35% 5.19% 28

10.01%

* 9.91% 11.15% 12.12% 9.13% * 9.16% 13.51% 13.36% 9.65% 9.82% 12.69% 10.02% 9.37% 9.46% 5.80% 5.80% 5.80% 5.91% 31

8.30% 9.70% 10.90%

10.26% 11.59% 10.33%

11.75% 9.90% 7.37% 8.41% 10.14% 10.33% *

5.53% 8.94% * * 10.53% 9.99% 10.85% * 9.80% *

2013

9.82% 8.98% * * 8.51% 7.93% 7.03% 9.26% 8.65% 1.93%

2014

MANAGER WATCH™ SURVEY

Absolute Return Manager Watch™ Survey

Objective: The portfolios in this survey comply with Regulation 28 and represent products targeted at real returns with a CPI objective.

Portfolio

Benchmark

Portfolio

Benchmark

Portfolio

5 Years Benchmark

Portfolio

7 Years Benchmark

Portfolio

10 Years Benchmark

2017

-0.19%

1.33%

-3.61%

-5.12%

0.21%

Investec Opportunity

Mianzo Absolute Return Fund CPI+6%

Old Mutual Multi Managers Absolute Balanced Fund

Prudential Domestic Real Return Plus 6%

SIM CPI + 6%

11.18%

10.76%

7.36%

6.20%

3.79%

4.02%

11.47%

7.74%

7.29%

6.36%

7.51%

11.39%

9.64%

10.49%

10.53%

11.42%

10.87%

11.83%

12.06%

11.24%

12.51%

15.75%

11.16%

10.19%

10.20%

9.74%

9.08%

4.37%

2.32%

6.35%

4.33%

11.62%

15.53%

7.39%

* Inflation figures in this table are lagged by one month

7.25%

Number of Participants

STEFI

5.47%

5.18%

Consumer Price Inflation (Headline CPI) [I-Net code: AECPI]

5.47%

5.18%

Consumer Price Inflation (Old/New combined CPI)

5.47%

5.18%

Combination of old CPIX and new CPI

6.91%

5.39%

6.47%

5.42%

6.70%

5.34%

5.24%

5.27%

7.54%

4.62%

7.39%

6.61%

6.47%

4.77%

Market Statistics

-2.72%

Argon Global Balanced CPI +6%

2015

5.91%

5.80%

10.31%

13.74%

9.03%

10.46%

2014

Calendar Year Returns 2016

Headline CPI + 6%

Investment Managers

3 Years

1 Year

Investment Data to the end of December 2018

5.19%

5.35%

14.15%

13.11%

16.23%

2013

SECTION 3

Absolute Return Manager Watchâ&#x201E;˘ Survey

Objective: The portfolios in this survey comply with Regulation 28 and represent products targeted at real returns with a CPI objective.

5.42%

7.09%

2.20%

3.32%

4.11%

3.63%

2.30%

0.57%

Balondolozi Absolute Return Fund

Mianzo Absolute Return Fund

Momentum Investments Real Return

OMIG Capital Builder

Prescient Positive Return Fund

PSG Stable Fund

SIM Absolute

Taquanta True Absolute

3.32%

3.23%

4.87%

4.58%

4.33%

4.68%

4.13%

7.27%

3.82%

3.19%

Absa Asset Management Absolute Global CPI +4%

Alexander Forbes Investments Real Return Focus Local

Alexander Forbes Investments Real Return Focus Portfolio

Argon Absolute Return Fund

Coronation Absolute

Mergence CPI + 4% Fund

Momentum Investments Absolute Strategies

Old Mutual Multi Managers Absolute Defensive Fund

OMIG MacroSolutions Stable Growth Fund

Sasfin Absolute Fund

6.44%

11.67%

4.62%

6.23%

5.94%

6.24%

4.47%

6.30%

3.55%

5.37%

5.12%

4.58%

7.90%

6.16%

Coronation Absolute

Foord Absolute

JM BUSHA Absolute AllClass

Mergence CPI +5% Fund

Nedgroup Investments Opportunity Fund

OMIG Wealth Defender

Prudential Domestic Real Return Plus 5%

Prudential Real Return + 5%

SIM CPI + 5%

SIM CPI + 5% Global

SMM Moderate Absolute Fund

STANLIB Absolute Plus Fund

STANLIB Multi-Manager Real Return Fund

Vunani Fund Managers CPI+5%

0.94%

0.06%

Consumer Price Inflation (Headline CPI) [I-Net code: AECPI]

Consumer Price Inflation (Old/New combined CPI)

Combination of old CPIX and new CPI

STEFI

Market Indices & Statistics

6.73%

Argon Absolute Return CPI+5%

Headline CPI + 5%

1.59%

Absa Asset Management Absolute Domestic CPI+4%

Headline CPI + 4%

0.90%

1.93%

Absa Asset Management Absolute CPI +3%

Volatility

Alexander Forbes Investments Stable Focus

Headline CPI + 3%

Investment Managers

1 Year

Investment Data to the end of December 2018

58.33%

50.00%

58.33%

50.00%

66.67%

41.67%

33.33%

41.67%

50.00%

41.67%

50.00%

66.67%

58.33%

25.00%

58.33%

41.67%

50.00%

58.33%

83.33%

100.00%

66.67%

58.33%

50.00%

83.33%

66.67%

58.33%

83.33%

100.00%

% Positive Months

-2.72%

-2.71%

-1.93%

-1.37%

-1.44%

-1.47%

-2.14%

-2.42%

-2.76%

-2.18%

-2.68%

-2.38%

-4.70%

-2.25%

-2.50%

-0.83%

-1.43%

-2.68%

-1.72%

-2.07%

-2.18%

-2.09%

-1.48%

-1.33%

-0.91%

-0.40%

0.80%

-0.71%

-1.51%

-1.50%

-1.39%

-0.47%

-3.14%

-2.56%

-0.72%

0.33%

Worst Month

-5.14%

-6.19%

-2.54%

-3.02%

-3.23%

-2.09%

-5.84%

-6.33%

-4.61%

-5.18%

-4.98%

-3.78%

-11.71%

-6.03%

-5.15%

-1.47%

-2.34%

-6.46%

-3.38%

-3.09%

-5.00%

-3.36%

-3.72%

-2.55%

-1.68%

-0.40%

0.00%

-0.79%

-2.35%

-2.36%

-2.10%

-0.47%

-5.22%

-4.00%

-0.72%

0.00%

Maximum Drawdown Volatility

7.39%

5.47%

4.95%

4.78%

6.62%

4.67%

6.69%

7.94%

4.27%

6.03%

4.60%

4.52%

6.12%

7.10%

0.89%

5.01%

7.11%

4.11%

5.88%

5.56%

5.24%

5.85%

6.13%

6.86%

5.35%

7.38%

12.32%

8.63%

8.33%

6.14%

5.93%

7.52%

7.30%

7.43%

6.53%

9.06%

91.67%

0.08%

1.11%

5.00%

6.49%

4.14%

5.06%

4.27%

3.29%

5.32%

5.40%

5.52%

7.03%

66.67%

61.11%

72.22%

58.33%

63.89%

80.56%

55.56%

58.33%

61.11%

58.33%

55.56%

5.71%

58.33%

5.70%

61.11%

69.44%

50.00%

63.89%

69.44%

58.33%

66.67%

77.78%

100.00%

86.11%

75.00%

66.67%

77.78%

72.22%

80.56%

9.55%

6.19%

3.55%

5.55%

4.09%

4.26%

4.87%

4.12%

4.14%

3.69%

3.20%

2.46%

0.50%

2.20%

3.40%

3.32%

3.37%

2.40%

5.48%

4.37%

2.34%

1.99%

-2.72%

-2.71%

-1.93%

-2.33%

-1.44%

-1.47%

-2.14%

-2.42%

-2.76%

-5.98%

-2.68%

-2.38%

-4.70%

-2.25%

-1.43%

-2.68%

-1.72%

-2.07%

-2.18%

-2.09%

-1.48%

-1.33%

-1.45%

-0.49%

0.80%

-0.71%

-1.51%

-1.50%

-1.39%

-0.61%

-3.14%

-2.56%

-0.72%

-0.40%

-5.14%

-6.19%

-2.82%

-3.34%

-3.23%

-2.09%

-5.84%

-6.33%

-4.61%

-9.22%

-4.98%

-3.78%

-11.71%

-6.03%

-2.34%

-6.46%

-3.38%

-3.09%

-5.00%

-3.36%

-3.72%

-2.55%

-2.15%

-0.49%

0.00%

-0.79%

-2.35%

-2.36%

-2.10%

-0.79%

-5.22%

-4.00%

-0.84%

-0.40%

6.91%

5.39%

6.72%

6.41%

7.53%

8.36%

7.97%

7.21%

7.09%

6.46%

6.25%

6.55%

4.89%

6.21%

8.04%

6.87%

6.19%

5.82%

5.09%

7.27%

7.28%

6.81%

7.40%

7.46%

9.74%

8.25%

8.63%

6.25%

5.81%

7.28%

6.61%

8.41%

5 Years Maximum Drawdown

5 Year Return (p.a.)

Worst Month

3 Year Return (p.a.) % Positive Months

3 Years

0.19%

1.32%

5.10%

5.55%

3.97%

4.66%

3.63%

3.26%

5.05%

6.02%

4.85%

5.44%

6.78%

8.38%

5.64%

3.39%

4.68%

4.29%

4.26%

5.24%

4.14%

3.97%

4.30%

3.36%

3.32%

3.67%

2.23%

3.32%

3.43%

3.19%

3.14%

3.21%

2.76%

Volatility

68.33%

63.33%

73.33%

66.67%

75.00%

78.33%

63.33%

65.00%

60.00%

58.33%

63.33%

73.33%

65.00%

63.33%

65.00%

61.67%

73.33%

65.00%

73.33%

75.00%

98.33%

86.67%

78.33%

71.67%

68.33%

75.00%

76.67%

86.67%

% Positive Months

-2.72%

-2.71%

-1.93%

-2.33%

-1.44%

-1.47%

-2.14%

-3.75%

-2.76%

-2.68%

-3.67%

-4.70%

-2.25%

-1.43%

-2.68%

-2.57%

-2.07%

-3.44%

-2.29%

-1.48%

-1.96%

-1.45%

-1.98%

-7.16%

-0.98%

-1.51%

-1.50%

-1.41%

-1.55%

-1.59%

-1.88%

Worst Month

-5.14%

-6.19%

-2.82%

-3.34%

-3.23%

-2.09%

-5.84%

-6.33%

-4.61%

-4.98%

-7.25%

-11.71%

-6.03%

-2.34%

-6.46%

-3.38%

-3.09%

-6.42%

-3.36%

-3.72%

-3.81%

-2.15%

-2.85%

-7.16%

-1.22%

-2.35%

-2.36%

-2.10%

-2.06%

-2.70%

-2.05%

Maximum Drawdown

MANAGER WATCH™ SURVEY

Absolute Return Manager Watch™ Survey Risk

Objective: The portfolios in this survey comply with Regulation 28 and represent products targeted at real returns with a CPI objective.

Volatility

% positive months

Worst month

1 Year Maximum drawdown Volatility

Volatility

9.54%

7.68%

8.80%

6.07%

4.95%

Investec Opportunity

Mianzo Absolute Return Fund - CPI+6%

Old Mutual Multi Managers Absolute Balanced Fund

Prudential Domestic Real Return Plus 6%

SIM CPI + 6%

50.00%

41.67%

33.33%

66.67%

33.33%

-2.24%

-3.16%

-3.53%

-3.65%

-3.17%

-2.91%

-3.52%

-7.91%

-8.71%

-5.13%

-8.69%

-6.41%

7.36%

6.20%

3.79%

4.02%

4.46%

6.31%

6.70%

7.13%

72.22%

61.11%

55.56%

-2.24%

-3.16%

-3.53%

-3.17%

-3.52%

-7.91%

-8.71%

-8.69%

7.74%

7.29%

6.36%

7.51%

4.24%

6.70%

5.68%

6.50%

73.33%

65.00%

63.33%

61.67%

0.94%

0.06%

Consumer Price Inflation (Old/New combined CPI)

Combination of old CPIX and new CPI

STEFI

* Inflation figures in this table are lagged by one month

0.94%

Consumer Price Inflation (Headline CPI) [I-Net code: AECPI]

7.39%

5.47%

0.08%

1.11%

6.91%

5.39%

0.19%

1.32%

Market Statistics

8.95%

Argon Global Balanced CPI +6%

% Positive months

5 Year Return (p.a.)

Maximum drawdown

5 Years Worst month

3 Year Return (p.a.) % Positive months

3 Years

Headline CPI + 6%

Investment Managers

Investment Data to the end of December 2018

-2.24%

-3.56%

-3.53%

-3.17%

Worst month

-3.52%

-7.91%

-8.71%

-8.69%

Maximum drawdown

SECTION 3

Absolute Return Manager Watchâ&#x201E;˘ Survey Risk (continued)

Objective: The portfolios in this survey comply with Regulation 28 and represent products targeted at real returns with a CPI objective.

MANAGER WATCH™ SURVEY

Absolute Return Manager Watch™ Survey Volatility vs Return Scatterplot for Absolute Return Managers – All categories for the 3 Years ended 31 December 2018 12.60%

SIM CPI + 5%

Taquanta True Absolute Absa Asset Management Absolute Domestic CPI + 4%

11.45%

PSG Stable Fund OMIG MacroSolutions Stable Growth Fund Alexander Forbes Investments Real Return Focus Local Alexander Forbes Investments Real Return Focus Portfolio

Momentum Investments Real Return

10.31%

CPI + 6%

CPI + 5%

STANLIB Absolute Plus Fund

Absa Asset Management Absolute CPI + 3%

SIM CPI + 5% Global

CPI + 4%

9.16% Balondolozi Absolute Return Fund

CPI + 3%

SIM CPI + 6%

8.02%

Mianzo Absolute Return Fund

Alexander Forbes Investments Stable Focus

6.87%

JM BUSHA Absolute AllClass

Return (p.a.)

Prudential Domestic Real Return Plus 5% Prescient Positive Return Fund OMIG Capital Builder

5.73%

Mergence CPI +5% Fund Coronation Absolute

Absa Asset Management Absolute Global CPI + 4%

4.58%

STANLIB Multi-Manager Real Return Fund Nedgroup Investments Opportunity Fund

Momentum Investments Absolute Strategies Argon Absolute Return Fund Mergence CPI + 4% Fund

3.44%

Coronation Absolute Vunani Fund Managers CPI+5% SMM Moderate Absolute Fund

2.29%

Prudential Real Return + 5% Old Mutual Multi Managers Absolute Defensive Fund OMIG Wealth Defender

1.15%

Old Mutual Multi Managers Absolute Balanced Fund

0.00% 0.0%

0.91%

1.82%

2.73%

3.64%

4.55%

5.46%

6.37%

Volatility (p.a.) (standard deviation)

Foord Absolute

OMIG Wealth Defender

7.28%

8.19%

9.10%

10.01%

SECTION 3

Composite Dispersion of Absolute Return Manager Watchâ&#x201E;˘ Survey 1 Year to 31 December 2018 Headline CPI + 3% 0.71%

Balondolozi Absolute Return 0.18%

Prescient Positive Return SIM CPI + 3%

0.19% 0.22%

SIM CPI + 3% Global

0.00%

0.10%

0.20%

Minimum Return

Headline CPI + 3%

0.30%

Maximum Return

0.40%

0.50%

Median Composite Return

0.60%

Composite Dispersion (1yr)

0.70%

0.80%

Composite Dispersion (3yrs)

0.90%

Composite Dispersion (5yrs)

Balondolozi Absolute Return

3.16%

4.73%

3.95%

0.79%

Prescient Positive Return

3.52%

4.03%

3.75%

0.18%

2.92%

2.95%

SIM CPI + 3%

4.32%

4.82%

4.70%

0.19%

SIM CPI + 3% Global

4.95%

5.51%

5.27%

0.22%

* Data not available.

Headline CPI + 4% Absa Asset Management Absolute Global CPI + 4%

1.84%

Absa Asset Management Absolute Domestic CPI + 4%

1.52% 0.20%

Coronation Absolute Fund

0.00%

Headline CPI + 4%

0.20%

0.40%

Minimum Return

0.60%

Maximum Return

0.80%

1.00%

Median Composite Return

1.20%

1.40%

Composite Dispersion (1yr)

1.60%

1.80%

Composite Dispersion (3yrs)

2.00%

Composite Dispersion (5yrs)

Absa Asset Management Absolute Global CPI +4%

3.65%

8.07%

6.11%

1.84%

0.56%

0.68%

Absa Asset Management Absolute Domestic CPI+4%

2.79%

7.85%

5.58%

1.52%

0.63%

0.51%

Coronation Absolute Fund

-2.66%

-2.09%

-2.56%

0.20%

0.17%

0.02%

* Data not available.

MANAGER WATCH™ SURVEY

Composite Dispersion of Absolute Return Manager Watch™ Survey 1 Year to 31 December 2018 Headline CPI + 5% 0.60%

OMIG Wealth Defender 0.07%

Prudential Real Return Plus 5% SIM CPI + 5%

0.02% 0.17%

SIM CPI + 5% Global

0.00%

0.10%

0.20%

Minimum Return

Headline CPI + 5%

0.30%

0.40%

0.50%

Median Composite Return

Maximum Return

0.60%

Composite Dispersion (1yr)

0.70%

Composite Dispersion (3yrs)

0.80%

0.90%

Composite Dispersion (5yrs)

OMIG Wealth Defender

-2.55%

-0.97%

-1.35%

0.60%

0.05%

Prudential Real Return Plus 5%

-3.94%

-3.76%

-3.90%

0.07%

0.17% *

SIM CPI + 5%

2.44%

2.49%

2.46%

0.02%

0.12%

0.42%

SIM CPI + 5% Global

3.71%

4.28%

4.00%

0.17%

0.20%

0.27%

* Data not available.

Headline CPI + 6% Investec Opportunity

0.37%

Prudential Domestic Inflation Plus 6%

0.28%

SIM CPI + 6%

0.23% 0.00%

Headline CPI + 6%

Minimum Return

0.20%

Maximum Return

0.30%

0.40%

Median Composite Return

0.50%

0.60%

Composite Dispersion (1yr)

Investec Opportunity

-0.38%

0.98%

0.09%

0.37%

Prudential Real Return Plus 6%

-5.46%

-4.77%

-5.16%

0.28%

SIM CPI + 6%

0.18%

0.63%

0.41%

0.23%

* Data not available.

0.10%

0.70%

Composite Dispersion (3yrs)

0.80%

0.90%

Composite Dispersion (5yrs)

0.16%

0.19%

0.00%

0.08%

SECTION 3

Targeted Development Investments Manager Watchâ&#x201E;˘ Survey Investment data to the end of December 2018 â&#x20AC;&#x201C; Performance Data 1 Year Investment Managers

Classification

Fund Size Fund (R m)

3 Years (p.a.) Rank

Target Return/ Benchmark

Fund

Rank

5 Years (p.a.) Target Return/ Benchmark

Fund

Rank

Target Return/ Benchmark

Balanced Aeon Balanced Fund (CPI + 5%)

Pooled

86.7

-1.58%

10.18%

4.17%

10.37%

7.02%

9.89%

Mergence SRI Fund

Pooled

111.0

7.65%

8.18%

9.61%

8.47%

9.27%

8.39%

Momentum Investments Supernation Fund

Pooled

23.4

-5.09%

-4.86%

6.04%

5.46%

5.60%

5.88%

STANLIB Wealth Development Fund

Segregated

15.2

18.48%

7.18%

10.28%

7.47%

9.87%

7.39%

Equity Aeon Active Equity Fund

Pooled

Element Earth Equity

Unit trust

Futuregrowth Development Equity Composite

Pooled

9 339.5 -11.46%

-11.67%

4.30%

3.69%

6.64%

5.92%

244.5

-1.39%

-8.52%

12.79%

4.88%

4.16%

6.10%

2 024.4

12.83%

15.18%

7.79%

15.47%

12.92%

15.39%

Mergence ESG Equity Fund

Segregated

-11.67%

1.84%

3.69%

5.33%

5.92%

Oasis Crescent Equity Fund

Pooled

5 345.4

397.8 -11.18% -0.76%

-0.25%

4.23%

7.28%

4.11%

4.54%

Oasis Crescent International Feeder Fund Pooled

1691.6

-3.11%

5.80%

-4.23%

3.82%

5.83%

10.16%

Segregated

11 693.7

16.20%

12.18%

14.18%

12.47%

15.06%

12.39%

Futuregrowth Infrastructure & Development Bond Fund

Pooled

14 694.3

9.12%

5.82%

12.46%

10.43%

9.76%

7.34%

Futuregrowth Power Debt Composite

Pooled

7 983.6

11.16%

7.23%

11.46%

7.39%

Alternative OMIG Alternative Investments IDEAS Fund Fixed Interest

Mergence Infrastructure & Development Debt Fund

Pooled

215.8

10.48%

8.18%

11.26%

8.47%

10.64%

8.39%

OMIG Community Growth Gilt Fund

Unit Trust

197.3

7.67%

7.07%

10.84%

10.45%

7.54%

7.10%

Prescient Clean Energy Fund

Segregated

959.3

11.62%

8.18%

12.59%

8.47%

4 370.1

11.97%

9.18%

16.65%

9.47%

15.24%

Property Futuregrowth Community Property Fund Pooled Total

9.60%

59 393.7

Statistics Alexander Forbes SA Best Investment View Average

-5.55%

4.88%

5.09%

Alexander Forbes SA Equity Average

-10.30%

3.06%

3.83%

Alexander Forbes SA Bond Average

8.57%

11.79%

8.19%

Combination of old CPIX and new CPI#

5.18%

5.47%

5.39%

Consumer Price Inflation (Old/New combined CPI)

5.18%

5.47%

5.39%

Consumer Price Inflation (Headline CPI) [I-Net code: AECPI]

5.18%

5.47%

5.39%

FTSE/JSE Capped SWIX All Share Index

-10.94%

All inflation figures in this table are lagged by 1 month.

MANAGER WATCHâ&#x201E;˘ SURVEY

Targeted Development Investments Manager Watchâ&#x201E;˘ Survey Investment Data to the end of December for the past 5 Calendar years 2017 Investment Managers

Portfolio

2016 Benchmark

Portfolio

2015 Benchmark

Portfolio

2014 Benchmark

Portfolio

2013 Benchmark

Portfolio

Benchmark

3 Year Rank Volatility

Balanced Aeon Balanced Fund (CPI + 5%)

14.61%

10.76%

0.21%

10.61%

14.06%

9.67%

8.87%

9.11%

20.88%

8.37%

7.82%

Mergence SRI Fund

11.93%

7.62%

9.31%

10.12%

7.39%

7.77%

10.14%

8.80%

6.73%

8.31%

1.46%

Momentum Investments Supernation Fund

13.79%

14.27%

10.41%

7.90%

-0.92%

0.78%

11.16%

12.55%

11.67%

13.14%

7.10%

STANLIB Wealth Development Fund

1.87%

6.59%

11.12%

8.55%

5.83%

6.71%

12.79%

7.75%

0.72%

7.83%

18.31%

Equity Aeon Active Equity Fund

25.79%

21.21%

1.86%

4.13%

7.14%

3.62%

13.48%

15.42%

28.23%

20.71%

11.15%

Element Earth Equity

15.89%

20.95%

25.57%

4.26%

-15.64%

5.49%

1.27%

10.49%

1.11%

21.43%

9.38%

Futuregrowth Development Equity Composite

4.83%

14.62%

5.89%

16.62%

23.00%

14.79%

19.17%

15.81%

10.44%

15.32%

6.05%

Mergence ESG Equity Fund

15.57%

21.21%

2.90%

4.13%

5.12%

3.62%

16.79%

15.42%

21.90%

20.71%

10.26%

Oasis Crescent Equity Fund

5.24%

9.59%

8.42%

12.93%

-1.43%

-6.72%

9.58%

5.28%

23.63%

15.24%

9.07%

Oasis Crescent International Feeder Fund

-0.09%

11.70%

-9.27%

-5.30%

29.82%

29.34%

16.44%

12.06%

54.08%

38.63%

16.19%

13.51%

11.62%

12.84%

13.10%

14.92%

11.97%

17.91%

12.82%

18.86%

11.79%

8.57%

Futuregrowth Infrastructure & Development Bond Fund

11.75%

10.22%

16.63%

15.44%

-0.71%

-3.92%

12.80%

10.15%

3.66%

0.64%

6.57%

Futuregrowth Power Debt Composite

11.22%

7.54%

11.99%

7.39%

10.54%

6.47%

0.45%

Mergence Infrastructure & Development Debt Fund

11.45%

7.62%

11.85%

10.12%

8.29%

7.77%

11.18%

8.80%

6.57%

8.31%

0.57%

OMIG Community Growth Gilt Fund

9.91%

9.59%

15.07%

14.81%

-3.91%

-4.49%

9.94%

9.49%

1.78%

0.03%

6.47%

Prescient Clean Energy Fund

12.42%

7.62%

13.74%

10.89%

0.93%

14.05%

8.62%

24.31%

10.61%

17.44%

8.77%

9.00%

10.81%

10.39%

9.01%

7.36%

Alternative OMIG Alternative Investments IDEAS Fund Fixed Interest

Property Futuregrowth Community Property Fund Statistics & Market Indices Alexander Forbes SA Best Investment View Average

12.46%

8.62%

10.07%

14.60%

19.83%

6.56%

Alexander Forbes SA Equity Average

13.91%

7.10%

10.13%

20.64%

25.52%

10.22%

Alexander Forbes SA Bond Average

11.67%

15.23%

7.53%

3.01%

13.58%

5.43%

Combination of old CPIX and new CPI

4.62%

6.61%

5.80%

5.35%

5.60%

1.11%

Consumer Price Inflation (Old/New combined CPI)

4.62%

6.61%

5.80%

5.35%

5.60%

1.11%

Consumer Price Inflation (Headline CPI) [I-Net code: AECPI]

4.62%

6.61%

5.80%

5.35%

5.60%

1.11%

All inflation figures in this table are lagged by 1 month.

100

SECTION 3

Targeted Development Investments Manager Watch™ Survey Volatility vs Return – TDI Balanced, Equity, Absolute, Alternative & Property Portfolios 3 years ended 31 December 2018 16.72%

Futuregrowth Community Property Fund

14.63%

OMIG Alternative Investment IDEAS Fund Element Earth Equity

12.54% 10.45% Mergence SRI Fund

STANLIB Wealth Development Fund

Annualised Return

8.36% 6.27%

Futuregrowth Development Equity Composite

Momentum Investments Supernation Fund Oasis Crescent Equity Fund Aeon Active Fund

Alexander Forbes SA Best Investment View Average

4.18%

Aeon Balanced Fund (CPI + 5%)

Alexander Forbes SA Equity Average

2.09% Mergence ESG Equity Fund

0.00% -2.09% Oasis Crescent International Feeder Fund

-2.09% -6.27% 0.0%

1.69%

3.37%

5.06%

6.74%

8.43%

10.11%

11.80%

13.48%

15.17%

16.85%

18.54%

Annualised Risk

Volatility vs Return – TDI Fixed Interest Portfolios 3 years ended 31 December 2018 12.60% Prescient Clean Energy Fund

Futuregrowth Infrastructure & Development Bond Fund

12.42% 12.24% 12.06% 11.88% Annualised Return

Alexander Forbes SA Bond Average

11.70% 11.52% Futuregrowth Power Debt

11.34% Mergence Infrastructure and Development Debt Fund

11.16% 10.98% OMIG Community Growth Gilt Fund

10.80% 0.0%

0.62%

1.23%

1.85%

2.46%

3.08%

3.69%

4.31%

4.92%

5.54%

6.15%

6.77%

Annualised Risk

101

MANAGER WATCHâ&#x201E;˘ SURVEY

Closer to the truth Our obsession with depth and detail brings greater understanding and better performance. To find out more, visit www.northstar.co.za

Northstar Asset Management (Pty) Ltd (1996/001423/07) is a licensed Financial Service Provider (FSP 601).

102

SECTION 3

Fund of Hedge Funds Manager Watchâ&#x201E;¢ Survey Objective: The portfolios in this survey show the performance of fund of hedge fund (FoHF) managers. FoHF managers select a number of underlying single hedge fund managers to provide diversification across a range of alternative strategies.

Investment Data to the end of December 2018 Investment Manager

Fund Status Open / Closed

Inception Date

Fund Size (R m)

Open

March-00

1703.0

30% FTSE/JSE CAPPED SWIX ALSI + 70% STeFI

January-06

40% FTSE/JSE CAPPED 5942.4 SWIX ALSI + 60% STeFI 15% FTSE/JSE CAPPED 1723.2 SWIX ALSI + 85% STeFI

Return Objectives

3 Years

5 Years

Calendar Year 2017

Calendar Year 2016

Calendar Year 2015

3.60%

4.36%

7.16%

7.60%

1.95%

13.68%

1.67%

4.35%

6.89%

7.88%

3.60%

8.00%

7.58%

7.37%

7.87%

5.82%

8.73%

9.40%

1 Year

Multi Strategy AF Investments Moderate QI Hedge Fund of Funds AF Investments Performance QI Hedge Fund of Funds

Open

AF Investments Stable QI Hedge Fund of Funds

Open

January-06

Alpha Cautious Hedge Fund

Open

March-04

116.1

4.24%

3.24%

3.89%

1.77%

3.92%

3.30%

Mayibentsha Focused Fund of Hedge Funds

Open

December-08

416.3 CPI + 4.5%

3.96%

1.95%

Mayibentsha Moderate Fund of Hedge Funds

Open

April-03

470.4 CPI + 3.5%

5.90%

4.17%

Mayibentsha Neutral Fund of Hedge Funds

Open

April-08

382.4 CPI + 2.5%

7.81%

5.86%

Momentum Investments ZAR Diversified Fund

Open

November-07

762.0 STeFI + 4% net of fees

6.08%

5.73%

6.56%

5.17%

5.94%

6.65%

27four Long Short Equity Prescient QI Fund of Hedge Funds

Open

February-09

215.6 STeFI + 4%

1.09%

0.62%

4.33%

3.16%

-2.32%

10.84%

AF Investments Focus QI Hedge Fund of Funds

Open

February-11

-0.61%

1.43%

5.33%

4.21%

0.75%

10.32%

Alpha Equity Hedge Fund

Open

November-07

2.16%

2.72%

6.77%

3.37%

2.38%

12.73%

Alpha Fixed Income Blend of Funds

Open

January-06

2.39%

5.30%

4.68%

6.10%

7.98%

-2.79%

CPI + (4% - 6%) net of fees

Specialist Mandates

1683.6

65% FTSE/JSE CAPPED SWIX ALSI + 35% STeFI

346.7 JSE All Share Index 46.9 CPI + 3% net of fees

Edge RCIS Matador Retail Hedge Fund

Open

May-04

FTSE/JSE SWIX All Share 204.2 Index

TriAlpha Enhanced Fixed Income Fund

Open

August-07

252.3 STeFI + 2%

-7.64%

6.23%

8.07%

8.55%

9.02%

8.55%

6.08%

Highest

8.07%

8.55%

7.87%

9.02%

8.73%

13.68%

Median

3.78%

4.35%

6.56%

5.49%

3.76%

8.70%

Average

3.31%

4.37%

5.94%

5.17%

4.15%

7.82%

Lowest

-7.64%

0.62%

3.89%

1.77%

-2.32%

-2.79%

5.13%

Fund Size Total

14 265.1

Statistics

Number of participants

Market Statistics FTSE/JSE All Share Index

-8.53%

4.33%

5.77%

20.95%

2.63%

STeFI

7.25%

7.39%

6.91%

7.54%

7.39%

6.47%

All Bond Index

7.69%

11.07%

7.71%

10.22%

15.45%

-3.93%

Consumer Price Inflation (Old/New combined CPI)*

5.18%

5.47%

5.39%

4.62%

6.61%

4.77%

Combination of old CPIX and new CPI*

5.18%

5.47%

5.39%

4.62%

6.61%

4.77%

Consumer Price Inflation (Headline CPI) [I-Net code: AECPI]

5.18%

5.47%

5.39%

4.62%

6.61%

4.77%

Consumer Price Inflation excluding OER [I-Net code: AECPIXU]

5.37%

5.61%

5.51%

4.61%

6.85%

4.75%

* Inflation figures in this table are lagged by one month

103

MANAGER WATCH™ SURVEY

Fund of Hedge Funds Manager Watch™ Survey Objective: The portfolios in this survey show the performance of fund of hedge fund (FoHF) managers. FoHF managers select a number of underlying single hedge fund managers to provide diversification across a range of alternative strategies.

Investment Data to the end of December 2018 – Quantitative Analysis 1 Year Investment Manager

3 Years

Percentage of positive months

Worst month

Standard Deviation

Percentage of positive months

Worst month

Max Drawdown

Standard Deviation

Multi Strategy AF Investments Moderate QI Hedge Fund of Funds

75.00%

-1.37%

2.81%

63.89%

-1.43%

-2.05%

3.45%

AF Investments Performance QI Hedge Fund of Funds

58.33%

-1.80%

3.61%

61.11%

-2.01%

-3.49%

4.23%

AF Investments Stable QI Hedge Fund of Funds

83.33%

-0.48%

1.84%

86.11%

-0.97%

-1.39%

1.95%

Alpha Cautious Hedge Fund

66.67%

-1.42%

4.07%

55.56%

-1.67%

-2.86%

3.74%

Mayibentsha Focused Fund of Hedge Funds

58.33%

-1.21%

3.36%

Mayibentsha Moderate Fund of Hedge Funds

75.00%

-0.56%

1.99%

Mayibentsha Neutral Fund of Hedge Funds

91.67%

-0.06%

1.56%

Momentum Investments ZAR Diversified Fund

66.67%

-1.44%

3.96%

63.89%

-2.20%

-4.63%

4.20%

50.00%

-1.87%

3.76%

55.56%

-4.33%

-5.89%

5.97%

Specialist Mandates 27four Long Short Equity Prescient QI Fund of Hedge Funds AF Investments Focus QI Hedge Fund of Funds

50.00%

-3.72%

6.23%

55.56%

-4.19%

-7.59%

6.62%

Alpha Equity Hedge Fund

58.33%

-1.96%

4.10%

55.56%

-1.96%

-3.06%

4.44% 3.49%

Alpha Fixed Income Blend of Funds

58.33%

-2.02%

3.85%

63.89%

-2.02%

-3.63%

Edge RCIS Matador Retail Hedge Fund

41.67%

-6.61%

11.36%

TriAlpha Enhanced Fixed Income Fund

91.67%

-0.50%

1.74%

97.22%

-0.50%

1.24%

Statistics Highest

91.67%

-0.06%

6.23%

97.22%

-0.50%

6.62%

Median

66.67%

-1.42%

3.61%

62.50%

-1.98%

-3.28%

3.97%

Average

67.95%

-1.42%

3.30%

65.83%

-2.13%

-3.51%

3.93%

Lowest

50.00%

-3.72%

1.56%

55.56%

-4.33%

-7.59%

1.24%

Number of participants * Inflation figures in this table are lagged by one month

104

Daily

FTSE/JSE All Property Index (Prior to July 2018 the benchmark was FTSE/ JSE SA Listed Property)

Sesfikile Property Composite

SIM Property Fund

* Inflation figures in this table are lagged by one month

Total

Futuregrowth Community Property Fund

Annually

Daily

FTSE/JSE All Property Index (Prior to Oct 2018 the benchmark was FTSE/ JSE SA Listed Property)

Stanlib Property Income Fund

CPI + 4%

Daily

Stanlib MM Property

0% - 74% Listed Property

Daily

FTSE/JSE SA Listed Property

FTSE/JSE All Property Index (Prior to July 2018 the benchmark was FTSE/ JSE SA Listed Property)

Daily

Prudential Enhanced SA Property Tracker Fund

Daily

OMIG Quoted Property Portfolio

Daily

FTSE/JSE SA Listed Property

Fund Weighted average of SA Listed Property Index and All Property Index (Prior to October 2018 the benchmark was FTSE/JSE SA Listed Property)

FTSE/JSE SA Listed Property

Investec Property Equity Fund

Daily

FTSE/JSE All Property Index (Prior to Oct 2018 the benchmark was FTSE/JSE SA Listed Property)

Coronation Property Equity

Momentum Investments Property

Daily

FTSE/JSE All Property Index (Prior to August 2018 the benchmark was FTSE/JSE SA Listed Property)

Catalyst FM Composite SA Listed Property Index Funds

Momentum Investments Diversified Property

Daily

Weighted average of SA Listed Property Index and All Property Index (Prior to May 2018 the benchmark was FTSE/JSE SA Listed Property)

Daily

Valuation Frequency

Daily

FTSE/JSE SA Listed Property

Benchmark Description

FTSE/JSE SA Listed Property

GIPS™ (Verified / Compliant)

Alexander Forbes Investments Property Fund

Absa Asset Management Domestic Property

75% - 100% Listed Property

Investment Managers

General information

Monthly

Daily

N/A

Daily

N/A

Daily

N/A

Daily

Cash Flow Frequency in IRR Calc

50%

97%

90%

95%

85%

80%

95%

80%

50%

95%

85%

75%

Minimum Listed Property Allocation

10%

50%

10%

15%

20%

50%

15%

25%

Maximum Cash Exposure Allowed

Up to 3 years

48 hours

24 hours

48 hours

24 hours

48 hours

24 hours

48 hours

24 hours

48 hours

Disinvestment Notice Period

N/A

48 hours

N/A

Lock-in Period

N/A

No. of Funds in Composite

72 076

4 370

8 549

2 339

5 764

14 692

4 486

4 561

1 591

3 360

4 419

1 719

8 860

2 910

4 457

Portfolio Size (R m)

SECTION 3

SA Property Manager Watch™ Survey

105

106

1 Year

Benchmark

-27.00%

-25.26%

-25.54%

-27.35%

-25.26%

-27.35%

-27.00%

-23.25%

-22.82%

-24.00%

-17.48%

-25.16%

-19.38%

-23.36%

-23.22%

-27.42%

Statistics Highest Upper Quartile Median Average Lower Quartile Lowest Range Number of Participants

Market Statistics FTSE/JSE SA Listed Property Index FTSE/JSE All Property Index

-1.45%

0.74%

16.65% 0.72% 0.19% 1.18% -0.84% -1.53% 18.18%

-24.98%

11.97% -20.08% -23.02% -20.49% -23.84% -29.55% 41.52%

-1.19%

16.65%

-1.53%

-1.12%

-0.18%

2.20%

-1.38%

-0.08%

-0.45%

0.46%

-0.97%

9.47%

-1.96%

-2.11%

-1.19%

-2.12%

-1.31%

-1.19%

-1.96%

-1.83%

-1.19%

0.67%

1.00%

-1.19%

Benchmark

0.56%

3 Years (p.a.)

-25.26%

9.18%

-26.72%

-18.76%

0% – 74% Listed Property Futuregrowth Community 11.97% Property Fund

Index Funds Coronation Property Equity Investec Property Equity Fund Momentum Investments Diversified Property Momentum Investments Property OMIG Quoted Property Portfolio Prudential Enhanced SA Property Tracker Fund Sesfikile Property Composite SIM Property Fund Stanlib MM Property Stanlib Property Income Fund

Specialist Property 75% – 100% Listed Property Absa Asset Management -29.55% -25.26% Domestic Property Alexander Forbes Investments -22.17% -25.26% Property Fund Catalyst FM Composite SA -22.25% -25.87% Listed Property

Investment Managers

15.24% 8.78% 7.76% 8.50% 6.80% 6.06% 9.18%

5.70%

15.24%

6.06%

6.75%

6.48%

9.65%

6.20%

7.92%

6.94%

8.42%

7.30%

7.60%

8.90%

8.06%

13.54%

5 Years (p.a.)

Investment Data to the end of December 2018

9.60%

5.21%

5.11%

5.70%

5.10%

5.62%

5.70%

5.21%

5.29%

5.53%

5.70%

Benchmark

16.12% 13.11% 11.73% 12.26% 11.06% 10.31% 5.81%

9.96%

13.94%

10.48%

10.31%

13.69%

10.44%

11.73%

11.67%

12.38%

12.52%

11.64%

16.12%

7 Years (p.a.)

9.53%

9.59%

9.96%

9.51%

9.90%

9.96%

9.59%

9.65%

9.83%

9.96%

Benchmark

14.06% 13.57% 12.96% 13.01% 12.58% 11.79% 2.28%

12.09%

12.17%

12.98%

11.79%

12.72%

12.94%

14.06%

13.94%

13.44%

9.46%

11.82%

11.59%

12.05%

11.82%

11.87%

12.00%

12.09%

29.20% 18.69% 17.27% 17.87% 15.39% 14.05%

29.20%

14.05%

16.39%

14.69%

16.01%

19.98%

15.29%

15.09%

19.87%

18.72%

18.44%

15.71%

18.59%

18.15%

29.20%

8.63%

17.15%

17.17%

17.15%

10 Years Benchmark Portfolio Benchmark (p.a.)

24.31% 11.58% 10.78% 11.04% 9.65% 5.04%

24.31%

13.02%

9.79%

11.88%

10.37%

11.17%

5.04%

8.30%

10.67%

6.83%

9.60%

10.89%

10.96%

11.72%

10.61%

10.20%

Portfolio Benchmark

Calendar Year Returns 2017 2016 2015

30.40% 14.74% 13.07% 13.92% 11.06% 7.88%

30.40%

17.44%

9.33%

12.10%

7.88%

14.87%

10.81%

14.04%

11.79%

14.35%

14.04%

10.11%

15.91%

11.83%

30.40%

8.77%

7.99%

Portfolio Benchmark

2014

42.30% 29.20% 28.49% 27.88% 27.24% 9.00%

42.30%

9.00%

28.55%

27.94%

27.53%

29.22%

27.11%

28.65%

26.79%

29.22%

28.43%

27.14%

29.27%

29.15%

42.30%

10.81%

26.64%

Portfolio Benchmark

2013

13.22% 11.01% 9.86% 10.41% 9.69% 8.42%

13.22%

10.39%

9.63%

9.29%

9.83%

13.22%

10.03%

9.69%

11.01%

9.86%

12.87%

9.80%

8.42%

11.27%

9.01%

8.39%

Portfolio Benchmark

MANAGER WATCH™ SURVEY

SA Property Manager Watch™ Survey

-0.45%

-0.08%

-1.38%

2.20%

-0.18%

-1.12%

-1.53%

Momentum Investments Property

OMIG Quoted Property Portfolio

Prudential Enhanced SA Property Tracker Fund

Sesfikile Property Composite

SIM Property Fund

Stanlib MM Property

Stanlib Property Income Fund

0.19%

1.18%

-0.84%

-1.53%

Median

Average

Lower Quartile

Lowest

0.72%

Upper Quartile

Number of participants

16.65%

Highest

Statistics

Futuregrowth Community Property Fund

16.65%

0.46%

Momentum Investments Diversified Property

0% – 74% Listed Property

1.00%

-0.97%

0.74%

Catalyst FM Composite SA Listed Property Index Funds

Investec Property Equity Fund

0.67%

Coronation Property Equity

0.56%

Alexander Forbes Investments Property Fund

3 Year Return

Rank

7.36%

11.93%

12.80%

12.94%

13.32%

19.01%

7.36%

15.14%

11.92%

13.23%

11.95%

13.13%

10.70%

13.76%

13.35%

12.11%

11.68%

13.04%

12.84%

19.01%

Volatility (Risk)

Rank

Calculated on 3 Year Performance Returns

Absa Asset Management Domestic Property

75% – 100% Listed Property

Specialist Property

Investment Managers

-0.07%

0.99%

1.93%

1.38%

2.11%

7.18%

0.43%

0.99%

1.01%

4.32%

-0.07%

1.11%

0.74%

1.65%

0.99%

2.83%

2.19%

1.86%

1.74%

Active Return

Investment Data to the end of December 2018 Volatility vs Return

Rank

140

1.00%

1.50%

3.49%

3.21%

4.19%

8.85%

7.58%

3.12%

3.01%

1.55%

3.56%

1.27%

4.94%

1.39%

1.00%

3.48%

3.29%

1.48%

4.40%

8.85%

Tracking Error

14.

-0.06

0.24

0.63

0.48

0.93

1.66

0.95

0.14

0.33

0.65

1.21

-0.06

0.22

0.53

1.66

0.28

0.86

1.48

0.42

0.20

Information Ratio

Rank

6.06%

6.80%

8.50%

7.76%

8.78%

15.24%

6.06%

6.75%

6.48%

9.65%

6.20%

7.92%

6.94%

8.42%

7.30%

7.60%

8.90%

8.06%

13.54%

5 Year Return

Rank

6.54%

12.14%

12.42%

12.77%

12.94%

16.93%

6.54%

14.06%

12.14%

12.95%

12.15%

13.00%

11.05%

12.92%

12.85%

12.27%

11.51%

12.78%

12.76%

16.93%

Volatility (Risk)

Rank

Calculated on 5 Year Performance Returns

0.58%

1.34%

2.73%

2.26%

3.21%

7.84%

5.64%

0.85%

1.65%

0.77%

4.54%

0.58%

2.21%

1.23%

2.72%

2.09%

2.31%

3.37%

2.36%

7.84%

Active Return

Rank

1.25%

1.85%

3.26%

2.78%

3.92%

7.87%

6.92%

2.62%

2.67%

1.46%

2.95%

1.25%

4.24%

2.37%

1.51%

2.92%

2.89%

1.68%

4.29%

7.87%

Tracking Error

0.33

0.52

0.87

0.67

0.95

2.01

0.81

0.33

0.62

0.53

1.54

0.46

0.52

1.80

0.72

0.80

2.01

0.55

1.00

Information Ratio

Rank

SECTION 3

SA Property Manager Watch™ Survey Risk

107

108

Portfolio

1 Year

Benchmark

Active Return

Rank

Portfolio

3 Years Benchmark

Active Return Rank Portfolio

5 Years Benchmark

Active Return Rank Portfolio

7 Years

5.47% 5.47% 5.47%

5.18%

6.43%

4.78%

3.69% 11.07% 7.39%

-5.79%

4.67%

4.11%

3.79%

7.52%

5.88%

6.53%

4.33%

8.21%

2.42%

-9.14%

-8.53%

10.18%

1.04%

-6.85%

-9.10%

-15.08%

1.19%

-4.71%

-4.14%

-11.67% 7.69% 7.25%

9.37%

11.46%

-3.61%

10.79%

8.18%

6.37%

0.27%

9.18%

0.47%

3.94%

8.21%

4.07%

* Inflation figures in this table are lagged by one month.

Market Data FTSE / JSE All Share Index (Free Float) FTSE / JSE SWIX All Share Index All Bond Short Term Fixed Interest Rate Index Combination of old CPIX and new CPI* Consumer Price Inflation (Old/New combined CPI)* Consumer Price Inflation (Headline CPI) [I-Net code: AECPI]

Alexander Forbes Investments Stable Focus Momentum Investments Absolute Strategies Momentum Investments Real Return Old Mutual Multi Managers Absolute Balanced Fund Old Mutual Multi Managers Absolute Defensive Fund SMM Moderate Absolute Fund STANLIB Multi-Manager Real Return Fund Medical Aid Mandates Alexander Forbes Investments Medical Schemes Real Return Focus 8.48%

10.84%

10.98%

9.42%

11.41%

8.47%

9.47%

8.48%

-2.05%

-4.95%

-6.31%

-5.31%

-7.61%

2.06%

0.41%

-1.95%

5.39%

5.92% 7.71% 6.91%

5.77%

6.52%

6.87%

6.36%

7.28%

6.19%

6.61%

8.79%

9.40%

11.55%

8.39%

9.39%

8.78%

-2.26%

-2.54%

-5.19%

1.89%

0.79%

-2.18%

5.42%

11.01% 7.81% 6.47%

10.69%

7.52%

9.46%

9.82%

8.01%

6.74%

7.78%

Equity Mandates Benchmark Cognisant Alexander Forbes Investments -12.28% -10.93% -1.34% 5 1.74% 2.93% -1.18% 4 3.31% 5.45% -2.14% 3 8.61% Pure Equity Local Momentum Investments -9.55% -10.93% 1.38% 2 4.18% 4.35% -0.17% 2 5.43% 6.32% -0.89% 1 10.86% Classic Equity Momentum Investments Target Equity -11.50% -10.90% -0.60% 4 4.34% 4.36% -0.02% 1 * * * * STANLIB Multi-Manager SA -8.53% -10.94% 2.40% 1 2.73% 3.26% -0.53% 3 3.99% 5.66% -1.67% 2 8.98% Equity Fund Sygnia Core Equity Fund -12.06% -11.67% -0.40% 3 1.42% 3.69% -2.27% 5 * * * * Non Benchmark Cognisant Sygnia Absolute Focus Equity Fund -8.70% -11.67% 2.97% 1.77% 3.69% -1.93% 6.67% 5.92% 0.75% * Bond Mandates Alexander Forbes Investments Pure 8.73% 7.74% 0.99% 2 12.16% 11.07% 1.09% 2 8.84% 7.71% 1.12% 1 8.89% Fixed Interest Local Momentum Investments Moderate 8.12% 7.69% 0.44% 3 11.56% 11.07% 0.49% 3 8.11% 7.71% 0.40% 2 8.31% Bond FOF STANLIB Multi-Manager Bond 9.15% 7.69% 1.46% 1 12.21% 11.07% 1.14% 1 * * * * Money Market Mandates Alexander Forbes Investments Banker 8.80% 6.61% 2.19% 1 8.86% 6.77% 2.09% 2 8.14% 6.30% 1.84% 1 7.67% Momentum Investments Diversified 9.10% 7.25% 1.85% 2 9.03% 7.39% 1.63% 3 8.15% 6.91% 1.24% 2 7.62% Money Market Old Mutual Multi-Managers Money 8.00% 6.99% 1.00% 5 8.07% 7.06% 1.01% 5 7.43% 6.63% 0.80% 4 7.04% Market STANLIB MM Enhanced Yield 8.90% 7.25% 1.65% 3 9.05% 6.12% 2.93% 1 * * * * Sygnia Money Market Fund 8.52% 7.25% 1.27% 4 8.59% 7.39% 1.20% 4 7.79% 6.91% 0.89% 3 * Absolute Return Mandates Alexander Forbes Investments Real 1.28% 9.21% -7.93% 6 6.86% 9.48% -2.62% 4 6.81% 9.79% -2.97% 6 8.35% Return Focus Local Alexander Forbes Investments Real 3.29% 9.21% -5.92% 4 6.13% 9.48% -3.35% 5 7.28% 9.79% -2.50% 4 9.19% Return Focus Portfolio

Investment Managers

Investment Data to the end of December 2018 – Performance Data

* -1.83% * * 1.07% 0.50% * 1.76% 1.16% 0.78% * * -1.68% -0.84%

* 10.81% * * 7.81% 7.81% * 5.91% 6.47% 6.27% * * 10.02% 10.03%

8.98%

9.74%

11.90%

8.42%

9.42%

-1.46%

-0.28%

-2.08%

2.59%

1.33%

-1.20%

-0.45%

11.31%

8.98%

-2.05%

Active Return

10.66%

Benchmark

5.34%

5.24%

5.27%

13.02% 7.68% 6.70%

12.62%

8.62%

9.66%

10.78%

7.92%

7.00%

9.51%

* *

7.36%

7.83%

8.50%

8.72%

12.84%

11.33%

Rank Portfolio

10 Years

9.11%

10.75%

12.12%

8.24%

9.24%

10.34%

* *

6.56%

6.12%

7.68%

13.24%

12.77%

Benchmark

-0.49%

-1.09%

-1.34%

2.68%

1.76%

-0.83%

* *

0.80%

1.71%

0.82%

1.04%

-0.39%

-1.44%

Active Return

343

1,181

561

911

244

587

1,162

3,567

4,526

7,061

1,782 1,977

893

276

18,298

3,850

122

4,023

3,915

4,068

9,460

428

13,176

16,722

Portfolio Rank Size (R M)

MANAGER WATCH™ SURVEY

Multi-Manager Watch™ Survey (Specialist Mandates)

Portfolio

Benchmark

Calendar Year 2017

Active Return

Rank

Benchmark

Calendar Year 2016 Portfolio

Active Return Rank

Benchmark

Calendar Year 2015 Portfolio

Active Return

2.63% 4.13% 15.45% 7.39% 6.61% 6.61% 6.61%

20.95% 21.21% 10.22% 7.54% 4.62%

4.62%

* Inflation figures in this table are lagged by one month.

4.77%

5.13% 3.62% -3.93% 6.47% 4.77%

10.81% 10.81% 9.81% 5.80% 5.80% 11.63% 9.82% * * 9.81%

10.33% 10.01% 8.98% 8.41% 8.51% 9.03% 10.14% * * 9.26%

5.80%

10.88% 15.42% 10.15% 5.91% 5.80%

5.91% * 5.90%

6.22% * 6.01%

10.15% *

10.22% * 5.42%

10.15%

11.08%

5.91%

15.42%

17.35%

6.74%

15.42% * 15.42% *

12.34% * 11.70% *

6.33%

15.42%

10.52%

Benchmark

Calendar Year 2014 Rank Portfolio

Equity Mandates Benchmark Cognisant Alexander Forbes Investments 15.21% 17.57% -2.36% 2 4.20% 4.13% 0.07% 3 1.11% 3.62% -2.51% 3 Pure Equity Local Momentum Investments Classic Equity 18.06% 22.51% -4.45% 3 5.89% 4.13% 1.76% 1 2.58% 3.62% -1.04% 2 Momentum Investments Target Equity 22.67% 22.51% 0.16% 1 4.63% 4.13% 0.50% 2 * * * STANLIB Multi-Manager SA Equity Fund 14.14% 18.71% -4.57% 4 3.85% 4.13% -0.28% 4 0.40% 3.62% -3.22% 4 Sygnia Core Equity Fund 16.51% 21.21% -4.70% 5 1.82% 4.13% -2.31% 5 3.42% 3.62% -0.20% 1 Non Benchmark Cognisant Sygnia Absolute Focus Equity Fund 12.80% 21.21% -8.42% 2.34% 4.13% -1.79% 11.68% 3.62% 8.06% Bond Mandates Alexander Forbes Investments Pure Fixed 11.35% 10.19% 1.16% 1 16.53% 15.42% 1.11% 1 -2.56% -3.93% 1.37% 1 Interest Local Momentum Investments Moderate Bond FOF 10.68% 10.22% 0.46% 3 16.02% 15.45% 0.57% 3 -3.48% -3.93% 0.45% 2 STANLIB Multi-Manager Bond 11.36% 10.22% 1.15% 2 16.24% 15.45% 0.78% 2 * * * Money Market Mandates Alexander Forbes Investments Banker 8.81% 6.86% 1.95% 1 8.97% 6.82% 2.15% 2 7.38% 5.79% 1.58% 1 Momentum Investments Diversified 9.24% 7.54% 1.71% 3 8.74% 7.39% 1.34% 3 7.38% 6.47% 0.92% 2 Money Market Old Mutual Multi-Managers Money Market 8.21% 7.16% 1.05% 5 8.01% 7.02% 0.98% 5 6.73% 6.06% 0.66% 4 STANLIB MM Enhanced Yield 9.28% 7.51% 1.77% 2 8.96% 3.64% 5.32% 1 6.99% 6.43% 0.57% 5 Sygnia Money Market Fund 8.85% 7.54% 1.31% 4 8.40% 7.39% 1.01% 4 7.21% 6.46% 0.75% 3 Absolute Return Mandates Alexander Forbes Investments 11.85% 8.62% 3.23% 3 7.70% 10.61% -2.91% 3 3.28% 9.69% -6.41% 7 Real Return Focus Local Alexander Forbes Investments 10.05% 8.62% 1.43% 5 5.16% 10.61% -5.45% 5 8.06% 9.69% -1.63% 5 Real Return Focus Portfolio Alexander Forbes Investments Stable Focus 9.19% 7.62% 1.57% 4 6.38% 9.61% -3.23% 4 4.53% 8.69% -4.16% 6 Momentum Investments Absolute Strategies 9.84% 4.62% 5.22% 1 7.56% 6.61% 0.95% 1 4.91% 4.77% 0.14% 3 Momentum Investments Real Return 9.25% 4.62% 4.63% 2 6.97% 6.61% 0.36% 2 5.34% 4.77% 0.57% 2 Old Mutual Multi Managers Absolute 11.16% 10.34% 0.82% 6 4.37% 12.43% -8.06% 8 11.62% 11.91% -0.29% 4 Balanced Fund Old Mutual Multi Managers Absolute 8.25% 8.42% -0.17% 8 3.96% 10.49% -6.53% 7 12.15% 8.93% 3.22% 1 Defensive Fund SMM Moderate Absolute Fund 7.99% 10.58% -2.59% 9 2.15% 11.57% -9.41% 9 * * * STANLIB Multi-Manager Real Return Fund 10.35% 9.61% 0.75% 7 3.18% 9.40% -6.22% 6 * * * Medical Aid Mandates Alexander Forbes Investments Medical 9.26% 7.62% 1.64% 7.73% 9.61% -1.88% 4.12% 8.69% -4.57% Schemes Real Return Focus

Investment Managers

Investment Data to the end of December for the past 5 Calendar years

-0.54%

* *

0.32%

-2.60%

-0.83% 2.60% 2.71%

-0.80%

-0.48%

0.31% * 0.10%

0.42%

1.32%

0.08% *

0.93%

1.92%

-3.08% * -3.72% *

-4.90%

Active Return

6 2 1

Rank

5.35%

21.43% 20.71% 0.64% 5.19% 5.35%

9.93%

* *

17.39%

19.84%

8.94% 6.88% 10.53%

14.72%

10.90%

5.92% * *

6.25%

6.46%

1.63% *

2.40%

25.37% * 23.00% *

22.98%

9.36%

* *

10.11%

12.42%

9.35% 5.35% 5.35%

10.43%

10.38%

5.20% * *

5.19%

4.78%

0.64% *

0.64%

20.71% * 20.71% *

20.71%

Benchmark

Calendar Year 2013 Portfolio

0.57%

* *

7.29%

7.42%

-0.42% 1.53% 5.18%

4.30%

0.52%

0.73% * *

1.06%

1.68%

0.99% *

1.77%

4.66% * 2.29% *

2.27%

Active Return

7 5 3

Rank

SECTION 3

Multi-Manager Watchâ&#x201E;˘ Survey (Specialist Mandates)

109

MANAGER WATCH™ SURVEY

Multi-Manager Watch™ Survey Risk (Specialist Mandates) Investment Data to the end of December 2018 – Volatility vs Return Investment Managers

3 Year Return (p.a.)

Rank

Risk (Volatility)

Rank

Active Return

Rank

Tracking Error

Information Ratio

Rank

Benchmark Cognisant Alexander Forbes Investments Pure Equity Local

1.74%

9.97%

-1.18%

2.01%

-0.59

Momentum Investments Classic Equity

4.18%

10.52%

-0.17%

2.14%

-0.08

Momentum Investments Target Equity

4.34%

11.10%

-0.02%

1.79%

-0.01

STANLIB Multi-Manager SA Equity Fund

2.73%

10.34%

-0.53%

3.15%

-0.17

Sygnia Core Equity Fund

1.42%

10.95%

-2.27%

1.15%

-1.97

3.25%

-0.59

Non Benchmark Cognisant Sygnia Absolute Focus Equity Fund

1.77%

11.17%

-1.93%

Bond Mandates Alexander Forbes Investments Pure Fixed Interest Local

12.16%

6.46%

1.09%

0.84%

1.30

Momentum Investments Moderate Bond FOF

11.56%

7.06%

0.49%

0.56%

0.87

STANLIB Multi-Manager Bond

12.21%

6.76%

1.14%

0.90%

1.26

Alexander Forbes Investments Banker

8.86%

0.20%

2.09%

0.14%

15.41

Momentum Investments Diversified Money Market

9.03%

0.21%

1.63%

0.18%

9.23

Old Mutual Multi-Managers Money Market

8.07%

0.15%

1.01%

0.11%

9.39

STANLIB MM Enhanced Yield

9.05%

0.22%

2.93%

1.98%

1.48

Sygnia Money Market Fund

8.59%

0.17%

1.20%

0.13%

9.13

Alexander Forbes Investments Real Return Focus Local

6.86%

3.69%

-2.62%

3.61%

-0.73

Alexander Forbes Investments Real Return Focus Portfolio

6.13%

4.14%

-3.35%

3.83%

-0.87

Alexander Forbes Investments Stable Focus

6.53%

2.34%

-1.95%

2.38%

-0.82

Momentum Investments Absolute Strategies

5.88%

4.09%

0.41%

4.08%

0.10

Momentum Investments Real Return

7.52%

2.40%

2.06%

2.55%

0.81

Old Mutual Multi Managers Absolute Balanced Fund

3.79%

6.70%

-7.61%

6.41%

-1.19

Old Mutual Multi Managers Absolute Defensive Fund

4.11%

5.55%

-5.31%

5.25%

-1.01

SMM Moderate Absolute Fund

4.67%

5.06%

-6.31%

5.30%

-1.19

STANLIB Multi-Manager Real Return Fund

4.78%

6.49%

-4.95%

6.22%

-0.80

2.82%

-0.73

Money Market Mandates

Absolute Return Mandates

Medical Aid Mandates Alexander Forbes Investments Medical Schemes Real Return Focus

6.43%

2.84%

Market Indices & Statistics FTSE / JSE All Share Index (Free Float)

4.33%

11.47%

FTSE / JSE SWIX All Share Index

3.69%

11.51%

All Bond

11.07%

7.19%

Short Term Fixed Interest Rate Index

7.39%

0.08%

Consumer Price Inflation (Ex. Mortgage Interest)

5.47%

1.11%

Consumer Price Inflation (Headline)

5.47%

1.11%

110

-2.05%

SECTION 3

Multi-Manager Watch™ Survey (Balanced Mandates) Fixed Asset Allocation: Managers included in the survey typically make use of fixed asset allocations, which means that they balance the asset allocation back to the strategic long-term asset allocation target (from time to time, according to predefined strategies) with no intention to enhance returns from an asset allocation point of view. However, while some of these managers adhere rigidly to these fixed asset allocations, others may allow these allocations to drift slightly within certain margins. Strategic Asset Allocation: Although managers included in the survey may have long-term strategic asset allocation targets, they actively manage the asset allocation in an attempt to enhance returns. The different categories above (Low Volatility, Best Investment View and Dynamic) represent the different risk profiles of the funds. The Low Volatility category represents the manager’s most conservatively managed portfolio while the Dynamic category represents the manager’s most aggressively managed portfolio, according to the manager’s discretion.

Investment Data to the end of December 2018 – Performance Data 1 Year Investment Managers

Portfolio

3 Years Benchmark

Active Return

Rank

5 Years

Portfolio

Benchmark

Active Return

Rank

Portfolio

Benchmark

Active Return

Rank

Fixed Asset Allocation Equity Band: 15% – 34% (Local & International Equity) Alexander Forbes Investments Low Equity 1.49% Momentum Investments Enhanced Factor 3 0.32% Equity Band: 35% – 44% (Local & International Equity) 27four CPI+3% Fund -0.40% Alexander Forbes Investments 37.5% Equity -0.51% Momentum Investments Enhanced Factor 4 -0.53% Old Mutual Multi-Managers Inflation 0.95% Plus 1-3% Sygnia Signature 40 Fund 2.54% Equity Band: 45% – 54% (Local & International Equity) 27four CPI+5% Fund -2.42% Alexander Forbes Investments Medium Equity -1.76% Momentum Investments Classic Factor 5 -3.10% Momentum Investments Enhanced Factor 5

-2.94%

0.65% -0.60%

0.84% 0.92%

2 1

5.95% 4.97%

5.18% 5.37%

0.77% -0.40%

1 2

6.78% 6.62%

6.44% 6.82%

0.34% -0.20%

1 2

-0.07% -0.67% -1.83%

-0.33% 0.17% 1.29%

4 3 1

3.76% 5.06% 5.09%

5.42% 4.70% 5.30%

-1.65% 0.36% -0.21%

5 1 2

7.20% 6.49% 6.97%

7.19% 6.57% 7.07%

0.00% -0.07% -0.10%

3 4 5

7.28%

-6.33%

5.78%

6.43%

-0.65%

7.63%

5.97%

1.67%

2.27%

0.27%

5.18%

6.69%

-1.51%

8.38%

7.93%

0.45%

-2.20% -1.77% -4.35%

-0.22% 0.01% 1.25%

5 4 2

2.83% 4.31% *

4.71% 4.18% *

-1.87% 0.13% *

5 1

6.94% 6.15% *

7.04% 6.63% *

-0.10% -0.49% *

3 5

-4.31%

1.37%

4.65%

4.60%

0.05%

7.07%

7.20%

-0.12%

Old Mutual Multi-Managers Inflation -4.05% 9.37% -13.42% 7 4.60% 7.41% -2.80% 6 7.46% 6.55% 0.91% 1 Plus 3-5% SMM 50 -1.59% -1.03% -0.57% 6 5.42% 5.74% -0.32% 3 6.49% 7.15% -0.67% 6 Sygnia Signature 50 Fund 0.71% 0.35% 0.36% 3 4.48% 6.07% -1.60% 4 8.13% 7.76% 0.36% 2 Equity Band: 55% – 69% (Local & International Equity) 27Four CPI +7% Fund -4.12% -3.76% -0.36% 4 1.84% 4.20% -2.35% 6 6.71% 7.10% -0.39% 4 Alexander Forbes Investments 62.5% Equity -2.97% -2.52% -0.45% 6 3.59% 3.69% -0.10% 3 5.98% 6.75% -0.77% 5 Momentum Investments Classic Factor 6 -4.54% -6.22% 1.67% 2 4.51% 3.92% 0.59% 1 7.20% 7.34% -0.13% 2 Momentum Investments Enhanced Factor 6 -4.15% -6.21% 2.05% 1 4.30% 3.92% 0.38% 2 7.07% 7.34% -0.27% 3 Old Mutual Multi-Managers Inflation -6.50% 11.46% -17.97% 7 3.48% 12.23% -8.75% 7 6.96% 10.88% -3.92% 7 Plus 5-7% SMM 60 -3.13% -2.71% -0.42% 5 4.97% 5.62% -0.66% 4 6.12% 7.17% -1.04% 6 Sygnia Signature 60 Fund -0.82% -1.03% 0.21% 3 3.86% 5.47% -1.61% 5 8.00% 7.79% 0.21% 1 Equity Band: 70% – 75% (Local & International Equity) Alexander Forbes Investments High Equity -4.00% -3.65% -0.35% 6 3.44% 3.53% -0.10% 4 5.94% 6.78% -0.84% 4 Momentum Investments Classic Factor 7 -6.05% -7.82% 1.77% 2 4.44% 3.57% 0.87% 1 7.23% 7.24% -0.01% 2 Momentum Investments Enhanced Factor 7 -5.73% -7.81% 2.08% 1 4.06% 3.57% 0.49% 2 7.02% 7.25% -0.23% 3 Momentum Investments Target Factor 7 -7.06% -7.81% 0.75% 3 3.93% 3.57% 0.36% 3 * * * SMM 70 -4.58% -4.44% -0.14% 5 4.43% 5.11% -0.68% 5 5.93% 7.07% -1.14% 5 Sygnia Signature 70 Fund -2.68% -2.91% 0.23% 4 3.00% 4.87% -1.87% 6 7.82% 7.61% 0.21% 1 Strategic Asset Allocation Low Volatility Alexander Forbes Investments (Conserver) 4.45% 2.22% 2.23% 1 6.64% 5.80% 0.84% 1 6.90% 7.05% -0.14% 1 Nedgroup Investments XS Guarded Fund 6.26% 8.63% -2.37% 2 7.91% 8.56% -0.64% 2 4.25% 8.34% -4.09% 2 of Funds STANLIB Multi-Manager Defensive Balanced 1.86% 8.16% -6.30% 3 4.97% 8.52% -3.56% 3 * * * Fund Best Investment View Alexander Forbes Investments (Performer) -0.71% -1.95% 1.23% 3 5.30% 4.17% 1.13% 1 7.57% 6.51% 1.06% 1 Alexander Forbes Investments (Spectrum) -2.15% -2.08% -0.07% 5 4.56% 4.15% 0.41% 2 6.21% 5.85% 0.36% 2 Momentum Investments Flexible Factor 6

-3.27%

-6.21%

2.93%

3.63%

3.92%

-0.29%

6.97%

7.34%

-0.37%

Momentum Investments Flexible Factor 7 Nedgroup Investments XS Diversified Fund of Funds Old Mutual Multi Managers Managed STANLIB Multi Manager Balanced Fund

-2.75%

-7.81%

5.06%

3.68%

3.57%

0.10%

6.82%

7.25%

-0.42%

-1.20%

10.44%

-11.64%

4.35%

10.74%

-6.39%

6.54%

10.66%

-4.12%

-3.01% -1.21%

-1.95% -2.32%

-1.06% 1.11%

6 4

4.33% 4.44%

4.12% 4.21%

0.21% 0.23%

4 3

6.44% *

6.56% *

-0.12% *

111

MANAGER WATCH™ SURVEY

Investment Data to the end of December 2018 – Performance Data 7 Years Investment Managers

Portfolio

10 Years Benchmark

Active Return

Rank

Portfolio

Benchmark

Active Return

Rank

Portfolio Size (R M)

Equity Allocation

Fixed Asset Allocation Domestic

International

Equity Band: 15% – 34% (Local & International Equity) Alexander Forbes Investments Low Equity

8.77%

8.40%

0.37%

9.15%

8.46%

0.69%

Momentum Investments Enhanced Factor 3

7.97%

8.49%

-0.53%

16.73%

6.14%

3 616

18.32%

9.65%

660

30.80%

14.99%

190

24.82%

8.96%

434

28.98%

11.49%

Equity Band: 35% – 44% (Local & International Equity) 27four CPI+3% Fund

Alexander Forbes Investments 37.5% Equity

9.17%

9.24%

-0.06%

9.76%

9.44%

0.32%

Momentum Investments Enhanced Factor 4

8.77%

9.10%

-0.34%

Old Mutual Multi-Managers Inflation Plus 1-3%

431

9.53%

16.59%

Sygnia Signature 40 Fund

1 817

23.69%

15.92%

1 260

41.63%

14.26%

28.16%

14.42%

Equity Band: 45% - 54% (Local & International Equity) 27four CPI+5% Fund Alexander Forbes Investments Medium Equity Momentum Investments Classic Factor 5 Momentum Investments Enhanced Factor 5 Old Mutual Multi-Managers Inflation Plus 3-5%

9.58%

10.01%

-0.43%

9.56%

9.82%

-0.26%

10.41%

10.53%

-0.12%

300

41.73%

15.14%

1 663

39.44%

14.51%

4 381

37.80%

22.74%

419

38.76%

16.03%

1 511

31.57%

18.25%

1 047

52.65%

16.78%

33.42%

18.38%

526

45.95%

22.42%

SMM 50

9.57%

9.88%

-0.31%

10.34%

10.39%

-0.04%

Sygnia Signature 50 Fund

11.65%

10.43%

1.22%

Equity Band: 55% – 69% (Local & International Equity) 27Four CPI +7% Fund

Alexander Forbes Investments 62.5% Equity

9.94%

10.66%

-0.72%

10.94%

11.32%

-0.38%

Momentum Investments Classic Factor 6

11.35%

11.30%

0.05%

Momentum Investments Enhanced Factor 6

11.07%

11.30%

-0.23%

11.89%

11.82%

0.07%

9.47%

10.44%

-0.97%

10.66%

11.05%

-0.40%

Alexander Forbes Investments High Equity

10.28%

11.15%

-0.87%

11.49%

12.03%

-0.54%

Momentum Investments Classic Factor 7

11.97%

11.70%

0.27%

Momentum Investments Enhanced Factor 7

11.70%

-0.01%

12.52%

12.39%

0.13%

SMM 70

10.22%

10.83%

-0.62%

11.23%

11.54%

-0.31%

Sygnia Signature 70 Fund

12.23%

11.44%

0.79%

Alexander Forbes Investments (Conserver)

9.05%

9.29%

-0.24%

9.80%

9.60%

0.20%

3 785

22.40%

7.24%

Nedgroup Investments XS Guarded Fund of Funds

10.00%

8.59%

1.41%

1 161

25.21%

12.08%

2 277

17.50%

16.45%

Alexander Forbes Investments (Performer)

11.81%

10.65%

1.16%

12.82%

11.83%

0.99%

113 877

41.00%

21.10%

Alexander Forbes Investments (Spectrum)

10.40%

10.12%

0.28%

11.68%

11.43%

0.25%

1 047

43.77%

21.52%

Momentum Investments Flexible Factor 6

10.29%

11.30%

-1.01%

638

Momentum Investments Flexible Factor 7

2 066

Nedgroup Investments XS Diversified Fund of Funds

4 419

54.29%

16.93%

Old Mutual Multi Managers Managed

2 539

44.04%

25.47%

STANLIB Multi Manager Balanced Fund

5 995

48.47%

20.14%

Old Mutual Multi-Managers Inflation Plus 5-7% SMM 60 Sygnia Signature 60 Fund

2 1 3

4 778

45.69%

22.34%

10 587

48.95%

25.47%

451

45.00%

16.29%

2 418

39.84%

20.01%

Equity Band: 70% – 75% (Local & International Equity)

Momentum Investments Target Factor 7

3 1 2

397

38.43%

24.16%

2 848

49.55%

24.62%

17 613

48.64%

23.87%

420

49.65%

23.80%

739

50.23%

18.88%

11 456

46.59%

22.95%

Strategic Asset Allocation Low Volatility

STANLIB Multi-Manager Defensive Balanced Fund

Best Investment View

* Data not available.

112

Calendar Year 2017

Portfolio Benchmark

Best Investment View Alexander Forbes Investments (Performer) Alexander Forbes Investments (Spectrum) Momentum Investments Flexible Factor 6 Momentum Investments Flexible Factor 7 Nedgroup Investments XS Diversified Fund of Funds Old Mutual Multi Managers Managed STANLIB Multi Manager Balanced Fund

Strategic Asset Allocation Low Volatility Alexander Forbes Investments (Conserver) Nedgroup Investments XS Guarded Fund of Funds STANLIB Multi-Manager Defensive Balanced Fund

7.76%

7.62%

8.13%

9.41%

-0.18%

9.85%

11.53% 11.99%

9.67%

12.56% 11.70%

1.03% -0.29%

0.63% 0.58% -4.42% -5.61%

1.79%

0.38%

-0.02%

11.30% 11.22% 15.89% 17.02%

11.93% 11.81% 11.47% 11.41%

10.29%

10.26%

-0.34% -1.27% -2.03% 0.09% -1.92% -2.47%

Equity Band: 70% - 75% (Local & International Equity) Alexander Forbes Investments High Equity 12.70% 13.04% Momentum Investments Classic Factor 7 15.75% 17.02% Momentum Investments Enhanced Factor 7 14.99% 17.02% 17.11% 17.02% Momentum Investments Target Factor 7 SMM 70 14.12% 16.04% Sygnia Signature 70 Fund 12.59% 15.06%

1 5

2 3 6 7

2 3 5 1 4 6

4.03% 3.24%

4.87%

5.05% 4.48% 3.22% 2.86%

3.77%

6.43%

5.31%

2.29% 4.76% 3.96% 3.14% 4.58% -0.27%

5.51% 0.89%

2.77%

4 5

-2.23% 1

4.15%

7 2 3

0.14% 2.38% 4.49%

5.70% 1.44%

3.86%

5.19%

3.97%

1.43%

2.26%

5.31%

5.79%

5.37%

2.72%

6.07%

6.55%

3.23% 3.46%

11.95%

3.58% 3.74% 3.25% 3.00%

9.79%

9.81%

5.06%

1.89% 3.00% 3.00% 3.00% 4.73% 3.25%

5.44% 4.07%

12.97%

3.25%

4.12% 2.24% 3.25%

5.35% 5.19%

6.76%

4.76%

3.56%

5.01%

6.09%

6.76%

6.00%

4.75%

6.02%

6.43%

5.71%

Benchmark

Calendar Year 2016 Portfolio

-2.88% 0.04% -1.46%

3.07%

3 4

-0.76% -1.44%

-1.71% -1.92%

5 1

8.73%

-1.90%

-0.95%

-0.02%

6.07%

-1.91%

5 1

-1.91%

4 2

0.30%

-1.36%

0.62%

Rank

-1.89%

Active Return

Equity Band: 55% - 69% (Local & International Equity) 27Four CPI +7% Fund 10.02% 12.89% Alexander Forbes Investments 62.5% Equity 11.91% 11.87% Momentum Investments Classic Factor 6 14.43% 15.89% Momentum Investments Enhanced 13.66% 15.89% Factor 6 Old Mutual Multi-Managers Inflation Plus 15.31% 12.24% 5-7% SMM 60 13.15% 14.87% Sygnia Signature 60 Fund 11.98% 13.90%

Equity Band: 45% - 54% (Local & International Equity) 27four CPI+5% Fund 9.86% 11.78% Alexander Forbes Investments Medium 11.12% 11.14% Equity Momentum Investments Enhanced 12.25% 14.16% Factor 5 Old Mutual Multi-Managers Inflation Plus 14.85% 6.12% 3-5% SMM 50 12.63% 13.39% Sygnia Signature 50 Fund 11.62% 13.06%

Equity Band: 35% – 44% (Local & International Equity) 27four CPI+3% Fund 9.21% 10.57% Alexander Forbes Investments 37.5% 10.60% 10.30% Equity Momentum Investments Enhanced 10.31% 12.21% Factor 4 Old Mutual Multi-Managers Inflation Plus 11.34% 5.27% 1-3% Sygnia Signature 40 Fund 10.98% 11.92%

Fixed Asset Allocation Equity Band: 15% - 34% (Local & International Equity) Alexander Forbes Investments Low Equity 9.99% 9.37% Momentum Investments Enhanced 8.70% 10.60% Factor 3

Investment Managers

Performance Data

Investment Data to the end of December for the past 5 Calendar years

0.80% -0.23%

-7.08%

1.47% 0.74% -0.03% -0.14%

-6.02%

-3.38%

0.25%

0.40% 1.76% 0.96% 0.14% -0.16% -3.52%

0.07% -3.19%

-10.20%

0.90%

-3.98% 0.15% 1.24%

0.36% -3.75%

-2.90%

0.43%

0.40%

-3.57%

-3.84%

-1.45%

-0.21%

0.62%

-3.30%

-0.36%

0.84%

Active Return

2 6

1 3 4 5

3 1 2 4 5 6

4 5

6 3 1

3 6

Rank

8.02% 10.55%

8.57%

10.64% 7.21% 11.19% 10.72%

9.55%

6.65%

8.56% 9.31% 9.72% * 4.81% 16.19%

4.65% 15.22%

11.28%

10.07%

14.35% 8.33% 9.89%

5.41% 14.96%

10.86%

9.69%

7.01%

12.64%

14.55%

8.57%

8.90%

6.71%

12.25%

8.38%

6.03%

9.03% 8.12%

10.00%

8.58% 6.76% 10.48% 10.24%

7.91%

7.17%

9.81% 10.24% 10.24% * 6.82% 9.94%

6.18% 9.64%

6.05%

10.48%

9.00% 9.70% 10.48%

6.62% 8.42%

5.23%

8.65%

8.10%

8.03%

7.95%

5.23%

7.12%

7.01%

7.64%

6.63%

5.98%

Benchmark

Calendar Year 2015 Portfolio

-1.01% 2.42%

-1.43%

2.06% 0.45% 0.70% 0.48%

1.65%

-0.52%

-1.25% -0.94% -0.53% * -2.01% 6.25%

-1.53% 5.58%

5.24%

-0.41%

5.34% -1.36% -0.60%

-1.21% 6.54%

5.63%

1.04%

-1.09%

4.61%

6.60%

3.34%

1.78%

-0.29%

4.60%

1.75%

0.05%

Active Return

6 1

2 5 3 4

5 1

4 3 2

7 1

2 6 5

6 1

Rank

11.36% *

11.29%

11.50% 10.27% 13.19% 12.73%

11.34%

7.93%

11.08% 13.87% 13.55% * 11.75% 14.78%

11.22% 13.80%

13.54%

12.65%

14.57% 11.03% 12.89%

10.88% 12.75%

12.91%

11.93%

10.96%

14.18%

12.18%

12.40%

10.79%

10.70%

12.87%

9.92%

10.09%

11.61% *

11.09%

11.68% 10.15% 14.91% 15.82%

8.98%

10.73%

13.92% 15.82% 15.82% * 13.43% 13.80%

12.97% 13.13%

11.81%

14.91%

14.28% 13.36% 14.91%

12.08% 12.32%

5.31%

13.84%

12.80%

13.31%

11.70%

5.31%

12.49%

11.92%

12.23%

11.46%

10.80%

Benchmark

Calendar Year 2014 Portfolio

-0.25% *

0.20%

-0.18% 0.11% -1.72% -3.09%

2.36%

-2.80%

-2.84% -1.95% -2.27% * -1.69% 0.98%

-1.75% 0.67%

1.73%

-2.26%

0.30% -2.33% -2.01%

-1.20% 0.43%

7.60%

-1.91%

-1.85%

0.88%

0.47%

7.09%

-1.70%

-1.21%

0.64%

-1.55%

-0.71%

Active Return

3 2 5 6

2 1

5 3 4

4 2

3 7 5

4 3

Rank

* *

25.53% 22.59% 20.87% 22.66%

17.37%

14.74%

23.53% 25.93% 25.63% * 22.95% 27.93%

18.15% 25.39%

29.54%

22.60%

24.44% 21.38% 23.31%

18.04% 23.40%

24.94%

14.97%

18.53%

20.35%

21.02%

20.13%

11.67%

15.07%

16.86%

9.20%

12.24%

* *

22.50% 22.72% 20.52% 22.53%

8.58%

13.49%

21.37% 22.53% 22.53% * 19.12% 20.86%

16.79% 19.15%

11.36%

20.52%

20.50% 19.38% 20.52%

14.95% 16.14%

5.40%

13.34%

16.51%

17.10%

13.94%

5.40%

10.92%

13.37%

13.89%

9.38%

10.41%

Benchmark

Calendar Year 2013 Portfolio

* *

3.02% -0.13% 0.35% 0.12%

8.79%

1.25%

2.16% 3.40% 3.09% * 3.83% 7.07%

1.36% 6.24%

1 4 2 3

2 1

5 3 4

7 2

2.08% 18.18%

3 6 4

4 2

Rank

3.94% 2.00% 2.79%

3.10% 7.26%

19.54%

1.63%

2.02%

3.25%

7.08%

14.73%

0.75%

1.70%

2.96%

-0.18%

1.84%

Active Return

SECTION 3

Multi-Manager Watch™ Survey (Balanced Mandates)

113

MANAGER WATCH™ SURVEY

Multi-Manager Watch™ Survey Risk (Balanced Mandates) Fixed Asset Allocation: Managers included in the survey typically make use of fixed asset allocations, which mean that they balance the asset allocation back to the strategic long-term asset allocation target (from time to time, according to predefined strategies) with no intention to enhance returns from an asset allocation point of view. However, while some of these managers adhere rigidly to these fixed asset allocations, others may allow these allocations to drift slightly within certain margins. Strategic Asset Allocation: Although managers included in the survey may have long-term strategic asset allocation targets, they actively manage the asset allocation in an attempt to enhance returns. The different categories above (Low Volatility, Best Investment View and Dynamic) represent the different risk profiles of the funds. The Low Volatility category represents the manager’s most conservatively managed portfolio while the Dynamic category represents the manager’s most aggressively managed portfolio, according to the manager’s discretion.

Investment Data to the end of December 2018 – Volatility vs Return Risk vs Return (Calculated on 3 Year Performance) Investment Managers

3 Year Return (p.a.)

Rank

Risk (Volatility)

Rank

Active Return

Rank

Tracking Error

Information Ratio

Rank

Fixed Asset Allocation Equity Band: 15% - 34% (Local & International Equity) Alexander Forbes Investments Low Equity

5.95%

3.14%

0.77%

0.80%

0.96

Momentum Investments Enhanced Factor 3

4.97%

3.83%

-0.40%

1.73%

-0.23

27four CPI+3% Fund

3.76%

4.73%

-1.65%

2.02%

-0.82

Alexander Forbes Investments 37.5% Equity

5.06%

4.33%

0.36%

0.94%

0.38

Momentum Investments Enhanced Factor 4

5.09%

4.91%

-0.21%

1.70%

-0.12

Old Mutual Multi-Managers Inflation Plus 1-3%

5.78%

3.48%

-0.65%

3.74%

-0.17

Sygnia Signature 40 Fund

5.18%

5.23%

-1.51%

2.20%

-0.68

27four CPI+5% Fund

2.83%

5.98%

-1.87%

2.06%

-0.91

Alexander Forbes Investments Medium Equity

4.31%

5.66%

0.13%

1.16%

0.11

Momentum Investments Enhanced Factor 5

4.65%

6.67%

0.05%

1.71%

0.03

Old Mutual Multi-Managers Inflation Plus 3-5%

4.60%

6.51%

-2.80%

6.72%

-0.42

SMM 50

5.42%

5.71%

-0.32%

1.50%

-0.21

Sygnia Signature 50 Fund

4.48%

6.47%

-1.60%

2.26%

-0.71

27Four CPI +7% Fund

1.84%

7.22%

-2.35%

2.26%

-1.04

Alexander Forbes Investments 62.5% Equity

3.59%

7.09%

-0.10%

1.32%

-0.07

Momentum Investments Classic Factor 6

4.51%

8.04%

0.59%

1.46%

0.40

Momentum Investments Enhanced Factor 6

4.30%

8.25%

0.38%

1.73%

0.22

Old Mutual Multi-Managers Inflation Plus 5-7%

3.48%

8.05%

-8.75%

7.63%

-1.15

SMM 60

4.97%

6.59%

-0.66%

1.65%

-0.40

Sygnia Signature 60 Fund

3.86%

7.34%

-1.61%

1.84%

-0.87

Alexander Forbes Investments High Equity

3.44%

8.02%

-0.10%

1.47%

-0.06

Momentum Investments Classic Factor 7

4.44%

8.82%

0.87%

1.58%

0.55

Momentum Investments Enhanced Factor 7

4.06%

9.09%

0.49%

1.87%

0.26

Momentum Investments Target Factor 7

3.93%

8.70%

0.36%

1.20%

0.30

SMM 70

4.43%

7.62%

-0.68%

1.64%

-0.42

Sygnia Signature 70 Fund

3.00%

8.28%

-1.87%

1.86%

-1.01

Alexander Forbes Investments (Conserver)

6.64%

4.21%

0.84%

1.27%

0.66

Nedgroup Investments XS Guarded Fund of Funds

6.26%

4.47%

-2.37%

4.15%

-0.57

STANLIB Multi-Manager Defensive Balanced Fund

4.97%

4.23%

-3.56%

4.12%

-0.86

Alexander Forbes Investments (Performer)

5.30%

7.80%

1.13%

1.22%

0.93

Alexander Forbes Investments (Spectrum)

4.56%

7.07%

0.41%

0.39%

1.04

Momentum Investments Flexible Factor 6

3.63%

7.79%

-0.29%

2.17%

-0.13

Momentum Investments Flexible Factor 7

3.68%

8.19%

0.10%

2.81%

0.04

Nedgroup Investments XS Diversified Fund of Funds

4.35%

7.12%

-6.39%

6.73%

-0.95

Old Mutual Multi Managers Managed

4.33%

8.15%

0.21%

1.33%

0.16

STANLIB Multi Manager Balanced Fund

4.44%

7.85%

0.23%

1.29%

0.18

Equity Band: 35% - 44% (Local & International Equity)

Equity Band: 45% - 54% (Local & International Equity)

Equity Band: 55% - 69% (Local & International Equity)

Equity Band: 70% - 75% (Local & International Equity)

Strategic Asset Allocation Low Volatility

Best Investment View

114

SECTION 3

Multi-Manager Watch™ Survey (Balanced Mandates) Excess Return vs Tracking Error Scatterplot – Multi-Managers Fixed & Strategic Asset Allocation 3 Years ended 31 December 2018 6.79%

Alexander Forbes Investments (Conserver)

Nedgroup Investments XS Diversified Fund of Funds

Nedgroup Investments XS Guarded Fund of Funds

6.31%

Alexander Forbes Investments Low Equity

5.82%

Alexander Forbes Investments (Spectrum) STANLIB Multi Manager Balanced Fund

Sygnia Signature 40 Fund SMM 50

Alexander Forbes Investments (Performer)

Old Mutual Multi-Managers Inflation Plus 1-3%

5.34%

Old Mutual Multi Managers Managed Momentum Investments Enhanced Factor 6

SMM 60

4.85% Return (p.a)

Momentum Investments Classic Factor 6

Momentum Investments Enhanced Factor 4

Momentum Investments Enhanced Factor 5 Old Mutual Multi-Managers Inflation Plus 3-5% Sygnia Signature 50 Fund

4.37%

SMM 70

Alexander Forbes Investments Medium Equity

3.88%

Sygnia Signature 60 Fund 27four CPI+3% Fund Alexander Forbes Investments 62.5% Equity

3.40% Momentum Investments Flexible Factor 6 Alexander Forbes Investments High Equity

Alexander Forbes Investments 37.5% Equity STANLIB Multi-Manager Defensive Balanced Fund

2.91%

Old Mutual Multi-Managers Inflation Plus 5-7%

27four CPI+5% Fund

Momentum Investments Flexible Factor 7 Sygnia Signature 70 Fund

2.43%

Momentum Investments Target Factor 7 Momentum Investments Enhanced Factor 3

Momentum Investments Classic Factor 7

1.94%

27four CPI+7% Fund

Momentum Investments Enhanced Factor 7

1.46% 2.98%

3.57%

4.17%

4.76%

5.36%

5.95%

6.55%

7.14%

7.74%

8.33%

8.93%

9.52%

Active Risk (p.a)(tracking error)

Volatility vs Return – Multi-Managers Fixed & Strategic Asset Allocations 3 years ended 31 December 2018 2.0%

Alexander Forbes Investments (Spectrum) Momentum Investments Target Factor 7 Alexander Forbes Investments (Performer)

1.0%

Alexander Forbes Investments (Conserver) Momentum Investments Classic Factor 7 Momentum Investments Classic Factor 6 Momentum Investments Enhanced Factor 7 Momentum Investments Enhanced Factor 6

0.0% -1.0%

Return (p.a)

-2.0% -3.0%

Momentum Investments Enhanced Factor 5

STANLIB Multi-Manager Defensive Balanced Fund

STANLIB Multi Manager Balanced Fund

-5.0%

Old Mutual Multi Managers Managed Momentum Investments Flexible Factor 7

Nedgroup Investments XS Guarded Fund of Funds

Alexander Forbes Investments Medium Equity

-4.0%

-5.9%

Old Mutual Multi-Managers Inflation Plus 1-3% Momentum Investments Enhanced Factor 3

Alexander Forbes Investments Low Equity Alexander Forbes Investments 37.5% Equity

Momentum Investments Flexible Factor 6 Sygnia Signature 40 Fund

Alexander Forbes Investments 62.5% Equity Alexander Forbes Investments High Equity

Old Mutual Multi-Managers Inflation Plus 3-5%

Sygnia Signature 50 Fund 27Four CPI +7% Fund

Nedgroup Investments XS Diversified Fund of Funds

27Four CPI +5% Fund 27Four CPI +7% Fund SMM 50 Sygnia Signature 70 Fund SMM 70 Sygnia Signature 60 Fund

-6.9% -7.9%

Old Mutual Multi-Managers Inflation Plus 5-7%

SMM 60

-8.9% 0.0%

0.7%

1.5%

2.2%

2.9%

3.6%

4.4%

5.1%

5.8%

6.5%

7.3%

8.0%

Active Risk (p.a)(tracking error)

115

MANAGER WATCHâ&#x201E;¢ SURVEY

SA Medical Aid Manager WatchTM Survey Objective: The portfolios in this survey are targeted at medical aids and are bound by the restrictions imposed by Regulation 30 of the Medical Schemes Act.

General information Investment Managers

Fund Classification

Benchmark Description

Pooled

Headline CPI +3%

No. of funds in composite

Portfolio Size (R m)

Absolute Return Funds Alexander Forbes Investments Medical Schemes Real Return Focus

N/A

343

Argon Absolute Return Medical Fund

Segregated

Headline CPI+4%

411

Coronation Medical Absolute

Pooled

Headline CPI +3%

N/A

679

OMIG MacroSolutions Medical Aid Portfolio

Segregated

Headline CPI +4% (CPI +5% prior Dec 14)

787

Prescient Positive Return Medical Aid Fund

Segregated

CPI + 3% (CPIX +3% prior Jan 09)

156

Prudential Medical Aid Fund

Segregated

Headline CPI +5%

2 253

SIM Medical Aid Domestic Absolute

Pooled

Headline CPI +5%

2 723

STANLIB Medical Investment Fund

Unit trust

Headline CPI +5%

385

Money Market Funds ALUWANI Medical Aid Savings Money Market

Segregated

STeFI

421

Cadiz Money Market

Segregated

STeFI

214

Coronation Medical Cash

Pooled

STeFI

N/A

339

Investec Stable Money Fund

Pooled

STeFI

N/A

1 325 22 010

Nedgroup Investments Corporate Money Market Fund

Unit trust

STeFI Call

SIM Enhanced Cash Medical

Segregated

STeFI

Taquanta Core Cash

Segregated

STeFI

11 886

Allan Gray Life Stable Medical Portfolio

Pooled

Headline CPI +3%, Alexander Forbes 3 month Deposit Index plus 2%

N/A

2 270

Foord Medical

Segregated

40% ALSI, 10% SAPY, 50% Call Rate + 2%

336

Balanced Funds

Total

116

46 581

0.85%

0.76%

0.35%

5.38%

-0.49%

2.42%

5.14%

Argon Absolute Return Medical Fund

Coronation Medical Absolute

OMIG MacroSolutions Medical Aid Portfolio

Prescient Positive Return Medical Aid Fund

Prudential Medical Aid Fund

SIM Medical Aid Domestic Absolute

STANLIB Medical Investment Fund

9.11%

8.37%

8.48%

7.98%

8.62%

9.26%

Cadiz Money Market

Coronation Medical Cash

Investec Stable Money Fund

Nedgroup Investments Corporate Money Market Fund

SIM Enhanced Cash Medical

Taquanta Core Cash

Foord Medical

4.33% 3.69%

5.18%

-8.53%

Consumer Price Inflation (Headline CPI) [I-Net code: AECPI]

FTSE / JSE All Share Index (Free Float)

11.07%

* Inflation figures in this table are lagged by one month.

7.69%

Number of participants

All Bond Index

7.39%

7.25%

Short Term Fixed Interest Rate Index 17

-11.67%

-10.94%

FTSE / JSE SWIX All Share Index

FTSE/JSE Capped SWIX All Share Index

5.47%

5.18%

5.47%

4.75%

8.89%

9.32%

8.74%

8.11%

8.62%

8.51%

8.58%

8.25%

5.37%

7.92%

6.33%

7.31%

6.30%

5.49%

6.18%

6.43%

Combination of old CPIX and new CPI

-2.10%

8.18%

7.25%

6.58%

7.25%

10.18%

8.18%

9.18%

8.18%

9.18%

8.18%

Consumer Price Inflation (Old/New combined CPI)

Statistics

3.91%

-1.40%

Allan Gray Life Stable Medical Portfolio

Balanced Funds

8.07%

ALUWANI Medical Aid Savings Money Market

Money Market Funds

2.42%

3 Years (p.a) Portfolio

Benchmark

1 Year

Portfolio

Alexander Forbes Investments Medical Schemes Real Return Focus

Absolute Return Funds

Investment Managers

Investment Data to the end of December 2018 â&#x20AC;&#x201C; Performance Data

6.08%

8.47%

7.39%

6.77%

7.39%

10.47%

8.47%

9.47%

8.47%

9.47%

8.47%

Benchmark

7.19%

0.08%

11.51%

11.47%

1.11%

4.85%

3.49%

0.29%

0.24%

0.09%

0.22%

0.11%

0.35%

0.13%

3.97%

3.25%

5.01%

3.02%

3.91%

3.75%

3.69%

2.84%

Volatility

5 Years (p.a)

7.71%

6.91%

5.92%

5.77%

5.39%

5.73%

9.17%

8.39%

7.94%

7.49%

7.77%

7.90%

7.64%

6.86%

7.93%

7.72%

7.27%

6.34%

5.35%

7.05%

6.52%

Portfolio

6.98%

8.39%

6.91%

6.27%

6.91%

10.39%

8.39%

9.58%

8.39%

9.39%

8.78%

Benchmark

7.91%

0.19%

11.01%

10.94%

1.32%

4.70%

3.28%

0.61%

0.38%

0.23%

0.39%

0.25%

0.55%

0.25%

3.83%

3.20%

4.99%

3.14%

4.44%

3.98%

3.75%

3.16%

Volatility

7 Years (p.a)

7.81%

6.47%

11.01%

10.69%

5.42%

8.45%

8.63%

7.96%

7.29%

7.35%

7.37%

8.59%

9.37%

10.05%

8.12%

8.24%

7.68%

8.68%

7.52%

Portfolio

9.12%

8.42%

6.47%

10.42%

8.42%

9.83%

8.42%

9.42%

8.98%

Benchmark

10 Years (p.a)

7.68%

6.70%

13.02%

12.62%

5.34%

5.24%

5.27%

9.48%

9.26%

8.07%

7.55%

7.47%

8.43%

10.27%

11.11%

8.18%

9.28%

9.32%

8.62%

Portfolio

10.40%

8.24%

6.70%

10.24%

8.24%

9.83%

8.24%

8.93%

Benchmark

SECTION 3

SA Medical Aid Manager WatchTM Survey

117

118 Domestic Domestic Domestic

Headline CPI + 3%

Headline CPI + 6%

Headline CPI+3%

Headline CPI + 5%

Mianzo Absolute Return Fund

Mianzo Absolute Return Fund - CPI+6%

Taquanta True Absolute

Vunani Fund Managers CPI+5%

Kagiso Balanced Fund

Headline CPI + 5%

Headline CPI + 3%

Nedgroup Investments XS Diversified Fund of Funds

Nedgroup Investments XS Guarded Fund of Funds

Domestic Domestic Domestic Domestic

FTSE/JSE SWIX 40

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE SWIX All Share index

FTSE/JSE SWIX All Share Index

FTSE/JSE Capped SWIX All Share Index

Aluwani - Equity

Benguela SA Equity Capped SWIX Fund

Benguela SA Equity SWIX Fund

Excelsia Capital Aggressive Equity

Kagiso Core Equity Capped SWIX Fund

Domestic Domestic Domestic Domestic

FTSE/JSE SWIX All Share Index

FTSE/JSE Capped Index (CAPI)

FTSE/JSE SWIX All Share Index

Mazi Asset Management SWIX Composite

Mergence CAPI Fund

Mergence SWIX Fund

FTSE/JSE SWIX All Share Index

FTSE/JSE Capped SWIX All Share Index

FTSE/JSE SWIX All Share Index

Perpetua Equity

Vunani FM Active Capped SWIX

Vunani FM Core Equity Fund

-11.67% -12.12% -10.94% 7.69% 7.25% 6.57%

FTSE/JSE SWIX All Share

FTSE/JSE SWIX 40

FTSE/JSE Capped SWIX All Share Index

All Bond Index

Short Term Fixed Interest Index

STeFI Call Deposit Index

-6.99%

-6.02%

5.18%

64 083.7

240.9

937.6

-10.13%

-6.91%

-10.17%

-7.59%

-10.71%

-6.39%

-13.24%

-12.42%

-6.42%

-7.86%

-11.20%

-10.91%

-9.79%

-10.48%

-7.34%

-11.46%

4.25%

-1.20%

0.47%

-0.53%

1.06%

12.33%

1.33%

-0.47%

-1.86%

4.68%

0.30%

4.73%

-11.67%

-10.94%

-11.67%

-9.23%

-11.76%

-11.14%

-11.67%

-7.67%

-11.67%

-10.94%

-11.67%

-10.93%

-11.67%

-11.60%

-10.94%

-12.12%

-11.64%

-11.67%

8.34%

10.44%

-1.96%

-5.14%

10.18%

8.18%

11.18%

8.18%

10.18%

8.18%

10.78%

6.77%

7.39%

11.07%

2.70%

3.69%

4.33%

5.47%

4.03%

6.03%

6.14%

5.40%

3.04%

3.68%

0.08%

6.41%

3.93%

4.68%

4.30%

6.26%

4.35%

8.94%

9.05%

4.95%

12.32%

7.30%

6.12%

9.58%

7.10%

7.43%

4.17%

Fund

-1.58%

3 Years

Fund

Benchmark

1 Year

-8.53%

76.99%

3 468.8

9 147.8

1 360.1

583.5

1 874.5

1 195.9

1 956.8

12 700.9

1 415.6

2 151.7

282.4

377.6

1 910.1

394.6

934.3

9 339.5

1 161.0

4 419.4

1 259.7

62.5

1 559.9

2 151.3

343.4

628.0

1 109.0

98.1

205.3

726.9

86.7

Fund Size (R m)

FTSE/JSE All Share Index

Domestic

100.00%

80.25%

89.00%

61.51%

100.00%

62.40%

67.15%

55.00%

96.00%

37.55%

61.51%

76.99%

57.51%

100.00%

80.25%

61.51%

100.00%

61.30%

96.00%

Total empowerment Shareholding (%)

Consumer Price Inflation (Headline CPI) [I-Net code: AECPI]

Market Statistics

Total

Domestic

South Africa OE (ASISA) Domestic Equity General

Oasis Specialist Domestic Equity Domestic

Domestic

CAPI, SWIX and Capped SWIX combined

JSE/FTSE Capped SWIX less SAPY

Mianzo Active Equity Fund

Mianzo Enhanced Equity Fund

Domestic

FTSE/JSE SWIX All Share Index

FTSE/JSE Capped SWIX All Share Index

Kagiso Managed Equity Fund

Mazi Asset Management Equity CAPPED SWIX Composite

Domestic

FTSE/JSE SWIX All Share Index

FTSE/JSE SWIX All Share index

Aeon Active Equity Fund

Domestic

Global

Domestic

All Weather Capital SWIX Equity Fund

Equity Funds

Median return of Alexander Forbes Global Large Manager Watch

Kagiso Global Balanced Fund

Global Balanced Funds

SA BIV Median

Domestic Domestic

Headline CPI + 5%

Kagiso Protector Fund

Mergence CPI +5% Fund

Domestic Balanced Funds

Domestic

Headline CPI + 5%

JM BUSHA Absolute AllClass

Domestic

Headline CPI + 3%

Balondolozi Absolute Return Fund

Domestic

Global / Domestic Mandate

Headline CPI + 5% (Prior to Jan 2018 it was STEFI + 3%)

Benchmark

Aeon Balanced Fund (CPI + 5%)

Absolute Return Funds

Investment Managers

Investment Data to the end of December 2018

3.69%

1.81%

3.31%

3.69%

4.25%

3.69%

2.70%

3.70%

3.69%

8.63%

10.74%

4.16%

5.40%

10.47%

8.47%

11.47%

8.47%

10.47%

8.47%

10.72%

Benchmark

6.30%

6.91%

7.71%

5.61%

5.92%

5.77%

5.39%

5.75%

3.65%

6.11%

5.87%

5.24%

3.44%

6.97%

6.64%

7.91%

6.54%

4.74%

6.72%

6.25%

7.32%

6.55%

7.02%

Fund

5 Years

5.92%

3.29%

5.92%

5.77%

5.92%

5.61%

5.92%

8.56%

10.66%

5.56%

10.39%

10.18%

Benchmark

MANAGER WATCH™ SURVEY

BEE Manager Watch™ Survey – Performance Figures

Objective: The purpose of the BEE Manager Watch™ Survey is to provide clients, consultants and asset managers with objective and meaningful performance and risk comparisons across SA BEE asset managers.

All Bond Index

VunaniFM Active Bond Fund

Domestic

STeFI

Taquanta Core Cash

Domestic

50% 0-3 yrs Bonds, 25% Real estate Development & Services (J863) and 25% Real Estate Investment Trusts (J867)

Vunani Property Income Fund

-11.67% -12.12% -10.94% 7.69% 7.25% 6.57%

FTSE/JSE SWIX All Share

FTSE/JSE SWIX 40

FTSE/JSE Capped SWIX All Share Index

All Bond Index

Short Term Fixed Interest Index

STeFI Call Deposit Index

5.18%

-15.39%

-25.04%

9.26%

9.06%

8.36%

7.21%

8.03%

7.98%

8.56%

8.54%

8.53%

8.07%

8.99%

9.20%

8.00%

9.09%

8.31%

8.93%

8.54%

8.44%

-9.20%

-25.07%

7.25%

7.60%

6.58%

7.25%

7.69%

6.50%

7.69%

6.77%

7.39%

11.07%

2.70%

3.69%

4.33%

5.47%

-2.07%

-0.54%

9.32%

9.08%

8.94%

7.62%

8.17%

8.11%

8.71%

8.19%

8.25%

9.04%

12.38%

10.79%

11.90%

11.17%

11.75%

12.72%

11.89%

Fund

Benchmark

3 Years

1 Year

-8.53%

132 962.6

87.1

9 503.1

11 886.3

6 228.1

673.5

186.5

14 097.0

22 010.0

40 402.0

70.6

1 024.2

421.4

10 906.2

3 656.9

404.6

1 860.3

444.6

1 277.2

1 301.5

6 521.4

Fund Size (R m)

Consumer Price Inflation (Headline CPI) [I-Net code: AECPI]

76.99%

100.00%

57.51%

68.00%

100.00%

37.55%

100.00%

61.30%

67.15%

76.99%

100.00%

68.00%

100.00%

61.30%

67.15%

Total empowerment Shareholding (%)

FTSE/JSE All Share Index

Market Statistics

Total

Domestic

FTSE/JSE South African Listed Property Index (J253)

Domestic

Meago Composite

Property Funds

AF Money Market Index

STeFI

Pan Africa Segregated Domestic Cash

Taquanta Cash Fund

Domestic Domestic

STeFI Call

South Africa OE (ASISA) Domestic FI Money Market

Nedgroup Investments Money Market Fund

Domestic

Oasis Money Market Fund

STeFI

STeFI Call

Nedgroup Investments Core Income Fund

STeFI

JM BUSHA CashPlus

Nedgroup Investments Corporate Money Market Fund

Domestic

STeFI

Balondolozi Cash Fund

Domestic

Alexander Forbes Money Market Index/STEFI

STeFI

Aluwani Cash Plus

Domestic

ALUWANI Medical Aid Savings Money Market

Money Market Funds

All Bond Index

Pan African AM Segregated Domestic Bond Fund

Prowess Corporate Bond Portfolio

Domestic

All Bond Index

South Africa OE (ASISA) Domestic FI Bond

JM BUSHA BondPlus

Oasis Bond Unit Trust Fund

Domestic

All Bond Index

ALBI+1%

Domestic

Global / Domestic Mandate

ALUWANI Active Bond

Benchmark

Balondolozi Bond Fund

Bond Funds

Investment Managers

Investment Data to the end of December 2018

1.04%

-1.08%

7.39%

7.80%

6.77%

7.39%

11.07%

9.99%

11.07%

Benchmark

6.30%

6.91%

7.71%

5.61%

5.92%

5.77%

5.39%

3.76%

7.26%

8.39%

8.21%

8.22%

7.16%

7.58%

7.49%

7.96%

7.58%

7.64%

8.23%

8.54%

7.96%

8.39%

8.34%

8.38%

8.93%

8.29%

Fund

5 Years

6.22%

5.77%

6.91%

6.90%

6.91%

7.10%

6.27%

6.91%

7.71%

7.59%

7.71%

Benchmark

SECTION 3

BEE Manager Watch™ Survey – Performance Figures (continued)

119

120 55.00% 45.00% 100.00% 100.00% 100.00% 100.00% 100.00%

66.67%

71.00% 50.00% 84.62% 66.67% 100.00% 65.31% 86.20% 100.00% 80.00% 45.00% 72.10% 74.00% 75.00% 71.00% 75.00% 67.57% 73.33%

All Weather Capital

ALUWANI Capital Partners Balondolozi Investment Services Benguela Global Fund Managers Excelsia Capital JM BUSHA Asset Manager (Pty) Ltd Kagiso Asset Management Mazi Asset Management (Pty) Ltd Meago Asset Managers Mergence Investment Managers (Pty) Ltd Mianzo Asset Management Pty (Ltd) Nedgroup Investments Oasis Group Holdings (Pty) Ltd Pan-African Asset Management (Pty) Ltd Perpetua Investment Managers Prowess Investment Managers (Pty) Ltd Taquanta Asset Managers (Pty) Ltd Vunani Fund Managers (Pty) Ltd

100.00%

60.00%

0.25% 100.00% 100.00% 100.00% 14.29%

55.00%

100.00%

36.00%

100.00%

83.30%

100.00%

80.00% 100.00%

71.00%

62.00% 61.53% 61.54% 33.33% 69.00% 51.02% 34.50% 42.00% 51.00% 14.85% 56.50% 36.00% 25.00% 57.00% 71.43% 51.35% 50.00%

27.27%

63.00%

76.00%

80.00% 73.00% 50.00% 65.00% 57.14%

45.00%

82.00%

64.00%

82.80%

63.64%

100.00%

90.00% 66.67%

61.53%

53.00%

100.00%

5.20% 43.00% 0.00% 63.00% 12.50%

0.00%

92.00%

27.00%

84.60%

57.89%

100.00%

71.43% 60.00%

61.53%

18.00%

Level 1 Level 2 Level 1 Level 1 Level 1 Level 1 Level 2 Level 1 Level 2 Level 1 Level 2 Level 1 Level 2 Level 1 Level 1 Level 2 Level 2

Level 2

50.00%

40.00%

2.60% 28.50% 33.00% 25.00% 20.00%

0.00%

25.00%

0.00%

33.30%

33.00%

40.00% 0.00%

43.00%

14.00%

50.00%

0.00%

2.60% 0.00% 0.00% 20.00% 20.00%

0.00%

40.00%

0.00%

33.33% 0.00%

40.00%

38.00%

40.00%

57.89%

66.20% 37.00% 25.00% 65.00% 60.00%

14.85%

59.00%

42.00%

83.30%

52.27%

50.00%

70.00% 50.00%

75.00%

38.00%

Staff and Management (Female) Board Staff (excl Executives Members management) (%) (%) (%) 50.00% 0.00% 66.67% 25.00% 0.00% 33.33%

50.00%

100.00%

3.46% 36.00% 0.00% 50.00% 0.00%

0.00%

50.00%

8.00%

23.10%

15.79%

25.00%

43.00% 40.00%

62.50%

9.00%

10.00%

42.86%

1.73% 0.00% 12.50% 33.00% 20.00%

14.85%

0.00%

0.00% 0.00%

50.00%

0.00%

(Percentage of staff) Portfolio Manager (%) 57.14% 0.00% 16.67% 0.00%

Investment Analyst (%)

82.00% 75.00% 50.00% 26.00% 33.00% 61.85% 49.30% 59.00% 40.00% 30.46% 64.60% 51.00% 53.00% 23.50% 10.06% 100.00% 41.40%

32.63%

Use of black brokerages as a percentage of total brokerages used (by volume) 61.77%

60.00%

28.57%

0.86% 100.00% 37.50% 50.00% 12.50%

14.85%

50.00%

36.00%

71.40%

26.32%

100.00%

50.00% 100.00%

61.53%

3.00%

(Percentage of staff) Portfolio Manager (%) 57.14% 66.67% 66.67% 50.00%

Investment Analyst (%)

Empowerment Rating (if available) Level 1

50.00%

33.33%

0.25% 100.00% 25.00% 100.00% 12.50%

55.00%

60.00%

36.00%

75.00%

60.00%

100.00%

66.67% 66.67%

60.00%

50.00%

Staff and Management (Empowerment) Board Staff (excl Executives Members management) (%) (%) (%) 100.00% 100.00% 83.33% 75.00% 50.00% 81.81%

Total Staff Female (%) 57.14%

100.00%

58.01% 41.25% 0.75%

100.00%

Luvo Tyandela Mianzo Employee Trust Nedbank Limited Oasis Group Holdings (Pty) Ltd PGC Group (Pty) Ltd Perpetua staff Ms. Kelebogile Moloko DEC Investment Holding Company (Pty) Ltd Taquanta Black Staff Work Biz Trading (Pty) Ltd Vunani Capital

51.10% 100.00% 10.00% 30.00% 30.00% 30.00%

48.90%

100.00%

40.00% 30.00% 100.00% 100.00%

30.00%

40.00% 20.00% 40.00%

Partner(s) shareholding (%) 100.00% 100.00%

Founding partner/s and staff

Mazi Staff Anas Madhi Jay Padayatchi Sharif Hoosen Thabo Ramushu

Kagiso Asset Management staff Kagiso Tiso Holdings

Aeon Black Staff Zava Financial Services ALUWANI Management Partners(Pty)Ltd Main Street 1413 (Pty) Ltd MMI Strategic Investments (Pty) Ltd Balondolozi Employee Trust Fund Pedro Samuel Family Trust Royal Investment Managers N/A - 100% owned by employees Rajay Ambekar JM BUSHA Investment Group (Pty) Ltd

Partner(s)

Empowerment Shareholding

Total Staff Empowerment (%) 85.71%

76.99%

Vunani Fund Managers (Pty) Ltd

Manager Aeon Investment Management

57.51%

100.00%

Meago Asset Managers

Taquanta Asset Managers (Pty) Ltd

89.00%

Mazi Asset Management (Pty) Ltd

37.55% 100.00% 68.00% 100.00% 100.00%

61.51%

Kagiso Asset Management

Nedgroup Investments Oasis Group Holdings (Pty) Ltd Pan-African Asset Management (Pty) Ltd Perpetua Investment Managers Prowess Investment Managers (Pty) Ltd

100.00%

JM BUSHA Asset Manager (Pty) Ltd

79.00%

62.40% 100.00%

Benguela Global Fund Managers Excelsia Capital

100.00%

61.30%

Balondolozi Investment Services

Mianzo Asset Management Pty (Ltd)

67.15%

ALUWANI Capital Partners

Mergence Investment Managers (Pty) Ltd

96.00% 55.00%

Total empowerment Shareholding (%)

Aeon Investment Management All Weather Capital

Manager

Details of Empowerment Shareholding as at 31 December 20185

MANAGER WATCH™ SURVEY

BEE Manager Watch™ Survey – Empowerment Details

THE JOURNEY

IN PURSUIT OF CERTAINTY ACTION, QUEST, STRIVING FOR RELENTLESS PUSH TOWARDS AN ASPIRATION

DESIRED OUTCOME

We work to secure a lifetime of financial well-being for our clients. Each person at Alexander Forbes Investments works in the pursuit of certainty, to provide investor excellence through uniquely integrating and amplifying different aspects of investing to achieve investment outcomes. Our Living*Investing philosophy helps our clients achieve financial well-being for a life time by combining advice, investment management and client experience. We build portfolios with a key focus on risk management and reducing potential losses. Supported by a powerful team, we are unconstrained in our research and selection of investment managers globally, augmented by our strategic relationship with Mercer Investments, the worldâ&#x20AC;&#x2122;s largest investment consultant and delegated solutions provider.

www.alexanderforbesinvestments.co.za

Alexander Forbes Investments Holdings Limited. Registration number 1997/022540/06

MANAGER WATCH™ SURVEY

LDI Manager Watch™ Survey

How to interpret and use this survey LDI is a complex area of investment. Alexander Forbes strongly recommends that investors obtain professional assistance in determining whether a specific LDI strategy or LDI manager is appropriate for them. The guide below is not sufficiently comprehensive to enable most investors to reliably choose an LDI manager without further assistance. The guide will help investors appreciate the drivers of differential performance between managers and strategies at specific times in the market.

General The LDI survey reports on the outperformance LDI asset managers deliver relative to a liability based benchmarks. The survey provides simple numerical measures that encapsulate the risk these managers have exposed clients to as well as the outperformance they have acheived. The survey reports on the performance of ‘composites’, or groups of portfolios with similar characteristics. Most LDI hedging techniques are based on algorithmic solutions (or rules based mathematical techniques), suggesting that ineffective hedging techniques will very rapidly show up in this survey. The skillset of managers offering low risk solutions, tracking liabilities closely with tight mandate restrictions will generally show up over even short periods such as one year.

122

However, it is always preferable to evaluate these managers over a longer period if this is available. The period used for analysis should include at least one large shift in yield curves. More than one large shift in yields has occurred during the last twelve months, the short history available in this survey is hence adequate for judging manager’s ability to create effective hedges. In addition to focusing on tracking liabilities, some managers target outperformance of liabilities by investing in riskier asset classes such as credit (and potentially view taking on the markets). An evaluation of the approach used and the skills of each manager is required to access how likely these managers are to deliver alpha in the future. The past performance of these managers can be used as part of this evaluation. Longer periods

SECTION 3

will be required to accurately form a view of how good the manager is at choosing and managing credit. The exact length will depend on the strategy used, but may require five years or longer. Many LDI managers don’t have a track record this long. It is useful in such cases to look at the manager’s performance in ordinary credit portfolios.

The “% unlisted exposure” shows the proportion of the portfolio which is invested in unlisted instruments. Unlisted instruments may (but are not necessarily) subject to poor valuations or infrequent valuations by the manager. Many unlisted instruments such as swaps may be valued independently by a counterparty bank, partially mitigating this risk.

Investors also need to consider the time frame over which they measure risk when choosing a manager and more importantly, in setting their mandates, mandate restrictions and portfolio targets. For example, listed companies may need to manage pension fund or other sinking fund risks over a very short period to match their reporting requirements. Pension funds that are valued once every three years, with a larger risk appetite and a desire to target growth could use a longer evaluation period such as three years.

A brief description of the benchmark used is given for each composite. Only similar composites should be compared directly. For example, swap based and bond based benchmarks are not directly comparable.

Specific measures Liability outperformance shows how much value, in excess of the growth in liabilities, the manager was able to add for their client. All else being equal, a larger outperformance is preferable. Investors should consider a sufficiently long performance period to smooth over interest, credit and inflation cycles if they are primarily concerned with the longer term performance of their liability hedging activities. For example, certain investors may require close tracking on a monthly basis, while others may be more concerned with longer term value add. Investors should therefore give adequate attention to manager performance over periods that match their own reporting, risk evaluation and risk tolerance frequency. Consideration should be given to all the stakeholders associated with the liability in reaching this decision. Liability convexity and duration are technical measures of certain liability characteristics. In general, the larger these quantities are, the more difficult it is to create an effective hedge. These measures can hence be seen as one of the constraining factors governing managers’ efficacy in hedging and adding outperformance. Performance is therefore not necessarily comparable between managers with vastly different liability durations and convexities. A typical defined benefit pensioner liability increasing with full inflation annually has a duration of between nine and twelve years at current yields. The “% exposure to credit assets” measures the exposure to risky assets, excluding government-linked bonds and some forms of cash. All else equal, the larger this percentage is, the greater one would expect the long-term outperformance of liabilities to be. This figure may also reflect mandate constraints regarding the inclusion of credit.

Portfolio as a percentage of liability shows the size of the assets managed by the manager relative to the size of the liability the manager is mandated to hedge. For example, a pension fund with a R100 liability that gives their LDI manager R50 and invests R50 into the equity market would have a proportion of 50%. All else being equal, the larger this portion is, the easier it is to hedge a liability. This is hence an additional constraining factor on managers. Portfolios in the survey have been grouped into bands expected to offer similar hedging efficacy. The minimum funding level shows the lowest funding level that would have applied over various time periods, assuming the investor’s liabilities and assets were equal at the start of the period. Assuming all else is equal, larger minimum funding levels are preferable. A minimum funding level is an important risk measure in evaluating how well a manager can manage downside risk relative to the investor’s liability. Tracking error shows the dispersion of portfolio returns relative to the investor’s liability. All else being equal, a lower tracking error is preferable. Unfortunately tracking error captures outperformance (desirable) as well as underperformance (undesirable). Where close liability tracking is not essential, the minimum funding level is a superior measure of risk. For example, a manager providing a high degree of outperformance and high minimum funding levels may be a suitable choice even if this manager has a high tracking error. The risk adjusted outperformance shows the extent to which managers outperform liabilities, adjusted for the tracking error or risk they have introduced. All else equal, a larger risk adjusted return is preferable. The risk adjusted return may, however, be an inappropriate measure for certain investors with specific liability objectives. For example, some risk tolerant investors wish to maximise long-term outperformance of liabilities. Such investors should focus on outperformance of liabilities in choosing a manager. Other risk averse investors may wish to track their liabilities as closely as possible. Such investors should focus on choosing a manager based on tracking error.

123

MANAGER WATCH™ SURVEY

LDI Specific Measures Liability outperformance shows how much value, in excess of the growth in liabilities, the manager was able to add for their client.

Liability convexity and duration are technical measures of certain liability characteristics.

% exposure to credit assets measures the exposure to risky assets, excluding governmentlinked bonds and some forms of cash.

% unlisted exposure shows the proportion of the portfolio which is invested in unlisted instruments.

Portfolio as a percentage of liability shows the size of the assets managed by the manager relative to the size of the liability the manager is mandated to hedge.

The minimum funding level shows the lowest funding level that would have applied over various time periods, assuming the investor’s liabilities and assets were equal at the start of the period.

Tracking error shows the dispersion of portfolio returns relative to the investor’s liability.

The risk adjusted outperformance shows the extent to which managers outperform liabilities, adjusted for the tracking error or risk they have introduced.

124

SECTION 3

General

Inflation-linked bond section

Nominal bond yields fluctuated dramatically across the quarter, shifting and reshaping in response to a stream of market relevant news flows. Across the quarter: The finance minister was replaced, with Tito Mboweni taking the reins. The appointment was perceived positively by most commentators. The delivery of the Medium Term Budget Policy Statement. The budget statement was sobering, with a downward revision to growth expectations and a downward revision to projected tax revenues. Globally risk remained elevated with the trade war between the USA and China still unresolved. This introduced external volatility and pressure for emerging markets, including South Africa. Some progress was made between the two sides late in the year, offering some hope. Meanwhile domestic growth within China has begun slowing. Data emerged to show that the South African economy had moved out of recession. Ongoing discussions and rumours about the dire financial condition and indebtedness of several parastatals, including Eskom continued. The implementation of load shedding during the quarter reminded us all of the importance of addressing the challenges faced within Eskom.

Real yields reached the highest levels seen in half a decade during the quarter. Higher real yields can open up the opportunity to hedge for funds which have not been able to do so in the past. It may be worth re-visiting this topic if you are a decision making agent for an entity with defined liabilities (such as a defined benefit retirement fund) without existing LDI assets. This will need to be evaluated together with any negative impact the recent equity market declines have had on the specific fund in question. We recommend discussing this with an LDI expert or your valuator.

The rich flow of market relevant data drove material volatility in nominal yields (both in level and shape), creating a testing environment for bond managers. Equity markets performed very poorly, with the All Share Total Return Index falling 4.9% and 8.5% across the quarter and year respectively. LDI hedging does not operate within a vacuum. Many defined benefit funds choose to combine interest and inflation hedging with growth assets, blending the liability risk reduction and growth characteristics of these assets. Large declines in the equity market can impact a fund and the fund’s LDI strategy. For example: A large decline in equities may trigger a fund’s rebalancing strategy. This may be required to ensure the fund retains a large enough exposure to growth assets. An inadequate exposure to growth assets may result in an expected return that cannot fund the investor’s liabilities. A reduction in the allocation to hedging assets may require changes to the composition of the hedge. Depending on the size of the equity market decline, the funding level and the asset allocation used by the fund, the impact on the fund’s financial health could be dramatic and could require that further steps are taken. For example, if the fund has become underfunded, the trustees may choose to review the investment strategy used to ensure it remains appropriate to the new circumstances in which the fund now operates. If the large decline showed up any weaknesses in a fund’s equity strategy (for example the combination of active managers chosen), the trustees may need to allocate scarce governance resources to this topic.

Higher yields also benefit funds transitioning unhedged active members into a hedged pensioner pool, as the transfer (and subsequent expansion of the LDI hedge) occurs at a higher yield than previously possible. The movement of the real yield curve was less dramatic than that of the nominal curve. Real yields did still increase by 0.15-0.20% though across the quarter with much of this materialising during November. Manager returns were diverse. This is not unexpected, given the broad range of characteristics seen in the participant composites. For example, the credit allocations and benchmark durations vary significantly. The (mild) volatility in the real curve may have contributed marginally to this dispersion, though we caution against attaching too much confidence in the analysis of the small sample of participant managers. At times, some LDI managers take nominal positions within their portfolios. This can be done to hedge small nominal risks that arise due to pension increases only being effected once per year (rather than continuously). Some managers may also make use of nominal holdings to hedge interest rates (without an inflation hedge) to take advantage of perceived mispricing between the two markets. Given the large volatility in the nominal curve and the possibility of small nominal positions (and/or benchmark exposures) within the composites in this section, this may have contributed marginally to the dispersion of results seen.

Nominal bond section Long dated nominal bond yields rose by 0.3-0.4% during October, fell by 0.4-0.6% during November and shifted more marginally during December. Across the period the curve reshaped dramatically as well. This is a challenging environment that can show up unhedged positions. Participant managers coped well with the challenging environment, but we caution that there are limited conclusions that can be drawn from the small sample of participants.

Even with an LDI hedge in place, investors operate within a dynamic set of circumstances and challenges. This underscores the importance of suitable monitoring processes within a fund to trigger appropriate interventions and adjustments.

125

KINGJAMESII 2038

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3rd Party Assets

Yes

Sanlam Structured Solutions

STANLIB Composite 1

0.64%

0.73%

-3.79%

0.60%

All Bond Index

BESA Standard Bank Credit Index

Stefi

0.00%

-0.07%

0.49%

0.13%

0.27%

Month

1.78%

-4.38%

0.23%

2.74%

0.00%

0.09%

1.69%

0.37%

0.83%

Quarter

7.25%

-8.68%

-0.43%

7.69%

0.58%

0.00%

0.10%

4.53%

1.10%

-2.22%

1 Year

Outperformance of Liability

Barclays - BESA SA Inflation Linked Index

Market Indices & Statistics

Total

Yes

Investec

STANLIB Composite 2

Nominal Bond Yield Curve Benchmarking

STANLIB Composite 3

Yes

Ashburton

Inflation-Linked Bond Yield Curve Benchmarking

Investment Managers

Investment Data to the end of December 2018

7.39%

-2.14%

2.89%

11.07%

0.95%

0.00%

0.19%

4.13%

0.57%

3 Years (p.a.)

6.91%

-1.18%

4.65%

7.71%

1.00%

0.00%

3.36%

0.62%

5 Years (p.a.)

7.72

3.37

13.49

8.58

8.18

14.62

103.59

10.00

278.05

125.28

66.16

257.46

Liability Benchmark Convexity

Liability Characteristics Liability Benchmark Duration

3.20%

0.00%

100.00%

58.88%

1.70%

% exposure to credit assets

0.00%

9.44%

46.95%

0.00%

% unlisted exposure

878.11

278.73 Liability benchmark, -25bps spread

57 24.60 Liability benchmark, zero spread

10 94.35 Liability benchmark, zero spread

7 20.72 Liability benchmark, zero spread

4 66.38 Liability benchmark, zero spread

49 6.35 Liability benchmark, zero spread

Benchmark

Portfolio Characteristics Portfolio Size (R M)

SECTION 3

LDI Manager Watchâ&#x201E;˘ Survey

Objective: The portfolios included in this survey represent liability-driven investment funds with benchmarks expressly referencing investor liabilities.

127

128

<25%

Nominal Bond Yield Curve Benchmarking 100.00% 99.86%

STANLIB Composite 3

>75%

STANLIB Composite 1

50-75%

25-50%

Sanlam Structured Solutions

Ashburton

Inflation-Linked Bond Yield Curve Benchmarking

Investment Managers

LDI portfolio as a percentage of liability (P = Physical / E = Effective)

Investment Data to the end of December 2018

100.23%

100.00%

100.09%

101.14%

100.05%

100.03%

Quarter

100.19%

100.00%

99.65%

100.24%

99.94%

95.94%

1 Year

100.41%

100.00%

99.41%

100.04%

99.79%

3 Years

0.49%

0.00%

99.94%

100.33%

5 Years

Minimum funding level assuming an artificial starting level of 100% at the start of the period

Risk Statistics

0.51%

0.00%

0.58%

1.89%

0.24%

0.88%

Quarter

0.70%

0.00%

0.55%

1.26%

0.41%

4.95%

1 Year

Tracking Error (Annualised)

0.76%

0.00%

0.76%

1.22%

0.38%

3 Years

0.76%

0.00%

1.23%

0.49%

5 Years

MANAGER WATCHâ&#x201E;˘ SURVEY

LDI Manager Watchâ&#x201E;˘ Survey

Objective: The portfolios included in this survey represent liability-driven investment funds with benchmarks expressly referencing investor liabilities.

SECTION 3

LDI Manager Watchâ&#x201E;˘ Survey Objective: The portfolios included in this survey represent liability-driven investment funds with benchmarks expressly referencing investor liabilities.

Investment Data to the end of December 2018 Investment Managers

1 Year

3 Years (p.a.)

5 Years (p.a.)

Inflation-Linked Bond Yield Curve Benchmarking Ashburton

-0.45

Sanlam Structured Solutions

2.68

1.48

1.27

STANLIB Composite 1

3.58

3.39

2.73

STANLIB Composite 3

0.19

0.26

Zero tracking error

1.14

1.36

1.31

Nominal Bond Yield Curve Benchmarking Investec STANLIB Composite 2

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129

MANAGER WATCH™ SURVEY

Quality Shari’ah funds outperform the general market

130

SECTION 3

For Shari’ah-compliant investors, the additional rules and limitations placed on Shari’ah-compliant funds lead to the misperception that Shari’ah investing results in lower returns compared to conventional investing. However, as recent fund performances show, this need not be the case. Over the last three years, investors in quality Shari’ah funds have enjoyed significantly higher annualised returns compared to those of the general equity sector.

Shari’ah guidelines As South Africans, we’re all too familiar with how inflation can erode buying power – and over a thirty-year career, for instance, the accumulated effect of inflation could have a significant effect on your retirement income should your investments not keep up with the rate of inflation. To do this, it is of course critical to maximise the return on your investments over time – but there are further considerations for Islamic investors. Derived from Arabic, the word Shari’ah means the ‘sacred law’ and refers to the teachings that guide both daily life and economic investments in Islam. To comply with Shari’ah law, a fund may not invest in industries related to alcohol, gambling, tobacco, weapons, pornography and other so-called sin industries. The objective is to avoid investments in companies that cause harm to humans or society. Sectors such as beverages, media and entertainment are ‘no-go’ areas for investment. In addition, Shari’ah law prohibits both the payment and receipt of interest. Therefore, Shari’ah-compliant funds may not invest in highly leveraged companies. This also rules out businesses within the traditional finance sector such as banking and insurance companies. And all companies selected for investment need to have closely managed debt and cash balance levels to avoid the payment or receipt of excessive interest. As a result, the investment universe is significantly reduced for Shari’ah-compliant investors.

131

MANAGER WATCH™ SURVEY

Instead, Shari’ah-compliant equity investment funds derive returns in two ways:

Selecting quality investments with shares priced at a low valuation, and selling these once this value has increased The annual distribution of company profits to all shareholders, in the form of dividends.

To ensure that both performance and ethical requirements are met, quality Shari’ah fund managers must use thorough screening tools to filter out companies that screen negatively on both the qualitative factors mentioned above as well as the financial metrics used to determine excessive debt or cash levels. Currently, the overall debt and cash limit for companies is 30% of total assets on the balance sheet. In addition, total interest received and other non-permissible income is limited to 5% of total income.

Shari’ah beats the benchmark In 2018, the FTSE/JSE All Share Index fell more than 11% and most general equity funds were heavily in the red for the year. For the three years to December 2018, the general equity sector delivered an annualised return of 1.7% while local Shari’ah funds delivered an average annualised return of 4.1%.

While the additional constraints placed on Shari’ah-compliant funds are often believed to limit returns, these restrictions have in fact protected investors against the impacts of the market’s volatility. Companies with high debt levels tend to underperform during periods of market volatility and most Shari’ah funds will have avoided highly indebted companies as part of their Shari’ah screening process. A rising interest rate environment both locally and in the US has also resulted in underperformance by financial companies like banks and insurers – all excluded from the Shari’ah investment universe. Lastly, Shari’ah funds tend to have higher exposure to basic materials companies and many of these companies have outperformed the broader market in 2018. A further shield for Shari’ah investors this year has been the lack of exposure to Naspers, which declined by almost 20%. Conventional funds had an average exposure to the stock of around 10%.

A good choice for return-seeking investors For quality managers with a thorough screening process and skilled stock selection capabilities, the transparent application of Shari’ah investment principles need in no way constrain returns over the long term. Although the principles are based on Islamic teachings, the underlying ethical framework is ideal for all socially conscious investors seeking robust long-term returns.

Shari’ah funds have consistently outperformed

Initial nvestment of R1 000

R1 300

R1 200

R1 100

R1 000

R900 Jan 16

Jun 16

Dec 16

Jun 17

Dec 17

Volatility (p.a.) (standard deviation) Average Shari’ah fund

ASISA general equity sector

Source: Morningstar Based on a lump-sum investment of R1 000, net asset value (NAV), income reinvested 3 years to 31 December 2018

132

Jun 18

Dec 18

SECTION 3

Shariâ&#x20AC;&#x2122;ah Manager WatchTM Survey Objective: The portfolios in this survey represent Shariâ&#x20AC;&#x2122;ah compliant portfolios with various benchmarks. No carve-outs are reflected.

General information Investment Managers

Managed ITO Regulation 28? (Y/N)

Benchmark Description

Portfolio Size (R m)

Balanced Mandates 27four Shari'ah Balanced Prescient FoF

Average of South African - Multi Asset - High Equity Funds (net of fees)

225

27four Shari'ah Multi-Managed Balanced Fund

27four Bespoke Shariah Benchmark

638

27four Shari'ah Wealth Builder Fund

27four Bespoke Shariah Benchmark

332 576

Alexander Forbes Investments Shari'ah High Growth

Alexander Forbes Investments Bespoke Shariah Benchmark

Element Islamic Balanced

Average of all Shariah Balanced unit trust funds with a min track record of 1 year

Kagiso Islamic Balanced

Mean of South African - Multi Asset - High Equity Funds

69 1 259

Oasis Crescent Balanced High Equity

Headline CPI + 3%

165

Oasis Crescent Balanced Progressive

Headline CPI + 1%

1 460

Oasis Crescent Balanced Stable

Old Mutual Shari'ah Balanced SMM Nur Balanced Portfolio

Sentio SCI Hikma Shari'ah Balanced STANLIB Multi-Manager Shari'ah Balanced

Headline Inflation Old Mutual Bespoke Shariah Benchmark

668 2 407

Average of Peer group of Shariah Balanced funds

185

ASISA Category Average: SA - Multi Asset - High Equity

113

STANLIB Bespoke Shariah Benchmark

55 160

Equity Mandates - Domestic 27four Shari'ah Active Equity

South Africa - Equity - General Category Average

250

Element Islamic Equity

Average of all Shariah Equity funds with a min track record of 1 year

130

Kagiso Islamic Equity

Mean of South African - Equity - General Funds

Oasis Crescent Equity

Average South African Shariah Equity General Portfolio

5 345

Old Mutual Shari'ah Equity

Old Mutual Bespoke Shariah Benchmark

2 067

Sentio SCI Hikma Shari'ah General Equity

ASISA Category Average: SA-Equity-General

794

283

Equity Mandates - Global Element Islamic Global Equity

Dow Jones Islamic Market World Index

Old Mutual Global Islamic Equity

S&P Developed Markets Large and Mid-Cap Shariah Index

Total

71 556 72 754

133

134 1 Year

4.10%

4.02%

2.93% -0.76% -6.44% -2.67%

Kagiso Islamic Equity

Oasis Crescent Equity

Old Mutual Shari'ah Equity

Sentio SCI Hikma Shari'ah General Equity

6.73%

-1.19%

-25.26% 7.25% 6.42% 11.78% 16.46% 0.84%

FTSE/JSE SA Listed Property Index

Short Term Fixed Interest Rate Index

MSCI World Islamic GR

Dow Jones Islamic Titans Index TR

Dow Jones Sukuk Index TR

NSE Lotus Islamic Index

7.39%

3.69%

-8.53% -11.67%

4.33%

3.70%

-3.37%

3.04%

4.23%

11.28%

11.33%

1.91%

6.27%

6.04%

4.87%

4.85%

4.02%

4.70%

7.93%

12.34%

2.09%

FTSE/JSE All Share Index

10.58%

3.46% 2.52%

FTSE/JSE SWIX All Share Index

Indices

2.72% 10.15%

Element Islamic Global Equity

Old Mutual Global Islamic Equity

Equity Mandates – Global

-9.19% -0.25%

2.00%

-8.98%

-2.46%

-3.10%

Element Islamic Equity

-4.97%

5.44%

-3.54%

5.44%

27four Shari'ah Active Equity

Equity Mandates – Domestic

1.09%

STANLIB Multi-Manager Shari'ah Balanced

-0.45%

1.90% 2.75%

SMM Nur Balanced Portfolio

Sentio SCI Hikma Shari'ah Balanced

6.33%

4.01% 0.31%

Oasis Crescent Balanced Stable

Old Mutual Shari'ah Balanced

8.06% 6.23%

1.33% 1.26%

Oasis Crescent Balanced High Equity

-3.65%

Oasis Crescent Balanced Progressive

4.59% 1.98%

Element Islamic Balanced

Kagiso Islamic Balanced

1.41%

2.85%

0.46% -1.10%

27four Shari'ah Wealth Builder Fund

3.68%

-3.98%

0.71% 1.69%

Alexander Forbes Investments Shari'ah High Growth

3 Years (p.a.) Benchmark Portfolio

27four Shari'ah Balanced Prescient FoF

Portfolio

27four Shari'ah Multi-Managed Balanced Fund

Balanced Mandates

Investment Managers

Investment Data to the end of December 2018

2.17%

5.55%

5.21%

8.01%

7.28%

1.69%

3.65%

2.63%

7.19%

3.18%

7.36%

5.55%

6.52%

8.53%

2.43%

5.82%

2.62%

3.43%

6.02%

6.91%

5.70%

5.92%

5.77%

13.40%

7.75%

5.87%

4.11%

6.91%

4.98%

7.03%

6.95%

6.92%

5.52%

5.34%

6.24%

7.97%

5.35%

5.64%

4.56%

13.51%

11.89%

5.00%

4.54%

3.33%

3.46%

3.83%

6.14%

5.45%

6.44%

8.49%

4.83%

5.74%

2.51%

3.20%

6.47%

9.96%

11.01%

10.69%

10.55%

8.94%

9.68%

5.69%

9.33%

9.07%

9.16%

8.67%

8.52%

9.44%

8.71%

9.12%

7.76%

7.90%

6.97%

5.45%

6.47%

8.53%

8.13%

9.09%

6.77%

6.45%

6.70%

12.09%

13.02%

12.62%

12.14%

10.33%

7.89%

10.17%

10.49%

9.47%

8.65%

6.39%

Benchmark

10 Years (p.a.)

Benchmark Portfolio

7 Years (p.a.)

Benchmark Portfolio

5 Years (p.a.) Benchmark Portfolio

MANAGER WATCH™ SURVEY

Shari’ah Manager WatchTM Survey

Objective: The portfolios in this survey represent Shari’ah compliant portfolios with various benchmarks. No carve-outs are reflected.

2.52%

2.09%

12.34%

7.93%

4.70%

4.02%

4.85%

4.87%

6.04%

6.27%

27four Shari'ah Wealth Builder Fund

Element Islamic Balanced

Kagiso Islamic Balanced

Oasis Crescent Balanced High Equity

Oasis Crescent Balanced Progressive

Oasis Crescent Balanced Stable

Old Mutual Shari'ah Balanced

SMM Nur Balanced Portfolio

STANLIB Multi-Manager Shari'ah Balanced

11.28%

4.23%

3.04%

Element Islamic Equity

Kagiso Islamic Equity

Oasis Crescent Equity

Old Mutual Shari'ah Equity

3.70%

Old Mutual Global Islamic Equity

Dow Jones Sukuk Index TR

NSE Lotus Islamic Index

7.39%

Short Term Fixed Interest Rate Index

Dow Jones Islamic Titans Index TR

-1.19%

FTSE/JSE SA Listed Property Index

3.69%

MSCI World Islamic GR

4.33%

FTSE/JSE SWIX All Share Index

Rank

FTSE/JSE All Share Index

Market Indices & Statistics

-3.37%

Element Islamic Global Equity

Equity Mandates - Domestic

1.91%

11.33%

27four Shari'ah Active Equity

Equity Mandates - Domestic

3.46%

27four Shari'ah Multi-Managed Balanced Fund

3 year return

Rank

0.08%

13.84%

11.51%

11.47%

Lower volatility = higher ranking

16.30%

17.09%

9.70%

9.07%

9.77%

9.96%

9.25%

Lower volatility = higher ranking

6.85%

6.48%

6.06%

5.51%

7.30%

7.40%

7.25%

7.26%

6.83%

6.25%

6.47%

Volatility (Risk)

-1.85%

-8.58%

-4.96%

-3.05%

9.59%

7.68%

-0.72%

-0.92%

2.86%

-2.49%

-0.71%

-2.49%

-3.83%

5.51%

6.52%

-0.54%

-0.90%

1.28%

Active Return

Calculated on 3 year performance returns

27four Shari'ah Balanced Prescient FoF

Balanced Mandates

Investment Managers

Rank

Investment Data to the end of December 2018 – Volatility vs Return

4.22%

5.11%

7.66%

4.11%

6.87%

5.80%

6.47%

3.96%

1.71%

4.13%

5.18%

6.91%

7.02%

3.39%

5.14%

5.30%

4.01%

2.88%

Tracking Error

-0.44

-1.68

-0.65

-0.74

1.40

1.32

-0.11

-0.23

1.68

-0.60

-0.14

-0.36

-0.55

1.62

1.27

-0.10

-0.22

0.45

Information Ratio

Rank

6.91%

5.70%

5.92%

5.77%

13.40%

7.75%

5.87%

4.11%

6.91%

4.98%

7.03%

6.95%

6.92%

5.52%

5.34%

6.24%

7.97%

5.35%

5.64%

6.02%

Rank

0.19%

13.56%

11.01%

10.94%

Lower volatility = higher ranking

14.15%

15.24%

9.35%

9.08%

9.65%

10.96%

9.00%

Lower volatility = higher ranking

5.68%

4.98%

6.90%

7.24%

7.03%

7.48%

6.12%

5.64%

5.81%

Volatility (Risk)

-0.11%

-4.14%

0.88%

-0.43%

3.58%

1.52%

3.20%

0.81%

1.48%

-0.92%

-3.15%

1.41%

2.23%

2.84%

2.45%

1.46%

Active Return

Calculated on 5 year performance returns 5 Year Return

Rank

3.83%

5.41%

7.23%

3.79%

7.14%

6.27%

6.92%

3.95%

4.92%

6.77%

7.10%

4.22%

5.09%

5.17%

4.01%

2.93%

Tracking Error

-0.03

-0.76

0.12

-0.11

0.50

0.24

0.46

0.20

0.30

-0.14

-0.44

0.33

0.44

0.55

0.61

0.50

Information Ratio

Rank

SECTION 3

Shari’ah Manager WatchTM Survey

Objective: The portfolios in this survey represent Shari’ah compliant portfolios with various benchmarks. No carve-outs are reflected.

135

MANAGER WATCH™ SURVEY

Shari’ah Manager WatchTM Survey Risk vs Return Scatterplot on Shari’ah Compliant Portfolios – Balanced and Equity mandates 3 Years ended 31 December 2018 14.4% Element Islamic Balanced

12.4%

Element Islamic Equity

Kagiso Islamic Equity

10.4%

Return (p.a)

8.4% Kagiso Islamic Balanced Sanlam Nur Balanced

6.4%

Old Mutual Shari’ah Balanced

STANLIB MM Shari’ah Balanced Oasis Crescent Balanced High Equity

Oasis Crescent Balanced Stable

4.4%

Oasis Crescent Balanced Progressive

Oasis Crescent Equity

27four Shari’ah Balanced Prescient FoF 27four Shari’ah Multi-Managed Balanced Fund

Old Mutual Global Islamic Equity Old Mutual Shariah Equity

2.4% 27four Shari’ah Wealth Builder Fund

27four Shari’ah Active Equity

0.4%

-1.7% 0.5%

2.5%

4.5%

6.5%

8.5%

10.5%

12.5%

14.5%

16.5%

18.5%

Active Risk (p.a)(tracking error)

Excess Return vs Tracking Error Scatterplot – Shariah Compliant Portfolios – Balanced and Equity Mandates 3 Years ended 31 December 2018 11.4% Kagiso Islamic Equity

9.4%

Element Islamic Equity

7.4% Element Islamic Balanced

Kagiso Islamic Balanced

5.4% 3.4% Return (p.a)

27four Shari’ah Multi-Managed Balanced Fund SMM Nur Balanced Portfolio

1.4%

Oasis Crescent Balanced Stable 27four Shari’ah Wealth Builder Fund

27four Shari’ah Multi-Managed Balanced Fund

-0.6% STANLIB MM Shari’ah Balanced

Old Mutual Global Islamic Equity

-2.6%

27four Shari’ah Active Equity Oasis Crescent Balanced Progressive

Oasis Crescent Equity

Oasis Crescent Balanced High Equity

-4.6% Old Mutual Shari’ah Balanced

Old Mutual Shari’ah Equity

-6.6% Element Islamic Global Equity

-8.6% 0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

Volatility (p.a)(tracking error)

136

7.0%

8.0%

9.0%

10.0%

0.00%

** International Murabahahs included in Int Cash

* AA lagged by a quarter

39.31%

STANLIB Multi-Managers Shari'ah Balanced

4.05%

38.84%

47.35%

SMM Nur Balanced Portfolio

Sentio SCI Hikma Shari'ah Balanced

0.00%

25.39%

35.22%

Oasis Crescent Balanced Stable**

Old Mutual Shari'ah Balanced

0.00%

43.33%

41.55%

Oasis Crescent Balanced High Equity**

0.00%

Oasis Crescent Balanced Progressive**

51.25%

39.76%

Element Islamic Balanced

Kagiso Islamic Balanced

0.00%

0.05%

46.93%

48.45%

27four Shari'ah Wealth Builder Fund*

Alexander Forbes Investments Shari'ah High Growth

0.13%

42.65%

36.30%

27four Shari'ah Balanced Prescient FoF*

0.00%

SA Income

27four Shari'ah Multi-Managed Balanced Fund*

Balanced Mandates

Domestic Equities

0.00%

34.90%

29.11%

11.24%

12.64%

37.85%

0.00%

16.55%

30.78%

25.07%

Domestic Murabahah Contracts

7.70%

0.00%

2.45%

0.00%

Domestic Sukuk

Investment Data to the end of December 2018 – Performance Data

0.94%

1.71%

1.24%

0.00%

14.47%

13.04%

10.54%

0.00%

1.67%

6.24%

1.84%

1.52%

0.82%

Domestic Property (Listed)

31.05%

32.30%

35.79%

6.33%

0.75%

0.94%

1.49%

1.66%

28.16%

17.03%

0.95%

0.80%

3.17%

Domestic Cash

0.00%

0.80%

0.00%

0.29%

4.79%

4.56%

0.49%

79.00%

81.36%

79.92%

78.90%

69.72%

66.77%

68.01%

80.07%

81.08%

72.01%

71.12%

74.09%

72.20%

Total Commodities Domestic Assets

18.84%

15.87%

17.45%

21.00%

14.41%

18.98%

22.78%

19.19%

18.84%

22.17%

25.01%

21.51%

24.46%

Int. Equities

0.00%

7.38%

4.43%

4.29%

0.00%

1.68%

2.35%

3.30%

Int. Sukuk

1.92%

2.76%

1.91%

0.10%

3.27%

2.63%

2.50%

0.74%

0.09%

5.56%

0.27%

0.06%

0.04%

Int. Cash

0.24%

0.00%

0.03%

0.00%

4.59%

6.16%

1.35%

0.00%

0.16%

1.47%

1.57%

0.00%

0.69%

0.00%

0.10%

0.00%

Int. Real Int. Estate Income

0.00%

0.63%

1.03%

1.07%

0.00%

0.45%

0.43%

0.00%

Africa

21.00%

18.64%

20.08%

21.10%

30.28%

33.23%

31.99%

19.93%

18.93%

27.99%

28.88%

25.92%

27.80%

Total International

100.00%

Total Assets

SECTION 3

Shari’ah Manager WatchTM Survey

Objective: The portfolios in this survey represent Shari’ah compliant portfolios with various benchmarks. No carve-outs are reflected.

137

MANAGER WATCH™ SURVEY

Shari’ah Manager WatchTM Survey Objective: The portfolios in this survey represent Shari’ah compliant portfolios with various benchmarks. No carve-outs are reflected.

Investable Performance Data Analysis to the end of December 2018 Investment Managers

Return – 1 Year

Return – 3 Years (p.a.)

Return – 5 Years (p.a.)

Return – 7 Years (p.a.)

Return – 10 Years (p.a.)

Balanced Mandates High

4.59%

12.34%

7.97%

9.44%

10.17%

Upper Quartile

1.98%

6.15%

6.92%

9.25%

10.17%

Median

1.33%

4.85%

6.02%

9.07%

10.17%

Average

1.62%

5.37%

6.22%

8.99%

10.17%

Lower Quartile

0.71%

3.74%

5.52%

8.69%

10.17%

Low

-1.10%

2.09%

5.34%

8.52%

10.17%

Range

5.69%

10.26%

2.63%

0.92%

0.00%

High

2.93%

11.33%

7.03%

10.55%

12.14%

Upper Quartile

1.31%

11.28%

6.91%

9.90%

11.24%

Median

-1.72%

4.23%

5.87%

9.31%

10.33%

Average

-1.34%

6.36%

5.78%

8.72%

10.12%

Lower Quartile

-2.99%

3.04%

4.98%

8.13%

9.11%

Low

-6.44%

1.91%

4.11%

5.69%

7.89%

Range

9.37%

9.42%

2.92%

4.86%

4.25%

Number of participants Equity Mandates – Domestic

Number of participants Equity Mandates – Global High

10.15%

3.70%

13.40%

Upper Quartile

8.29%

1.93%

11.99%

Median

6.44%

0.16%

10.58%

Average

6.44%

0.16%

10.58%

Lower Quartile

4.58%

-1.60%

9.17%

Low

2.72%

-3.37%

7.75%

Range

7.42%

7.07%

5.65%

Number of participants

138

5.87%

6.08%

15.16%

10.39%

5.23%

5.19%

4.90%

9.23%

7.95%

4.03%

27four Shari'ah Wealth Builder Fund

Element Islamic Balanced

Kagiso Islamic Balanced

Oasis Crescent Balanced High Equity

Oasis Crescent Balanced Progressive

Oasis Crescent Balanced Stable

Old Mutual Shari'ah Balanced

SMM Nur Balanced Portfolio

Sentio SCI Hikma Shari'ah Balanced

12.43%

5.24%

10.82%

4.38%

Element Islamic Equity

Kagiso Islamic Equity

Oasis Crescent Equity

Old Mutual Shari'ah Equity

Sentio SCI Hikma Shari'ah General Equity

-3.48%

10.35%

Element Islamic Global Equity

Old Mutual Global Islamic Equity

Equity Mandates – Global

7.14%

15.68%

27four Shari'ah Active Equity

Equity Mandates – Domestic

7.55%

27four Shari'ah Multi-Managed Balanced Fund

13.73%

13.30%

12.78%

5.42%

9.59%

12.64%

6.39%

10.13%

9.97%

5.81%

5.71%

4.62%

5.66%

7.75%

10.01%

6.81%

3.54%

3.91%

9.36%

-8.27%

-9.00%

5.53%

8.42%

19.07%

16.94%

1.96%

8.39%

5.26%

5.64%

7.65%

11.70%

17.73%

-0.17%

0.09%

2.23%

Portfolio

-6.51%

-3.71%

14.90%

12.93%

2.79%

7.29%

3.30%

4.28%

10.10%

6.61%

9.79%

1.38%

6.58%

1.48%

2.69%

1.57%

Benchmark

Calendar Year 2016

Benchmark

Calendar Year 2017

Portfolio

27four Shari'ah Balanced Prescient FoF

Balanced Mandates

Investment Managers

Investment Data to the end of December 2018 – Performance Data

37.38%

35.23%

9.21%

-1.43%

-6.22%

-11.69%

14.03%

0.69%

11.09%

8.23%

2.37%

-1.22%

-3.85%

10.90%

11.64%

11.17%

Portfolio

35.09%

30.72%

-9.90%

-5.54%

1.47%

-1.43%

1.09%

2.24%

-0.74%

4.77%

7.90%

7.60%

2.29%

3.23%

3.57%

7.44%

Benchmark

Calendar Year 2015

22.43%

19.06%

11.33%

9.58%

8.10%

4.65%

16.35%

9.22%

12.03%

10.36%

8.97%

7.62%

9.97%

9.38%

8.79%

Portfolio

18.64%

15.23%

12.39%

7.05%

10.41%

8.03%

10.41%

9.67%

5.80%

8.96%

9.51%

9.04%

1.45%

2.16%

9.05%

Benchmark

Calendar Year 2014

44.79%

20.71%

23.63%

21.98%

8.84%

26.12%

15.82%

17.55%

21.05%

19.36%

10.29%

25.16%

21.48%

16.04%

Portfolio

50.10%

20.89%

17.17%

19.35%

16.19%

19.33%

16.14%

5.35%

8.50%

18.10%

18.28%

21.71%

17.82%

17.62%

Benchmark

Calendar Year 2013

SECTION 3

Shari’ah Manager WatchTM Survey

Objective: The portfolios in this survey represent Shari’ah compliant portfolios with various benchmarks. No carve-outs are reflected.

139

140 Bi-annually

Monthly

AAOIFI

Adheres to AAOIFI with the exception that Total Assets are used as the denominator to assess permissibility of company /share balance sheet ratios instead of Total Market Capitilisation AAOIFI AAOIFI IAIE IFSB GCIBFI

AAOIFI

Mufti Ahmed Suliman Mufti Yusuf Suliman Mufti Tauha Karaan

Mufti Mohammed Ali Mufti Ashraf Qureshi Mufti Ahmed Suliman Mufti Yusuf Suliman

Sheigh Taha Karaan Mufti Zubair Bayat Mufti Ahmed Suliman

Shaykh Nedham Yaqoobi Shaykh Yusuf Talal De Lorenzo Prof. Mohd Daud Bakar Mohamed Shaheen Ebrahim

Dr. Abdul Sattar Abu Ghuddah Mufti Shafique Ahmed Jakhura Adv. Mohamed Shoaib Omar Mufti Zubair Bayat

See details for Kagiso Asset Managers See details for Old Mutual Investment Group See details for Sentio Capital Management

Qari Ayoob Essack Mufti Zaid Haspatal Mufti Ahmed Suliman

27four Investment Managers

Alexander Forbes Investments

Element Investment Managers

Kagiso Asset Management

Oasis Asset Management

Old Mutual Investment Group

Sanlam Investment Management

Sentio Capital Management

Annually

See details for Kagiso Asset Managers See details for Old Mutual Investment Group See details for Sentio Capital Management

Annually

Bi-annually

AAOIFI

Mufti Ahmed Suliman Mufti Mohammed Ashraf Mufti Zaid Haspatel

Frequency of portfolio auditing for Shariah compliance

Shari'ah Standard

Shari'ah Advisory Board / Supervisory Committee

Asset Manager

Manager Information

Sentio Shari'ah Supervisory Board in conjunction with internal Shari'ah compliance processes.

Donated to charities approved by the Sentio Shari'ah Supervisory Board. Past recipients include the Caring Women's Forum and the Soweto Shura Council.

Sanlam Private Wealth's Shari'ah platform assists with the distribution to charities. Charities who have benefitted in the past includes the Mustadafin Foundation and Gift of the Givers.

Deposited into the account of the SA Muslim Charitable Trust. The Trust is an independent organisation and is responsible for all charitable allocations. The Trust contributes towards four primary sectors: education, health, social development and poverty alleviation.

Old Mutual Investment Group's Shari'ah Supervisory Board in conjunction with the Compliance team as well as the Albaraka Bank's Shari'ah compliance department. See details for Kagiso Asset Managers See details for Old Mutual Investment Group See details for Sentio Capital Management

Donated to a registered charitable organisation for charitable causes in the areas of disaster relief, education, sport and healthcare.

Donated to charities approved by the Kagiso Asset Management's Shari'ah Advisory Board.

Oasis Shari'ah Advisory Board in conjunction with the Compliance team.

Kagiso Shari'ah Board in conjunction with internal Shari'ah supervisory processes.

Donated to charities, typically the asset manager donates to Mustadifin and IPSA.

Donated to charities approved by the Alexander Forbes Investments' Shari'ah Supervisory Committee.

Alexander Forbes Investment Shari'ah Supervisory Committee in conjunction with the Compliance team.

Element Shari'ah Board in conjunction with the portfolio manager.

Distributions of non-permissable income (NPI) is done according to an NPI application process, overseen and approved by the SSB.

How is non-permissable income "purified"?

The Shari'ah Supervisory Board (SSB) advises on Shari'ah compliance matters.

Who manages the Shari'ah compliance of the fund?

MANAGER WATCH™ SURVEY

Shari’ah Manager WatchTM Survey

Objective: The portfolios included in this Survey represent Shari’ah compliant portfolios with various benchmarks. Shari’ah related informationabout the manager is reflected below.

FTSE/JSE Capped Shari’ah Top 40 index; Newplat; STeFI; Dow Jones Islamic Market Titans 100 index; Lotus Islamic Market index; Dow Jones Global Sukuk Index

55% FTSE/JSE Shari’ah All Share; 13% STeFI Composite minus 1%; 7% Shari’ah Local Property Benchmark; 20% MSCI World Islamic Index; 5% Dow Jones Sukuk Index

Inception to 31 Dec 2012: Average TR of the Domestic Prudential Variable Equity category; 1 Jan 2013 Average TR of South African - Multi Asset High Equity category; 1 Nov 2014 Average of all Shari’ah Balanced unit trust funds with a minimum track record of 1 year

ASISA Category Average: South African - Multi Asset - High Equity funds mean

Headline Inflation + 3%

Headline Inflation + 1%

Headline Inflation

45% Customised SA Shari’ah Equity Index; 10% S&P Developed Markets Large and Mid-Cap Shari’ah Index; 40% STeFI minus 0.5%; 5% 3 Month USD LIBOR. The Customised SA Shari’ah Equity Index is a market capitalisation weighted index (subject to a maximum of 10% exposure to any single share) based on the investable universe as approved by the Fund’s Shari’ah board and as calculated by the appointed calculation agent, the JSE.

Market value weighted average return of the peer group of Shari’ah Balanced funds

ASISA Category Average: South African - Multi Asset - High Equity

45% FTSE/JSE Shari’ah All Share; 35% STeFI Composite minus 0.5%; 15% Dow Jones Islamic World Index; 5% 3 Month USD LIBOR

27four Shari'ah Multi-Managed Balanced Fund

27four Shari'ah Wealth Builder Fund

Alexander Forbes Investments Shari'ah High Growth

Element Islamic Balanced

Kagiso Islamic Balanced

Oasis Crescent Balanced High Equity

Oasis Crescent Balanced Progessive

Oasis Crescent Balanced Stable

Old Mutual Shari'ah Balanced

Sanlam Nur Balanced

Sentio SCI Hikma Shari'ah Balanced

STANLIB Multi-Managers Shari'ah Balanced

Average of all Shari'ah Equity funds with a minimum track record of 1 year

ASISA Category Average: South African - Equity - General funds mean

Average South African Shari'ah Equity General benchmark. This is a peer group which consists of all funds with similar characteristics that have a performance track record of more than 3 years.

85% Customised SA Shari'ah Equity Index; 15% S&P Developed Markets Large and Mid-Cap Shari'ah Index. The Customised SA Shari'ah Equity Index is a market capitalisation weighted index (subject to a maximum of 10% exposure to any single share) based on the investable universe as approved by the Fund's Shari'ah board and as calculated by the appointed calculation agent, the JSE.

ASISA Category Average: South African - Equity - General

Element Islamic Equity

Kagiso Islamic Equity

Oasis Crescent Equity

Old Mutual Shari'ah Equity

Sentio SCI Hikma Shari'ah General Equity

Dow Jones Islamic Market World Index

S&P Developed Markets Large and Mid-Cap Shari'ah Index

Element Islamic Global Equity

Old Mutual Global Islamic Equity

Equity Mandates – Global

South Africa - Equity - General Category Average

27four Shari'ah Active Equity

Equity Mandates – Domestic

Average of South African - Multi Asset - High Equity Funds (net of fees)

27four Shari'ah Balanced Prescient FoF

Balanced Mandates

Benchmark Descriptions

SECTION 3

Shari’ah Manager WatchTM Survey

Objective: The portfolios included in this Survey represent Shari’ah compliant portfolios with various benchmarks. No carve-outs are reflected.

141

MANAGER WATCHâ&#x201E;˘ SURVEY

2019 investment outlook: a fragile mix of policy uncertainties Global growth steady with increasing downside risks Global economic growth for 2019 is expected to continue to plateau at 3.7%, as the growth in developed markets (DMs) is expected to moderate to 2.1% from 2.4%, as a result of the waning impact of tax cuts and tightening monetary policy in the US and rising Brexit uncertainty in Europe. Growth in emerging markets (EMs) is expected to accelerate to 5.2% in 2019, from the average of 4.8% between 2014 and 2018, helped by lower oil prices and fewer interest rate hikes, which will offset the weakness in DMs. However, systemic country-specific variations are driven by the US, Germany, the UK and China. The outperformance of the US is likely behind us, as the boost from tax cuts diminishes and household income gains will likely stagnate this year. The reduction in liquidity and tightening monetary policy will also start to constrain economic growth. In Europe, the UK and Germany will see slower growth, but for different reasons. The UK will be weighed down by the Brexit uncertainty, while Germany is adjusting lower, given the late stage in its economic cycle, with above-trend growth. In emerging markets, China is still adjusting to a change in growth drivers, towards consumption-led drivers, which structurally imply slower economic growth. In addition, the trade war with the US should have a negative effect on growth, but should be offset by monetary and fiscal stimulus, which the Chinese authorities have embarked on. The balance of risks to this outlook is tilted to the downside, owing to political risks in the US, UK, China and several other EMs holding elections this year. Political risks necessarily create policy risks, in addition to the ongoing trade wars, Brexit and Italian debt issues. However, we believe that the biggest risk for markets remains the US Fed rate hiking path, which at this point, looks set to deliver one or two hikes, at best, which will not trigger a risk-off trade.

142

Global inflation to stabilise, as a result of a fall in energy prices and stable exchange rates Following a rise in the annual global headline inflation rate, to 3.8% in 2018, from 3.2% during the previous year, inflation is expected to remain moderate, at 3.2%, over the next two years, owing to lower oil prices and strengthening exchange rates against the US dollar. DMs are expected to change from 2.4% in 2018, to 2.0% in 2019 and 2020, while EMs will stabilise below their five-year average of 4.4%. US, Eurozone and UK inflation rates are expected to change from 2.5%, 1.7% and 2.5% in 2018, to 2.0%, 1.5% and 2.1% in 2019, respectively. In EMs, Chinese inflation is expected to accelerate to 2.3%, from 2.1%, driven by looser monetary policy. Other EMs should see varied inflation dynamics, which we believe will offset each other and leave the EM average stable, below the five-year average.

Gradual monetary policy tightening a reprieve for emerging markets With lower and stable inflation dynamics in DMs and EMs, respectively, we expect monetary policy tightening to be more gradual than was anticipated last year. The US Fed will likely hike once or twice, at most, in 2019, down from three times previously. Markets are pricing a 35 basis point increase, to 2.85% by the end of Q2 2020, from the current 2.5%. The European Central Bank (ECB) will likely hike once in Q4 2019, with the risk of no hike, if growth slows down more than expected. Bloomberg consensus estimates a 30 basis point increase by the end of Q2 2020, from 0% currently. In EMs, we expect more stable interest rates, compared with the previous year, with fewer countries hiking policy rates.

SECTION 3

South African economic outlook: politics and policy slow recovery South Africa’s economic and markets outlook for this year will be affected by the national and provincial elections, which are scheduled to take place in May, in addition to the global factors discussed earlier. Independent Press Standards Organisation’s (IPSO) latest survey of voter intentions shows that the African National Congress (ANC) has 61% support. If the ANC maintains or gains more support at the polls, it will be market positive, as it will mean that President Ramaphosa has a clear mandate from the electorate to push through the much-needed economic reforms that will boost economic growth. We believe this is the likely outcome, so we expect local equities to outperform local bonds. From a policy point of view, pronouncements during election campaigns, as we have already seen with the ruling ANC’s manifesto, will introduce a layer of concerns, even before the outcome of the elections itself, and policy position of the government that will be established is in place. Two aspects that are of concern for markets are the intention to look into prescribed minimum assets for pension fund investors and the nationalisation of the South African Reserve Bank (SARB).

Will prescribed minimum assets be imposed on pension funds? Talks on tapping into prescribed minimum assets are not new and they seem to resurface around national elections and disappear soon after. Currently, there are no prescribed minimum assets, for developmental purposes, for pension funds in South Africa. If prescribed minimum assets were to be made into law, it will distort investment outcomes and prejudice clients whose pensions are managed by pension funds. However, we do not believe that prescribed minimum assets will be made into law; however, it remains a low probability event.

Will the SARB be nationalised? As it relates to the nationalisation of the SARB, two aspects need to be separated: ownership, and mandate and independence. At its Monetary Policy Committee (MPC) meeting on 17 January 2019, the SARB governor spoke at length, clarifying the two points on the next page.

143

MANAGER WATCH™ SURVEY

The ownership of the SARB does not affect its mandate and independence. To us, this means that even if the state were to nationalise the SARB, this will not change its mandate, which is constitutionally prescribed as ‘to achieve and maintain price stability in the interest of balanced and sustainable economic growth in South Africa’. In any case, there are other central banks that are owned by their government that are independent in how they achieve their mandated objectives.

Given that the independence and mandate of the SARB is prescribed in the Constitution, changing that will require changing the Constitution, which will be a far more difficult task to do without thorough economic justification. We believe that the SARB will not be nationalised and its mandate and independence will not be changed.

Economic growth will marginally recover Given our expectations on the political outcomes, we believe economic growth will recover to about 1.5% in 2019, from an estimated 0.6% in 2018. The recovery is premised on a rebound in household consumption and fixed investment, especially in the second half of the year. It is a wait-andsee before elections in May, with few economic reforms and, as a result, little private sector investment. Even after elections, it will take some time to re-organise government and pronounce and implement policy. Therefore, a pickup of growth is a story of 2020 and beyond.

No rate hikes in 2019, as inflation is well contained within the 3%–6% SARB target band We forecast inflation of 5.0% in 2019, from 4.8% in 2018. The decline in oil prices and slightly stronger rand against the US dollar has resulted in cuts in petrol prices in December and January. However, market expectations are that oil prices will increase and the rand will remain slightly weaker. Electricity prices are likely to increase above 10% per year, for the next three years, given Eskom’s financial problems.

144

Food price inflation will also likely rise as a result of poor rainfall in major maize production regions. These factors will push inflation risks to the upside for the year. What remains supportive of a better inflation outlook is the fact that demand-pull inflation remains minimal. Given our expectations on inflation and the SARB’s inflation forecast of 4.8%, 5.3% and 4.8% in 2019, 2020 and 2021, we believe interest rates will stay on hold for the rest of the year, with a risk of one hike at best. The bank’s Quarterly Projection Model forecasts only one rate hike over the forecast horizon.

Asset allocation Return expectations better in 2019, but still low The weak asset class returns experienced in 2018 are expected to improve in 2019, but remain low, still affected by the tighter Fed monetary policy, weaker global growth and declining global liquidity. Given that pension fund portfolios are long term, we centre our investment outlook on the five-year return outlook, rather than on one year. The long-term return outlook has improved, on account of the equity market correction in 2018, but the outlook doesn’t match up to historical long-term returns. The low-return theme remains intact. There is still a strong case to use alternatives, in the form of both private equity and hedge funds, to mitigate against downside risks and potentially bolster returns.

Developed market equity Developed market equities fell 10%, in real US dollar terms, in 2018. The correction in price in late 2018 implies that the five-year real return outlook has improved for DM equities, to approximately 4% to 5% (annualised), in US dollars, according to our estimates. The real cyclically adjusted price earnings ratio, a measure of valuation, dropped from a 10-year high of 24 in September 2018, to 21 in December 2018, but isn’t far below the long-term average of 23 since 1988. DM equities have the added benefit of the global opportunity set, which is a slight constraint for South African equity.

SECTION 3

Emerging market equity

South African equity

Economic growth and return prospects are stronger in EMs than in DMs and South Africa. However, growth is not the only factor assisting EM equity prospects. Valuations corrected substantially in late 2018, making them more attractive than levels seen at the start of 2018. US dollar strengthening risks cannot be ruled out while the Federal Reserve is still expected to hike interest rates, but the US dollar is closer to the end of its strengthening cycle than the start. Potential US dollar weakness over the years ahead should also support EM equity returns because EMs are heavily levered to the US dollar cycle.

After falling 12.6%, in real terms, in 2018, South African equities, represented by the JSE All Share Index (ALSI), are expected to return approximately 4%, in real, CPI-adjusted terms, over the next five years (annualised). Valuations are certainly better, but constrained economic activity should keep the return outlook lower than long-term historical averages. Retained earnings, a measure of corporate South Africaâ&#x20AC;&#x2122;s confidence in their investment opportunities, are improving but remain inhibited, exemplifying the conditions faced by South African equities. Unlisted South African equities are expected to provide a premium above listed equity, as they did in 2018.

Global bonds

South African bonds

The rise in global interest rates in 2018 implies that the five-year return prospects for global bonds have improved. Bonds could also become a useful diversifier as the end of the US business cycle nears; however, five-year real return expectations remain negative, in US dollar terms, as interest rates are low and rising, while inflation is ticking higher, as a trend. After years of ultra-low interest rates and inflation in the DMs, we cannot discount the risk of a change in conditions towards higher inflation and interest rates, which would be a negative outcome for global bonds. Global bonds are still considered an unattractive asset class, over the long term, as a result.

Despite ongoing credit rating concerns, owing to fiscal deterioration, South African bonds continue to offer reasonably attractive return prospects, as a result of elevated real yields. The yield on the ten-year government bond was more than 4% above the CPI inflation rate for most of 2018, which is higher than the long-term average for this spread. We forecast five-year real return expectations from the All Bond Index (ALBI) of approximately 2% (annualised), which is marginally lower than historical norms from this asset class.

Global cash

South African cash

US short-term interest rates have risen to the highest levels since 2009, making the US dollar cash a reasonably attractive asset class, in the face of shorterterm financial market volatility. This is a dramatic shift from the last 10 years, when interest rates were at the zero lower bound. US interest rates are also noticeably higher than their developed markets peers, because the Fed has continued with its tightening cycle, while other global central banks remain very cautious. For this reason, cash allocations need to account for geographical concentration. Longer-term return expectations from cash are unlikely to compete with growth assets.

Local cash return expectations benefit from the same dynamic as bonds, with positive real return prospects over the coming years. Prudent SARB monetary policy is the major contributing factor to positive real interest rate conditions. Given the degree of volatility in financial markets and the risks attached to equity, cash presents periodic attractiveness despite its low long-term real return expectation.

Note: A ny projections contained in the information are estimates only. Such projections are subject to market influences and contingent upon matters outside the control of Alexander Forbes and therefore may not be realised in the future. Historical returns are no guarantee of future performance.

145

MANAGER WATCHâ&#x201E;¢ SURVEY

146

SECTION 4

Section Four Fees

MANAGER WATCH™ SURVEY

Investment management fees

Investment management fees are intended to compensate investment managers for their time and skill to manage the assets of a fund, and are usually in the form of a percentage of the assets managed.

The main types of investment fees are annual base fees, with some funds charging an additional performance fee. Fees can be quoted on a fixed basis or a sliding scale. A fixed fee is a constant % fee charged irrespective of the value of the assets being managed. A sliding scale fee is a structure where the % fee charged reduces as the value of assets managed increases. The performance fee is generally charged when the manager outperforms its specified benchmark. The manager therefore earns a percentage of the investment profits (often both realised and unrealised). In simple terms we can define performance fees as the manager’s share of the fund’s profits but not in their losses.

Alexander Forbes Fee Study The purpose of the Alexander Forbes Fee Survey is to create transparency and visibility of fees charged by the investment industry for institutional pension fund mandates. The main benefit is to provide trustees, asset consultants, and advisors with a framework to benchmark the fees that they are being charged.

The fee survey utilised data over a five year time period (i.e. 2014 to 2018) to show fee trends if any in the industry. Data was obtained through liaising and collecting data from asset managers and the validity thereof was checked. The Survey was conducted as at November 2018 across nine popular pension fund mandates: Multi Asset Class Mandates

Single Asset (Specialist) Mandates

Global Mandate, BIV*, Segregated Portfolio

Domestic Equity Mandate

Domestic Mandate, BIV*, Segregated Portfolio

Domestic Fixed Income Mandate

Global Mandate, BIV*, Pooled Portfolio

Domestic Money Market Mandate

Domestic Mandate, BIV*, Pooled Portfolio Global Absolute Mandate Domestic Absolute Mandate

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The managers were asked to break down their fee structure into a standardised sliding scale framework using distinct Asset under Management bands: R0-50 million R51-100 million R101-150 million R151-250 million R251-500 million R500 + million

Limitations of study: 1. The universe was restricted to asset managers that participate in the Alexander Forbes Surveys. 2. Participation in the survey was voluntary, and therefore selection may be biased 3. The standardisation of fees in AuM categories may not reflect an individual managerâ&#x20AC;&#x2122;s fee scale.

Where relevant the fee charged for international assets was collected.

To access the full fee survey including analysis:

* Best Investment View Balanced Portfolios.

https://www.alexanderforbes.co.za/ research/publications

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Base Fees – Indicative Range

Multi–Asset Class Mandates Global Mandate, BIV, Segregated Portfolios Average fee per band Fee Band

Average fee per band Average Fee(%)

0-50 million 0.81% 51-100 million 0.81% 101-150 million 0.81% 151-250 million 0.76% 251-500 million 0.76% 500 + million 0.71% International 0.86% Highest and Lowest per fee band Fee Band High 0-50 million 1.00% 51-100 million 1.00% 101-150 million 1.00% 151-250 million 1.00% 251-500 million 1.00% 500 + million 1.00% International 1.50%

Participants per Fee Band 4 4 4 4 4 4 4 Low 0.70% 0.70% 0.70% 0.60% 0.60% 0.50% 0.30%

Domestic Mandate, BIV, Segregated Portfolios Average fee per band Fee Band 0-50 million 51-100 million 101-150 million 151-250 million 251-500 million 500 + million Performance fees Fee Band 0-50 million 51-100 million 101-150 million 151-250 million 251-500 million 500 + million

Global Mandate, BIV, Pooled Portfolios

Fee Band

Average Fee(%)

0-50 million 0.80% 51-100 million 0.80% 101-150 million 0.80% 151-250 million 0.75% 251-500 million 0.75% 500 + million 0.70% International 0.90% Highest and Lowest per fee band Fee Band High 0-50 million 0.95% 51-100 million 0.95% 101-150 million 0.95% 151-250 million 0.95% 251-500 million 0.95% 500 + million 0.95% International 1.50%

Participants per Fee Band 4 4 4 4 4 4 4 Low 0.70% 0.70% 0.70% 0.60% 0.60% 0.50% 0.30%

Domestic Mandate, BIV, Pooled Portfolios Average fee per band

Average Fee(%) 0.80% 0.80% 0.76% 0.75% 0.72% 0.69% High 1.50% 1.50% 1.50% 1.50% 1.50% 1.50%

Participants per Fee Band 11 11 11 11 11 11 Low 0.35% 0.35% 0.35% 0.35% 0.35% 0.35%

Fee Band

Global Absolute Mandate, BIV, Segregated Portfolios Average fee per band Fee Band

Average Fee(%)

0-50 million 0.83% 51-100 million 0.83% 101-150 million 0.82% 151-250 million 0.81% 251-500 million 0.79% 500 + million 0.77% International 1.09% Highest and Lowest per fee band Fee Band High 0-50 million 1.00% 51-100 million 1.00% 101-150 million 1.00% 151-250 million 1.00% 251-500 million 1.00% 500 + million 1.00% International 1.50%

Participants per Fee Band 9 9 9 9 9 9 9 Low 0.60% 0.60% 0.60% 0.60% 0.55% 0.50% 0.30%

Domestic Absolute Return Mandate Average fee per band

Average Fee(%)

0-50 million 0.78% 51-100 million 0.75% 101-150 million 0.73% 151-250 million 0.71% 251-500 million 0.68% 500 + million 0.68% Highest and Lowest per fee band Fee Band High 0-50 million 1.10% 51-100 million 1.10% 101-150 million 1.10% 151-250 million 1.10% 251-500 million 1.10% 500 + million 1.10%

Participants per Fee Band 23 23 23 23 23 23 Low 0.30% 0.26% 0.23% 0.19% 0.15% 0.15%

Fee Band

Average Fee(%)

0-50 million 0.66% 51-100 million 0.63% 101-150 million 0.60% 151-250 million 0.59% 251-500 million 0.56% 500 + million 0.55% Highest and Lowest per fee band Fee Band High 0-50 million 1.00% 51-100 million 0.95% 101-150 million 0.95% 151-250 million 0.95% 251-500 million 0.95% 500 + million 0.95%

Participants per Fee Band 22 22 22 22 22 22 Low 0.25% 0.25% 0.25% 0.25% 0.25% 0.25%

Single Asset (Specialist) Mandate Specialist Domestic Equity Mandate Average fee per band Fee Band

Average fee per band Average Fee(%)

0-50 million 0.77% 51-100 million 0.76% 101-150 million 0.73% 151-250 million 0.72% 251-500 million 0.68% 500 + million 0.65% Highest and Lowest per fee band Fee Band High 0-50 million 1.10% 51-100 million 1.00% 101-150 million 1.00% 151-250 million 1.00% 251-500 million 1.00% 500 + million 1.00%

150

Specialist Domestic Fixed Interest Mandate

Participants per Fee Band 30 30 30 30 30 30 Low 0.45% 0.45% 0.40% 0.40% 0.40% 0.35%

Fee Band

Specialist Domestic Money Market Mandate Average fee per band

Average Fee(%)

0-50 million 0.40% 51-100 million 0.36% 101-150 million 0.34% 151-250 million 0.34% 251-500 million 0.32% 500 + million 0.31% Highest and Lowest per fee band Fee Band High 0-50 million 0.70% 51-100 million 0.58% 101-150 million 0.50% 151-250 million 0.50% 251-500 million 0.50% 500 + million 0.50%

Participants per Fee Band 25 25 25 25 25 25 Low 0.18% 0.18% 0.18% 0.18% 0.15% 0.13%

Fee Band

Average Fee(%)

0-50 million 0.23% 51-100 million 0.20% 101-150 million 0.18% 151-250 million 0.18% 251-500 million 0.17% 500 + million 0.16% Highest and Lowest per fee band Fee Band High 0-50 million 0.40% 51-100 million 0.27% 101-150 million 0.25% 151-250 million 0.25% 251-500 million 0.25% 500 + million 0.25%

Participants per Fee Band 27 27 27 27 27 27 Low 0.11% 0.10% 0.10% 0.10% 0.08% 0.08%

SECTION 4

Base Fees plus Performance Fees â&#x20AC;&#x201C; Indicative Ranges

Multiâ&#x20AC;&#x201C;Asset Class Mandates Global Mandate, BIV, Segregated Portfolios

Average fee per band

Average fee per band Fee Band

Average Fee(%)

0-50 million 0.63% 51-100 million 0.62% 101-150 million 0.60% 151-250 million 0.58% 251-500 million 0.57% 500 + million 0.56% Performance fees 17.92% Highest and Lowest per fee band Fee Band High 0-50 million 1.35% 51-100 million 1.35% 101-150 million 1.35% 151-250 million 1.35% 251-500 million 1.35% 500 + million 1.35% Performance fees 25.00%

Participants per Fee Band 12 12 12 12 12 12 12 Low 0.35% 0.35% 0.35% 0.30% 0.30% 0.25% 10.00%

Domestic Mandate, BIV, Segregated Portfolios Average fee per band Fee Band 0-50 million

Global Mandate, BIV, Pooled Portfolios

Fee Band

Average Fee(%)

0-50 million 0.59% 51-100 million 0.57% 101-150 million 0.53% 151-250 million 0.50% 251-500 million 0.47% 500 + million 0.46% Performance fees 17.86% Highest and Lowest per fee band Fee Band High 0-50 million 1.00% 51-100 million 1.00% 101-150 million 1.00% 151-250 million 1.00% 251-500 million 1.00% 500 + million 1.00% Performance fees 20.00%

Participants per Fee Band 6 6 6 6 6 6 6 Low 0.35% 0.35% 0.35% 0.30% 0.30% 0.25% 10.00%

Domestic Mandate, BIV, Pooled Portfolios Average fee per band

Average Fee(%)

Participants per Fee Band

0.47%

51-100 million 0.45% 101-150 million 0.42% 151-250 million 0.40% 251-500 million 0.38% 500 + million 0.37% Performance fees 18.13% Highest and Lowest per fee band Fee Band High 0-50 million 0.65% 51-100 million 0.57% 101-150 million 0.50% 151-250 million 0.50% 251-500 million 0.50% 500 + million 0.50% Performance fees 25.00%

8 8 8 8 8 8 Low 0.35% 0.35% 0.35% 0.30% 0.30% 0.25% 10.00%

Fee Band

Global Absolute Mandate, Biv, Segregated Portfolios Average fee per band Fee Band

Average Fee(%)

0-50 million 0.59% 51-100 million 0.59% 101-150 million 0.59% 151-250 million 0.59% 251-500 million 0.59% 500 + million 0.59% Performance fees 12.00% Highest and Lowest per fee band Fee Band High 0-50 million 1.00% 51-100 million 1.00% 101-150 million 1.00% 151-250 million 1.00% 251-500 million 1.00% 500 + million 1.00% Performance fees 15.00%

Participants per Fee Band 4 4 4 4 4 4 4 Low 0.35% 0.35% 0.35% 0.35% 0.35% 0.35% 10.00%

Domestic Absolute Return Mandate Average fee per band

Average Fee(%)

0-50 million 0.53% 51-100 million 0.52% 101-150 million 0.49% 151-250 million 0.47% 251-500 million 0.45% 500 + million 0.44% Performance fees 18.50% Highest and Lowest per fee band Fee Band High 0-50 million 0.75% 51-100 million 0.75% 101-150 million 0.75% 151-250 million 0.75% 251-500 million 0.75% 500 + million 0.75% Performance fees 25.00%

Participants per Fee Band 9 9 9 9 9 9 9 Low 0.35% 0.35% 0.35% 0.30% 0.30% 0.25% 10.00%

Fee Band

Average Fee(%)

0-50 million 0.41% 51-100 million 0.41% 101-150 million 0.40% 151-250 million 0.40% 251-500 million 0.40% 500 + million 0.39% Performance fees 18.00% Highest and Lowest per fee band Fee Band High 0-50 million 0.50% 51-100 million 0.50% 101-150 million 0.50% 151-250 million 0.50% 251-500 million 0.50% 500 + million 0.50% Performance fees 20.00%

Participants per Fee Band 4 4 4 4 4 4 4 Low 0.25% 0.25% 0.25% 0.25% 0.25% 0.25% 10.00%

Single Asset (Specialist) Mandate Specialist Domestic Equity Mandate Average fee per band Fee Band

Specialist Domestic Fixed Interest Mandate Average fee per band

Average Fee(%)

0-50 million 0.51% 51-100 million 0.50% 101-150 million 0.50% 151-250 million 0.49% 251-500 million 0.47% 500 + million 0.47% Performance fees 16.07% Highest and Lowest per fee band Fee Band High 0-50 million 1.00% 51-100 million 1.00% 101-150 million 1.00% 151-250 million 1.00% 251-500 million 1.00% 500 + million 1.00% Performance fees 20.00%

Participants per Fee Band 19 19 19 19 19 19 19 Low 0.20% 0.20% 0.20% 0.20% 0.20% 0.20% 10.00%

Fee Band

Average Fee(%)

0-50 million 0.20% 51-100 million 0.20% 101-150 million 0.20% 151-250 million 0.20% 251-500 million 0.20% 500 + million 0.20% Performance fees 22.50% Highest and Lowest per fee band Fee Band High 0-50 million 0.20% 51-100 million 0.20% 101-150 million 0.20% 151-250 million 0.20% 251-500 million 0.20% 500 + million 0.20% Performance fees 25.00%

Participants per Fee Band 2 2 2 2 2 2 2 Low 0.20% 0.20% 0.20% 0.20% 0.20% 0.20% 20.00%

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Section Five Investment Survey Glossary

SECTION 5

Investment Survey Glossary Absolute Return Investment Strategy

Balanced Fund Strategy

An actively managed investment objective that seeks consistent, positive returns regardless of whether markets are rising or falling; and without reference to a benchmark index for comparison. While not all absolute return strategies are alike, typically, the goal is to produce returns in excess of the inflation rate and/or cash that can be measured by the consumer price index (CPI) while protecting against capital losses.

An actively managed investment framework where the asset allocation, strategies employed and risk assumed to achieve the specified investment objective is delegated to the investment manager.

Active Fund Management An investment approach that relies on the belief that it is possible to outperform the market. Typically an actively managed fund would select asset classes and investment securities that are expected to perform better than the market or benchmark.

Basis Point One hundredth of 1%, e.g.100 basis points = 1% (one basis point is 1/100th of 1%).

Benchmark

Active Return

An independently constructed reference (usually a publicly available index) that sets an objective rate of return (the neutral position) that should be used to test the effective implementation of an investment strategy. A good benchmark will also be representative of the asset class or mandate and is investable itself.

The difference in returns between a fund and its benchmark at each point in time.

Bias

ALBI (All Bond Index)

A particular tendency, trend, or opinion, especially one that is preconceived or unreasoned

A popular index used to benchmark performance for South African fixed income (bond) portfolios. This index represents a weighted basket of the top 20 South African bonds ranked dually by market capitalisation and liquidity.

Bonds

Alpha Alpha is a measurement of the performance of an investment portfolio against a benchmark. The alpha is the return the fund or portfolio makes, relative to the return of the benchmark.

ALSI (FTSE JSE All Share Index) A popular index used to benchmark performance for South African equity portfolios. This index represents a weighted basket of 99% of the full market capitalisation of all eligible companies listed on the main board of the JSE subject to free float and liquidity criteria. The index can be divided by size into the Top 40, Mid Cap and Small Cap Indices.

Annualised Return To convert an investment return over a period other than one year into an equivalent one year rate of return for comparative purposes. Annualising returns for periods shorter than a year is not recommended.

Asset Class Categories of investments that behave similarly and are subject to similar market forces. Major asset classes include equities (shares), fixed income (bonds and cash), commodities and property.

AUM (Assets Under Management)

Debt issued by a government or a company, typically promising regular payments of coupons (interest) on specified dates with a final capital payment on the maturity date. It can be viewed as a loan given to bond issuers by bond holders.

BSAGI (Barclays SA Government Inflation Linked Index) A popular index used to benchmark performance for local inflation linked bonds. This index represents a weighted basket of SA Government issued inflation linked bonds calculated by Barclays Capital.

Capped SWIX (FTSE JSE Capped Swix All Share Index) A popular index used to benchmark performance for South African equity portfolios. This index includes 99% of the full market cap of eligible JSE listed companies. The constituents are weighted by applying a SWIX free float which represents the proportion of a constituentâ&#x20AC;&#x2122;s share capital on the South African share register. In addition each constituent weight is capped at 10% at each quarterly review.

Cash A major category of asset class, which is commonly used to represent short-term deposits, NCDâ&#x20AC;&#x2122;s and other negotiable instruments (usually held in a bank) that can be readily exchanged into coins and banknotes. This is usually considered the risk-free asset.

The market value of assets held by an investment manager on behalf of clients.

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Composite

Diversification

A group of similarly managed portfolios within a single investment manager and typically defined within the investment managers’ GIPS™ policy.

A portfolio strategy to reduce exposure to risk by investing in various instruments or asset classes, such as equities, bonds and property that are unlikely to move in the same direction at the same time. In other words, the process of spreading investments among different instruments or markets to reduce the overall risk or loss if one performs poorly.

Composite Dispersion The extent to which the returns of all portfolios within a composite differ. It can be measured in different ways, including: the difference between the maximum and the minimum return (range); the difference between the 1st and 3rd quartile (inter-quartile range); the standard deviation of returns, or mean absolute deviation.

Duration Duration is a measure of interest rate risk for a bond or portfolio of bonds. It measures the sensitivity of the value of a bond – or collection of bonds – to a change in interest rates.

Compound Rate of Return

Effective Interest Rate

A compound rate of return that expresses the relationship between the initial investment and the returns earned on that investment, incorporating future returns which are earned on past returns. For most investors, this is the most accurate way to calculate their returns as most investors will leave their returns in an investment.

The effective rate converts the compounding rate of return into a simple rate of return. This means that the effective rate of return can simply be multiplied by the investment period to calculate the cumulative rate of return.

Coupon Rate A bond’s coupon rate is the rate used to calculate the periodic interest payments paid by the issuer of a bond to its owner at the time of payment. It is set when the bond is issued and is usually related to the nominal value of the bond at the time of issuance.

Emerging Markets Emerging markets are economies that show some of the traits of developed economies but aren’t quite at the same level yet.

Equities

CPI (Consumer Price Index)

A major category of asset class, which is a commonly used name for ordinary shares, representing ownership in a company. The owner of the share (shareholder) will generally be able to vote on company issues; and will be entitled to dividends declared.

CPI is an estimate of the inflation rate measuring the price of goods and services in the economy

Fixed Income

Credit

A major category of asset class that includes cash, nominal bonds, inflation linked bonds and credit instruments.

A type of bond issued by a non-governmental entity. These bonds typically carry a higher risk than government guaranteed bonds, e.g. bonds issued by companies.

Frontier Markets

Credit Risk Credit risk refers to the risk that a bond issuer will default on any type of debt by failing to make required payments, i.e. probability that the bond issuer will make debt payments late

Cumulative Returns The cumulative return for a portfolio or an asset is the cumulative compound return over the full length of a specified time period. The percentage measure of this return is not annualised and as such represents the actual total return of the portfolio or asset over the period. By annualising the percentage figure, one can calculate the average annual return of the portfolio or asset over the period.

Defined Contribution Employer and employee contribute an agreed amount every month. When the employee retires, the accumulated capital amount and growth are used to purchase a pension from a third-party supplier.

Developed Markets A developed or an advanced market in investing terms is a country that is most developed in terms of its economy and financial markets. 156

Frontier markets are less advanced capital markets in the developing world. Frontier markets are countries that are more established than the least developed countries (LDCs) but still less established than the emerging markets. Frontier markets are also known as “pre-emerging markets.

GIPS™ The Global Investment Performance Standards (GIPS) is a set of standardized, industry-wide ethical principles that guide investment firms on how to calculate and present their investment results to prospective clients.

Hedge Funds These are usually absolute return investment strategies that use alternate investment techniques (e.g. short positions, leverage, etc.). The funds can be used in a Regulation 28 strategy but are not compliant as standalone products.

Inflation The increase in the general price level in the economy. The inflation rate is calculated by defining a basket of goods and services that a typical consumer would consume and calculating a weighted average of the prices of those goods to arrive at a single percentage number, e.g. CPI.

SECTION 5

ILBâ&#x20AC;&#x2122;s (Inflation Linked Bonds)

Investment Philosophy

An inflation linked bond is a type of bond where the final capital payment is adjusted by the inflation rate for the term of the bond.

A framework of principles and way of thinking about markets that underlies the beliefs and approach of an investment manager. It drives which asset classes and investment securities to include in the investment portfolio. It can be used to describe the style of a manager.

Information Ratio A risk-adjusted measure of return calculated by dividing the active return of a fund by the tracking error of the fund.

Inter-quartile Range A statistical measure representing the difference between the medians of the upper half and the lower half of a ranked set of data.

International Monetary Fund (IMF) The International Monetary Fund (IMF) is an international organization that aims to promote global economic growth and financial stability, encourage international trade, and reduce poverty.

Investment Manager An organisation that invests assets on behalf of third parties for a fee.

JSE (Johannesburg Securities Exchange) Currently the only South African Exchange which offers a centralised trading platform to capital markets across a diverse set of investment securities, in particular, equities, bonds, and derivatives.

Long Position It is a positive holding in a portfolio that results from buying investments in the portfolio. This is done when the manager believes that the value of this investment security will increase in the future and he will be able to sell it for a higher price and create a profit. This is directly opposite to a short position.

Leverage It is a holding in a portfolio that results from using complex alternate trading techniques that allows the manager to buy investment securities with money borrowed or by utilising collateral as a means of payment.

3 YEARS OF STAYING AHEAD NO MATTER THE TERRAIN.

LAURIUM BALANCED PRESCIENT FUND Ranked 6 / 135 funds in the South African Multi-Asset High Equity Sector since inception. Beating the median cumulative return by 4.1% per annum after fees.

WE KNOW INVESTMENTS

Source: Morningstar

T +27 11 263 7700 | E laurium@lauriumcapital.com | www.lauriumcapital.com Annualised performance shows longer term performance rescaled to a 1 year period. Annualised performance is the average return per year over the period. Actual annual figures are available to the investor on request. Collective Investment Schemes (CIS) should be considered as medium to long-term investments. The value of your investment may go up and as well as down as past performance is not necessarily a guide to future performance. CISâ&#x20AC;&#x2122;s are traded at a ruling price and can engage in script lending and borrowing. Performance has been calculated on the C1 class using net NAV to NAV numbers with income reinvested. The performance for each period shown reflects the return for investors who have been fully invested for that period. Individual investor performance may differ as a result of initial fees, the actual investment date, the date of reinvestments and the dividend withholding tax. A schedule of fees, charges and maximum commissions is available on request from the Manager. There is no guarantee in respect of the capital or returns in a portfolio, A CIS may be closed to new investors in order for it to be managed more efficiently in accordance with its mandate. Prescient Management Company (RF)(PTY) Ltd is registered and approved under the Collective Investment Schemes Control Act (No.45 of 2002). Laurium Capital (Pty) Ltd, Registration number: 2007/02629/07 is an authorised Financial Services Provider (FSP34142) under the Financial Advisory and Intermediary Services Act (No.37 of 2002). For any additional information such as fund prices, brochure and application forms please go to www.lauriumcapital.com

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Lower Quartile

Modified Duration

A statistical measure representing the bottom 25% of observations in a ranked set of data.

Modified duration is a type of duration measure which measures the approximate sensitivity of the value of a bond – or collection of bonds - to a change in interest rates, assuming the cash flows remain unchanged. As such, it is only appropriate for bonds with no embedded options.

Maximum Drawdown A risk of loss measure that is calculated as the maximum loss incurred by an investment over a stated time horizon.

Money Market Market Capitalisation The value of a company’s issued share capital, i.e. share price multiplied by number of shares on the stock exchange.

Market for short-term loans and deposits with a maturity less than one year.

Money Weighted Return

Mean Absolute Deviation A measure of dispersion calculated as the average of the absolute differences between each value and the mean in a data set.

Measures internal rate of return, to identify when cash flows are entering or exiting an investment by discounting cash flows to the beginning value.

Murabahah

Median A statistical measure representing the midpoint value in a ranked set of data.

Murabahah refers to an installment credit agreement for the sale of tangible goods. The seller acquires an asset, which the buyer agrees to purchase at some point in the future. The seller is entitled to a profit, as long as the exact markup is disclosed in the contract. Payments may be spread out over time.

Speak to our team of Portfolio Managers

FOR ORGANIC AND SUSTAINABLE GROWTH OF YOUR WEALTH

Luvo Tyandela | Mark Lamohr Thembeka Sobekwa | Mohamed Shafee Loonat www.mianzo.co.za | info@mianzo.co.za | +27 21 552 3555

Mianzo Asset Management (PTY) LTD Registration No 2009/021221/07 is an authorised Financial Service Provider, FSP 43114

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SECTION 5

MSCI World Index

Regulation 28

The Morgan Stanley International World Index is maintained by MSCI Inc., formerly Morgan Stanley Capital International, and is used as a common benchmark for ‘world’ or ‘global’ stock funds intended to represent a broad cross-section of global markets. The index includes a collection of stocks of all the developed markets in the world, as defined by MSCI.

Investment limits set by the Pensions Fund Act on retirement funds to protect against imprudent investment decisions.

Overweight Exposure to a specific investment security or asset class in a portfolio which is higher than the proportion it represents in the market index or benchmark it is being compared to.

Peer Group Usually refers to a set of similarly managed investment mandates.

Passive Investing An implementation approach of a specialist fund strategy where the need to outperform the benchmark is not required in order to meet the investment objective. The specialist investment strategy is invested in passive funds. Not to be confused with Passive Fund Management.

Passive Fund Management An investment approach that seeks to replicate the performance and risk of an investable benchmark/index. Typically the investment portfolio will mirror the holdings of a market index. Passive managers believe that this is a more efficient and cost effective way of accessing the risk and return profile of an asset class or investment style.

Pooled Portfolio Funds from many individual investors that are aggregated for the purposes of investment, as in the case of a retirement fund. Investors in pooled fund investments benefit from economies of scale, which allow for lower trading costs, diversification and professional fees. Pooled funds are generally backed by a policy of insurance.

Purification Purification in a Shari’ah investing context refers to getting rid of unacceptable profits. Shariah prohibits Muslims from profiting, even indirectly, from unacceptable practices, so investors are expected to account for and give away any income derived from riba or other haram sources.

Return Percentage increase in the value of an investment over a period of time, expressed as a percentage of the value of the investment at the start of the period. All returns in this survey are calculated as Time Weighted Rates of Return

Risk Risk is a very generic term used to calculate either variation in returns or as a measure of losses. E.g. Volatility is usually used as a proxy for risk that measures variation. Maximum Drawdown is usually used as a proxy of risk that measures loss.

Risk Premium The return differential between the risk-free asset (cash) and a risky asset.

Rolling Return A time series of a rate of return with the same time horizon for a portfolio, asset class or investment security. It represents a realistic way of reporting returns which takes into account different market and economic environments.

Scatter plot A diagram illustrating the relationship between two sets of quantities using dots that can be used to generate a line of best fit.

Sector All instruments within a particular area of activity or industry for an asset class. The JSE defines sectors as Financials, Basic Materials, Oil and Gas Producers, Industrials, Consumer Goods, Healthcare, Consumer Services, Telecommunications and Technology. The Bond sectors are Government, Parastatals, State Owned Enterprises, Corporates and Other.

Shari’ah Shari’ah is the divine law of Islam, derived from the Qur’an and other holy texts, which serves as a moral guide to Muslims. The Shari’ah sets guidelines for what is right and wrong in everyday life, including standards for food, family life, and business transactions.

Simple Rate of Return

Range

A simple rate of return that expresses the relationship between the initial investment and the rate at which returns are earned on that investment, ignoring any ability for further returns to be earned on past returns. This is only an accurate reflection of the investor’s return when all returns are paid out from the portfolio when they are earned.

A statistical measure representing the difference between the maximum and minimum values in a ranked set of data.

Segregated Portfolio

Quarterly Usually refers to 3-month periods ending 31 March, 30 June, 30 September, and 31 December.

Real Return Portfolios An alternate name for a portfolio using an absolute return investment strategy

Segregated portfolios are not pooled with those of other investors and so the performance and expenses of an investment account are not affected by the activities of any other investors in the portfolio.

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Sharpe Ratio

TAA (Tactical Asset Allocation)

Risk adjusted return ratio of return per unit of risk. It is calculated as excess return (over the risk-free return) divided by volatility.

An investment technique that periodically adjusts the SAA to take advantage of opportunities in the market in order to enhance returns in the short term; and maximise risk adjusted returns.

Short Position

Term To Maturity

It is a negative holding in a portfolio that results from using complex alternate trading techniques that allows the sale of an investment security that is not owned. This is done when the manager believes that the value of this investment security will decrease in the future and he will be able to buy it back later for a lower price and create a profit. This is directly opposite to a long position.

The time remaining on the life of a bond, i.e. time remaining for the bond to be fully repaid.

Sortino Ratio (Capital Loss Or Inflation) A risk adjusted return measure similar to the Sharpe ratio. The Sortino ratio measures risk as the volatility of the returns below a certain target (0% in the case of Capital Loss and inflation in the case of Inflation).

Specialist Fund Strategy An investment approach where the asset allocation, investment strategies employed and risk assumed to achieve the specified investment objective are explicitly defined and not delegated to the investment manager. A specialist investment strategy may be implemented actively or passively.

Specialist Mandate A mandate given to an investment manager to manage specific asset classes (equities, bonds, etc.) or investment strategies (hedge funds, impact investing, etc.) as part of a specialist fund strategy.

Time-Weighted Rate Of Return The compound rate of return over a stated evaluation period of one unit of money initially invested in the portfolio or strategy.

Time Horizon The time period relating to the rate of return measurement calculation. It can also reference the time set to meet a certain investment objective or goal.

Top 40 (FTSE/JSE Top 40 Index) A popular index used to benchmark performance for South African large equity portfolios. This index represents a weighted basket of the forty largest companies which are constituents of the FTSE/ JSE All Share Index, ranked by full market capitalization. Interestingly the number of constituents can exceed 40, as some companies issue multiple share types (e.g. Investec, Mondi).

Tracking Error Measure of variability of returns relative to benchmark or index. It is usually expressed as an annualised standard deviation of active returns.

STeFI (Short Term Fixed Interest Index)

Underweight

A popular index used to benchmark performance for South African cash portfolios. This index represents a weighted basket of money market instruments of different investment maturities such as NCDs and Call Deposits.

Exposure to a specific investment security or asset class in a portfolio which is lower than the proportion it represents in the market index or benchmark it is being compared to.

SAA (Strategic Asset Allocation) An investment technique that sets the medium to long term allocation to asset classes which will primarily meet the investment objectives within a defined level of risk. Used primarily in specialist fund strategies.

SWIX (FTSE JSE Shareholder Weighted Index) A popular index used to benchmark performance for South African equity portfolios. This index represents a shareholder weighted basket of companies listed on the main board of the JSE with all constituents down weighted by applying an alternate free float known as the SWIX free float.

Sukuk Sukuk are asset-backed securities designed to provide a relatively fixed stream of investment income without violating the Islamic prohibition on interest. Instead of interest payments, sukuk investors receive a pass-through of income generated by the underlying assets. Sukuk are a Shariâ&#x20AC;&#x2122;ah-compliant tool for raising capital and may be structured around a variety of Islamic contracts.

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Upper Quartile The top 25% of observations in a ranked set of data.

Volatility Is a proxy for risk and is calculated as the annualised standard deviation of monthly returns.

Yield Return on a security usually expressed in percentage terms.

Yield Curve The relationship between time to maturity and yield to maturity of bonds.

Yield To Maturity An estimate of the rate of return that would be earned on a bond if the bond is held to its maturity date. It assumes that interest earned is reinvested in the bond.

Is this athlete active or passive?

Answer: Both By strategically and intelligently combining both active and passive investment approaches, we aim to provide retirement funds with a greater probability of beating their long-term investment benchmarks on a net-of-fees basis. Not only have we been using this specialist approach with great success for more than a decade, but also for the largest and most prominent retirement funds in South Africa.

Contact us today to find out how we can assist your fund. Tel: +27 (0)21 809 1210 | Fax: +27 (0)21 882 8421 Email: info@trialpha.co.za

www.trialpha.co.za This information is not intended to be a recommendation in respect of financial products. There may be products of the nature referred to in this advertisement in South Africa that are currently not regulated by the Financial Sector Conduct Authority of South Africa. The investments described in this advertisement are generally regarded as medium to long-term investments. Past performance is not necessarily indicative of future performance. The value of investments may rise as well as fall and you may not get back the full amount you invested. The funds or portfolios mentioned are market-linked and there are risks associated with investments in market-linked financial products. Fluctuations or movements in exchange rates may cause the value of underlying investments to go up or down. All information provided is historic. TriAlpha is an authorised financial services provider (FSP No. 28090). 3026_reload.co.za

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Section Six Directory of South African Asset Managers

MANAGER WATCH™ SURVEY

27four Investment Managers (Pty) Ltd www.27four.com

Company details

FAIS requirements

GIPS

FAIS FSP registration number: 31045 Switchboard: +27 11 442 2464 General email: info@27four.com Website: www.27four.com Address: Fire Station Rosebank Fifth floor, 16 Baker Street, 2196 PO Box 522417, Saxonwold, Johannesburg, 2132 Compliance officer name: Independent Compliance Services – Enrique Goosen +27 21 975 6597

Who is your FAIS complaints officer? Enrique Goosen Please provide the link to the complaints policy on your website: http://www.27four.com/legal-terms-andconditions/

Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment philosophy 27four focuses on building well-diversified portfolios that are linked to a broad spectrum of investor goals and appetites for risk. They believe that asset allocation is the primary determinant of variation in portfolio return and is the cornerstone of portfolio construction. Their skilled investment team is experienced in the application of quantitative techniques to identify the sources of asset class returns across different market cycles to derive their long-term asset allocation views. They invest in a combination of large, well-known managers and smaller untapped “boutiques” who they believe possess a distinct performance advantage as they are more nimble and opportunistic, especially in asset classes where the ability to take calculated risks and move swiftly is vital to success. Core to their investment philosophy is risk mitigation. Rigorous risk management and monitoring is applied at every level of their investment process and equal importance is given to business, compliance, operational and administrative risks as is applied to investment performance risk. 164

Ownership What is the ownership structure of the company? 60%: Fatima Vawda (founder & managing director); 40%: Staff (share ownership scheme) Who are the directors of the company? Fatima Vawda; Vic du Preez Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes. 100%

History When was the company established? 2007-09-01 List of mergers that have taken place since being established: None.

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 1 By whom have you been accredited? Honeycomb BEE Ratings Date of accreditation: 2018-08-17

Investment mandates What are your total assets under management? R20.8 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R19.09 billion Retail: R1.8 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 13 Fatima Vawda Managing Director MSc Applied Mathematics 24 years’ industry experience 11 years with firm Claire Rentzke Chief Investment Officer BBusSci (Hons), CFA 18 years’ industry experience 7 years with firm Rory Ord Head of Unlisted Investments BBusSci (Hons) Finance 15 years’ industry experience 2 year with firm Nadir Thokan Portfolio Manager B Com (Hons) 8 years’ industry experience 8 years with firm

SECTION 6

36ONE Asset Management (Pty) Ltd www.36one.co.za

Company details FAIS FSP registration number: 19107 Switchboard: +27 11 722 7390 Fax number: +27 11 722 7391 General email: gmann@36one.co.za Website: www.36one.co.za Address: 6A Sandown Valley Crescent Sandown, Sandton, 2196 Compliance officer name: External: Independent Compliance Services Internal: Grant Mann

Investment philosophy Our investment approach is centered on the principle that the market does not efficiently price securities at all times. We therefore believe that stock selection through bottom-up fundamental analysis can out-perform over time. We follow the same investment approach across all our funds. Although we focus primarily on bottom-up, fundamental research, macroeconomic views play a supporting role in portfolio construction.

FAIS requirements Who is your FAIS complaints officer? External: Independent Compliance Services (Pty) Ltd. (“ICS”) Internal: Grant Mann Please provide the link to the complaints policy on your website: https://www.36one.co.za/legal/ complaints-resolution-procedure

Ownership What is the ownership structure of the company? 36ONE Asset Management (Pty) Ltd is owned by Cy Jacobs and Steven Liptz with each holding more than 25% in the business. Cy Jacobs is Head of Investments and Steven Liptz is Head of Operations. Who are the directors of the company? Cy Jacobs and Steven Liptz Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: All team members receive a modest base salary. Majority of compensation is derived from bonuses which are linked to the performance of the funds. Bonuses are paid quarterly.

History When was the company established? 2004 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? We are not rated yet - currently in the process What is your B-BBEE status? N/A By whom have you been accredited? N/A Date of accreditation: N/A

Investment mandates What are your total assets under management? R15.1 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R9.8 billion Retail: R5.3 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 11 Cy Jacobs Chief Investment Officer BCom (Hons); CA(SA) 23 years’ industry experience 14 years with firm Steven Liptz Head of Operations B Com 22 years’ industry experience 14 years with firm Evan Walker Portfolio Manager BCompt (Hons); MBA 19 years’ industry experience 6.5 years with firm

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

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Abax Investments (Pty) Ltd www.abax.co.za

Company details FAIS FSP registration number: 856 Switchboard: 021 670 8987 Fax number: N/A General email: matthew@abax.co.za Website: www.abax.co.za Address: The Oval, 1 Oakdale Road, Newlands, 7700 P.O.Box 23851, Claremont, 7735 Compliance officer name: Tim Howse (eComply) 021 671 8162

Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes, staff and management own / control 100% of the voting rights and an approximate 75% financial interest.

History When was the company established? 2003 List of mergers that have taken place since being established: None, however,in December 2015 Abax concluded a transaction with AMG (Affiliated Managers Group) who aquired an approximate 25% financial interest in Abax.

Investment philosophy

B-BBEE credentials

We believe that markets are inefficient and that through thorough research we can identify companies that will show superior earnings growth over the longer term which is not reflected in current valuations. Similarly we believe we can identify companies where current valuations overvalue their future earnings growth potential.

Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 3 By whom have you been accredited? Empowerdex Date of accreditation: 2017-05-20

FAIS requirements your FAIS complaints officer? Tim Howse (eComply) Please provide the link to the complaints policy on your website: On request.

Ownership What is the ownership structure of the company? Abax a standalone entity and is not part of a bigger group of companies. Abax is however an affiliate of Affiliated Managers Group (AMG), a US listed company. Who are the directors of the company? Executive: Anthony Sedgwick, Marius van Rooyen, Edel Little, Rashaad Tayob. Alternate Directors (Executive): Omri Thomas, Steve Minnaar Independent Non-executive Director: Estelle Cloete

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GIPS Are you GIPS compliant? Yes Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R95.7 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R59.6 billion Retail: R33.9 billion Life: N/A Other: R2.2 billion

Key investment personnel Size of Investment Team: 16 Anthony Sedgwick Chief Executive Officer B Bus Sci 22 years’ industry experience 15 years with firm Omri Thomas Senior Equity Portfolio Manager CA(SA), CFA 19 years’ industry experience 11 years with firm Matthew de Wet Head of Product Development BSc (Act Science), CFA, CFP 19 years’ industry experience 3 years with firm Philip Liebenberg Head of Absolute Return Strategy PhD (Chem Eng), CFA 19 years’ industry experience 1 year with firm

SECTION 6

Absa Alternative Asset Management (Pty) Ltd https://www.absainvestments.co.za/wealth-and-investment-management/alternative-asset-management.html

Company details

History

Key investment personnel

FAIS FSP registration number: 22877 Switchboard: +27 21 927 6753 General email: nawaal.gamieldien@absa.co.za Website: https://www.absainvestments.co.za/ wealth-and-investment-management/ alternative-asset-management.html Address: Absa East, Bridgeway, Century City, 7441 PO Box 4110, Tygervalley, 7536 Compliance officer name: Samantha Padayachee +27 11 243 4545

When was the company established? 1999 List of mergers that have taken place since being established: N/A

Size of Investment Team: 9

Investment philosophy The Absa Alternative Asset Management (Pty) Ltd (AAM) team specialises in the design and management of index tracking, alpha generating (Smart Alpha), absolute return, overlay protection, alpha transport, hedge fund and other alternative investment strategies. Portfolios are designed to meet the unique goals of each investor with a high degree of certainty, in a cost-effective way, by using a range of traditional and non-traditional building blocks.

FAIS requirements Who is your FAIS complaints officer? Samantha Padayachee Please provide the link to the complaints policy on your website: N/A

Ownership What is the ownership structure of the company? 100% owned by Absa Group Ltd Who are the directors of the company? Clinton Clarke, Armien Tyer, Luyolo Poswa Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: No

B-BBEE credentials

Andre Visser CEO B Com (Hons), CA (SA) 21 years’ industry experience 19 years with firm

Are you B-BBEE accredited? Yes, as the South African operations of Barclays Africa Group Limited with all the underlying legal entities, including Absa Alternative Asset Management (Pty) Ltd, specified. What is your B-BBEE status? Level 2 By whom have you been accredited? Empowerdex Date of accreditation: 2018-03-02

Bongeka Mjobo Portfolio Manager B Com (Hons) 4 years’ industry experience 2 year with firm

GIPS

Suvarn Naidoo Portfolio Manager B Sc (Actuarial Science), FRM 10 years’ industry experience 5 years with firm

Are you GIPS compliant? No Are you GIPS verified? N/A By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Jean-Pierre Matthews Portfolio Manager, Chairperson of Investment Committee B Sc (Actuarial Science), CFP, CFA 22 years’ industry experience 7 years with firm

Pieter van der Merwe Portfolio Manager M Com (Inv Mgmt), FCIS 26 years’ industry experience 2 years with firm

Investment mandates What are your total assets under management? R66.7 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R29.7 billion Retail: R14.8 billion Life: R7.5 billion Other: R14.8 billion

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Absa Asset Management (Pty) Ltd www.absainvestments.co.za

Company details

History

Key investment personnel

FAIS FSP registration number: 522 Switchboard: +27 11 243 4554 Fax number: +27 086 532 2607 General email: info@abam.co.za Website: www.absainvestments.co.za Address: Absa Sandton South Campus, 15 Alice Lane, Sandton, 2146 Private Bag 291509, Mellville, 2109 Compliance officer name: Carla Williams +27 11 243 4542

When was the company established? 1997-10-23 List of mergers that have taken place since being established: None

Size of Investment Team: 15

Investment philosophy We are active, pragmatic vaue investors aiming to consistently achieve excess risk-adjusted returns.

FAIS requirements Who is your FAIS complaints officer? Carla Williams Please provide the link to the complaints policy on your website: N/A

Ownership What is the ownership structure of the company? 100% owned by Absa Group Ltd Who are the directors of the company? Carel Gronum, Nomkita Nqweni, Armien Tyer, Elias Masilela, Ann Leepile Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: No

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B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 By whom have you been accredited? Empowerdex Date of accreditation: 2018-03-07

GIPS Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? KPMG Date of verification: 2017-09-08 Expiry date of verification: Verified for the period 1 Jan 2004 to 31 December 2016

Investment mandates What are your total assets under management? R131 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R125.9 billion Retail: N/A Life: R5.1 billion Other: N/A

James Turp Head of Fixed Income Franchise B.Econ SAIFM 26 years’ industry experience 4 years with firm Stephen Arthur Head of Equity Franchise BSc (Eng), CFA 29 years’ industry experience 12 years with firm Kurt Benn Head of Balanced Franchise B.Bus.Sc, B.Com (Hons), CFA 21 years’ industry experience 3 years with firm Godfrey Mwanza Head of Pan African Franchise B Sc (Economics) (Hons), CFA 11 years’ industry experience 4 years with firm Fayyaz Mottiar Head of Property Franchise B.Econ Sc, CFA 19 years’ industry experience 9 years with firm Eben Mare Head of Absolute Return Franchise PH.D, M.Sc, B.Sc (Hons), B.Sc (FAIS) 25 years’ industry experience 2 years with firm

SECTION 6

Absa Multi Management (a Subsidiary of Absa Investment Management Services) www.absainvestmentmanagement.co.za

Company details FAIS FSP registration number: 523 Switchboard: +27 11 243 4437 Fax: 0860 212 123 General email: utenquiries@absa.co.za Website: www.absainvestmentmanagement.co.za Address: 15 Alice Lane, 2nd Floor South Campus Building, Sandton Private Bag X10056, Sandton, 2146 Compliance officer name: Carla Williams Russell +27 (0)11 243 4542

Investment philosophy The Absa Multi Management portfolio management process is built around the five key investment disciplines of asset allocation, manager selection, strategy selection, blending and optimisation as well as risk management. In applying this multi dimensional investment process, the interaction between the key contributors to superior performance is examined for each mandate.

FAIS requirements Who is your FAIS complaints officer? Samantha Padayachee Please provide the link to the complaints policy on your website: www.absainvestmentmanagement.co.za

Ownership What is the ownership structure of the company? 100% Owned by ABSA Group Who are the directors of the company? The Directors are at a Absa Group Level. Wendy Lucas Bull, Jason Quinn, Yolanda Cuba, Alex Darko, Maria Ramos, Colin Beegs, Daisy Naidoo, Francis Okomo Okello, Mark Merson, Mohamed Husain, Peter Matlare, Tasneem Abdool Samad, Daniel Hodge and Rene Van Wyk.

Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: No

History When was the company established? Absa Investment Management services 1969, Absa Multi Management 1999 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 By whom have you been accredited? Empowerdex Date of accreditation: 2018-10-03

GIPS Are you GIPS compliant? No Are you GIPS verified? N/A By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Key investment personnel Size of Investment Team: 11 Neville James Chief Investment Officer B Com, CFA 22 years’ industry experience 12 years with firm Mothepu Mothae Head of Research BBA, MBA 12 years’ industry experience 8 years with firm Jonel Mathee Managing Director B Com, MBA 18 years’ industry experience 11 years with firm Kwaku Koranteng Head of Institutional Business Bsc, Dipl Actuarial Techniques, Cert in Finance and Investments 14 years’ industry experience 3 years with firm Sheetal Rama Senior Portfolio Manager Bsc Act 14 years’ industry experience 13 years with firm

Investment mandates What are your total assets under management? R63.4 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R38.9 billion Retail: R24.5 billion Life: N/A Other: N/A

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Aeon Investment Management (Pty) Ltd www.aeonim.co.za

Company details FAIS FSP registration number: 27126 Switchboard: +27 21 204 6061 General email: funds@aeonim.co.za Website: www.aeonim.co.za Address: 4th Floor, The Citadel, 15 Cavendish Street, Claremont, 7708 PO Box 24020, Claremont, 7735 Compliance officer name: Christelle De Jager (Independent Compliance Services) +27 21 975 6597

Investment philosophy Active Equity: Track record of 10 years. Style is that of Growth At a Reasonable Price (GARP). Their adaptation of the GARP style seeks to combine the best of growth and value investing, by buying companies with long-term sustainable growth rates greater than that implied by the company’s market valuation. Smart Multi-Factor Equity: Track record of 7 years. Uses systematically driven fundamental security selection and statistical trading models to manage a portfolio designed to outperform the SWIX benchmark. The portfolio is designed to add value in a risk-managed framework. Balanced Fund (Global Exposure): Track record of 6 years. Invests in a range of income and protected equity assets and strategies in order to protect 90% of capital over a rolling twelve month period and capture as much of the upside of equity and fixed income markets as possible. The fund invests in domestic and global equities, fixed income as well as derivatives instruments. It utilises a systematic return modelling process and a disciplined investment methodology. Local Balanced Fund: Track record of 6 months. Invests in a range of income and protected equity assets and strategies in order to protect 90% of capital over a rolling twelve month period and 170

capture as much of the upside of equity and fixed income markets as possible. The fund invests in domestic equities, fixed income as well as derivatives instruments. It utilises a systematic return modelling process and a disciplined investment methodology.

FAIS requirements Who is your FAIS complaints officer? Asief Mohamed Please provide the link to the complaints policy on your website: http://www.aeonim.co.za/ complaintspolicy.asp

Ownership What is the ownership structure of the company? 91% owned by the ZAR Trust 10% owned by Aeon IM Staff Who are the directors of the company? Asief Mohamed, Nocamagu (Cami) Mbulawa Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Staff and management own 27.2% of the shares. And, up to 30% of pretax profits is distributed to all staff every 6 months.

History When was the company established? 2005-05-01 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? B-BBEE QSE Level 1 Sworn Affidavit expiring 16 May 2019. What is your B-BBEE status? B-BBEE Level 1 By whom have you been accredited? B-BBEE QSE Level 1 Sworn Affidavit expiring 16 May 2019. Date of accreditation: 2018-05-17

GIPS Are you GIPS compliant? Yes Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R8.04 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R7.90 billion Retail: R136.37 million Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 7 Asief Mohamed Chief Investment Officer B Com CA (SA), CFA 30 years’ industry experience 13 years with firm Jay Vomacka Senior Portfolio Manager CFA, BSc (Eng)(Elec), MSc (Eng)(Ind), CFTe (IFTA, London) 12 years’ industry experience 6 years with firm Zaid Paruk Portfolio Manager & Analyst B Com, CA (SA) 7 years’ industry experience 2 months with firm

SECTION 6

AFC Investment Management (Pty) Ltd www.afcinvestment.co.za

Company details

FAIS requirements

GIPS

FAIS FSP registration number: 706 Switchboard: +27 21 673 2620 Fax number: +27 21 683 2610 General email: dee@afcinvestment.co.za Website: www.afcinvestment.co.za Address: 3rd Floor Mill House, Boundary Terraces, Corner Campground and Mariendahl Lane Newlands, 7700 3rd Floor Mill House, Boundary Terraces, Corner Campground and Mariendahl Lane Newlands, 7700 Compliance officer name: Deon Harmse Moonstone +27 21 554 5745

Who is your FAIS complaints officer? DS Campouroglou Please provide the link to the complaints policy on your website: www.afcinvestment.co.za

Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment philosophy Philosophy and style AFC employs a multi-disciplinary approach to asset management, involving fundamental as well as behavioural (technical) forms of analysis. AFC believes that in excess of 90% of performance is derived from correct asset allocation and industry selection, so the majority of analysis time is spent on understanding the macro environment. The investment style is thematic, with stock selection reflecting those themes believed to be impacting the investment environment at any point in time. As thematic investing relies on understanding the changes within economies, its implementation will result in portfolio structures that are not carbon-copies of market indices. A by-product of the thematic and behavioural approach is that views will sometimes be taken against market consensus, but resulting in superior performance at lower than average risk.

Ownership What is the ownership structure of the company? 100% owned by IA Mackenzie Family Trust Who are the directors of the company? DS Campouroglou, IA Mackenzie Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: No

History When was the company established? 1960s List of mergers that have taken place since being established: Independent until 1998 when acquired by Appleton/PSG. Sold on to T-Sec in 2003. Management buy-back in 2005.

B-BBEE credentials Are you B-BBEE accredited? No What is your B-BBEE status? None By whom have you been accredited? N/A Date of accreditation: N/A

Investment mandates What are your total assets under management? R936 million Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R500 million Retail: R436 million Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 2 DS Campouroglou Chief Investment Officer BSC 39 yearsâ&#x20AC;&#x2122; industry experience 22 years with firm IA Mackenzie Head of Equities BA Economics 34 yearsâ&#x20AC;&#x2122; industry experience 28 years with firm

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Afena Capital (Pty) Ltd www.afenacapital.com

Company details

FAIS requirements

GIPS

FAIS FSP registration number: 25033 Switchboard: +27 21 657 6240 Fax number: +21 21 671 4658 General email: info@afenacapital.com Website: www.afenacapital.com Address: 5th Floor MontClare Place, Corner Campground & Main Roads, Claremont, 7708 PO Box 23883, Claremont, 7735 Compliance officer name: Zain Parker (Internal Compliance Officer) +27 21 657 6277 Tim Howse (External Compliance Officer) +27 21 671 8162

Who is your FAIS complaints officer? Tim Howse Please provide the link to the complaints policy on your website: http://www.afenacapital.com/complaints. html

Are you GIPS compliant? Yes, Afena Capital is GIPS compliant. Are you GIPS verified? Yes, Afena Capital is GIPS verified. By whom have you been verified? eComply Date of verification: 2018-08-29 Expiry date of verification: 2019-08-28

Investment philosophy Afena follows a valuation based investment approach. Their investment philosophy is to buy businesses below their assessment of intrinsic value. They estimate the value of a business based on its normal through the cycle operating performance. This forces them to be patient long-term investors as they believe that share prices ultimately reflect a business’s true economics, and not its short-term performance. This also means they tend to favour businesses they understand with good long-term economics. Afena is a bottom-up stock picking house with a strong commitment to insightful proprietary research. They are disciplined and consistent in the execution of their philosophy.

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Ownership What is the ownership structure of the company? 100% owned by management and staff Who are the directors of the company? Zain Parker, Grant Cloete, Shoaib Vayej, Mila Mafanya and Xolisa Mpangoshe Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes. The management and staff of Afena Capital hold 100% of the equity shares of Afena Capital through directly held shares.

Investment mandates What are your total assets under management? R5.0 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R5.0 billion Retail: N/A Life: N/A Other: N/A

History

Key investment personnel

When was the company established? The company was established on the 1st of November 2005 List of mergers that have taken place since being established: There have been no mergers since the establishment of the company.

Size of Investment Team: 7

B-BBEE credentials

Shoaib Vayej Portfolio Manager BSc(ENG), CFA 15 years’ industry experience 7 years with firm

Are you B-BBEE accredited? Yes, Afena Capital is B-BBEEE accredited. What is your B-BBEE status? Afena Capital is a Level 2 contributor to Black Economic Empowerment By whom have you been accredited? AQRate Verification Services Date of accreditation: 2018-08-15

Mila Mafanya Head of Equities BBusSc, CFA 15 years’ industry experience 8 years with firm

Zahira Osman Portfolio Manager BBusSc, CFA 16 years’ industry experience 14 years with firm

SECTION 6

Alexander Forbes Investments www.alexanderforbesinvestments.co.za

Company details

Ownership

GIPS

FAIS FSP registration number: 711 Switchboard: +27 11 505 6000 Fax number: +27 11 263 2316 General email: AFInvestclientservices@aforbes.co.za Website: www.alexanderforbesinvestments.co.za Address: 115 West Street, Sandown, Sandton, 2196 PO Box, 786055, Sandton, 2146 Compliance officer name: Gigi Vorlaufer +27 82 780 8473

What is the ownership structure of the company? Alexander Forbes Investments is a subsidiary of Alexander Forbes Who are the directors of the company? L Greyling, M Ramplin, S Reddy, MD Collier Company Secretary â&#x20AC;&#x201C; CH Wessels Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: No

Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment philosophy At Alexander Forbes Investments our focus is on managing our clientsâ&#x20AC;&#x2122; financial goals. In pursuit of certainty we set out to understand your circumstances and risk tolerance to set our clear goals. We integrate your investment journey and outcome, as well as the overall client experience to break the cycle of not being able to retire comfortably, of disappointing investment outcomes and of indecisiveness, fear and anxiety around investment matters. Because investments are managed to achieve an outcome, the options available for implementation are vast, making our approach more flexible and adaptive to different market cycles than a traditional investment approach.

History When was the company established? 1997 List of mergers that have taken place since being established: Superflex 1999

B-BBEE credentials

Investment mandates What are your total assets under management? R289.6 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R239.02 billion Retail: R19.48 billion Life: R31.11 billion Other: N/A

Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 3 By whom have you been accredited? Empowerdex Date of accreditation: 2018-05-29

FAIS requirements Who is your FAIS complaints officer? Gigi Vorlaufer Please provide the link to the complaints policy on your website: www.alexanderforbesinvestments.co.za/ Risk-Compliance/Corporate.Governance

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Alexander Forbes Investments Continued

Key investment personnel Size of Investment Team: 22 Gyongyi King Chief Investment Officer BSc (Hons), CFA 21.5 years’ industry experience 9.6 years with firm Suniti Naran Head: Analytics and Process BSc (Act. Sc.) 23.8 years’ industry experience 14.8 years with firm Senzo Langa Head: Portfolio Management MMFI(Cum Laude), CFA 10.4 years’ industry experience 6.9 years with firm Lebo Thubisi Head: Investment Research B Bus Sc (Hons) 10.5 years’ industry experience 7.3 years with firm Ben Jooste Head: Discretionary Fund Management BCom, CFA 11.5 years’ industry experience 8.3 years with firm Rob Price Head: Asset Allocation MCom, CFA 7.6 years’ industry experience 2.8 years with firm

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Ernst Mabaso Portfolio Manager BCom, MBA, CIMA (UK) 17.8 years’ industry experience 10.5 years with firm Stuart Green Portfolio Manager BCom, CFA 11.3 years’ industry experience 4.7 years with firm David Moore Head:Alternative Investments MBusSc (Hons) 10 years’ industry experience 4 months with firm Dr Vladimir Nedelijkovic Chief Investment Strategist Ph.D (Applied Mathematics), MBA 20 years’ industry experience 5 months with firm Samantha Schoeman Head: Indexation Solutions CA,SA 14 years’ industry experience 5 months with firm Isaah Mhlanga Executive Chief Economist Mcom 8.4 years’ industry experience 3 months with firm

SECTION 6

All Weather Capital www.allweather.co.za

Company details

Ownership

Key investment personnel

FAIS FSP registration number: 36722 Switchboard: +27 11 722 7382 Fax number: N/A General email: info@allweather.co.za Website: www.allweather.co.za Address: 1st floor Peregrine Building, 6A Sandown Valley Crescent, Sandton, 2196 Compliance officer name: Independent Complaince Services +27 21 975 6597

What is the ownership structure of the company? 55% owned by Zava Financial Services 45% owned by shane Watkins Who are the directors of the company? Directors: John Oliphant, Shane Watkins Non-executive directors: Terence Naidu, Fulu Makwetla Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: 67% is owned by staff & management

Size of Investment Team: 5

Investment philosophy Our philosophy is based on the belief that the market continually and regularly misprices assets. Mispricings occur regularly because investors either underestimate risks or do not recognise potential. We try to understand these risks and appreciate the scale of opportunities better than the market does. Significant opportunities are created for those few who are diligent with the fundamentals. Our ambition is simply to buy a share where the market has undervalued it relative to intrinsic value or to sell a share when the prevailing price is far in excess of intrinsic value. We determine a company’s intrinsic value by forecasting cash flows through financial modelling. In everything we do we exercise caution and act conservatively. We express this by including a wide margin for error in forecasting and by limiting our exposure to unquantifiable risks.

FAIS requirements Who is your FAIS complaints officer? Shane Watkins Please provide the link to the complaints policy on your website: http://www.allweather.co.za/legal.html

History When was the company established? 2014 List of mergers that have taken place since being established: N/A

B-BBEE credentials Are you B-BBEE accredited? Yes. What is your B-BBEE status? Level 2 By whom have you been accredited? Empowerdex Date of accreditation: Apr-17

GIPS Are you GIPS compliant? Yes. Are you GIPS verified? No. By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R8 08 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R8 06 billion Retail: R25 49 million Life: N/A Other: N/A

Shane Watkins Chief Investment Officer B.Bus.Sc (finance); PGDA, CA (SA); CFA 22 years’ industry experience 4 years with firm Chris Willis Head of Research Bcom Honours; Passed CFA Level 3 5 years’ industry experience 4 years with firm Sanelisiwe Tofile Equity Analyst Bcom Honours; Passed CFA Level 3 5 years’ industry experience 4 years with firm Robert Tout Equity Analyst Honours in Investment Management; Passed CFA Level 3 4 years’ industry experience 4 year with firm Prince Mopai Equity Analyst Bsc Mining and Engineering 3 years’ industry experience 2 months with firm Dumisani Ndlovu Equity Analyst Bcom Hons Investment Management, Passed CFA Level 1 2 years’ industry experience 2 years with firm Mmakgotso Mogoane Marketing and Business Development Bcom Financial Management 1 years’ industry experience 9 months with firm Mark Scholefield Operations Manager/Fund Accountant GCMA; Bcom 9 years’ industry experience 4 years with firm Gomolemo Seete ESG analyst, Bcom Honours 4 years’ industry experience 2 months with firm Puseletso Lepuru Fund Accountant, CA.(SA) 3.10 years’ industry experience 2 months with firm 175

MANAGER WATCH™ SURVEY

Allan Gray (Pty) Ltd www.allangray.co.za

Company details

Ownership

GIPS

FAIS FSP registration number: 27145 Switchboard: +27 21 415 2300 Fax number: +27 21 415 2400 General email: info@allangray.co.za Website: www.allangray.co.za Address: 1 Silo Square, V&A Waterfront, Cape Town, 8001 PO Box 51318, V&A Waterfront, Cape Town, 8002 Compliance officer name: Pierre de Klerk +27 21 446 7727

What is the ownership structure of the company? Allan Gray is a privately owned company. Who are the directors of the company? Rob Formby, William Gray*, Andrew Lapping, Ian Liddle (Chairman)*, Teboho Mahuma*, Thando Mhlambiso, Khumo Morolo* (*Non-Executive Directors) Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Past and present executive directors are shareholders of Allan Gray Group Proprietary Limited. Additionally a 14% equity stake in Allan Gray Proprietary Limited has been reserved for current and future staff.

Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? Ernst and Young Date of verification: 2017-11-03 Expiry date of verification: The assurance report confirms compliance with the Global Investment Performance Standards (GIPS) for the period from 1 January 2017 to 31 December 2017.

Investment philosophy Allan Gray’s investment philosophy is valuation orientated which means that their research effort is focused on identifying good quality assets that are priced below intrinsic value. Intrinsic value is calculated using a number of methodologies but is usually defined as the discounted value of expected future cash flows. They typically buy shares when research and analysis indicates that the intrinsic value of the company far exceeds its market price, in anticipation of the price rising to its intrinsic value. This is in contrast to the “momentum” approach where a manager identifies an upward trend and follows this by purchasing stock in the belief that the trend will continue.

FAIS requirements Who is your FAIS complaints officer? Frank Daubenton Please provide the link to the complaints policy on your website: https://www.allangray.co.za/globalassets/ legal/complaints-process.pdf

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History When was the company established? 1973 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 4 By whom have you been accredited? AQRate Verification Services Date of accreditation: 2018-05-04

Investment mandates What are your total assets under management? R575.7 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R258.6 billion Retail: R317.2 billion Life: N/A Other: N/A

SECTION 6

Allan Gray (Pty) Ltd Continued

Key investment personnel Size of Investment Team: 24 Andrew Lapping Chief Investment Officer, Portfolio Manager, Analyst BSc (Eng), B Com, CFA 17 years’ industry experience 17 years with firm Duncan Artus Portfolio Manager, Analyst BBusSc, PGDA, CFA, CMT 18 years’ industry experience 16 years with firm Mark Dunley-Owen Portfolio Manager, Analyst BBusSc, CFA 15 years’ industry experience 9 years with firm

Ruan Stander Portfolio Manager, Analyst BSc (Hons), FIA, FRM (GARP) 10 years’ industry experience 10 years with firm Jacques Plaut Portfolio Manager, Analyst BSc (Hons) 11 years’ industry experience 11 years with firm Leonard Krüger Portfolio Manager, Analyst BSc (Hons), FFA, FASSA 11 years’ industry experience 11 years with firm Nick Ndiritu Portfolio Manager, Analyst BSc (Eng), MBA 8 years’ industry experience 8 years with firm

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Alpha Asset Management (Pty) Ltd www.aam.co.za

Company details FAIS FSP registration number: 534 Switchboard: +27 31 835 0400 Fax number: +27 31 566 1310 General email: hedgefund@aam.co.za Website: www.aam.co.za Address: Cape Town: 25 Protea Road, 2nd Floor, The Terraces, Claremont 7708 Johannesburg: Alpha House, Ballywoods Office Park, 33 Ballyclare Drive, Bryanston Durban: Lincoln on The Lake, 2 The High Street, Parkside, Umhlanga Ridge, 4319 Mauritius: 4th Floor, Ebene Skies, Rue de l’Institut, Ebene, 80817, Mauritius Compliance officer name: Moonstone Compliance and Risk Management Kerusha Manikum for Alpha Asset Management kerusha@alphawealth.co.za

Investment philosophy Alpha Asset Management’s philosophy is to provide investors with an independent approach to managing traditional asset classes such as equity and fixed income. Their solutions are engineered through sophisticated fund management techniques and are actively managed by investment professionals with relevant experience and expertise. Resultant solutions focus on capital preservation and capital growth which is achieved through rigorous bottom-up analysis of the key drivers of volatility in portfolios, and the blending of skilled practitioners. Alpha Asset Management’s investment strategies are highly specialised and require an understanding of both technical risk management and proactive fund management supported by a disciplined processes. Alpha Asset Management has developed a unique investment process and framework for analysing and monitoring

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fund managers. They recognise the importance of qualitative and quantitative factors which drive return, volatility and predictability.

FAIS requirements Who is your FAIS complaints officer? Kerusha Manikum for Alpha Asset Management Please provide the link to the complaints policy on your website: N/A

Ownership What is the ownership structure of the company? Jacques Du Plessis and Flynn Robson Who are the directors of the company? Kerry West Fynn and James Duncan Gilfillan Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: No

History

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R4 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R3 billion Retail: R1 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 8

When was the company established? 14/09/2004 List of mergers that have taken place since being established: N/A

John Haslett Portfolio Manager CA(SA), FRM 10 years’ industry experience 8 years with the firm

B-BBEE credentials

Hazel Pillay Research Analyst BCom Accounting 10 years’ industry experience 10 years with the firm

Are you B-BBEE accredited? No What is your B-BBEE status? N/A By whom have you been accredited? N/A Date of accreditation: N/A

Nick Pawley Research Analyst CFA, Bcom Finance Honours 8 years’ industry experience 8 years with the firm Jacques Du Plessis Chief Investment Officer CAIA 20 years’industry experience 16 years with the firm

SECTION 6

Aluwani Capital Partners (Pty) Ltd www.aluwanicapital.co.za

Company details

Ownership

Investment mandates

FAIS FSP registration number: 46196 Switchboard: +27 21 204 3800 General email: aluwani@aluwanicapital.co.za Website: www.aluwanicapital.co.za Address: EPPF Office Park, 24 Georgian Crescent East, Bryanston East, Gauteng, 2152 Compliance officer name: Timothy Howse +27 21 671 8162

What is the ownership structure of the company? 40% management and staff; 40% MMI Holdings; 20% Main Street 1413 (Pty) Ltd (BEE consortium). Who are the directors of the company? Jabu Moleketi, Sibusiso Mabuza, Thabiso Foto, Gill Raine, Mlondolozi Mahlangeni, Warren Wheatley Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes, 40% of the company is held by management and staff.

What are your total assets under management? R59.3 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R53.8 billion Retail: R506 million Life: N/A Other: N/A

Investment philosophy We seek to provide sustainable risk adjusted returns over the long term. The philosophy is based on three principles: ■■ Risk adjusted returns can be maximised by actively extracting value from as many ALPHA sources as possible ■■ Focused diversification of risk across these sources should generate consistent performance in all market conditions ■■ Incremental, consistent alpha that compounds over time ensures a low volatility portfolio that generates competitive active return in a predictable fashion, through all stages of the investment cycle

FAIS requirements Who is your FAIS complaints officer? Timothy Howse Please provide the link to the complaints policy on your website: http://www.aluwanicapital.co.za/legal/

History When was the company established? The company became operational as of 1 December 2015. List of mergers that have taken place since being established: None (Aluwani was created out of a management buyout at Momentum Asset Management).

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 3 By whom have you been accredited? INFORCOMM Date of accreditation: 2018-03-28

Key investment personnel Size of Investment Team: 15 Patrick Mathidi Head of Equities, Multi Asset Class Strategies BCompt (Hons), MSc (Fin) 22 years’ industry experience 2 years with firm Conrad Wood Head of Fixed Income Strategies BCom (Econ), CFA 24 years’ ind us try experience 2 years with firm Mishnah Seth Head of Frontier Strategies CFA, B Ace (Hons) 15 years’ industry experience 2 years with firm

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

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Argon Asset Management (Pty) Ltd www.argonassetmanagement.co.za

Company details

Ownership

Investment mandates

FAIS FSP registration number: 835 Switchboard: +27 21 670 6570 Fax number: +27 21 671 8252 General email: jeremy@argonasset.co.za Website: www.argonassetmanagement.co.za Address: 1st Floor, Colinton House, The Oval, 1 Oakdale Road, Newlands, 7700 PO Box 23254, Claremont, 7735 Compliance officer name: Tim Howse, eComply +27 21 671 8162

What is the ownership structure of the company? Independent, in other words no group structure Who are the directors of the company? Mothobi Seseli, Luyanda Joxo, Sello Setai and Dr Manas Bapela Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes, 49% Staff, 51% Management

What are your total assets under management? R25.1 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R23.9 billion Retail: R1.2 billion Life: N/A Other: N/A

Investment philosophy Argon Asset Management is a clientcentric investment management firm that is committed to internationally accepted best practices and global standards. They have a high performance culture that filters through to the long-term sustainable success of their investment portfolios. They follow a bottom-up, fundamental research, valuation based equity investment process. Multi asset class investments follow an active tactical asset allocation approach, with a strong capital protection underpin and volatility enhancing strategies that generate extra yield. They also follow a multi-strategy fixed income process, diversifying sources or risk and return with a mix of duration, credit and yield curve tactical trades.

FAIS requirements Who is your FAIS complaints officer? Tim Howse Please provide the link to the complaints policy on your website: http://www.argonassetmanagement. co.za/about-argon/regulatory-details/

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History When was the company established? 2005-04-01 List of mergers that have taken place since being established: N/A

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 By whom have you been accredited? Empowerdex (Pty) Ltd Date of accreditation: 2017-10-05

GIPS Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? Ms Lesley Harvey of eComply www.ecomply.co.za Date of verification: 2015-09-23 Expiry date of verification: Latest verification expected soon.

Key investment personnel Size of Investment Team: 17 Dr Manas Bapela Chief Executive Officer / Chief Investment Officer M Sc (Mathematics) cum laude, PhD (Mathematics) Univ of PTA, Global Investment Risk Mgt (Saïd Bus School, Oxford Univ) UK 20 years’ industry experience 9 years with firm Krishna Sathee Head of Fixed Income B Sc, B Sc (Hons) Statistics (UNISA) 22 years’ industry experience 8.5 years with firm Junaid Bray Head of Equities BBus Sc (Finance) UCT, CFA 16 years’ industry experience 4.5 years with firm Ruen Naidu Head of Multi Asset Class BBus Sc Hons (Acturial Science) UCT 11 years’ industry experience 1.5 years with firm

SECTION 6

Ashburton Fund Managers (Pty) Ltd www.ashburtoninvestments.co.za

Company details FAIS FSP registration number: 40169 Switchboard: +27 11 282 8800 Fax number: +27 11 282 1619 General email: query@ashburtoninvest.co.za Website: www.ashburtoninvestments.co.za Address: 3rd Floor, 4 Merchant Place, 1 Fredman Drive, Sandton, 2196 PO Box 650149, Benmore, 2010 Compliance officer name: Diketso Mashigo +27 11 282 4820

Investment philosophy Ashburton Investment’s history dates to the genesis of Ashburton Jersey in the early 1980’s. FirstRand is committed to having a prominent asset manager as part of its financial service offering. Therefore, after RMB Asset Management was spun off to Momentum in 2010, a process was started to consolidate all remaining Group asset management and wealth management functions under Ashburton. Ashburton Investments was officially launched in June 2013 although the consolidation of the various Group entities continued for several years after that. The businesses that were initially consolidated under the Ashburton brand were, the investment management arm of RMB Private Bank, BJM Multimanager, Ashburton Jersey and the retail stockbroking business of FNB. At the end of 2015 Ashburton acquired Atlantic Asset Management, a boutique Fixed Interest house, with a view to expanding on our Fixed Interest capabilities. The consolidation of Group asset and wealth management functions was completed in October of 2017 with the transfer of the Global Markets Fund Solutions business from RMB to Ashburton. This consolidation resulted in a common investment philosophy and common systems being applied across the various investment solutions.

Having introduced efficiencies into the Wealth and Investment (WIM) business, this business, along with a large contingent of Ashburton staff, was returned to FNB in November 2017 to be closer to their clients. The WIM business, which comprises advice and platform capabilities, still relies on the input of Ashburton’s investment team in constructing solutions for their clients. In 2018, Ashburton entered a strategic partnership with Fidelity International whereby Fidelity will assist with the implementation of Strategic Asset Allocation calls as well as instrument / fund selection in our offshore multiasset class portfolios. Ashburton is now a pure asset management company offering solutions across the spectrum from passive solutions to private asset solutions to the retail and institutional markets. While its primary asset management office is in Johannesburg, it also has asset management operations in Cape Town, Namibia, Jersey and the UK.

FAIS requirements Who is your FAIS complaints officer? Segabe Ditodi Please provide the link to the complaints policy on your website: http://www.ashburtoninvestments. com/docs/default-source/documents/ legal/fais-complaints-resolution-policy. pdf?sfvrsn=2

Ownership What is the ownership structure of the company? Ashburton is 100% owned by the FirstRand Group Who are the directors of the company? Boshoff Grobler, Paolo Senatore, Richard Pampel, Caryn Nicolai, Andrew Harris Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Ashburton is 100% owned by the FirstRand Group. Staff ownership is at FirstRand Group level.

History When was the company established? In 2013, the FirstRand Group consolidated all the investment capabilities within the group into Ashburton Investments to provide investors with a comprehensive range of new generation investment offerings. While Ashburton Investments has been in existence in its current format since 2013 its history dates back to the genesis of Ashburton Jersey, which forms an intricate part of the offshore investment offering, in the early 1980’s. List of mergers that have taken place since being established: At the end of 2015 Ashburton Investments acquired Atlantic Asset Management.

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 1 By whom have you been accredited? Sizwe Ntsaluba Gobodo Date of accreditation: 27 August 2018

GIPS Are you GIPS compliant? Yes. Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

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Ashburton Fund Managers (Pty) Ltd Continued

Investment mandates What are your total assets under management? R102.18 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R36.95 billion Retail: R65.23 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 67 Nkareng Mpobane Chief Investment Officer – Public Markets BCom Eco 15 years’ industry experience 5 years with firm

Jozua Booysen Head of Fund Solutions PhD (Chem), MBA, CFA 19 years’ industry experience 1 years with firm Albert Botha Head Fixed Income Portfolio Management BCom 14 years’ industry experience 3 years with firm Corneleo Keevy Head Credit Risk Management BAcc (Hons), CA (SA) 14 years’ industry experience 5 years with firm

Isabella Mnisi Chief Investment Officer – Private Markets BSc (Hons), MCom, CFA 17 years’ industry experience 5 years with firm

Heather Jackson Head of Specialised Credit BA (Hons), CFA 27 years’ industry experience 3 years with firm

Mark Appleton Head of Multi Asset and Strategy BCom, CFA 37 years’ industry experience 5 years with firm

Ashley Benatar Head: Mezzanine Finance BCompt (Hons), CA(SA) 17 years’ industry experience 1 year with firm

Arno Lawrenz Global Investment Strategist BSc (Hons), CFA 27 years’ industry experience 3 years with firm

Paul Clark Senior Portfolio Manager – Africa BSc, BCom, CFA 20 years’ industry experience 5 years with firm

Nico Els Multi-Asset Strategist & Portfolio Manager BCom (Hons) 27 years’ industry experience 5 years with firm Lesiba Ledwaba Head of Property Portfolio Management BCom (Accounting) 15 years’ industry experience 5 years with firm

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Kathy Davey Head of Equity Research MCom, CFA 12 years’ industry experience 5 years with firm

SECTION 6

Aylett & Company (Pty) Ltd www.aylett.co.za

Company details FAIS FSP registration number: 40169 Switchboard: +27 11 282 8800 Fax number: +27 11 282 1619 General email: admin@aylett.co.za Website: www.aylett.co.za Address: 5th Floor, Mariendahl House, Newlands on Main, Main Road, 7708 P O Box 44414, Claremont, 7735 Compliance officer name: Gerry Grispos 087 897 6970

Investment philosophy “We have one philosophy that is applied across all our portfolios, “do what is rational”. We are fundamental, bottomup, stock pickers. We employ a business approach to investing, focusing on free cash flows to establish private market values for businesses. We invest in assets on behalf of clients that will preserve their purchasing power in real terms and earn a satisfactory return on that capital. Good investments are made irrespective of prevailing market conditions by investing wisely and on the right terms. This requires patience, investing intelligence and respect for the process. Our Philosophy: ■■ Firstly, we don’t want to lose capital. ■■ We are rational investors. ■■ We buy listed businesses. ■■ We build portfolios from the bottom-up. ■■ We don’t care about the composition of the benchmark. ■■ We are long-term focused. ■■ We don’t try to make macro forecasts. Instead we focus on picking businesses that have a high probability of being successful investments. ■■ We look for a good business first, mispricing second. That order matters. ■■ We are cash flow focused. ■■ We seek out disconfirming evidence. ■■ We don’t cover the market. ■■ We stick to our philosophy.

Portfolios are built bottom-up with weightings derived from our conviction levels on each recommendation, and the allocation is a result of the number of ideas we have found.

FAIS requirements Who is your FAIS complaints officer? Kirsten Parkins Please provide the link to the complaints policy on your website: https://www.aylett.co.za/our-company/ compliance-and-policies#customercomplaints

Ownership What is the ownership structure of the company? Walter Aylett and Christopher Robin Trust – 90% Dagon Sachs and The Calvin Trust – 4% Justin Ritchie and The Blockhouse Trust – 1% Lady Mary Clancy – 5% Who are the directors of the company? Walter Aylett, Dagon Sachs Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes, 95% in total

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R4.8 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R1.2 billion Retail: R2.6 billion Life: N/A Other: R1.0 billion

Key investment personnel Size of Investment Team: 67

History

Walter Aylett Chief Investment Officer B.Compt Hons (UNISA), CA(SA) 25 years’ industry experience 13 years with firm

When was the company established? 2005 List of mergers that have taken place since being established: N/A

Dagon Sachs Investment Analyst B.Sc. Eng. (Mechanical) (Wits), CFA 16 years’ industry experience 13 years with firm

B-BBEE credentials

Justin Ritchie Investment Analyst PGDA (UCT), B.Acc (Stell), CA(SA), CFA 10 years’ industry experience 7 years with firm

Are you B-BBEE accredited? None What is your B-BBEE status? N/A By whom have you been accredited? Sizwe Ntsaluba Gobodo Date of accreditation: 27 August 2018

Corne van Zyl Investment Analyst B.Acc (Hons) 11 months industry experience 11 months with firm

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Balondolozi Investment Services www.balondolozi.co.za

Company details FAIS FSP registration number: 2010/007109/07 Switchboard: +27 861 262 270 Fax number: +27 861 267 789 General email: admin@balondolozi.co.za Website: www.balondolozi.co.za Address: 11 Boundary Road, Isle of Houghton, Old Trafford 1, 3rd Floor PO Box 542, Melrose Arch, Melrose, 2076 Compliance officer name: Johan Van Zyl

Who are the directors of the company? Pedro Samuel, Fikile Ndlovu, Yolande Mokhantso, Fannuel Tigere, Thabo Ntseare, Zintle Mjali. Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Staff hold 30% of the shares of the company

Key investment personnel

History

Bongisipho Mahlathi Trainee Fixed Income Portfolio Manager Bcom Economics 4 years’ industry experience 4 years with firm

When was the company established? 01/07/2010 List of mergers that have taken place since being established: N/A

Investment philosophy

B-BBEE credentials

All investments for their reward are subject to risk. Foremost to deliver on our mandate it is important to understand precisely the clients’ needs and risk tolerance for us to satisfactorily fulfil our obligation. In line with our name, Balondolozi, custodians and preservers of our clients’ investments, our philosophy is to produce superior risk-adjusted investment returns and provide investment solutions customised for our clients.

Are you B-BBEE accredited? N/A What is your B-BBEE status? N/A By whom have you been accredited? N/A Date of accreditation: N/A

Thus, all our investment strategies share an investment philosophy that centres on customised solutions where securities chosen for the portfolio can be mathematically blended in such a way that risk to the benchmark is reduced and there is good potential for superior returns.

FAIS requirements Who is your FAIS complaints officer? Johan Van Zyl Please provide the link to the complaints policy on your website: N/A

Ownership What is the ownership structure of the company? Pedro Samuel Family 30%, Balondolozi Employee Trust 30%, Royal Investment Services 30%.

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GIPS Are you GIPS compliant? N/A Are you GIPS verified? N/A By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R4.37 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R4.37 billion Retail: N/A Life: N/A Other: N/A

Size of Investment Team: 9 Fannuel Tigere Chief Investment Officer Bachelor of Business Science (Actuarial Science) UCT, CFA 11 years’ industry experience 8 years with firm

Christopher Pratt Trainee Fixed Income Portfolio Manager BCom Hons Investment Management UP 4 years’ industry experience 4 years with firm Itumeleng Mojaki Trainee Money Market Portfolio Manager Bachelor of Commerce , Honours (Risk Management) NWU 4 years’ industry experience 4 years with firm Sandelee Van Wyk Trainee Equities Portfolio Manager BCom Economics and Risk Management, Hons BCom Risk Management 4 years’ industry experience 4 years with firm Tatum Naidoo Trainee Equities Portfolio Manager Bcom Investment management 4 years’ industry experience 4 years with firm Magdalene Baloyi Trainee Money Market Portfolio Manager Bcom Economics and Econometrics, 3 years’ industry experience 3 years with firm

SECTION 6

Benguela Global Fund Managers (Pty) Ltd www.benguelaglobal.com

Company details FAIS FSP registration number: 45122 Switchboard: +27 10 596 8500 Fax number: +27 11 803 6063 General email: info@benguelaglobal.com Website: www.benguelaglobal.com Address: Unit 6, The Avenues North 6 Mellis Road, Rivonia, 2191 PO Box 1035, Rivonia, Johannesburg, 2128 Compliance officer name: Debra Lynn Carse +27 21 975 6597

Investment philosophy Our investment philosophy is premised on the belief that superior risk-adjusted returns can, over the long term, be achieved through investment in: highquality companies with sustainable growth prospects that are purchased at reasonable prices

FAIS requirements Who is your FAIS complaints officer? Debra Lynn Carse Please provide the link to the complaints policy on your website: https://www.benguelaglobal.com/about

Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Staff owns 100% of the company

History When was the company established? 2013 List of mergers that have taken place since being established: N/A

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 1 By whom have you been accredited? SAB & T Date of accreditation: 2017-11-27

GIPS Are you GIPS compliant? Yes Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Key investment personnel Size of Investment Team: 9 Zwelakhe Mnguni Chief Investment Officer B.Com Hons in Financial Management 16 yearsâ&#x20AC;&#x2122; industry experience 5 years with firm Karl Gevers Head of Research B.Acc, B.Com Hons, CA (SA) 16 yearsâ&#x20AC;&#x2122; industry experience 5 years with firm

Ownership What is the ownership structure of the company? Benguela Global Fund Managers is fully owned by staff Who are the directors of the company? Zwelakhe Mnguni, Karl Gevers, Sibongile Mpakanyiswa, Colin Clarke and Lindiwe Moyabane

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Blue Ink Investments (Pty) Ltd www.blueink.co.za

Company details

FAIS requirements

FAIS FSP registration number: 712 Switchboard: +27 21 950 2600 Fax number: +27 21 950 2126 General email: clientservices@blueink.co.za Website: www.blueink.co.za Address: 55 Willie van Schoor Avenue, Bellville, 7530 Private Bag X8, Tyger Valley, 7536 Compliance officer name: Francis Hitchinson +27 21 950 2980

Who is your FAIS complaints officer? Francis Hitchinson Please provide the link to the complaints policy on your website: Complaints made directly to CEO

Investment philosophy Blue Ink’s investment philosophy is to protect capital when markets are penalised and grow it when markets are rewarded, with little excuse for the directional trends in the market. We believe the following: ■■ We are ultimately undergoing a talent search. There exists a niche group of investment talent that have individually proven to be successful in wealth creation through non-habitual investment approaches. Our core skill is to identify this talent and extract it for the benefit of a client’s investment purpose. We look for managers who are flexible enough to look for new opportunities within their investment style and be prepared to aggressively adjust their gross and net exposure when required. ■■ To calibrate for risk is to calibrate for opportunities. It is our belief that when combining different strategies, there are risks one cannot control and those that we can successfully manage. The latter is at the core of Blue Ink’s investment philosophy. ■■ The degrees of freedom are essential. The ability to deliver investment returns agnostic to markets conditions, requires a significant increase in the investment toolkit.

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Ownership What is the ownership structure of the company? 100% owned by Sanlam Limited. Who are the directors of the company? Selwyn Pillay, Nersan Naidoo, Robert Roux, Thomas van Heerden Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: N/A

By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R2.15 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R451.4 million Retail: R6.9 million Life: R1.7 billion Other: N/A

Key investment personnel

History

Size of Investment Team: 4

When was the company established? 1994 List of mergers that have taken place since being established 1994-2007 – Blue Ink Investments 100% owned by management. June 2007 – Blue Ink Investments 50% acquired by Sanlam Investments and 50% by Octane Group. December 2009 – Sanlam Investments acquires additional 25% and Ubuntu-Botho Investment Holdings acquires 25%. 2016 – Sanlam acquires 25% UbuntuBotho Stake.

Peter Urbani Research and Process Engineer 22 years’ industry experience 3 years with firm

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 3 By whom have you been accredited? AQRate Date of accreditation: 2017-06-05

GIPS Are you GIPS compliant? No Are you GIPS verified? N/A

Lilian Lerm Manager Research B.Com Honours (Financial Analysis) 8 years’ industry experience 6 year with firm Suvira Bodha Investment Analyst B.BusSC (Analytics) 2 years’ industry experience 2 year with firm Tintswalo Mukansi Investment Analyst B.BusSC (Economics) 2 years’ industry experience 2 year with firm

SECTION 6

Cadiz Funds (Pty) Ltd www.cadiz.co.za

Company details

FAIS requirements

FAIS FSP registration number: 45442 Switchboard: 0800 50 50 50 Fax number: +27 21 670 4651 General email: info@cadiz.co.za Website: www.cadiz.co.za Address: Great Cellar, Alphen Estate, Alphen Drive Constantia, 7806 PO Box 816, Constantia, 7848 Compliance officer name: Internal Compliance Officer: Rudi Kotze External Compliance Officer: Frits Rossouw (021 558 9675)

Who is your FAIS complaints officer? Frits Rossouw Please provide the link to the complaints policy on your website: https://www.cadiz.co.za/wp-content/ uploads/20160705-FAIS-ClientComplaint-Procedure-Manual.pdf

Investment philosophy Cadiz Asset Management seeks to invest in predominantly good quality businesses with capable management and low financial risk when these businesses are trading at a price lower than our estimate of what the business is worth. We believe that markets can be inefficient in the short term driven by fear (over pessimism) and greed (over optimism). Cadiz strives to remain rational, dispassionate and exploit the opportunities that this investor behaviour creates, thereby generating superior returns for their clients.

Ownership What is the ownership structure of the company? 100% subsidiary of The Warwick Group Limited Who are the directors of the company? Ian Kilbride, Adrian Meager, Timothy Hughes, Sidney McKinnon, Rudi Kotze, Richard Rattue, John Rodney Reid, Christiaan Meyer and Marc Wiese. Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: No staff ownership in the company.

History When was the company established? 2013 List of mergers that have taken place since being established: The Warwick Group acquired the asset management business of Cadiz in May 2018.

B-BBEE credentials

In order to identify the mispriced opportunities, Cadiz follows a sound, systematic and disciplined bottom-up fundamental approach. Cadiz studies the long-term performance and risk compensation metrics to normalise these trends and derive an appropriate valuation for the business.

Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 3 By whom have you been accredited? Empowerdex Date of accreditation: 30 November 2017

Cadiz are disciplined to buying assets only when we are convinced that there is an asymmetric payoff profile for the investment. This limits the potential for permanent capital loss and enables Cadiz to generate superior returns for their clients with the least amount of risk.

GIPS

Expiry date of verification: Verification is done every two years.

Investment mandates What are your total assets under management? R12.8 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R7.6 billion Retail: R5.1 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 12 Adrian Meager Managing Director and Chief Investment Officer 24 years’ industry experience 12 years with firm Razeen Dinath Head of Research Bcom, CA(SA) 12 years’ industry experience 3 years with firm Brian Munroe Head of Multi-Assets BSc, Bcom (Hons Statistics) 18 years’ industry experience 18 years with firm Alastair Sellick Joint Head of Fixed Income BBusSci (Actuarial) 22 years’ industry experience 3 year with firm Sidney McKinnon Joint Head of Fixed Income BSc (Computer Science and Mathematics) 22 years’ industry experience 5 years with firm

Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? eComply Consultants (Pty) Ltd Date of verification: 1 January 2016 – 31 December 2017 187

MANAGER WATCH™ SURVEY

Cannon Asset Managers (Pty) Ltd www.cannonassets.co.za

Company details FAIS FSP registration number: 736 Switchboard: +27 11 407 3532/3520 General email: info@cannonassets.co.za Website: www.cannonassets.co.za Address: 12th Floor, Rennie House, 19 Ameshoff Street, Braamfontein, 2001 PO Box 651969, Benmore, 2010 Compliance officer name: Bianca Neethling +27 11 407 3088

Investment philosophy Cannon Asset Managers has a 20-year track record built on an investment philosophy that is founded in three core principles. First, effective investment management must start with managing risk before considering returns. Second, asset allocation is the single most important determinant of long-term investment results. Third, gains in technology, gains in access to data and an ever-growing body of investment knowledge mean that capital markets are increasingly efficient, with the implication being that “owning the market” is generally the most effective and efficient way in which to achieve investment results. However, portfolio results can benefit in several ways from investment knowledge, including tactical asset allocation; portfolio construction; and the identification of mispriced individual assets, which makes a place for active management alongside passive management. We also recognise that the investment industry is in an almost-constant state of change, which means we never stop learning from our decisions, the experiences of others and the world at large. Being secured in a sound philosophy, with the ability to

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continuously develop our process through improved data, refined models or deeper knowledge, gives our investment team a strength that translates into sustainable investment results. In practice, these views lead to an investment process that recognised asset allocation as the dominant factor in ensuring the investment exposure and asset class diversification needed to deliver results. The most powerful factor is time, and long holding periods handsomely reward patient investors. Our clients know that the creation of long-term wealth is the reward for patience, persistence and resilience. The best place to invest most assets is a market portfolio. Yet, there is a place for active investing: the price you pay for an investment is the primary determinant of your investment return, and mispriced assets can create specific opportunities that are particularly handsome. Costs matter. We build effective investments by buying the right assets at the right price while keeping a keen eye on fees and portfolio management costs to ensure we deliver reliable results to all our clients across all our offerings. Significantly, our investment process and business model are not dependent on ‘personalities’ or specific individuals to be successful, and our ownership structure enables us to maintain independence in our thinking, a feature that is uncommon – yet invaluable – in the world of investment management. All our portfolios carry these same chromosomes, although the emphasis may change from one investment to another, based on mandate directives such as tracking error constraints; geographic or industry bias; or an emphasis on a specific factor, such as company size, dividends or cashflow, to name a few examples. In this way, we offer each of our clients a robust, time-tested solution that suits their investment need.

FAIS requirements Who is your FAIS complaints officer? Bianca Neethling Please provide the link to the complaints policy on your website: https://www.cannonassets.co.za/admin/ resources/complaints-policy.pdf

Ownership What is the ownership structure of the company? 100% owned by Bidvest Financial Services Who are the directors of the company? Adrian Saville, Chief Executive Japie van Niekerk, Managing Director Thinus Liebenberg, Finance Director Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: None

History When was the company established? 2000 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 4 By whom have you been accredited? Empowerdex Date of accreditation: 2018-10-18

SECTION 6

Cannon Asset Managers (Pty) Ltd Continued

GIPS Are you GIPS compliant? Yes Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R1.36 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R842 million Retail: R202 million Life: N/A Other: R320 million

Samantha Steyn Chief Investment Officer BCom (Hons) (Investment Management) 5 years’ industry experience 4 years with firm Hervè Kasongo Portfolio Manager & Analyst BCom (Accounting) 5 years industry experience 1 month with firm Yanga Nozibele Investment Associate BCom (Economics and Econometrics) 3 years industry experience 2 months with firm Tlotliso Phakisi Investment Analyst BSc (Property Studies) 3 years industry experience 3 years with firm

Key investment personnel Size of Investment Team: 5 Adrian Saville Founder and Chief Executive BA (Hons) (cum laude), MCom (cum laude), PhD (Economics) 22 years’ industry experience 22 years with firm

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Catalyst Fund Managers SA (Pty) Ltd www.catalyst.co.za

Company details FAIS FSP registration number: 36009 Switchboard: +27 21 657 5500 Fax number: +27 21 683 7579 General email: operations@catalyst.co.za Website: www.catalyst.co.za Address: 4th Floor Protea Place, Claremont, 7708 PO Box 44845, Claremont, 7735 Compliance officer name: Tim Howse (eComply) +27 21 671 8162

Investment philosophy Property – Income – Security Their commitment is to provide the client with a securitised real estate portfolio solution incorporating total return objectives, risk tolerance, investment horizon and liquidity requirements. Their approach is research driven and long-term orientated. Their objective is to identify value opportunities on the basis of total return in a property and company specific risk return framework. This asset class offers a high income yield with inflation beating growth in income and thus the potential for long-term capital value appreciation. Their view is that real estate is a separate asset class, providing diversification benefits to a multi-asset class portfolio resulting in enhanced risk adjusted returns. Their philosophy also drives their independent internal company research capability, which consolidates property knowledge with company specific features. This together with consistently applied valuation methodology, 190

designed specifically for listed property assessment, differentiates them from their competitors and allows them to add real value to their clients’ portfolios.

FAIS requirements Who is your FAIS complaints officer? Michael Arbuthnot Please provide the link to the complaints policy on your website: http://www.catalyst.co.za/complaintsresolution-process/

Ownership What is the ownership structure of the company? Catalyst Fund Managers 74.9%, Directors 15%, Staff Trust 10.1% Who are the directors of the company? P Duncan, R D Du Plooy, T S Sishuba, M Arbuthnot, Z Sulaiman, J D Broll (alternate) Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes, Directors – 15%, Management – 10% Staff Trust – 10.1%

History When was the company established? 2006 List of mergers that have taken place since being established: N/A

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 By whom have you been accredited? Renaissance SA Ratings Date of accreditation: 2017-12-11

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R10.1 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R8.7 billion Retail: R1.4 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 4 Zayd Sulaiman Portfolio manager CA, SA 20 years’ industry experience 12 years with firm

SECTION 6

ClucasGray (Pty) Ltd www.cgam.co.za

Company details

Ownership

B-BBEE credentials

FAIS FSP registration number: 21117 Switchboard: +27 11 771 1960 Fax number: 086 260 0483 General email: ClientRelations@ClucasGray.co.za Website: www.cgam.co.za Address: Ground Floor, Dunkeld Place, 12 North Road, Dunkeld West, 2196 PO Box 413037, Craighall, 2024 Compliance officer name: Numbi Kabale +27 11 771 1960

What is the ownership structure of the company? Andrew Vintcent owns 50% of the economic interest of ClucasGray Asset Management and ClucasGray (Pty) Ltd owns the other 50%. Who are the directors of the company? Peter Clucas, Craig Clucas Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: ClucasGray (Pty) Ltd is owned by the founding members of the company (through their respective trusts) together with Brendan Hubbard, and Guy MacRobert (15.79%) and Grant Morris (15.79%) (whose combined share is held in Swilcan Bridge Investments (Pty) Ltd).

Are you B-BBEE accredited? No What is your B-BBEE status? N/A By whom have you been accredited? N/A Date of accreditation: N/A

Investment philosophy We believe: ■■ in fundamental, in-depth company analysis ■■ all investing requires a valuation discipline ■■ in a collaborative approach to investing, leveraging the insights and diverse experience of the ClucasGray investment team ■■ that macro analysis is an important supplement to fundamental analysis ■■ in focused portfolios, expressing conviction in our views ■■ a patient, long term approach to investing will lead to good returns over time.

FAIS requirements

■■ Peter Clucas – 16.42%; ■■ James Clucas – 15.79%; ■■ Paul Carter – 15.79%; ■■ Brendon Hubbard – 15.79%; ■■ Swilcan Bridge (Pty) Ltd – 31.58% ■■ Other – 4%

History When was the company established? September 2005 List of mergers that have taken place since being established: There have been no mergers. The above is a list of key shareholders that have joined ClucasGray (Pty) Ltd since its inception.

GIPS Are you GIPS compliant? No, however the unit trusts are deemed to be GIPS compliant through our administrator Prescient, who verify returns and compliance. Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R8.8 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R493 million Retail: R587 million Life: N/A Other: R320 million

Who is your FAIS complaints officer? Paul Carter Please provide the link to the complaints policy on your website: N/A

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ClucasGray (Pty) Ltd Continued

Key investment personnel Size of Investment Team: 11 Andrew Vintcent Defacto CIO of ClucasGray Asset Management CA (SA) CFA 18 years’ industry experience 3 years with firm Grant Morris Head of Research Bcom, PDM, CFP 18 years’ industry experience 4 years with firm Andrew Vintcent Senior Portfolio Manager and Analyst ClucasGray Asset Management CA (SA) CFA 18 years’ industry experience 3 years with firm Grant Morris Senior Portfolio Manager and Analyst Bcom, PDM, CFP 18 years’ industry experience 4 years with firm Guy MacRobert Senior Portfolio Manager and Analyst CA (SA) 22 years’ industry experience 4 years with firm Brendon Hubbard Senior Portfolio Manager and Analyst MBA (Edinburgh Business School) 19 years’ industry experience 9 years with firm Kirsty Savin Portfolio Manager and Analyst B. Bus Sci Finance (Hons), CFA, CFP 9 years’ industry experience 7 years with firm

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James Clucas Senior Portfolio Manager and Analyst Bcom 24 years’ industry experience 12 years with firm Paul Carter Senior Portfolio Manager and Analyst BSC (Inf Proc) 23 years’ industry experience 12 years with firm Chris Sloan Senior Portfolio Manager and Anlayst ClucasGray Global Fund Bcom (Accounts and Economics) 13 years’ industry experience 4 years with firm Mohammed Mayet Investment Analyst CA (SA) 13 years’ industry experience 4 years with firm Danie van Zyl Investment Analyst CA (SA) 2 years’ industry experience 2 years with firm Willem Pienaar Investment Analyst CFA, B Com (Economics) 5 years’ industry experience 1 years with firm

SECTION 6

Colourfield Liability Solutions (Pty) Ltd www.colourfield.co.za

Company details

Ownership

Investment mandates

FAIS FSP registration number: 35113 Switchboard: 086 100 7656 Fax number: 086 579 8592 General email: cls@colourfield.co.za Website: www.colourfield.co.za Address: Unit 16B, 3 Melrose Boulevard, Melrose Arch, 2192 Compliance officer name: Elzabe Botha, Compli-Serve 086 127 3783 Elzabe@compliserve.co.za

What is the ownership structure of the company? Privately-owned company Who are the directors of the company? Nick Sennett, Costa Economou, Shaun Levitan, Bridget Radebe Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: 71.7% owned by staff and management

What are your total assets under management? R49 billion Please detail the mandates you currently manage and the size of each of these mandates: All segregated, 3rd party, LDI mandates

Investment philosophy

History When was the company established? 2006 List of mergers that have taken place since being established: None

Colourfield is South Africa’s largest and only dedicated “liability driven” investment management business. As an LDI manager, Colourfield’s investment philosophy is built around the understanding and de-risking of liabilities. We utilise a scientific approach to portfolio construction that will track a liability-based benchmark irrespective of market circumstances.

B-BBEE credentials

Unlike other investment managers that attempt to outperform a benchmark where the core components are known in advance, Colourfield has the objective of tracking the movement of a non-investable liability stream.

GIPS

FAIS requirements Who is your FAIS complaints officer? Elzabe Botha Please provide the link to the complaints policy on your website: N/A

Are you B-BBEE accredited? In progress What is your B-BBEE status? N/A By whom have you been accredited? N/A Date of accreditation: N/A

Key investment personnel Size of Investment Team: 6 Dr Nick Sennett Chief Investment Officer Actuary, PhD degree in Finance 28 years’ industry experience 10.5 years with firm Troy du Plessis Trader Actuary, CFA Charter Holder, CAIA Charter Holder 12 years’ industry experience 9 years with firm Shaun Levitan Chief Operating Officer and Specialist Portfolio Structurer Actuary, MSc (Actuarial Science), CFA Charter Holder 17 years’ industry experience 9 years with firm

Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? PricewaterhouseCoopers Date of verification: 2016-05-13 Expiry date of verification: N/A

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MANAGER WATCH™ SURVEY

Coronation Asset Management (Pty) Ltd www.coronation.com

Company details

Ownership

GIPS

FAIS FSP registration number: 548 Switchboard: +27 21 680 2000 Fax number: +27 21 680 2100 General email: clientservice@coronation.co.za Website: www.coronation.com Address: 7th Floor MontClare Place, Cnr Campground and Main Roads, Claremont, Cape Town, South Africa, PO Box 44684, Claremont, Cape Town, 7735 Compliance officer name: Mr Stephan Kemp +27 21 680 2809 Ms Jamie Rowland +27 21 680 7703

What is the ownership structure of the company? Coronation Asset Management (Pty) Ltd (“Coronation Asset Management”) is a wholly owned subsidiary of Coronation Fund Managers Limited (“Coronation Fund Managers”). Coronation Fund Managers is, in turn, a public company listed on the Johannesburg Stock Exchange. Any member of the public may therefore acquire shares in Coronation Fund Managers. Who are the directors of the company? Anton Pillay and John Snalam Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Staff in aggregate hold approximately 25% of the shares of Coronation Fund Managers, being the holding company of Coronation Asset Management-staff therefore do, indirectly, have an ownership interest in Coronation Asset Management.

Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? Ernst and Young Date of verification: 2017-01-01 Expiry date of verification: 2017-12-31

Investment philosophy All Coronation products are managed according to a single investment philosophy. It is based on two key tenets: using a long-term horizon to establish a company’s fair value and a disciplined valuation-driven approach which drives buy and sell decisions.

FAIS requirements Who is your FAIS complaints officer? Ms Jamie Rowland and Mr Stephan Kemp Please provide the link to the complaints policy on your website: We have a complaints policy that is available on request.

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History When was the company established? Founded in 1993 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 3 By whom have you been accredited? EMPOWERDEX Date of accreditation: 2017-12-01

Investment mandates What are your total assets under management? R602.0 billion (as at June 2018) Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R359 billion Retail: R242 billion Life: N/A Other: N/A

SECTION 6

Coronation Asset Management (Pty) Ltd Continued

Key investment personnel Size of Investment Team: 67 Karl Leinberger Chief Investment Officer BBusSc, CA (SA), CFA 18 years’ industry experience 18 years with firm Sarah-Jane Alexander Portfolio Manager BBusSc, CFA 15 years’ industry experience 10 years with firm Neville Chester Senior Portfolio Manager BCom, CA (SA), CFA 22years’ industry experience 18 years with firm Pallavi Ambekar Portfolio Manager BBusSc, CA (SA), CFA 16 years’ industry experience 16 years with firm Duane Cable Head of SA Equities BCom (Hons), CA (SA), CFA 12 years’ industry experience 12 years with firm Quinton Ivan Head of SA Equity Research BBusSc, Bcom (Hons), CA (SA), CFA 14 years’ industry experience 13 years with firm Neill Young Portfolio Manager BBusSc, CA (SA), CFA 20 years’ industry experience 20 years with firm Charles de Kock Head of Absolute Return BCom (Hons), MCom 33 years’ industry experience 14 years with firm

Nishan Maharaj Head of Fixed Income BSc (Hons), MBA 16 years’ industry experience 6 years with firm Mark le Roux Portfolio Manager BCom 27 years’ industry experience 13 years with firm Gavin Joubert Head of Global Emerging Markets BBusSc, CA (SA), CFA 19 years’ industry experience 19 years with firm Suhail Suleman Portfolio Manager BBusSc, CFA 17 years’ industry experience 11 years with firm Peter Leger Head of Global Frontiers BScEng, BCom (Hons), CFA 21 years’ industry experience 14 years with firm Anthony Gibson Portfolio Manager BCom 38years’ industry experience 25 years with firm Louis Stassen Head of Global Developed Markets BSc, BCom (Hons), CFA 29 years’ industry experience 25 years with firm Neil Padoa Head of Global Developed Markets Research BEconSc, FFA 11 years’ industry experience 6 years with firm

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MANAGER WATCHâ&#x201E;˘ SURVEY

Discovery Life Collective Investments (Pty) Ltd www.discovery.co.za

Company details

Ownership

GIPS

FAIS FSP registration number: N/A Switchboard: 0860 67 57 77 Fax number: +27 11 539 4001 General email: invest_support@discovery.co.za Website: www.discovery.co.za Address: 1 Discovery Place, Sandton Johannesburg, 2196 P O Box 786722, Sandton Johannesburg, 2146 Compliance officer name: Jo-Ann Ferreira +27 12 399 7977

What is the ownership structure of the company? 100% owned subsidiary of Discovery Limited, a company listed on the JSE. Who are the directors of the company? Leslie Owen, Adrian Gore, John Awbrey, Herschel Mayers and Sonja Sebotsa. Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: No

Are you GIPS compliant? N/A Are you GIPS verified? N/A By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

History

What are your total assets under management? R48.6 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R45.2 billion Retail: R3.4 billion Life: N/A Other: N/A

Investment philosophy The Discovery Collective Investment Scheme Portfolios are managed by Investec Asset Management (IAM). Administration and compliance oversight rests with Discovery Life Collective Investments (Pty) Ltd. IAM is a multi-specialist investment manager with core offerings in equities, fixed income, alternatives and multiasset management. Investec Asset Management does not have an overarching house style instead choosing to allow the heads of specialist investment teams the freedom to operate according to their investment beliefs, with complete discretion over their own teams.

FAIS requirements Who is your FAIS complaints officer? Jo-Ann Ferreira Please provide the link to the complaints policy on your website: invest_support@discovery.co.za

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When was the company established? 2007 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 3 Contributor (AA) By whom have you been accredited? Honeycomb BEE ratings Date of accreditation: 2017-06-06

Investment mandates

SECTION 6

Discovery Life Collective Investments (Pty) Ltd Continued

Key investment personnel Size of Investment Team: South Africa (74), Botswana (3), Namibia (1), USA (6), UK (143), Hong Kong (4) , Singapore (2), John McNab Co-Chief Investment Officer BEng Industrial (Cum Laude), MEng Industrial (Cum Laude), CFA 23 years’ industry experience 23 years with firm Mimi Ferrini Co-Chief Investment Officer B Com, CFA 30 years’ industry experience 27 years with firm Chris Freund Head of SA Equity & Multi Asset BCom, BCompt (Hons.) Accounting, CA (SA), CFA 28 years’ industry experience 13 years with firm Samantha Hartard Portfolio Manager BCom (Hons.) Finance 10 years’ industry experience 5 years with firm Hannes van Den Berg Portfolio Manager CA(SA), CFA 14 years’ industry experience 1 year with firm Rüdiger Naumann Portfolio Manager Bachelor of Commerce Honours, Masters of Commerce 14 years’ industry experience 14 years with firm Unathi Loos Portfolio Manager MBA (Cum Laude) 10 years’ industry experience 10 years with firm

Rhynhardt Roodt Co-Head of 4Factor BCom Financial Management Sciences, BCom (Hons.) (Cum Laude) Investment Management, MCom Financial (Cum Laude) Management, CFA 8 years’ industry experience 15 years with firm Mark Breedon Co-Head of 4Factor BA Economics 41 years’ industry experience 16 years with firm Peter Baird Managing Principal, Africa Private Equity MSc Economics, MBA Business Administration 21 years’ industry experience 2 years with firm Richard Ladbrook Portfolio Manager, Africa (ex SA) Public Equity BCom (Hons.) Accounting Science, CFA 12 years’ industry experience 6 years with firm Peter Kent Co-Head of SA & Africa Fixed Income BCom (Hons.) Accounting, MSc Finance, CA(SA), CFA 18 years’ industry experience 6 years with firm Simon Howie Co-Head of SA & Africa Fixed Income BArch, MBA, CFA 20 years’ industry experience 20 years with firm Peter Eerdmans Co-Head of Emerging Market Fixed Income MSc Econometrics 23 years’ industry experience 13 years with firm

Michael Spinks Co-Head of Multi-Asset Growth BA (Hons.) Mathematics & Economics, CFA 22 years’ industry experience 6 years with firm John Stopford Head of Multi-Asset Income BA Chemistry, CFA 28 years’ industry experience 25 years with firm Grant Irvine Smith Portfolio Manager MBA, BSc Civil Engineering, CFA 18 years’ industry experience 18 years with firm Clyde Rossouw Co-Head of Quality BSc Statistics & Actuarial Science, CAT, CFI, CFA 24 years’ industry experience 19 years with firm Simon Brazier Co-Head of Quality BA (Hons.) Economics & French, IIMR 20 years’ industry experience 4 years with firm Sumesh Chetty Portfolio Manager, Quality BBusSc (Hons.) Actuarial Science, PGDip Actuarial Science, FIA 16 years’ industry experience 12 years with firm John Biccard Portfolio Manager, SA Value BCom (Hons.) Economics, CFA 28 years’ industry experience 18 years with firm

Philip Saunders Co-Head of Multi-Asset Growth BA History 37 years’ industry experience 37 years with firm

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Electus Fund Managers (Pty) Ltd www.electus.co.za

Company details

FAIS requirements

B-BBEE credentials

FAIS FSP registration number: 46077 Switchboard: +27 21 680 7500 Fax number: +27 21 680 7501 General email: info@electus.co.za Website: www.electus.co.za Address: Ground Floor, Great Westerford, 240 Main Road, Newlands, 7700 Compliance officer name: Gerry Grispos, Compli-Serve SA 0861 273 783

Who is your FAIS complaints officer? Tali Anderssen Please provide the link to the complaints policy on your website: http://www.electus.co.za/media/76123/ client_complaint_process_ draft_02_11_2015.pdf

Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 4 By whom have you been accredited? DTI Date of accreditation: 2018-07-17

Investment philosophy We invest in a consistently disciplined and focused manner, based on an unwavering investment philosophy of striving to buy into high quality businesses at prices that are low compared to their long term investment valuations. We construct concentrated, but well-diversified portfolios, normally holding ±30 shares. We manage portfolios with high conviction and choose shares in an unconstrained manner, giving clients the benefit of our proven stock-picking ability. Benchmarks are less relevant in the portfolio construction process as share weightings are determined based on our understanding of volatility, share liquidity and market leadership. We aim to identify companies that have sustainable competitive advantages within their industries, which should enable them to consistently earn returns on capital above their cost of capital. We also strive to identify mispriced companies through our disciplined, focused and opportunistic proprietary research and analysis. Our limited asset base is an advantage that enables us to invest across the broader SA stock market and we aim to deliver long term relative outperformance supported by superior risk/return characteristics. 198

Ownership What is the ownership structure of the company? All staff have ownership. Who are the directors of the company? Neil Brown, Richard Hasson, Tali Anderssen and Andrew Möller (non exec). Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes, 70% owned by staff and management. Citadel Holdings has a 30% share.

History When was the company established? January 2007 List of mergers that have taken place since being established: Neil Brown and Richard Hasson are co-founders and portfolio managers of Electus Fund Managers (Pty) Ltd, a boutique fund manager established in 2015. Originally started in 2007 by Richard and Neil as a fund management boutique within OMIG, Electus was successful in terms of client fund performance, asset growth and profitability. Richard and Neil continue to manage the Electus business and its clients in an independent Electus business since 2015. Citadel Holdings has a 30% share in Electus Fund Manager.

GIPS Are you GIPS compliant? Yes Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R2.6 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R2.5 billion Retail: R115 million Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 4 Neil Brown Co-Chief Investment Officer / Portfolio Manager N Dip Bus Admin, MBA (Finance) 26 years’ industry experience 12 years with firm Richard Hasson Co-Chief Investment Officer / Portfolio Manager B Com, CA(SA) CFA 21 years’ industry experience 12 years with firm

SECTION 6

Element Investment Managers www.elementim.co.za

Company details

Ownership

GIPS

FAIS FSP registration number: 663 Switchboard: +27 21 426 1313 Fax number: +27 21 426 0999 General email: info@elementim.co.za Website: www.elementim.co.za Address: 405 Manhattan Place, 130 Bree Street, Cape Town, 8001 Compliance officer name: Independent Compliance Services +27 21 975 6597

What is the ownership structure of the company? Element Investment Team – 30% First South Group – 25% VC Investors and non-Investment Element Staff – 25% Private Equity Financial Services Investor – 20% Total BEE Shareholding > 50% Who are the directors of the company? Dr Anwah Nagia, Terence Craig, Jayendra Naidoo*, Tom Barlow* (*Non-Executive Director) Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes, > 35%

Are you GIPS compliant? Yes Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment philosophy Element Investment Managers believe that a disciplined long-term contrarian approach is the most reliable way to achieve superior absolute returns for investors over the long term. They are index agnostic as their aim is to research companies and assets and buy them when their current prices are below their long-term intrinsic values and have the discipline to hold them until these intrinsic values are realised. As a result of their long-term contrarian philosophy, it is likely that their portfolios will at times be materially different from other market participants or indices against which they are measured.

FAIS requirements Who is your FAIS complaints officer? Dr Anwah Nagia Please provide the link to the complaints policy on your website: www.elementim.co.za/institutions/riskmanagement-and-compliance

History When was the company established? 1998 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 By whom have you been accredited? Exempted Micro Enterprise Date of accreditation: 2018-11-12

Investment mandates What are your total assets under management? R1.2 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R100 million Retail: R1.1 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 5 Terence Craig Chief Investment Officer B Bus Sc (Hons), CA (SA), CFA 24 years’ industry experience 17 years with firm Jeléze Hattingh Portfolio Manager M.Sc. Business Mathematics and Information Science (Cum Laude), CFA, CMT 13 years’ industry experience 8 years with firm Shamier Khan Shari’ah Portfolio Manager B Com, CA (SA), CFA 19 years’ industry experience 5 years with firm Andrew Bishop Portfolio Manager B Com (Hons), CA (SA), CFA 11 years’ industry experience 11 years with firm

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Excelsia Capital (Pty) Ltd www.excelsia.co.za

Company details

FAIS requirements

GIPS

FAIS FSP registration number: 46756 Switchboard: +27 21 276 1740 Fax number: N/A General email: info@excelsia.co.za Website: www.excelsia.co.za Address: 3rd Floor, Sunclare Building 21 Dreyer Street, Claremont, Cape Town, South Africa, 7708 Compliance officer name: Debbie Carse (Independent Compliance Services) +27 21 975 6597

Who is your FAIS complaints officer? Derek McDonald Please provide the link to the complaints policy on your website: http://www.excelsia.co.za/legal. html#Client

Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment philosophy Our investment philosophy is valuation based, focused on long-term thinking and assessing the key variables of what drives value in a business. We invest in businesses that we believe are selling at a discount to our assessment of their intrinsic value. Various valuation methods are used to determine the value of a business and normalisation of earnings forms a key part of assessing through-the-cycle intrinsic value. We also consider the probability of outcomes around our valuation and the possible timeframes over which value can be unlocked. Included in the valuation process are both quantitative and qualitative factors to help evaluate the key revenue drivers of the business, its risks/rewards and the industry dynamics in which the business operates. The key aspects of our philosophy include: ■■ Taking a business approach; ■■ Looking for a margin of safety; ■■ Taking advantage of fear and greed; ■■ Not basing investments on macro forecasting, and ■■ Taking a long-term approach.

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Ownership What is the ownership structure of the company? 100% owned by Rajay Ambekar Who are the directors of the company? Rajay Ambekar Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Not currently, but a staff shareholding scheme is planned in the near future.

History When was the company established? 2016 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 1 By whom have you been accredited? EME – affidavit Date of accreditation: 2018-06-21

Investment mandates What are your total assets under management? R1.8 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R1.8 billion Retail: N/A Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 5 Rajay Ambekar Chief Investment Officer CA(SA) CFA 21 years’ industry experience 2.5 years with firm

SECTION 6

Fairtree Capital (Pty) Ltd www.fairtree.com

Company details

Ownership

Investment mandates

FAIS FSP registration number: 25917 Switchboard: 0861 760 760 Fax number: +27 21 914 3103 General email: c!ientservices@fairtree.com Website: www.fairtree.com Address: Willowbridge Place, Cnr Carl Cronje & Old Oak Road, Bellville, 7530 PO Box 4124, Tygervalley, 7536 Compliance officer name: Enrique Goosen Independent Compliance Services

What is the ownership structure of the company? 100% owned by staff Who are the directors of the company? Andre Malan, Kobus Nel, Bradley Anthony Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: 100%

What are your total assets under management? R45.8 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R32.38 billion Retail: R11.72 billion Life: R1.7 billion Other: N/A

Investment philosophy Fairtree is a South African investment manager that manages alternative and long only investment portfolios for a diversified selection of local and offshore clients. Based in Cape Town, our commitment to a consistent and sound investment philosophy has continued to serve our investors well since the inception of our first fund in 2003. Our expert team of investment professionals manage R46bn in award winning portfolios in multiple asset classes, hedge funds, traditional unit trusts, and private equity.

FAIS requirements Who is your FAIS complaints officer? Enrique Goosen – Independent Compliance Services Please provide the link to the complaints policy on your website: www.fairtree.com

History When was the company established? 2006 List of mergers that have taken place since being established: N/A

B-BBEE credentials Are you B-BBEE accredited? No What is your B-BBEE status? N/A By whom have you been accredited? N/A Date of accreditation: N/A

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Key investment personnel Size of Investment Team: 40 Andre Malan Director B Com, MBA 24 years’ industry experience 13 years with firm Kobus Nel Director CA(SA), CFA 13 years’ industry experience 13 years with firm Bradley Anthony Director BA (Economic History), CAIA 25 years’ industry experience 7 years with firm Johannes Corbett Portfolio Manager B Sc Agric (Honours), Food Manufacturing Degree (NQF6), MBA 8 years’ industry experience 9 years with firm Ian Millard Portfolio Manager B Com 28 years’ industry experience 9 years with firm

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Fairtree Capital (Pty) Ltd Continued

Stephen Brown Portfolio Manager B Com, MBA, CFA 21 years’ industry experience 7 years with firm

Joe Bester Portfolio Manager CA(SA) 8 years’ industry experience 5 years with firm

Jacobus Lacock Macro Strategist/Portfolio Manager B Com (Financial Economics), CFA 14 years’ industry experience 7 years with firm

Kurt Miller Portfolio Manager B Com (Honours), MPhil (Law), CA(SA) 18 years’ industry experience 4 years with firm

Cor Booysen Portfolio Manager B Ing 13 years’ industry experience 6 years with firm

Cephas Dube Portfolio Manager B Com (Honours) (Actuarial Science), M Com (Economisc) 12 years’ industry experience 3 years with firm

Louis Antelme Portfolio Manager CFA 29 years’ industry experience 6 years with firm Paul Crawford Portfolio Manager BSc Eng (Elec), MBA, CFA 21 years’ industry experience 6 years with firm Rademeyer Vermaak Portfolio Manager M Eng (Electronic), CFA 14 years’ industry experience 6 years with firm Jean Pierre Verster Portfolio Manager Hons.B.Compt (Accounting), CFA, CA(SA), CAIA 12 years’ industry experience 2 year with firm

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Rob Hart Portfolio Manager B.Bus Sci (Fin) 22 years’ industry experience 2 year with firm Ryan Cloete Portfolio Manager B Com Rationum (Law & Accounting) B Com Hons (Accounting), CA(SA) 7 years’ industry experience 5 years with firm Denise van Wyk Portfolio Manager CA 10 years’ industry experience 1 year with firm

SECTION 6

First Avenue Investment Management (Pty) Ltd www.firstavenue.co.za

Company details FAIS FSP registration number: 42693 Switchboard: +27 11 772 2480 General email: admin@firstavenue.co.za Website: www.firstavenue.co.za Address: 21 Fricker Road, Ground Floor, Cnr Chaplin and Fricker Road Illovo, 2196 PostNet Suite 92, Private Bag X11, Birnam Park, 2015 Compliance officer name: Deon Harmse +27 21 554 5745

Investment philosophy First Avenue focuses purely in long only equities as a specialist manager. Within equities, their research shows that investing in high quality companies generates superior outcomes compared to any other strategy. This is because high quality companies are able to produce persistently high and stable profits independent of market conditions by controlling ‘fundamental risk’. As the returns earned by equity holders are ultimately driven by corporate profits, this results in superior stock returns with lower ‘price risk’ or volatility. Modern corporate finance theory would expect investors to receive higher rates of return on investment for bearing greater risk. With this view of the world, high quality companies appear to be an anomaly delivering higher returns with lower risk. High quality companies possess sustainable competitive advantages that allow them to dominate the profit pool of an industry and earn returns above their cost of capital for extended periods. These advantages or economic moats enable a company to remain resilient throughout the entire economic cycle by leveraging unique attributes such as superior pricing power or cost control.

Their research shows that this universe of companies has a high propensity to outperform the market and also offers greater downside protection during periods of distress. By restricting their universe to high quality companies only, their portfolio is inherently of lower fundamental risk. Their view is that risk (not valuation) is a continuum from low to extreme risk. As one moves up the continuum, the investment philosophy also shifts from a probabilistic exercise to pure speculation highly reliant on timing. Instead of trying to predict the turn of the economic cycle or movements in commodity prices and exchange rates, they study the sustainability of a company’s economic moat to arrive at an intrinsic value. In their world, the greatest risk is a loss of quality and earnings power through economic changes and deterioration of management as put forward by Benjamin Graham. They therefore aim for consistently high returns through the entire economic cycle.

FAIS requirements Who is your FAIS complaints officer? Deon Harmse Please provide the link to the complaints policy on your website: http://firstavenue.co.za/disclaimer/

History When was the company established? Sep-10 List of mergers that have taken place since being established: N/A

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 By whom have you been accredited? Qualifying Small Enterprise (QSE Level 2) – Sworn affidavit as per BEE Act Date of accreditation: 2015/05/20

GIPS Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? PriceWaterhouseCoopers Date of verification: July 2016 Expiry date of verification: N/A

Ownership What is the ownership structure of the company? 15% Sanlam Investment Holdings, 85% Staff Who are the directors of the company? Hlelo Giyose, Jorge Haynes, Nersan Naidoo, Nadim Mohamed, Tsholo Molefe Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes, 85% staff ownership

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First Avenue Investment Management (Pty) Ltd Continued

Investment mandates What are your total assets under management? R13.38 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R11.84 billion Retail: R1.54 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 5 Hlelo Giyose Chief Investment Officer / Portfolio Manager BSc. Business Administration, MSc. Investment Management 22 years’ industry experience 8 years with firm Nadiim Mohammed Investment Analyst MSc Engineering (cum laude), MBA (cum laude) 11 years’ industry experience 7 years with firm

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Dhersan Chetty Investment Analyst Bachelor of Business Science (Finance Honours) 12 years’ industry experience 3 years, 7 months with firm Yanni Yang Investment Analyst Bachelor of Business Science (Honours) – Quantitative Finance, MPhil in Mathematical Finance (with distinction), FRM, CFA 6 years’ industry experience 3 years, 3 months with firm Shirley Mabasa Investment Analyst Bachelor of Commerce (Finance), Bachelor of Commerce (Business Finance Honours) 2 years’ industry experience 3 months with firm

SECTION 6

Foord Asset Management (Pty) Ltd www.foord.co.za

Company details FAIS FSP registration number: 578 Switchboard: +27 21 532 6988 Fax number: +27 21 532 6999 General email: info@foord.co.za Website: www.foord.co.za Address: 8 Forest Mews, Forest Drive, Pinelands, 7405 PO Box 135, Howard Place, 7450 Compliance officer name: Diane Behr +27 21 532 6916

Investment philosophy How Foord thinks about investments determines how they act. The tenets of their investment philosophy are the lights that guide what they do: Get the big calls right Meaningful investment returns are not earned by making incremental decisions. Superior long-term returns are generated by identifying and taking advantage of economic cycles. In the long term, it is never beneficial to invest in the fast hounds of the slow pack. Buy at the right price The price at which one purchases an investment dictates future returns: pay too dear, and future returns are compromised. “Cheap” or “dear” are concepts that crystallise with fundamental analysis of the future revenue streams and associated risks of an investment security. Investing with a margin of safety is critical to reducing the future risk of loss.

Take a long-term view and be patient Speculation is a short-term activity with an inherently uncertain result. Investment is a long-term activity with a more certain result. Like the maturation of a good wine or the growing of a tree, an investment’s full potential realises over time. Ignore the benchmark when building portfolios A benchmark is often representative of what is in vogue or what is simply big. Bigger isn’t always better and fashion is fickle. Portfolios should be constructed by applying objective, independent perspectives to their composition. To outperform the herd you have to be different from the herd. Diversify and manage risk Diversification offers possibly the only “free lunch” in the market – it affords the investor the chance to manage the risk of being wrong. Diversification should be used often, but not excessively. Where careful analysis gives an investor greater conviction, less diversification is needed – because the risk of being wrong is lower.

FAIS requirements Who is your FAIS complaints officer? Diane Behr Please provide the link to the complaints policy on your website: http://www.foord.co.za/foord/content/en/ foord-home

Ownership What is the ownership structure of the company? Privately owned company Who are the directors of the company? PE Cluer, B Africa, WL Fraser, P Desai Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: 90%

History When was the company established? 1981 List of mergers that have taken place since being established: N/A

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 5 By whom have you been accredited? AQ Rate Date of accreditation: 2017-12-14

GIPS Are you GIPS compliant? Yes Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

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Foord Asset Management (Pty) Ltd Continued

Investment mandates What are your total assets under management? R136 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R81 billion Retail: R55 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 20 Dave Foord Chief Investment Officer B Com, CA(SA) 41 years’ industry experience 37 years with firm William Fraser Strategy, Portfolio Manager, Director B Com, Actuarial, Cert (Financial Engineering) 22 years’ industry experience 13 years with firm

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Daryll Owen Deputy CIO B Com, CAIB(SA), AEP 33 years’ industry experience 5 years with firm Nick Balkin Portfolio Manager and Head of Equity Research B Com (Hons), CFA 16 years’ industry experience 13 years with firm

SECTION 6

Futuregrowth Asset Management (Pty) Ltd www.futuregrowth.co.za

Company details FAIS FSP registration number: 520 Switchboard: +27 21 659 5300 Fax number: +27 21 659 5400 General email: info@futuregrowth.co.za Website: www.futuregrowth.co.za Address: 3rd Floor, Great Westerford, Main Road, Rondebosch, 7700 Private Bag X6, Rondebosch, 7725 Compliance officer name: Ryan Kieser +27 21 659 5447

Investment philosophy Futuregrowth’s fixed interest investment philosophy is to maximise long-term investment returns by identifying, measuring and managing all value-adding components of interest bearing investments. This can be broadly broken down into two core areas. Firstly, the interest rate process involves the determination of the most likely future direction of interest rates, followed by the most appropriate allocation to money market, nominal and inflation-linked bonds as well as yield curve positioning across all three of these broad interest rate asset classes. The interest rate strategy is expressed mainly by utilising the most liquid RSA government bond market. The process endeavours to identify market anomalies by finding balance between economic fundamental analysis (top down) and market valuation (bottom up). They frequently find a mismatch which enables them to express their view, preferably against a well-priced market consensus.

Along with the intense scrutiny they pay to the interest rate process, they channel substantial efforts into asset selection. The core of the asset selection process is the creation of diversified portfolios with substantial yield enhancement through a robust credit/analysis process. As a result the portfolio’s running yield should produce long-term, stable outperformance. In terms of market anomalies, Futuregrowth believe that they can add alpha through focused exploitation of market inefficiencies. They use well practised quantitative processes to select high credit quality and high yielding assets. They do realise that in the course of earning higher yields the portfolio is exposed to both default risk and widening credit spreads. These risks are minimised in a number of ways that include: ■■ Using a rigorous fundamental process that screens good assets for inclusion in the portfolio ■■ Ensuring diversity by credit exposure limits (issuer, credit class, sector) ■■ Negotiating strong lender covenants, security and protections which reduce the likelihood of default and also increase our estimated recovery rates in an event of default ■■ Actively monitoring and managing these assets ■■ Pricing appropriately for credit risk

FAIS requirements Who is your FAIS complaints officer? Ryan Kieser Please provide the link to the complaints policy on your website: http://www.futuregrowth.co.za/legal-andpolicies/complaints-procedure/

Ownership What is the ownership structure of the company? As at August 2018 the dispersion of Futuregrowth shares was as follows: Old Mutual Investment Group (SA) (Pty) Ltd 76.45%, OMIGSA Black Management Trust 6.80%, OMIGSA Management Trust 12%, Imfundo SP Holdings (Pty) Ltd 5.4% Who are the directors of the company? Henk Beets, Andrew Canter, Paul Rackstraw, David Macready, Hywel George, Gcinikhaya Gobodo Interest in ownership? Please provide the percentage held by staff and management: 18.8%

History When was the company established? 2000 List of mergers that have taken place since being established: 2008 – OMIGSA became the majority shareholder

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 By whom have you been accredited? AQRate Date of accreditation: 2018-04-23

GIPS Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? E-Comply Date of verification: 2014-01-01 Expiry date of verification: 31 December 2017

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Futuregrowth Asset Management (Pty) Ltd Continued

Investment mandates What are your total assets under management? R184.7 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R74.5 billion Retail: R35.3 billion Life: R63.5 billion Other: R11.5 billion

Key investment personnel Size of Investment Team: 38 Andrew Canter Chief Investment Officer, Head of Fixed Income BSc, CFA 28 years’ industry experience 17 years with Futuregrowth Wikus Furstenberg Portfolio Manager MCom 28 years’ industry experience 19 years with OMIG/Futuregrowth Daphne Botha Portfolio Manager B Com (Hons), Diploma in Financial Markets 22 years’ industry experience 17 years with Futuregrowth

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Michael van Rensburg Head: Dealing, Portfolio Manager B Com 29 years’ industry experience 19 years with OMIG/Futuregrowth Jason Lightfoot Portfolio Manager / Credit Analyst BA, B Com (Hons) 21 years’ industry experience 17 years with Futuregrowth James Howard Portfolio Manager B Com 32 years’ industry experience 18 years with Futuregrowth Paul Semple Portfolio Manager B Com, CAIB (SA) 20 years’ industry experience 11 years with Futuregrowth

SECTION 6

Granate Asset Management (Pty) Ltd www.granate.co.za

Company details

FAIS requirements

GIPS

FAIS FSP registration number: 2015/090537/07 Switchboard: +27 21 446 9303 Fax number: N/A General email: info@granate.co.za Website: www.granate.co.za Address: 23rd Floor, Portside Building, 5 Buitengracht Street, Cape Town Western Cape, South Africa, 8001 Compliance officer name: Christelle De Jager +27 21 975 6597

Who is your FAIS complaints officer? Andre Rousseau Please provide the link to the complaints policy on your website: http://www.granate.co.za/governance/

Are you GIPS compliant? No. We do not yet have sufficient history to meet the GIPS requirement. Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment philosophy The Granate Fixed Interest philosophy is focused on maximizing risk-adjusted returns by actively extracting value from a range of sources within the Fixed Interest market. Our philosophy avoids forecasting and uses the concept of Risk Compensation as its central pillar. The domestic fixed-interest market, like all capital markets, is not fully efficient at times. This, together with the segmented nature of this market creates opportunities for extracting value across a range of aspects including; choice of asset class, duration management, yield curve positioning, credit exposure, sector rotation and security selection. Both our investment philosophy and process are geared towards seeking opportunities arising from mis-pricing and we believe we have the capability, experience and research depth to be able to implement this philosophy and process successfully across a variety of different mandates. This philosophy has been in place since 2006 and there have been no significant changes to the philosophy over time.

Ownership What is the ownership structure of the company? RMI Affiliates 2 owns 70% of Granate Asset Management and staff & management own 30% of Granate Asset Management. Who are the directors of the company? AFV Rousseau and LM Chuime Interest in ownership? Please provide the percentage held by staff and management: Staff and management own 30% of the company.

History When was the company established? 10 November 2015 List of mergers that have taken place since being established: N/A

B-BBEE credentials Are you B-BBEE accredited? Granate Asset Management takes their parent company, RMI Holdings accreditation. What is your B-BBEE status? Level 4 By whom have you been accredited? Empowerdex Economic Empowerment Rating Agency Date of accreditation: 2018-09-12

Investment mandates What are your total assets under management? R2.2 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R1.12 billion Retail: R1.01 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 4 Jonathan Myerson Head of Fixed Income MSocSci (Econ), MIFM 23 years’ industry experience 3.2 years with firm Bronwyn Blood Portfolio Manager BCom (Hons) 19 years’ industry experience 3.2 years with firm Vaneshen Naidoo Portfolio Manager / Property Analyst MSc (Eng), CFA 11 years’ industry experience 3.2 years with firm Dalya Abromowitz Credit Analyst BBusSc (Fin&Acc), CFA 6 years’ industry experience 3.2 years with firm 209

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Investec Asset Management (Pty) Ltd www.investecassetmanagement.com

Company details FAIS FSP registration number: 587 Switchboard: +27 21 416 2000 General email: natalie.phillips@investecmail.com Website: www.investecassetmanagement.com Address: 36 Hans Strijdom Avenue, Foreshore, Cape Town, 8001 PO Box 1655, Cape Town, 8000 Compliance officer name: Sizo Mabaso +27 21 416 1932

Investment philosophy Investec Asset Management is a multi-specialist investment manager with core offerings in equities, fixed income, alternatives and multi-asset management. IAM does not have an over-arching house style instead choosing to allow the heads of our specialist investment teams the freedom to operate according to their investment beliefs, with complete discretion over their own teams.

FAIS requirements Who is your FAIS complaints officer? Sizo Mabaso Please provide the link to the complaints policy on your website: http://goo.gl/9zWKRJ

Ownership What is the ownership structure of the company? Investec Asset Management (Pty) Ltd is a wholly owned subsidiary of Investec Asset Management Holdings (Pty) Ltd. Investec Asset Management Holdings (Pty) Ltd is owned 82% by Investec Ltd, with the other 18% being held by senior employees of Investec Asset Management. 210

Who are the directors of the company? Board of Directors: Investec Asset Management (Pty) Ltd Investec Asset Management (Pty) Ltd directors as at 30 September 2018: Thabo Khojane: Executive Director Nazmeera Moola: Executive Director Hendrik Jacobus du Toit: Executive Director Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes, key employees own 18% of the company.

History When was the company established? Investec Asset Management was established in South Africa in November 1991. List of mergers that have taken place since being established: Investec Asset Management acquired Guinness Flight Hambro in 1998 and started international operations at that dates as Investec Asset Management Ltd. Guinness Flight Hambro was originally incorporated in July 1986. As such, the incorporation date for Investec Asset Management Ltd is July 1986.

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 By whom have you been accredited? Premier Verification (Pty) Ltd Date of accreditation: 2018-07-26

GIPS Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? KPMG Date of verification: 2017-12-31 Expiry date of verification: N/A

Investment mandates What are your total assets under management? R527.43 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R396.27 billion Retail: R131.15 billion Life: N/A Other: N/A

SECTION 6

Investec Asset Management (Pty) Ltd Continued

Philip Saunders Co-Head of Multi-Asset Growth BA History 37 years’ industry experience 37 years with firm

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JM Busha Asset Managers (Pty) Ltd www.jmbusha.com

Company details

Ownership

Investment mandates

FAIS FSP registration number: 730 Switchboard: +27 11 325 2027 Fax number: +27 11 325 2047 General email: invest@jmbusha.com Website: www.jmbusha.com Address: 28 Bompas Road, Dunkeld West, Johannesburg, 2196 PO Box 31250, Braamfontein, 2017 Compliance officer name: Joseph Makamba Busha +27 11 325 2027

What is the ownership structure of the company? JM Busha Investment Group – 70% Staff Equity Program – 20% Social Investment Program – 10% Who are the directors of the company? M.M. Kabi, J.M. Busha (Managing), T.C. Musiyambiri (Chairperson)* *Non-executive Directors Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes, 20% Staff Equity Program

What are your total assets under management? R4.9 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R4.7 billion Retail: R112 million Life: N/A Other: R32 million

Investment philosophy ■■ Disciplined strategic investment process based on thorough quantitative research drives performance. Strategic asset allocation ■■ Risk minimisation through well-defined procedures and controls, diversified portfolios. ■■ Tactical Asset Allocation (TAA) strategies enhance performance. Bottom-up stock driven. ■■ Deliver chosen benchmark returns as minimum. Performance is everything.

FAIS requirements Who is your FAIS complaints officer? Joseph Makamba Busha Please provide the link to the complaints policy on your website: www.jmbusha.com

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History When was the company established? 2000 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level one By whom have you been accredited? Abacus BEE Verification (Pty) Ltd Date of accreditation: 2017-10-06

GIPS Are you GIPS compliant? Yes Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Key investment personnel Size of Investment Team: 4 Joseph Makamba Busha Chief Investment Officer BSc., BSc.(Hons.), MSc.(Derivatives) M.Phil (Finance) 25 years’ industry experience 17 years with firm Farai Mapfinya Head: Equity Research BSc.(IT), BCom.(Hons.) 14 years’ industry experience 4 years with firm

SECTION 6

Kagiso Asset Management (Pty) Ltd www.kagisoam.com

Company details FAIS FSP registration number: 784 Switchboard: +27 21 673 6300 Fax number: 086 675 8501 General email: info@kagisoam.com Website: www.kagisoam.com Address: 5th Floor MontClare Place, Cnr Main & Campground Roads, Claremont, 7708 PO Box 1016, Cape Town, 8000 Compliance officer name: Sanchia Sobotker-Johnson +27 21 673 6326

Investment philosophy Kagiso Asset Management makes investment decisions based on mispricings they observe in the market. Simply put, they buy investments that are priced well below their intrinsic values and avoid those that they believe are overpriced. Opportunities arise when market prices deviate from intrinsic value. All investments represent a set of future cash flows, which can be valued with reasonable accuracy. Over time, this intrinsic value progresses at a fairly stable pace. Asset prices, however, fluctuate considerably through time. This is largely due to self-reinforcing cycles of enthusiasm or negativity, often fuelled by an excessive focus on near-term data and news flow. Their aim is to identify and exploit mispricings in the markets. They therefore buy investments at prices well below their estimation of intrinsic value and hold them while they deliver strong cash returns and until they can be sold above this value. Once sold, Kagiso Asset Management avoids such overvalued investments for as long as the market price is above the intrinsic value.

Kagiso Asset Management recognises that there is considerable danger in operating with the comfort of a false sense of certainty and the accompanying behavioural reinforcement cycles that lead to a distorted evaluation of new information. As a result, they understand that despite their best efforts, they cannot possibly know all the facts. This drives them to think more deeply, to work harder and to be more alert. They view the future in terms of probabilities, explore alternative scenarios, diversify their positions, hedge risk and seek out potential asymmetries.

FAIS requirements Who is your FAIS complaints officer? Sanchia Sobotker-Johnson Please provide the link to the complaints policy on your website: http://www.kagisoam.com/legal/

Ownership What is the ownership structure of the company? 50.1% owned by Kagiso Tiso Holdings 49.9% owned by management and staff Who are the directors of the company? M Danisa, RG Greaver, Y Mahlangu, GJ Wood, T Scott Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes – 49.9%

History When was the company established? 2001 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 By whom have you been accredited? AQRate Date of accreditation: 2017-11-30

GIPS Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? PriceWaterhouseCooper Date of verification: 2017-10-17 Expiry date of verification: 2016-12-31

Investment mandates What are your total assets under management? R37.4 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R34.1 billion Retail: R3.3 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 19 Gavin Wood Chief Investment Officer BBusSc, FFA, CFA 23 years’ industry experience 17 years with firm Abdul Davids Portfolio Manager B Com, CFA 20 years’ industry experience 11 years with firm 213

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Laurium Capital (Pty) Ltd www.lauriumcapital.com

Company details FAIS FSP registration number: 34142 Switchboard: +27 11 263 7700 General email: laurium@lauriumcapital.com Website: www.lauriumcapital.com Address: Ninth Floor, 90 Grayston, 90 Grayston Drive, Sandown, Johannesburg, 2196 Fourth Floor, The Citadel, 15 Cavendish Street, Claremont, Cape Town, 7708 Compliance officer name: Independent Compliance Services; Enrique Goosen +27 21 975 6597

Investment philosophy Laurium uses value driven, fundamental bottom-up research combined with a macro, top-down overlay to generate a concentrated portfolio of investments that should generate attractive returns over time. Given the relative lack of liquidity and inefficiencies still prevalent on many of the African exchanges, a broad, flexible mandate is believed to be the most effective way to invest in the region. All of our funds are underpinned by a common investment philosophy. Bottom-up fundamental research and valuations – the core of our philosophy: We seek to identify companies whose share prices differ materially from our intrinsic valuations, based on longer term, through-the cycle cash flows and earnings. However, we acknowledge that there are material deviations of share prices from intrinsic valuations for extended periods, and these must be taken into consideration in the risk management of a valuation-driven stock picking process.

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Top-down views – an important overlay: Identifying and taking advantage of economic cycles and market trends is an important contributor to the generation of superior long-term investment returns and is complementary to bottom-up research. However, cycles and trends are often unpredictable and are subject to change. Therefore, the risk of being wrong must be acknowledged and managed. Trading – a part of both bottom up and top-down research: The market is right most of the time, but regular inefficiencies arise in the short term. Shorter term inefficiencies may present trading opportunities, irrespective of a company’s intrinsic value. These opportunities often arise due to large flows of money, news flow and emotions, structural inefficiencies, corporate actions, and other special situations or events. We believe that our strategy will perform best in times following abnormal market volatility, because during the volatile periods, prices tend to overshoot fundamental valuations, which provides opportunities to take positions in those stocks. During strong bull markets, our performance is likely to lag on a relative basis. During periods of range trading, our performance is likely to be worst on a relative basis.

Ownership What is the ownership structure of the company? The company was started in August 2008 with Murray Winckler and Gavin Vorwerg (founders) each owning 41.6% and Artha Capital Management owning the remaining 9.2%. In 2014, Craig Sorour was appointed as a director of Laurium capital and acquired 7.5% ownership of the company. All existing shareholders were diluted pro rata. Other key staff have a combination of phantom equity and ordinary equity, aligning them with the business. Refer below the shareholding of the business if phantom shares were to be included in the calculation of all shares issued. Who are the directors of the company? Murray Winckler 37.5%, Gavin Vorwerg 37.5%, Craig Sorour 7.0% Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes, 18%

History When was the company established? August 2008 List of mergers that have taken place since being established: None

FAIS requirements

B-BBEE credentials

Who is your FAIS complaints officer? Mark Preston Please provide the link to the complaints policy on your website: http://www.lauriumcapital.com/assets/ Complaints-2af1a0bf6771d597bad9fb7 2d26bcb47.pdf

Are you B-BBEE accredited? N/A What is your B-BBEE status? N/A By whom have you been accredited? N/A Date of accreditation: N/A

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Laurium Capital (Pty) Ltd continued

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? No Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R22.5 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R15.08 billion Retail: R7.13 billion Life: R292 million Other: N/A

Craig Sorour Head of Research CA (SA), CFA 20 years’ industry experience 10 years with firm J.P. du Plessis Head of Fixed Income B.Com, CFA 21 years’ industry experience 0 years with firm Gavin Vorwerg Head of Equities and Portfolio Manager (Co-Founder) CA (SA), CFA 21 years’ industry experience 10 years with firm Brian Thomas Portfolio Manager (Balanced Fund) B.Bus.Sci (Honours),CA (SA), ACA, CFA 18 years’ industry experience 1 year with firm

Key investment personnel Size of Investment Team: 4 Murray Winckler Chief Investment Officer and Portfolio Manager (Co-Founder) CA (SA), CFA 36 years’ industry experience 10 years with firm

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Lima Mbeu Investment Managers (Pty) Ltd www.limambeu.co.za

Company details FAIS FSP registration number: 49018 Switchboard: 010 023 0113 Fax: +27 86 415 5280 General email: invest@limambeu.co.za Website: www.limambeu.co.za Address: 2nd Floor, Fredman Towers, 13 Fredman Drive, Sandton, 2196 Postnet Suite 189, Private Bag X9, Benmore, 2010 Compliance officer name: Germa Beukes +27 82 894 5148

Investment philosophy We believe that disciplined growth investing is the best way to build wealth and capital in the long term. Our core investment pillars are: 1. Active Management: The market is inefficient, and often has significant levels of excess volatility. This provides enough opportunities for skilled investors to generate alpha. However, the highly competitive nature of markets makes it difficult for investors to generate alpha on a consistent basis. Therefore, we actively manage our investment portfolios with a benchmark-cognizant mindset. 2. Growth Focus: Earnings growth is the most important driver of share price returns, over the long term. We believe that companies with superior returns and high re-investment rates outperform their peers in the long term. We understand that growth investing comes with higher drawdowns, therefore our preference is to be growth-biased, but within limits. 3. ‘Quantamental’ Investing: We believe that integrating quantitative techniques with traditional investing reduces cognitive errors and enhances investment returns. We use this disciplined approach across all our investment strategies.

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4. Risk Controlled: The best way to build wealth is through the compounding of consistent alpha. Investment management is enormously complex, and a comprehensive risk management function is critical to delivering the best outcomes.

FAIS requirements Who is your FAIS complaints officer? Ndinavhushavhelo Rabali Please provide the link to the complaints policy on your website: http://www.limambeu.co.za/sites/ default/files/downloads/4.%20 COMPLAINTS%20RESOLUTION%20 PROCEDURES.pdf

Ownership What is the ownership structure of the company? Staff (50%). African Rainbow Capital Financial Services Holdings (Pty) Ltd (50%) Who are the directors of the company? Board of Directors: Investec Asset Management (Pty) Ltd Ndinavhushavhelo Rabali, Sereku Daisy Lebepe, Thabo Stanley Seopa and Adv. Lindelani Patience Sigogo Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: 50%

History When was the company established? September 2017 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 Contributer By whom have you been accredited? A sworn affidavit Date of accreditation: 2018-03-02

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R240.2 million Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R47.6 million Retail: N/A Life: N/A Other: R192.6 million

Key investment personnel Size of Investment Team: 4 Ndinavhushavhelo Rabali Chief Investment Officer MSc Financial Mathematics (Cum Laude) 14 years’ industry experience 1 year with firm Teboho Tsotetsi Portfolio Manager MSc Quantitative Risk Management 14 years’ industry experience 1 year with firm Bhekinkosi Khuzwayo Portfolio Manager MCom Statistics (Cum Laude) 12 years’ industry experience 1 year with firm Thobile Ngcobo Investment Analyst CA (SA) 2 years’ industry experience 8 months with firm

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Matrix Fund Managers www.matrixfundmanagers.co.za

Company details

History

FAIS FSP registration number: 44663 Switchboard: +27 21 673 7800 Fax number: N/A General email: info@matrixfm.co.za Website: www.matrixfundmanagers.co.za Address: The Terraces, 2nd Floor, 25 Protea Road Claremont, Cape Town, 7708 Compliance officer name: Roushana Dean +27 21 673 7821

When was the company established? 2006 List of mergers that have taken place since being established: None

Investment philosophy

GIPS

We are a boutique asset management firm with extensive experience in alternative and traditional investments. We are pragmatic in our investment philosophy, focussing on capital growth and limited drawdowns. We combine bottom-up stock selection with strategic asset allocation, which we manage dynamically as informed by our strong market timing skills and macro research.

Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

FAIS requirements

Investment mandates

Who is your FAIS complaints officer? Ms D Wahl Please provide the link to the complaints policy on your website: www.matrixfundmanagers.co.za/ complaints-resolutions-process/

What are your total assets under management? R9 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R9 billion Retail: N/A Life: N/A Other: N/A

Ownership What is the ownership structure of the company? Matrix Fund Managers is 52% owned by management and 48% by external investors. Who are the directors of the company? Lourens Pretorius (Chair and CIO), Robert Coombe (COO), Roushana Dean (CFO) and Johan Henn (Non-Executive Director). Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes, 52% held by staff and management.

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 3 Contributor By whom have you been accredited? Renaissance SA Ratings Date of accreditation: 2017-04-19

Key investment personnel Size of Investment Team: 10 Lourens Pretorius Chief Investment Officer Bcom (Honours) 25 years’ industry experience 13 years with firm

Bruce Mommsen Head of Research and Equities BBusSci, CA(SA), CFA 19 years’ industry experience 13 years with firm Lourens Pretorius Head of Fixed Income Bcom (Honours) 25 years’ industry experience 13 years with firm Konstantin Egorov Fixed Income Investment Manager MSc (Physics) 23 years’ industry experience 13 years with firm Sollie Van Der Linde Fixed Income Investment Manager BCom (Honours) 13 years’ industry experience 8 years with firm Craig le Riche Fixed Income Investment Manager B.Sc (Hons) in Advanced Mathematics of Finance 12 years’ industry experience 1 years with firm Chris-Sandra Klaasen Fixed Income Investment Manager BSc ( Hon.), BCom (Hon.) 18 years’ industry experience 2 years with firm Carmen Nel Fixed Income Economic Strategist BSc, CFA, FRM 17 years’ industry experience 2 years with firm Leon Michaelides Equity Investment Manager BCom (Honours), CA(SA) 19 years’ industry experience 4 years with firm Anthony de la Cour Equity Senior Analyst MA, MBA, CFA 13 years’ industry experience 1 years with firm Ndumiso Ndebele Equity Analyst BBusSci (Act. Sci), MPhil (Fin Maths), CFA 6 years’ industry experience 5 years with firm 217

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Mazi Asset Management (Pty) Ltd www.mazi.co.za

Company details

Ownership

Key investment personnel

FAIS FSP registration number: 46405 Switchboard: 010 001 8300 Fax: 010 001 8599 General email: info@mazi.co.za Website: www.mazi.co.za Address: 4th Floor, North Wing, 90 Rivonia Road, Sandton, 2196 PO Box 784583, Sandton, 2196 Compliance officer name: Bonolo Boikanyo (internal) and Anel Naude CompliServe (external) 010 001 8322

What is the ownership structure of the company? 100% staff owned Who are the directors of the company? Board of Directors: Investec Asset Management (Pty) Ltd Malungelo Zilimbola, Asanda Notshe Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes staff own 100%

Size of Investment Team: 4

Investment philosophy Our investment objective is two-fold – return of capital and return on capital i.e. to grow the long-term value of our client’s capital. The investment philosophy is therefore founded on thorough understanding of businesses and disciplined research to value such businesses. We employ a longterm fundamental approach to asset valuation. Valuation investing means really asking what is the “real” values of an asset, and not assuming that because a company looks expensive that it is, or assuming that because a stock is down in price and trades at low multiples that it is a bargain. A good investment has the following attributes: ■■ A sustainable business model; ■■ Is managed and lead by experience and competent management team including the board of directors; ■■ Boasts of a healthy financial position; and offers clarity on how the company makes / will make its cash profits – current and future. ■■ Offers downside characteristics during tough economic periods.

FAIS requirements Who is your FAIS complaints officer? Anel Naude, Compliserve Please provide the link to the complaints policy on your website: http://www.mazi.co.za/wp-content/ uploads/2017/08/Complaints-.pdf 218

History When was the company established? 2006 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Landel Services By whom have you been accredited? A sworn affidavit Date of accreditation: 2017-12-21

GIPS Are you GIPS compliant? Yes Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R46.5 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R44.7 billion Retail: R1.7 billion Life: R364 million Other: N/A

Malungelo Zilimbola Chief Investment Officer BSc Hons, BCom Hons 20 years’ industry experience 12 year with firm Seth Boakye-Dankwah Head of Research BSc Hons, MA 29 years’ industry experience 5 year with firm Chris Reddy/Kopano Makhu Head of Fixed Income (FI portfolio managers) BBus Sc, CFA / BSc Hons 12/14 years’ industry experience 3 year with firm Asanda Notshe Head of Equities (Equity portfolio managers) BBus Sc, FIA, FFASSA 14 years’ industry experience 8 year with firm Francois Olivier Head of Equities (Equity portfolio managers) BCom Hons CA(SA) CFA 20 years’ industry experience 5 year with firm Malungelo Zilimbola Head of Equities (Equity portfolio managers) BSc Hons BCom Hons 20 years’ industry experience 12 year with firm Keonethebe Bosigo Portfolio Manager for Pan Africa ex SA Bcom(Hons), CAIA, CFA 12 years’ industry experience 5 year with firm

SECTION 6

Meago (PTY) LTD www.meago.co.za

Company details

Ownership

Investment mandates

FAIS FSP registration number: 24919 Switchboard: +27 11 646 2944 General email: reception@meago.co.za Website: www.meago.co.za Address: 73 Oxford Road, Saxonwold, 2196 PO Box 1180, Edenvale, 1610 Compliance officer name: Thabo Ramushu +27 11 646 2944

What is the ownership structure of the company? Jay Padayatchi 30%, Thabo Ramushu 30%, Sharif Hoosen 30% and Anas Madhi 10% Who are the directors of the company? Jay Padayatchi, Anas Madhi, Thabo Ramushu and Sharif Hoosen Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Meago is 100% owned by management and staff

What are your total assets under management? R12.08 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R12.08 billion Retail: N/A Life: N/A Other: N/A

Investment philosophy

History

Meago uses an active investment strategy within agreed upon client restrictions. Portfolio are construction are constructed to reflect Meago’s fundamental investment principles: ■■ Attractive recurring income at acceptable risk level ■■ Be overweight with companies with reasonable valuations relative to investment alternatives ■■ Continually recycle position by selling outperforming and fully valued assets and buying undervalued shares at an opportune time. ■■ Invest in companies with sustainable cash flow and strong balance sheet that can grow and support the dividend pay-out. ■■ Companies with assets in strong and growing nodes. ■■ Invest in companies with good corporate governance and are conscious on social and environmental issues.

When was the company established? 2004 List of mergers that have taken place since being established: None

Jay Padayatchi Chief Investment Officer BSc (Quantity Surveying), BCom(Hons), CA(SA), HDip Tax 18 years’ industry experience 14 years with firm

FAIS requirements Who is your FAIS complaints officer? Sharen Gerald Please provide the link to the complaints policy on your website: We do not have the compliants policy on the companies website

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 1 By whom have you been accredited? Meago is recognised as a EME in term of the new BBBEE Codes Date of accreditation: N/A

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Key investment personnel Size of Investment Team: 7

Ryan Eichstadt Head of Research Bcompt Accounting (CA) 6 years’ industry experience 1 year with firm Anas Madhi Portfolio Manager MBBCH, MBA (Cum Laude) 16 years’ industry experience 12 years with firm Thabo Ramushu Portfolio Manager MSc (Real Estate) 18 years’ industry experience 14 years with firm Bongwa Mthembu Investment Analyst Bcom Hons Financial Management 3 years’ industry experience 3 years with firm Lerato Mtshali Investment Analyst Bcompt Accounting (CA) 1 years’ industry experience 1 year with firm Onicah Mofokeng Graduate Mcom Accounting 1 years’ industry experience 1 year with firm 219

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Melville Douglas Investment Management (Pty) Ltd www.melvilledouglas.co.za

Company details FAIS FSP registration number: 595 Switchboard: +27 11 721 7964 Fax number: 086 202 7235 General email: Admin.MelvilleDouglas@standardbank.co.za

Website: www.melvilledouglas.co.za Address: 8th Floor, West Wing, Standard Bank, 30 Baker Street, Rosebank, 2196 PO Box 411184, Craighall, 2024 Compliance officer name: Jan Bezuidenhout +27 11 636 1781

Investment philosophy Their investment philosophy is rooted in their mission to preserve the capital entrusted to them and deliver superior risk adjusted investment returns. Only fundamental research aimed at establishing the true intrinsic value of the investment opportunities can provide true insight. They acknowledge the importance of balance: ■ Balance between investment returns and the risk associated with delivering those returns. They are long-term investors who demand a high margin of safety at the point of investing and maintain a low level of turnover within portfolios. ■ Balance between capital growth and cash generation. ■ Balance between compound and cyclical price performers. Their philosophy results in the core of the portfolio being invested in businesses with more predictable, less cyclical earnings profiles. Cyclical businesses are not ignored; however, the risk is managed via the weighting.

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Melville Douglas’ philosophy is based on the firm belief that long-term investment returns depend on two key investment characteristics: ■■ the stable compounding ability of the underlying cash stream; and ■■ the price the investor pays. Investments with no cash streams (return on capital) are usually purely speculative, and are near-impossible to value appropriately. As the key factor affecting the longterm returns of an investment is the price paid, they focus on identifying the intrinsic value of an investment opportunity and then ensuring they invest only when there is an appropriate margin of safety. This margin of safety allows them to absorb short-term market shifts, strengthens their ability to take a longer term investment view and allows portfolios to benefit from the power of compounding returns. They believe in buying superior businesses with strong cash flows, known integrity and competence of management, at compelling valuations. Their philosophy has been adopted and carried forward since the inception of the company. It has been a core principle of the firm and its investment professionals. The investment process has been refined and improved over the years, but the core investment approach and philosophy has been unwavering. Their approach aims at achieving alpha by avoiding investments with high downside risk (or high volatility) and doubtful compounding ability; and by patiently allowing the compounding effect to work.

FAIS requirements Who is your FAIS complaints officer? Jan Bezuidenhout Please provide the link to the complaints policy on your website: www.standardbank.co.za

Ownership What is the ownership structure of the company? 100% owned by Standard Bank Group Limited Who are the directors of the company? GS Baillie, CA Broadley, BJ Drotschie, MJ Laws, JB O’Regan Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: No

History When was the company established? 1983 List of mergers that have taken place since being established: Purchased by Standard Bank Group Limited in 2001

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 1 By whom have you been accredited? Nokuthula Sharon Lozane of Mosela Rating Agency t/a SizweNtsalubaGobodo Ratings Date of accreditation: 20 February 2018

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GIPS Are you GIPS compliant? Yes Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R31 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R4 billion Retail: R27 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 22 Jerome O’Regan Chief Investment Officer BA (Hons), MBA, CFA 35 years’ industry experience 14 years with firm Bernard Drotschie Deputy CIO B Com (Hons) – Econ, CFA, CFP 20 years’ industry experience 16 years with firm

Graham Baillie Executive Chairman/Portfolio Manager B Com, MBA 30 years’ industry experience 16 years with firm Michael Laws Managing Director / Fund Manager B Com, CFA, CFP 20 years’ industry experience 18 years with firm Rob Stewart Portfolio Manager BSc (Hons), PDM, CFA, CFP 16 years’ industry experience 13 years with firm Susan Gawith Portfolio Manager BSc, MBA 18 years’ industry experience 11 years with firm Mervin Naidoo Head of Equity Research B Com (Hons),CA (SA) 18 years’ industry experience 5 years with firm Greg Wood Fund Manager B Bus Sci (Hons) – Economics, CFA 13 years’ industry experience 13 years with firm Mzimasi Mabece Head of Fixed Income: South Africa BSc 15 years’ industry experience 1 year with firm

Parolo Senatore Global strategist MSc Mech Eng 22 years’ industry experience 7 months with firm

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Mergence Investment Managers (Pty) Ltd www.mergence.co.za

Company details FAIS FSP registration number: 16134 Switchboard: +27 21 433 2960 Fax number: +27 21 433 0675 General email: info@mergence.co.za Website: www.mergence.co.za Address: 6th Flr, The Equinox, cnr Milton & Main Road, Sea Point, 8005 PO Box 8275, Roggebaai, 8012 Compliance officer name: Gerry Grispos (outsourced to CompliServe) 086 127 3783

Investment philosophy Mergence Investment Managers is an independent asset management company founded in 2004. Mergence has a pragmatic approach / philosophy to investing, which means that they attempt to understand how the world really works rather than how they think it should work, especially concerning markets and investing. They manage listed investments, listed equity and multi-asset class portfolios, as well as unlisted equity and debt mandates with a particular bias toward renewable energy and infrastructure.

FAIS requirements Who is your FAIS complaints officer? Mr Andy Howard (COO) Please provide the link to the complaints policy on your website: http://www.mergence.co.za/wp-content/ uploads/2018/10/POL180622-MergenceComplaints-Policy-Mar-2018.pdf

Ownership What is the ownership structure of the company? Mergence Investment Managers is a subsidiary of Mergence Africa Holdings. 222

Who are the directors of the company? Masimo Magerman, Fabian de Beer, Bongani Jack, Relebohlie Mapetla (NonExecutive Director) Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: 70.25% is owned by staff directly

Key investment personnel

History

Bradley Preston Head: Listed Investments BSc Hons, MSc (Financial Mathematics) 13 years’ industry experience 13 years with firm

When was the company established? August 2004 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 By whom have you been accredited? Authentic Rating Solutions Date of accreditation: 2017-11-28. Our certificate is still valid and we are in the process of validation.

GIPS Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? PwC Date of verification: 2017-09-19 Expiry date of verification: 2018-09-18

Investment mandates What are your total assets under management? R29.17 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R28.91 billion Retail: R0.62 billion Life: N/A Other: N/A

Size of Investment Team: 22 Fabian de Beer Director: Investments B Com, H.Dip.Ed 32 years’ industry experience 12 years with firm

Peter Takaendesa Portfolio Manager M Com (Economics), M Com (Finance & Economics) 12 years’ industry experience 5 years with firm Patric Ho Head: Absolute Return Funds B Com (Hons), CA (SA) 33 years’ industry experience 6 years with firm Dirk Steyn Portfolio Manager BSc, B Eng and MSc (Financial Mathematics) 14 years’ industry experience 12 years with firm Mark van Wyk Head: Unlisted Investments B Com (Hons), CA (SA) 19 years’ industry experience 8 years with firm Kasief Isaacs Portfolio Manager B Com (Hons), CA (SA) 25 years’ industry experience 4 years with firm

SECTION 6

Mianzo Asset Management (Pty) Ltd www.mianzo.co.za

Company details

FAIS requirements

B-BBEE credentials

FAIS FSP registration number: 43113 Switchboard: +27 21 552 3555 General email: info@mianzo.co.za Website: www.mianzo.co.za Address: The Forum, Unit EG01, Vesta House Northbank Lane, Century City, 7441 PO Box 1210, Milnerton, 7442 Compliance officer name: Deon Harmse - Moonstone +27 21 554 5745

Who is your FAIS complaints officer? Thembeka Sobekwa and Faldie Isaacs Please provide the link to the complaints policy on your website: info@mianzo.co.za

Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 1 By whom have you been accredited? ABACUS Verification (Pty) Ltd Date of accreditation: 2018-09-05

Investment philosophy We hold ourselves accountable for the investment decisions we make by being innovative, professional and having a strong sense of Integrity and discipline through continuous and consistent Excellence. We hold ourselves accountable for the investment decisions we make by being innovative, professional and having a strong sense of Integrity and discipline through continuous and consistent Excellence. Our Equity philosophy is based on the belief that superior investment performance is achieved by investing in companies that are priced below their intrinsic value with a sufficient margin of safety. Our intrinsic value is calculated by looking at what the company is currently worth based on sustainable earnings or net asset value.

Ownership What is the ownership structure of the company? Mianzo Asset Management is a black owned and managed third-party Investment Management Company. ■■ Total Black Ownership 100% ■■ Luvo Tyandela 55% ■■ Mianzo Employee Share Trust 45% Who are the directors of the company? Luvo Tyandela (Executive Director) and Pieter Joubert (Non-Executive Director) Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Staff in aggregate hold 45% of the shares being Mianzo Asset Management, being the holding company of Mianzo Asset Management. Staff therefore do, indirectly, have an ownership interest in Mianzo Asset Management.

History When was the company established? August 2018 List of mergers that have taken place since being established: None

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R4.33 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R4.33 billion Retail: N/A Life: N/A Other: N/A

Our Equity philosophy is centred around assembling the following: ■■ VALUATION: The current value of the business. ■■ QUALITY: The quality of the business. ■■ MARKET EXPECTATIONS: The market’s expectation on the business. We blend both a fundamental and quantitative investment approach to gain a more comprehensive perspective of business. 223

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Mianzo Asset Management (Pty) Ltd Continued

Key investment personnel Size of Investment Team: 7 Luvo Tyandela Chief Executive Officer B.Sc. (Statistics), PGDM, MBA. 17 years’ industry experience 8 years with firm Mark Lamohr Head of Equities and Portfolio Manager B.Sc. Math & Applied Math 21 years’ industry experience 5 years with firm Thembeka Sobekwa Portfolio Manager B.Bus.Sci (Actuarial Science) 9 years’ industry experience 8 years with firm Mohamed Shafee Loonat CA (SA); CFA Portfolio Manager Bcom (Econ), Bcompt (Hons) and Advanced Taxation, Post Diploma (Islamic Banking & Insurance) 21 Years industry experience <1 year with firm

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Jami Jepthas Equity Analyst B. Bus.Sci (Finance) 3 Years industry experience 3 years with firm Nkanyezi Mwelase CA (SA) Equity Analyst Bcom (Acc), Bcompt hons (Acc Sc), Masters (Finance & Investment) 2 years industry experience 2 years with firm Ayanda Ndlovu Administrator Investments B.Comm Accounting 2 years industry experience 2 years with firm

SECTION 6

Momentum Investments (Pty) Ltd www.momentuminv.co.za

Company details

FAIS requirements

B-BBEE credentials

FAIS FSP registration number: 19840 Switchboard: 086 153 8732 Fax number: 086 573 7384 General email: InvestmentsComms@momentum.co.za Website: www.momentuminv.co.za Address: 268 West Avenue, Centurion, 0157 PO Box 7400, Centurion, 0046 Compliance officer name: Bernard Pieterse

Who is your FAIS complaints officer? Shital Jeeva Please provide the link to the complaints policy on your website: http://www.momentuminv.co.za/ Libraries/Legal_Documents/Complaints_ Resolution_Policy_and_Procedure.sflb. ashx

Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 3 By whom have you been accredited? National Empowerment Rating Agency Date of accreditation: 2018-05-31

Investment philosophy Momentum Investments follows an Outcomes-based investment philosophy They have adapted their unique value proposition to create investment portfolios that centre around their clients and increase the likelihood of reaching their investment goal. Their unique value proposition is to understand clientsâ&#x20AC;&#x2122; goals and their attitudes and capacities to take on risk. They recognise and understand market forces and human behaviour (for example, the herd mentality â&#x20AC;&#x201C; investors making the wrong investment decisions at times of stress). They craft investment solutions for clients by considering their liabilities or needs, defining a goal, risk tolerance and appropriate time frame and then diversifying across multiple asset classes, investment strategies and mandates to match and deliver on the objectives that have been set. Momentum executes robust solutions by blending asset classes and strategies in the most efficient and optimal manner through modern financial engineering techniques. They help clients understand and articulate their needs and solve for appropriate investment outcomes. Their investment team remains focused on the right outcome and makes this journey as comfortable as possible.

Ownership

GIPS

What is the ownership structure of the company? MMI Holdings Ltd Who are the directors of the company? Frans Truter, Johan van Reenen, Neil Krige, Syd Muller, Jeanette Marais Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: No

Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

History

Investment mandates

When was the company established? 2004-01-01 List of mergers that have taken place since being established: Momentum Investments includes all the investments-related businesses of MMI Holdings Limited and offers a wide spectrum of investment services and solutions to individual and institutional investors. Momentum Investments includes the businesses previously known as Momentum OutcomeBased Solutions, Momentum Asset Management, Momentum Alternative Investments, Momentum Global Investment Management and the Eris Property Group.

What are your total assets under management? R576 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R302 billion Retail: R274 billion Life: N/A Other: N/A

The investment capabilities have been re-organised and rebranded as Portfolio Solutions, Research & Insights, Alternatives Fixed Income & Specialised Strategies (fixed interest capabilities), Growth through Capital (listed property), Systematic Strategies & structuring (indexation capabilities) and Global Investment Management.

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Momentum Investments (Pty) Ltd Continued

Key investment personnel Size of Investment Team: 62 Sonja Saunderson Chief Investment Officer BSc, BCom (Hons), MCom (Cum Laude) 18 years’ industry experience 18 years with firm Michael Adsetts Deputy Chief Investment Officer – Investment Strategy BSc (Hons) MBA, CFA 15 years’ industry experience 11 years with firm Eugene Botha Deputy Chief Investment Officer – OBI Research BSc (Hons), MSc 13 years’ industry experience 13 years with firm Nesi Chetty Head: Growth through Capital BCom (Hons) (Cum Laude), CFA 16 years’ industry experience 16 years with firm Motlatsi Mutlanyane Head: Alternatives BSc (Hons), MBA, FIA, FASSA 23 years’ industry experience 10 years with firm Wayne Dennehy Head: Systematic Strategies & Structuring and Head of Distribution BCom, BSc (Hons), Fellow of the Institute of Actuaries, FRM 25 years’ industry experience 3 years with firm

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Nina Saad Head of Corporate Portfolio Solutions BSc, CFA 22 years’ industry experience 8 months with firm Jako de Jager Head of Retail Portfolio Solutions Bcom (Hons) 17 years’ industry experience 17 years with firm Herman van Papendorp Head: Research & Insights B Com (Actuarial Science), B Com (Hons) (Economics), M Com (Econometrics) (Cum Laude) 26 years’ industry experience 6 years with firm James Klempster Head of Global Investment Management MA (Oxon); CFA; IMC 14 years’ industry experience 11 years with firm Ian Scott Head of Fixed Income B Com (Hons) Investment Management 20 years’ industry experience 3 months with firm

SECTION 6

Nedgroup Investments (Pty) Ltd www.nedgroupinvestments.co.za

Company details

Ownership

Investment mandates

FAIS FSP registration number: N/A Switchboard: 0860 123 263 Fax number: 0860 119 733 General email: institutional@nedgroupinvestments.co.za Website: www.nedgroupinvestments.co.za Address: 2nd Floor, Nedbank Clocktower, Clocktower Precinct, V&A Waterfront, Cape Town, 8001 PO Box 1510, Cape Town, 8000 Compliance officer name: Liezel Momberg +27 21 416 6204

What is the ownership structure of the company? Wholly owned subsidiary of Nedbank Group Ltd Who are the directors of the company? NA Andrew, CE Sevenaoks, I Ruggiero Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: No

What are your total assets under management? R257.6 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R109.14 billion Retail: R148.44 billion Life: N/A Other: N/A

Investment philosophy We offer individual and institutional investors access to a range of South African and offshore unit trust portfolios to meet their investment needs. These portfolios are managed by a range of Best of Breed™ investment managers that they actively monitor and review, so that clients don’t have to.

FAIS requirements Who is your FAIS complaints officer? N/A Please provide the link to the complaints policy on your website: http://www.nedgroupinvestments.co.za

History When was the company established? 1997 List of mergers that have taken place since being established: Nov 2003 – African Harvest, BoE, FTNIB, NIBi and Nedbank Unit Trusts merged to form Nedcor Collective Investments. Changed to Nedgroup Collective Investments June 2005

B-BBEE credentials Are you B-BBEE accredited? No, fall under Nedbank Ltd accreditation What is your B-BBEE status? Level 2 By whom have you been accredited? Sizwe Ntsaluba Gobodo Date of accreditation: 2015-02-20

Key investment personnel Size of Investment Team: 26 Nic Andrew Executive Head, Asset Management B.Comm., CA(SA), PG Dip Tax Law, CFA, AMP(Insead) 23 years’ industry experience 20 years with firm Trevor Garvin Head of Investments & Multi-management B.Com (Hons) Economics, M.Com (Finance), MBA, Dip FMI (Cum Laude), SAFEX, ACIBM, CAIA 22 years’ industry experience 16 years with firm

GIPS Are you GIPS compliant? No Are you GIPS verified? N/A By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

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Northstar Asset Management (Pty) Ltd https://northstar.co.za/

Company details

FAIS requirements

Investment mandates

FAIS FSP registration number: 601 Switchboard: +27 21 810 8400 Fax number: +27 21 794 2885 General email: info@northstar.co.za Website: www.northstar.co.za Address: Suite 1A, Madison Place Alphen Office Park, Constantia, 7806 Postnet Suite 784, Private Bag x16 Constantia, 7848 Compliance officer name: Independent Compliance Services Enrique Goosen +27 21 975 6597

Who is your FAIS complaints officer? Enrique Goosen Please provide the link to the complaints policy on your website: https://northstar.co.za/complaintsprocedure/

What are your total assets under management? R4.9 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R0.2 billion Retail: R4.7 billion Life: N/A Other: N/A

Investment philosophy Northstar’s philosophy centres around long-term exposure to quality assets where value exceeds price, in short, we are Quality at a Reasonable Price. We identify this by screening for companies which have a strategic competitive advantage, evident in superior and sustainable return on invested capital (ROIC) and free-cashflow (FCF) measures. We believe that our proprietary research and portfolio construction process gives us a competitive edge in both the onshore and offshore space. Our highly structured, in-house research model enables us not only to run our own branded funds well, but to apply institutional levels of research to our segregated fund mandates and direct retail clients. Our fixed income portfolios are managed to continually optimise positions, ensuring the highest possible return at a point in time, without incurring the risk of underperforming the benchmark. Our business principles are: ■■ Delivery of long-term investment returns to clients ■■ Focused fundamental research produces consistent long-term returns ■■ Class leading client service delivery ■■ Integrity and honesty as the bedrock of our value system. 228

Ownership What is the ownership structure of the company? 70% privately owned, 30% RMI Investment Managers Who are the directors of the company? A Clayton, M Seymour, M Barbieri, R Spangenberg, M Bertram, A De Swardt, A Rousseau (Alternate) Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes - 63%

History When was the company established? 1996 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? No What is your B-BBEE status? N/A By whom have you been accredited? N/A Date of accreditation: N/A

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Key investment personnel Size of Investment Team: 9 Adrian Clayton Chief Investment Officer B. Soc. Science (Economics) 23 years’ industry experience 6 years with firm Marco Barbieri Head of Local Equities CFA, B. Com (Hons) Financial Account; B.Sc. (Hons) Chemistry 10 years’ industry experience 6 years with firm Mark Seymour Head of Fixed Income B.Sc. Engineering (Electro-mechanical) 17 years’ industry experience 6 years with firm Rory Spangenberg Head of Global Equities B Com (Economics) 19 years’ industry experience 2 years with firm

SECTION 6

Oasis Asset Management Ltd www.oasiscrescent.com

Company details

Ownership

Investment mandates

FAIS FSP registration number: 603 Switchboard: +27 21 413 7860 Fax number: +27 21 413 7900 General email: Clients@za.oasiscrescent.com Website: www.oasiscrescent.com Address: Oasis House, 96 Upper, Roodebloem Road, University Estate, Cape Town, 7925 Oasis Asset Management Ltd., PO Box 1217, Cape Town, South Africa, 8000 Compliance officer name: Nazeem Ebrahim +27 21 413 7860

What is the ownership structure of the company? The company is 100% owned by Oasis Group Holdings (Pty) Ltd Who are the directors of the company? Mohamed Shaheen Ebrahim, Adam Ebrahim, Nazeem Ebrahim, Roshin Ebrahim (Non Executive Director) Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Oasis staff incentive scheme is based on profit participation rather than ownership interest.

What are your total assets under management? R17.3 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: Not disclosed Retail: Not disclosed Life: Not disclosed Other: Not disclosed

Investment philosophy Oasis Asset Management Ltd strives to provide unrivalled world-class financial services to its clients and is responsible for every aspect of collective investment schemes, property management, retail retirement funds, institutional investment funds and linked investment insurance policies. The products offered are designed to protect clients’ assets through the application of a low volatility fund management philosophy. The application of this philosophy is epitomised in the focused management of financial assets through the utilisation of proven stock selection skills that leverage off a meticulous research process.

FAIS requirements Who is your FAIS complaints officer? Nazeem Ebrahim Please provide the link to the complaints policy on your website: Complaints policies are available from the compliance department on request.

History When was the company established? 1997-01 List of mergers that have taken place since being established: No mergers have taken place since the establishment of the company

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 1 By whom have you been accredited? SAB & T Date of accreditation: 2019-12-02

GIPS Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? SAB & T Date of verification: 2018-02-07 Expiry date of verification: 2018-12-31

Key investment personnel Size of Investment Team: 19 Adam Ebrahim Chief Investment Officer CA(SA), CFA 36 years’ industry experience 22 years with firm Mohamed Shaheen Ebrahim Strategist AltX Dip WBS 46 years’ industry experience 22 years with firm Nazeem Ebrahim Strategist B. Soc.Sci & B. Proc 38 years’ industry experience 22 years with firm Micheal Swingler Senior Analyst CA(SA), CFA 25 years’ industry experience 22 years with firm Yusuf Ebrahim Senior Analyst 13 years’ industry experience 13 years with the firm Chandradeo Munohur Senior Analyst 9 years’ industry experience 9 years with the firm

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Oasis Crescent Capital (Pty) Ltd www.oasiscrescent.com

Company details

Ownership

Investment mandates

FAIS FSP registration number: 796 Switchboard: +27 21 413 7860 Fax number: +27 21 413 7900 General email: Clients@za.oasiscrescent.com Website: www.oasiscrescent.com Address: Oasis House, 96 Upper Roodebloem Road, University Estate, Cape Town, 7925 Oasis Crescent Capital (Pty) Ltd., PO Box 1217, Cape Town, South Africa, 8000 Compliance officer name: Nazeem Ebrahim +27 21 413 7860

What is the ownership structure of the company? The company is 100% owned by Oasis Group Holdings (Pty) Ltd Who are the directors of the company? Mohamed Shaheen Ebrahim, Adam Ebrahim, Nazeem Ebrahim, Roshin Ebrahim ( Non Executive Director) Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Oasis staff incentive scheme is based on profit participation rather than ownership interest.

What are your total assets under management? R24.9 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: Not disclosed Retail: Not disclosed Life: Not disclosed Other: Not disclosed

Investment philosophy Oasis Crescent Capital (Pty) Ltd strives to provide unrivalled world class Sharia’h compliant wealth management services to its clients and is responsible for every aspect of collective investment schemes, property management, retail retirement funds, institutional investment funds and linked investment insurance policies. The products offered are designed to protect clients’ assets through the application of a low volatility fund management philosophy. The application of this philosophy is epitomised in the focused management of financial assets through the utilisation of proven stock selection skills that leverage off a meticulous research process.

History When was the company established? 2002-03 List of mergers that have taken place since being established: No mergers have taken place since the establishment of the company

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 1 By whom have you been accredited? SAB & T Date of accreditation: 2019-12-02

GIPS Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? SAB & T Date of verification: 2018-02-07 Expiry date of verification: 2018-12-31

Key investment personnel Size of Investment Team: 19 Adam Ebrahim Chief Investment Officer CA(SA), CFA 36 years’ industry experience 22 years with firm Mohamed Shaheen Ebrahim Strategist AltX Dip WBS 46 years’ industry experience 22 years with firm Nazeem Ebrahim Strategist B. Soc.Sci & B. Proc 38 years’ industry experience 22 years with firm Michael Swingler Senior Analyst CA(SA), CFA 25 years’ industry experience 22 years with firm Yusuf Ebrahim Senior Analyst 13 years’ industry experience 13 years with the firm Chandradeo Munohur Senior Analyst 9 years’ industry experience 9 years with the firm

SECTION 6

Obsidian Capital (Pty) Ltd www.obsidiancapital.co.za

Company details

Ownership

Investment mandates

FAIS FSP registration number: 32444 Switchboard: +27 11 219 6300 Fax number: +27 11 268 5251 General email: operations@obsidiancapital.co.za Website: www.obsidiancapital.co.za Address: Suite 1, 5 Fricker Road, Illovo Johannesburg, 2196 PO Box 413407 Craighall, Johannesburg, 2024 Compliance officer name: Johan Van Zyl (ICS) +27 11 568 9874

What is the ownership structure of the company? Richard Simpson and Royce Long, both directors, remain the majority shareholders of Obsidian Capital. One another staff member owns a minority stake, and another has been offered equity but is yet to buy in. Who are the directors of the company? Richard Simpson and Royce Long Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: One another staff member owns a minority stake, and another has been offered equity but is yet to buy in.

What are your total assets under management? R2.3 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R1.1 billion Retail: R1.2 billion Life: N/A Other: N/A

Investment philosophy Our investment mantra is to “Marry valuation with the cycle.” To achieve this we only invest when our measures of valuation (be it those applicable to equity, property, bonds, commodities, or cash) look attractive AND the cycle that influences their profit drivers looks supportive. The experience of the founders is that without both of these elements in place, the risk of making a poor investment is heightened.

FAIS requirements Who is your FAIS complaints officer? Royce Long Please provide the link to the complaints policy on your website: Complaints policy available on request

History When was the company established? October 2007 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? No What is your B-BBEE status? N/A By whom have you been accredited? N/A Date of accreditation: N/A

GIPS Are you GIPS compliant? No Are you GIPS verified? N/A By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Key investment personnel Size of Investment Team: 6 Royce Long Portfolio Manager CA(SA), CFA 24 years’ industry experience 10 years with firm Richard Simpson Portfolio Manager Bsc Hons, PDM 24 years’ industry experience 10 years with firm Craig Shapiro Senior Analyst CA(SA), CFA 8 years’ industry experience 7 years with firm Jason da Silva Senior Analyst CA(SA) 5 years’ industry experience 5 years with firm Liam Arron Trader / Junior Analyst Bcom Investment Management 2 years’ industry experience 2 years with firm Warren Kelly Business Development B.Bus.Sci (Finance) 5 years’ industry experience 5 years with firm

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Old Mutual Investment Group (Pty) Ltd www.oldmutualinvest.com

Company details

FAIS requirements

B-BBEE credentials

FAIS FSP registration number: 604, 520, 721, 592, 45265 Switchboard: +27 21 509 5022 Fax number: +27 21 509 5025 General email: listening@oldmutualinvest.com Website: www.oldmutualinvest.com Address: West Campus Entrance 1, Mutual Park, Jan Smuts Drive, Pinelands Cape Town, 7405 PO Box 878, Cape Town 8000 Compliance officer name: Shaheed Mohamed +27 21 504 7296

Who is your FAIS complaints officer? Shaheed Mohamed Please provide the link to the complaints policy on your website: http://ww2.oldmutual.co.za/docs/defaultsource/about-us-docs/complaints-policyomig-aug-2015-final.pdf

Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 By whom have you been accredited? AQRate Date of accreditation: 2018-05-02

Investment philosophy Our investment capabilities are managed by a range of independent investment boutiques. This gives their clients a single point of access to world-class, specialist expertise in a comprehensive range of listed and unlisted investment capabilities. Our investment professionals are invested experts because they have meaningful equity ownership stakes in their investment businesses and are invested alongside their clients in the funds they manage. This allows them to be independent and entrepreneurial and offers them a powerful incentive to deliver strong performance. The multi-boutique structure also gives them the agility to seize market opportunities and the ability to use distinctly different investment approaches and styles. The accolades they have achieved and performance track records they have built up over decades are confirmation that Old Mutual Investment Group have achieved the right formula for securing our clients’ long-term financial success.

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Ownership What is the ownership structure of the company? Old Mutual Investment Group is majority owned by Old Mutual Investment Group Holdings, which is ultimately owned by Old Mutual Limited. Who are the directors of the company? The directors of Old Mutual Investment Group (Pty) Ltd are: Dave Macready, Peter Moyo Peter De Beyer, Zanele Matlala, Gcinikhaya Gobodo Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Old Mutual Investment Group has set aside 20% of each boutique to be owned over time by the teams in the business, with 8% of this 20% specifically reserved for black staff. The Imfundo Trust holds 5.3% with the remaining 74.7% ultimately being owned by Old Mutual.

History When was the company established? 1993 List of mergers that have taken place since being established: Old Mutual Investment Group has been operating as a multi-boutique business since January 2007. Since then we have increased our shareholding in some of our separately registered FSP’s.

GIPS Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? PriceWaterhouseCoopers Date of verification: 2017-12-31 Expiry date of verification: N/A

Investment mandates What are your total assets under management? R663 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R148 billion Retail: R302 billion Life: R213 billion Other: N/A

SECTION 6

Old Mutual Investment Group (Pty) Ltd Continued

Key investment personnel Size of Investment Team: 207 Hywel George Director of Investments BSc: Economics 30 years’ industry experience 5 years with firm Grant Watson Boutique Co-Head: Customised Solutions B Com, BSc, Hons, MBA, SAIS, CMMD 24 years’ industry experience 14 years with firm Paul Boynton Head: Alternative Investments B Com, BSc, Hons, MBA, CA (SA), FCMA 29 years’ industry experience 23 years with firm Peter Linley Head: Old Mutual Equities BA (Economics), B Com, Hons 33 years’ industry experience 31 years with firm Peter Brooke Head: MacroSolutions BBusSC Hons (Finance) 24 years’ industry experience 13 years with firm Bradley Kalil Head: Old Mutual Specialised Finance (OMSFIN) BBSc, CA(SA), CFA 24 years’ industry experience 22 years with firm Paul Rackstraw Head: Futuregrowth Asset Management CA (SA) 29 years’ industry experience 29 years with firm

Feroz Basa Boutique Co-Head: Global Emerging Markets B.Com (Hons) 14 years’ industry experience 20 years with firm Siboniso Nxumalo Boutique Co-Head: Global Emerging Markets B.Com (Hons), MBA 13 years’ industry experience 14 years with firm Neil Nothard Chief Executive Officer – Marriot B Com CA(SA) 27 years’ industry experience 31 years with firm Trevor Abromowitz Boutique Head: LDI MSc (Actuarial Science) FASSA, FIA, CFA, 15 years industry experience 7 years with the firm Pieter Hundersmarck Co-Boutique Head B.Com (Economics), M.Com (Financial Management) 13 years industry experience 1 years with the firm Kyle Wales Co-Boutique Head B.Com (Hons), CA (SA), CFA 10 years industry experience 1 year with the firm David Cook Co-Boutique Head B.Com (Acc) (PGDA), CA(SA), CFA 10 years industry experience 1 year with the firm

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Old Mutual Multi-Managers www.ommultimanagers.co.za

Company details

FAIS requirements

FAIS FSP registration number: 703 Switchboard: +27 21 524 4430 Fax number: +27 21 441 1199 General email:

Who is your FAIS complaints officer? Leah-Joy Williams Please provide the link to the complaints policy on your website: http://ww2.oldmutual.co.za/docs/defaultsource/about-us-docs/complaints-policyomig-aug-2015-final.pdf

ommmclientquery@ommm.co.za

Website: www.ommultimanagers.co.za Address: The Estuaries, 2 Oxbow Crescent, Century City, 7441 PO Box 44604, Claremont, 7735 Compliance officer name: Leah-Joy Williams

Investment philosophy The primary focus of Old Mutual Multi-Managers is on ensuring that all our portfolios consistently outperform inflation. We are convinced that this is the single most important consideration for any investor, whether individual, corporate, or retirement fund. Then, with that key objective in place, our investment philosophy builds on this ‘inflation plus’ approach by clearly defining each portfolio’s target objectives and then working to deliver precisely on these objectives. Defining these target objectives ensures that our investment teams and asset managers have clear targets to work towards, which keeps them 100% focused and prevents them from being distracted by market shifts or investor sentiment. Our investment philosophy is underpinned by the three integrated pillars of: ■ a long-term investment horizon; risk diversification across asset classes and asset managers, and ■ a valuation-driven approach that informs all our asset manager and asset selection decisions. 234

Ownership What is the ownership structure of the company? Old Mutual Investment Group is majority owned by Old Mutual Investment Group Holdings, which is ultimately owned by Old Mutual Limited. Who are the directors of the company? TA Manuel (Chairman), MP Moyo (CEO), CG Troskie (CFO), PC Baloyi, PG De Beyer, AK Essien, I Kgaboesele, JR Lister, Dr S Magwentshu-Rensburg, NT Moholi, CWN Malope, T Mokgosi-Mwantembe, BM Rapiya and IS Sehoole. Company secretary: EM Kirsten Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Employees of Old Mutual Multi-Managers do not directly own any level of the multi-management business. Old Mutual Multi-Managers is a member of Old Mutual. Employees participate in the Old Mutual variable base scheme.

History When was the company established? Old Mutual Multi-Managers is a specialist investment boutique within the Old Mutual Group. The business was formed in 2013 through the merger of SYm|mETRY Multi-Manager and the Research and Investment Management team of ACSIS. Our business was renamed to Old Mutual Multi-Managers in August 2014. With more unit trusts in South Africa than there are shares listed on the JSE, the South African investment

landscape can be complex and intimidating for many investors. Old Mutual Multi-Managers works to demystify this complex environment by offering a range of investment funds and strategies to suit the needs of all types of investors. We deliver specialised investment offerings and administration services for the corporate and institutional clients (including retirement funds) of Old Mutual Corporate and the individual clients of Old Mutual Wealth. Currently we have more than R100 billion in assets under management. List of mergers that have taken place since being established: Old Mutual Multi-Managers was formed through the business consolidation of SYm|mETRY Multi-Manager and the Acsis Research and Investment Management team. The consolidation process began in 2013.

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 By whom have you been accredited? AQ Rate Verification Services Date of accreditation: 2018-04-26

GIPS Are you GIPS compliant? Yes Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

SECTION 6

Old Mutual Multi-Managers Continued

Investment mandates What are your total assets under management? R101.1 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R45.4 billion Retail: R55.7 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 14 Monene Watson Chief Investment Officer B Com (Honours); CFA; PGDip (Financial Planning), CFP 25 years’ industry experience 16 years with firm Trevor Pascoe Chief Executive Officer B.Sc.(Hons), FASSA, FIA 31 years’ industry experience 9 years with firm Andrew Salmon Senior Portfolio Manager BEcon, B Com (Honours) 35 years’ industry experience 11 years with firm Ameer Amod Head: Absolute & Fixed Interest Mcomm (Financial Management); MSc (Engineering) 16 years’ industry experience 6 years with firm Andreea Bunea Head: Global Investments BComm (Honours), CFA, CAIA 16 years’ industry experience 11 years with firm

Stephen Brierley Portfolio Manager B.Comm.(Ecos) 19 years’ industry experience 10 years with firm

Craig Whitfield Investment Analyst B Com (Honours) , CFP 9 years’ industry experience 7 years with firm

Michael Dodd Head: Equities BBusSc(Hons), FRM, CFA 12 years’ industry experience 11 years with firm

Izak Odendal Investment Strategist MPhil 14 years’ industry experience 5 years with firm

Nosibusiso Nqgondoyi Head: Property and Hedge BCom (Accounting), BCom (Hons)(FAPM) 13 years’ industry experience 1 year with firm

Taj Badrodien Performance Analyst B Com (Honours), Post Graduate Diploma in Financial Planning 12 years’ industry experience 3 years with the firm

Shawn Thomas Performance Analyst N.Dip (Cost Acc), B.Com (Hons)(Fin & Inv), M.Com (Fin&Risk Mngmnt) 7 years’ industry experience 4 years with firm

Pumeza Nkenkana Performance Measurer B Com (Econ & Stats) 1 years’ industry experience 1 year with the firm

Dave Mohr Chief Investment Strategist Mcom (Economics) 35 years’ industry experience 6 years with firm

Lance Newman Performance Analyst B Com (Economics) 10 years’ industry experience 1 year with the firm

Taruona Mhuru Product Manager MSc (Financial Mathematics), BSc Honours (Financial Modeling) 12 years industry experience 11 years with firm Barry van Zyl Head: Quants B Com (Hons), BSc 16 years’ industry experience 16 years with firm

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Pan-African Asset Management (Pty) Ltd www.pam-asset.co.za

Company details

Ownership

GIPS

FAIS FSP registration number: 620 Switchboard: +27 11 463 0300 Fax number: +27 11 463 0299 General email: insight@pam-asset.co.za Website: www.pam-asset.co.za Address: Ground Floor, Block A, The Main Straight Office Park, 392 Main Road Bryanston, 2021 Compliance officer name: Ayanda Khumalo Independent Complaince Services 010 007 2171 084 021 7167

What is the ownership structure of the company? PAM is a subsidiary of the PGC Group of Companies. PGC has the vision to become the leading Workers owned Investment Group in Africa to general and invest finance capital on behalf of Workers. Who are the directors of the company? ZR Mdletshe (Chairman), AM Sibande (CEO), Aaron Masina (CIO) Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: 0% is held by staff at current. Discussions are in progress.

Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment philosophy PAM adopts a top down approach across all asset classes that links certain macro-economic factors in the real economy with the financial markets. As such, we formulate an investment hypothesis albeit unique for each asset class, that helps give returns linked to the real economy. The themes that drive the real economy are used to identify securities that we believe will be positively reviewed by the market. We back-test these hypothesis and from the feedback, we proceed to construct our long-term policy portfolios.

When was the company established? 1997 List of mergers that have taken place since being established: Real African Asset Management “RAAM” was established in 1997 as the first Black asset management company. WIPAM, a subsidiary of WIPHOLD, was established as the first Woman asset management company in 1999. RAAM and WIPHOLD merged in October 2001. The company was re-branded as PAN-African Asset Management(“PAM”) in 2006. PGC Group,100% black owned and 38% black women owned, became the controlling shareholder of PAM in 2016.

FAIS requirements

B-BBEE credentials

Who is your FAIS complaints officer? Ayanda Khumalo Please provide the link to the complaints policy on your website: Website under development.

Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 according to the new codes By whom have you been accredited? Authentic Ratings Date of accreditation: 2016-12-22

History

Investment mandates What are your total assets under management? R3.61 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R3.55 billion Retail: R600 million Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 7 Mphile A Sibande Chief Executive Office / Business Development B Com, MBA 18 years’ industry experience 2 years with firm Muziwabafana Aaron Masina Chief Investment Officer CFA, B Com (Econ, Stats) 16 years’ industry experience 1 year with firm Gregory Malogane Mokoena Portfolio Manager B Com (Financial Management) 18 years’ industry experience 1 year with firm Lethlogonolo Shai Portfolio Manager B Com Hons (Finance) 5 years’ industry experience 5 years with firm Dineo Modugwa Portfolio Manager M Com (Finance and Investments) 10 years’ industry experience 8 months with firm

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SECTION 6

Perpetua Investment Managers (Pty) Ltd www.perpetua.co.za

Company details FAIS FSP registration number: 29977 Switchboard: +27 21 674 4274 Fax number: +27 21 674 4599 General email: info@perpetua.co.za Website: www.perpetua.co.za Address: 5th Floor, The Citadel, 15 Cavendish Street, Claremont, 7708 PO Box 44367, Claremont, 7735 Compliance officer name: James George 0861 273 783

Investment philosophy Perpetua is a value-oriented investment manager with the belief that the best predictor of returns is the price paid for an investment relative to a determination of its true value. The investment philosophy is centred on the bottom-up, fundamental research of companies. Perpetua seeks out mispriced, undervalued companies and invests with a long-term and patient view. Our investment process ensures investments are made according to the convictions of our research, not to benchmarks. The firm is therefore unconstrained in its approach to portfolio management and is concerned with doing what is right for the long-term, not simply what is popular for now. We pursue our own interpretation of value investing, termed True Value investing. True Value investing means that: ■■ Undervalued shares can be uncovered due to more than one central thesis - from “mean reversion” on one end to “quality at a reasonable price” at the other end. ■■ Correctly determining the “value thesis” at the point of investment reduces the typical shortfalls of more

one-dimensional value investors. Theses can and do change over the lifecycle of the investment. ■■ Share attributes or metrics (low or high P/E; low or high Price to Book) do not indicate fundamental under/ over valuation in isolation.

FAIS requirements Who is your FAIS complaints officer? Logan Govender Please provide the link to the complaints policy on your website: www.perpetuaim.co.za/governance/

Ownership What is the ownership structure of the company? 100% of the shares in the company are held by directors and staff. Perpetua has granted RMI Investment Managers an option to acquire 25% of the shareholding in Perpetua. Who are the directors of the company? Delphine Govender, Logan Govender, Patrick Ntshalintshali, Raymond Ndlovu Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Currently 100% owner-managed 9 % has been reserved for the Staff Share Incentive Scheme

History When was the company established? 2012 List of mergers that have taken place since being established: N/A

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 1 By whom have you been accredited? AQRate verification services Date of accreditation: 2017-11-06

GIPS Are you GIPS compliant? No Are you GIPS verified? N/A By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R12.7 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R11.9 billion Retail: R0.8 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 12 Delphine Govender Chief Investment Officer CA (SA), CFA 20 years’ industry experience 5 years with firm Lonwabo Maqubela Head of Research and Portfolio Manager CA (SA), CFA 11 years’ industry experience 6 years with firm Patrick Ntshalintshali Portfolio Manager Bcom (Hons), EDP 22 years’ industry experience 3 years with firm Mark Butler Portfolio Manager CA (SA), CFA 21 years’ industry experience 3 years with firm

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Prowess Investment Managers (Pty) Ltd www.prowessinvestments.com

Company details

FAIS requirements

Investment mandates

FAIS FSP registration number: 38318 Switchboard: +27 21 565 0065 Fax number: 086 614 7173 General email: precious@prowessinvestments.com Website: www.prowessinvestments.com Address: 20th Floor, Thibault Square, 1 Long Street, Cape Town, 8001 Private Bag 15086, Vlaeberg, 8078 Compliance officer name: Debbi Carse +27 21 975 6597

Who is your FAIS complaints officer? Kelebogile Moloko Please provide the link to the complaints policy on your website: No website link but complaints policy available upon request

What are your total assets under management? R4.51 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R4.51 billion Retail: N/A Life: N/A Other: N/A

Investment philosophy Given the efficiency of the South African bond market, we believe that excess returns can be generated by taking active long term interest rate views while placing less emphasis on market timing. This then necessitates a focus on yield enhancement through identification of, and investment in fixed income securities that offer higher value on a relative basis. Prowess’ active approach to fixed income investment management is built upon relative value investing, with the goal of producing excess returns over the long term while minimising volatility. Prowess seeks to build diversified portfolios through: a) active management of issues, sector, quality and yield curve positions; b) focus on yield enhancement through investments in assets that offer higher value on a relative basis; c) seeking credit quality through rigorous research and analysis, and management of credit risk through various credit trends and d) management of interest rate risk by constraining duration around a client’s target benchmark.

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Ownership What is the ownership structure of the company? Prowess is 100% owned by Kelebogile Moloko. Who are the directors of the company? Executive Director: Kelebogile Moloko, Non-Executive Director: Janine De Bruyn, Renier Schonken and Pinkie Ncetezo Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: No.

History When was the company established? December 2008 List of mergers that have taken place since being established: N/A

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 1 By whom have you been accredited? BEE Empowered Date of accreditation: 23 January 2018

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Key investment personnel Size of Investment Team: 3 Kelebogile Moloko Chief Investment Officer B Com (Economics & Finance Majors), B Com Honours: Financial Analysis & Portfolio Management, INSETA Leadership Advancement Diploma 20 years’ industry experience 20 years with firm Jacques Simpson Senior Fixed Income Portfolio Manager B.Econ (Economics III & Transport Economics III),B.Econ, Honors and Masters Economics, 1st Year B.sc. Maths, CFA Level 1 19 years’ industry experience 1 year with firm Bongani Mzimeli Investment Analyst B.com (Economics) 4 years’ industry experience 4 years with firm

SECTION 6

Prudential Investment Managers www.prudential.co.za

Company details

FAIS requirements

GIPS

FAIS FSP registration number: 45199 Switchboard: +27 21 670 5100 Fax number: +27 21 683 7156 General email: query@prudential.co.za Website: www.prudential.co.za Address: 5th Floor, Protea Place, Corner Dreyer Street and Protea Road, Claremont, 7708 PO Box 44813, Claremont, 7735 Compliance officer name: Kerry Horsley (Head of Risk and Compliance) +27 21 670 2858

Who is your FAIS complaints officer? Kerry Horsley Please provide the link to the complaints policy on your website: https://www.prudential.co.za/institutionalinvestor/terms-and-conditions

Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? KPMG Date of verification: 2017-12-31 Expiry date of verification: N/A

Investment philosophy Prudential are prudent, valuationbased investors who place a special emphasis on managing risk in their client portfolios. Prudential believe that market prices are broadly efficient over the long term, but can be very inefficient over shorter periods. Therefore, at any point in time, market prices may not reflect intrinsic values. Short-term inefficiencies are essentially driven by repeating behavioural errors by market participants, particularly an alternation between ‘greed and fear’. Prices do not stay at unrealistic levels indefinitely; sooner or later they reflect intrinsic values dictated by fundamental economic factors. Repeating behavioral errors and the eventual convergence of market prices to reflect fundamental values provide sustainable opportunities for active, long-term investors like Prudential to earn excess returns by investing in mis-priced assets.

Ownership What is the ownership structure of the company? Prudential Investment Management (South Africa) (Pty) Ltd (PIMSA) is 100% owned by Prudential Portfolio Managers (South Africa) (Pty) Ltd (PPMSA). Who are the directors of the company? Prudential Investment Management (South Africa) (Pty) Ltd (PIMSA) directors are the following BR Fick, WT Africa, R Khan, VJW Theron. Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes. 28.01%

Investment mandates What are your total assets under management? R241 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R157.5 billion Retail: R75.4 billion Life: R8.3 billion Other: N/A

Key investment personnel

History

Size of Investment Team: 34

When was the company established? Prudential Plc was Founded in 1848. The South African business was opened in 1994. List of mergers that have taken place since being established: N/A

David Knee Chief Invesment Officer B.Sc.(Eco), M.Sc (Eco), ASIP 28 years’ industry experience 21 years with firm

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 3 By whom have you been accredited? AQRate Verification Services Date of accreditation: 2018-09

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PSG Asset Management Holdings (Pty) Ltd www.psg.co.za/Asset-Management

Company details FAIS FSP registration number: 29524 Switchboard: +27 21 799 8000 Fax number: +27 21 799 8182 General email: psgassetmanagement@psg.co.za Website: www.psg.co.za/asset-management Address: 1st Floor, PSG House, Alphen Park, Constantia Main Rd, Constantia, Cape Town PBX3, Constantia, 7848 Compliance officer name: Elana Honiball elana.honiball@psg.co.za

Investment philosophy PSG puts risk first in all that they do. They look for investment opportunities that will provide them with a sufficient margin of safety and an asymmetrical payoff range. This pay-off range should translate into little downside and sufficient upside. They believe that they will invest in any opportunity (equity or fixed income) provided that there is a sufficient margin of safety to ensure that they are not likely to incur permanent capital loss on that investment. In essence they compare ideas across a range of opportunities, both fixed income and equity, looking for the highest probability, real, risk-adjusted yields. This leads to an absolute rather than relative mindset. Their equity philosophy is guided by their simple checklist of the 3 Mâ&#x20AC;&#x2122;s: Moats, Management and Margin of safety. They look to invest in companies with strong business models and management teams and a sufficient margin of safety.

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They prefer to invest in high quality compounding return type companies with strong management teams and a long runway of future opportunities to invest in. They will, however, also invest in mean reverting type companies on a more opportunistic basis, provided there is a sufficient margin of safety. Their highest return ideas typically come from high quality companies that have a large though fixable problem or temporary headwind, which has resulted in a depressed share price. They then are buying a compounder with strong mean reverting valuation properties.

FAIS requirements Who is your FAIS complaints officer? Elana Honiball Please provide the link to the complaints policy on your website: www.psg.co.za/support/ legal/#Complaints-Resolution-Procedure

Ownership What is the ownership structure of the company? 100% owned by PSG Konsult Ltd Who are the directors of the company? Anet Ahern, Greg Hopkins, Chris Henderson, Terence Collopy Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Not directly. Staff and management have shares in PSG Konsult Ltd.

History When was the company established? 1999-02-01 List of mergers that have taken place since being established: PSG Tanzanite (PTY) Ltd and Alphen Asset Management were formally merged into PSG Asset Management in Feb 2011.

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 8 By whom have you been accredited? AQRate Date of accreditation: 2018-05-31

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R45 billion (June 2018) Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R8 billion Retail: R37 billion Life: N/A Other: N/A

SECTION 6

PSG Asset Management (Pty) Ltd Continued

Key investment personnel Size of Investment Team: 13 Greg Hopkins Chief Investment Officer, Portfolio Manager BCom(UCT) CA(SA), CFA 22 years’ industry experience 9 years with firm Paul Bosman Portfolio Manager BCom(Hons)(Stell), CFA 15 years’ industry experience 15 years with firm Phillip Worz Portfolio Manager BCom(Hons)(Stell), CFA 12 years’ industry experience 12 years with firm

Kevin Cousins Head of Research BCom(UKZN), CA(SA) 26 years’ industry experience 4 years with firm Lyle Sankar Portfolio Manager B.Bus.Sci (Finance) CA(SA), CFA 6 years’ industry experience 5 years with firm Shaun le Roux Portfolio Manager BCom (Hons) CA(SA), CFA 23 years’ industry experience 20 years with firm Dirk Jooste Assistant Portfolio Manager MCom, CFA 10 years’ industry experience 1 year with firm

Tyron Green Portfolio Manager BCom(Hons), CA(SA), MBA 12 years’ industry experience 7 years with firm

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Rezco Asset Management www.rezco.co.za

Company details

FAIS requirements

GIPS

FAIS FSP registration number: 702 Switchboard: 0861 739 468 Fax number: 086 532 8925 General email: info@rezco.co.za Website: www.rezco.co.za Address: Unit 33, 4th Floor, Katherine & West Building, 114 West Street, Sandton, 2196 146 Main Road, Port Elizabeth, 6001 Compliance officer name: Ronald Cape 082 888 7466

Who is your FAIS complaints officer? Ronald Cape Please provide the link to the complaints policy on your website: https://rezco.co.za/policies/complaintspolicy/

Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? ACA Compliance Services Inc. Date of verification: 2017-06-26 Expiry date of verification: 2016-12-31

Investment philosophy It is fundamental to their approach that capital must be protected. Rezco’s objective is to preserve capital during times of market weakness and to outperform the overall index during periods that are positive for equities. Their strategy is to acquire interests in well managed companies for less than they are intrinsically worth, and to timeously position their clients in the correct asset classes. The Rezco investment philosophy combines the best aspects of value investing with superior sustainable earnings growth, primary trend analysis and measured market timing. They seek companies with attractive price earnings ratios relative to their long-term growth prospects. Investments are intended for the long term but they recognise the changes in circumstances that can lead to altered risk levels, necessitating earlier adjustments to the portfolios.

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Ownership What is the ownership structure of the company? Rezco Collective Investments Ltd is an FSCA registered Manco, 100% held by Rezco Investment Holdings Ltd, which is 100% held by Rezco Asset Management (Pty) Ltd, which is 100% owned by the directors. Who are the directors of the company? WJH Gray, RB Spanjaard, PR Du Toit, RR Cape, B Nackan, L Kaplan, J Krynauw, B du Plessis Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes, 100%

History When was the company established? 2004 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? No What is your B-BBEE status? N/A By whom have you been accredited? N/A Date of accreditation: N/A

Investment mandates What are your total assets under management? R6.7 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R0.7 billion Retail: R6.0 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 6 Rob Spanjaard Chief Investment Officer & Managing Director B.Com, CTA 30 years’ industry experience 19 years with firm Wally Gray Co-portfolio manager and executive chairman B.Sc (Eng), MBL Cum laude 50 years’ industry experience 37 years with firm Simon Sylvester Head of Research & co-portfolio manager B.Bus Science (Hons), CFA, CIPM 7 years’ industry experience 7 years with firm

SECTION 6

Sanlam Investment Management (Pty) Ltd www.sanlaminvestments.com

Company details FAIS FSP registration number: 579 Switchboard: +27 21 950 2500 Fax number: +27 21 950 2916 General email: institutional@sanlaminvestments.com Website: www.sim.sanlam.com Address: 55 Willie van Schoor Avenue, Tygervalley, Bellville Compliance officer name: Francis Hitchinson +27 21 950 2980

Investment philosophy SIM follows a pragmatic value investment philosophy. They believe that financial markets are inefficient and that they can add value relative to the general market indices as a result of this. Market inefficiency exists primarily because financial market participants are driven by human emotions, such as fear and greed. These emotions cause asset prices to move away from their fair values, which creates investment opportunities for patient investors. Also, as various market participants have different investment time frames and liquidity requirements, assets can become mispriced on a temporary basis. As all information is publicly available, SIM cannot claim to add value by trying to gain an information edge relative to our competitors. The markets are global and they compete against the best teams in London, New York and elsewhere. In light of this, SIM do not believe that it is possible to forecast economic variables and company earnings better than anybody else, and it is a feature of their approach that they do not rely on such forecasts. Rather, in terms of their pragmatic value approach, they believe that they can identify mispriced assets given

current available information. The word “pragmatic” refers to the Charles Peirce School of investment philosophy, which advocates taking a practical approach to matters with reference to historical events. For valuing assets, SIM use a fair value framework based on long-term historical asset returns. Opportunities arise when current prices differ from these long-term fair values. The assumption that assets revert to their long-term average real returns is fundamental to their approach. For example, they would assume that a company’s return on equity will return to its long run average over time. SIM’s approach works particularly well for assets with future cash flow streams. Valuing currencies and commodities are more difficult as economic factors, such as supply and demand, come into play.

FAIS requirements Who is your FAIS complaints officer? Francis Hitchinson Please provide the link to the complaints policy on your website: https://www.sanlam.co.za/contact/ complimentsandcomplaints/Pages/ default.aspx

Ownership What is the ownership structure of the company? SIM is a wholly owned subsidiary of Sanlam Ltd Who are the directors of the company? Temba Mvusi, Nersan Naidoo, Robert Roux, Azola Zuma Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: As SIM is a wholly owned subsidiary of Sanlam Ltd, staff and management have no direct ownership interest but rather have a shareholding at Sanlam Limited in the form of long term incentives.

History When was the company established? 1967-11-13 List of mergers that have taken place since being established: None

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 3 By whom have you been accredited? AQRate Date of accreditation: 2017-06-05 Expiry date: 2018-06-04

GIPS Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? PWC Date of verification: 2018-09-26 Expiry date of verification: N/A

Investment mandates What are your total assets under management? R477.7 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R199.4 billion Retail: R62.7 billion Life: R215.6 billion Other: N/A

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Sanlam Investment Management (Pty) Ltd Continued

Key investment personnel Size of Investment Team: 31 Azola Zuma Chief Executive: Sanlam Investment Management BBusSc (Finance Honours), MA (International Business), MBA (International Business and Management) 14 years industry experience 2.5 years with firm Andrew Kingston Head of Equity Research B Com, GDipAcc, CA (SA), CFA 28 years industry experience 19 years with firm Cromwell Mashengete Senior Equity Strategist & Portfolio Manager BA (Hons) Economics, MA, MBA 21 years industry experience 2 years with firm

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Patrice Rassou Head of Equities BSc Hons (Economics), MSc (Economics), MBA, CA (UK) 21 years industry experience 12 years with firm Natasha Narsingh Head of Absolute Return BSc, MBA 17 years industry experience 11 years with firm Fred White Head of Balanced BEng, Meng, MBA, CFA 20 years industry experience 15 years with firm Mokgatla Madisha Head of Fixed Income BCom Honours (Financial Analysis & Portfolio Management) BSc Eng 18 years industry experience 2.5 years with firm

SECTION 6

Sanlam Multi Manager International (Pty) Ltd www.sanlaminvestments.com

Company details FAIS FSP registration number: 845 Switchboard: +27 21 950 2600 Fax number: +27 21 950 2126 General email: Institutional@sanlaminvestments.com Website: www.sanlaminvestments.com Address: 55 Willie van Schoor Avenue, Bellville, 7530 Private Bag X8, Tygervalley, 7736 Compliance officer name: Francis Hitchinson +27 21 950 2690

Investment philosophy SMMI believes that the market displays short-term inefficiency which causes asset prices to deviate from their fair value in the short term. This creates the potential for superior investment managers to take advantage of deviations between fair value and market price, and consequently to generate substantial outperformance of the general market or benchmark over time. Given that past performance is not an indication of future performance, SMMI’s skill lies in distinguishing whether outperformance was due to luck and unlikely to be repeated, or due to skill and therefore repeatable. SMMI believe that not all managers perform equally well in all phases of the market cycle. At times the market favours a particular investment style, only for another style or bias to outperform at a different time in the cycle. Their outstanding proprietary research platform enables them to distinguish between managers displaying skill and lucky managers, without being blinded by short-term performance noise in the market. They continuously analyse the performance characteristics of various managers and develop an understanding of their particular portfolio construction process. As a result they understand which manager combinations will lead to a concentration or under allocation of risk in the portfolio that will ultimately jeopardises the ability of the portfolio to meet the client’s

performance expectations in the long run and construct robust portfolios free from these biases. FAIS requirements Who is your FAIS complaints officer? Francis Hitchinson Please provide the link to the complaints policy on your website: https://www.sanlam.co.za/contact/ complimentsandcomplaints/Pages/ default.aspx

Ownership What is the ownership structure of the company? As part of the company’s endeavour to ensure Black Economic Empowerment, Sanlam Limited (Sanlam) and by extension SMMI entered into an arrangement with Ubuntu-Botho Investments (Pty) Ltd (UB) whereby UB currently holds a 13.3% stake in Sanlam. Who are the directors of the company? Nersan Naidoo, Thomas van Heerden, Selwyn Pillay, Robert Roux Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: As SMMI is a wholly owned subsidiary of Sanlam Ltd, staff and management have no direct ownership interest.

History When was the company established? 2002 List of mergers that have taken place since being established: Merger between Sanlam Multi Manager International and Coris Capital

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 3 By whom have you been accredited? AQRate Date of accreditation: 2018-06-05 Expiry date: 2019-06-04

GIPS Are you GIPS compliant? No Are you GIPS verified? N/A By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R208.0 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R94.6 billion Retail: R68.7 billion Life: R45.7 billion Other: N/A

Key investment personnel Size of Investment Team: 16 Paul Wilson Chief Investment Officer BSc Hons (Actuarial Mathematics), CFA 14 years industry experience 6 years with firm David Galloway Head: Strategy & Market Research B BusSc (Hons), B Com Hons, M Com 24 years industry experience 10 years with firm Lilian Lerm Head: Manager Research BCom (Inv Man), BCom (Hons) (Fin Analysis) 8 years industry experience 6 years with firm

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Schroder Investment Management Ltd www.schroders.com

Company details

FAIS requirements

History

FAIS FSP registration number: 48998 Switchboard: +27 21 140 1508 General email: tanya.faber@Schroders.com Website: www.schroders.com Address: 183 Albion Springs, Rondebosch, Cape Town, 7700 Compliance officer name: Jan Scholtz +27 87 897 6970

Who is your FAIS complaints officer? Jan Scholtz Please provide the link to the complaints policy on your website: Available upon request

When was the company established? 1804 List of mergers that have taken place since being established: Over the past 10 years we have had the following organisation changes and acquisitions: 2018: Lloyds and Algonquin Management Partners 2017: Adveq 2016: Benchmark Capital, Hartford Funds, Brookfield Investment Management Inc., Safe Harbor and Investment in NEOS Business Finance 2014: Investment in Nutmeg Saving and Investment Limited 2013: Cazenove Capital Holdings Limited, Secquaero Advisors Limited, Fisch Asset Management and STW Fixed Income Management 2012: 25% of Axis AMC 2010: Sale of third party private equity administration business, 49% stake in RWC Partners Limited and Nissay Schroders Asset Management Europe Limited.

Investment philosophy As a global active investment manager, we help institutions and individuals meet their financial goals and prepare for the future. As the world changes, so do our clients’ needs. That is why we have a long history of adapting to suit the times and keeping our focus on what matters most to our clients. From pension funds and insurance companies to individuals, we work with a range of clients whose needs are as diverse as they are. We design innovative products and bespoke solutions, actively managed by our 41 investment teams across a diverse range of asset classes including equities, fixed income, multi-asset, private assets and alternatives. We are a global business, managed locally. Our diverse workforce, based across six continents, means we understand what matters to our clients, wherever they are in the world.

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Ownership What is the ownership structure of the company? Schroder Investment Management is a wholly owned, indirectly held subsidiary of Schroders plc. Within South Africa, Schroder Investment Management Ltd is an authorised financial services provider with a Category I licence. We have numerous funds approved by the FSCA for disctribution and have office presence in both Cape Town and Sandton. Who are the directors of the company? Peter Harrison, Stewart Carmichae, Nicky Richards, Richard Keers, John Troiano Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Schroders has developed under stable ownership for more than 200 years and has been a public company whose ordinary shares have been listed on the London Stock Exchange since 1959. Schroders employees’ rights to and ownership of shares through share schemes as a percentage of total shares in issue is approximately 3.4%*. * The percentage above reflects Schroders employees’ unvested and vested but not yet exercised rights to shares through share schemes as a percentage of total shares in issue. The percentage does not include personal holdings or holdings arising from awards which have been exercised.

B-BBEE credentials Are you B-BBEE accredited? No What is your B-BBEE status? N/A By whom have you been accredited? N/A Date of accreditation: N/A

SECTION 6

Schroder Investment Management Ltd Continued

GIPS Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? Ernst & Young LLP Date of verification: 2018-06-08 Expiry date of verification: Annually

Investment mandates What are your total assets under management? £439.2 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: £260.2 billion Retail: £132.1 billion Life: N/A Other: £46.9 billion

Key investment personnel Size of Investment Team: 946 Karl Dasher CEO North America & Co-Head of Fixed Income / Chief Investment Officer & Managing Director MBA from Columbia and London Business school. BA in Industrial Engineering from Georgia Institute of Technology. 24 years’ industry experience 10 years with firm Philippe Lespinard Chief Investment Officer & Co-Head of Fixed Income Post-graduate degree in Artificial Intelligence at the University of Grenoble, France. MSc in Computer Science and Applied Mathematics from ENSIMAG – Grenoble, France. 31 years’ industry experience 8 years with firm

Nicola Richards Head of Equities BA in Economics and History from Anglia Ruskin University. 31 years’ industry experience 4 years with firm Alex Tedder Head and CIO of Global and US Equities MA in Economics and Business Administration University of Freiburg, Switzerland. 38 years’ industry experience 4 years with firm Justin Abercrombie Head of Quantitative Equity Products MSc in Econometrics (distinction) from London Metropolitan University. BSc in Business Economics from the University of Reading. 25 years’ industry experience 22 years with firm

Rory Bateman Head of European Equities MA in Economics from Cambridge University. BA in Financial Economics from Guildhall University. 23 years’ industry experience 10 years with firm Doug Abbott Country Head: South Africa MSc in African Studies 10 years’ industry experience 10 years with firm Kondi Nkosi Head of Business Development: Gauteng MSc in Finance and Economics 12 years’ industry experience 6 months with firm

Hugo Machin Co-Head of Global Real Estate Securities Diploma in Cross Border Valuation from Oxford Said Business School. MSc in Real Estate Finance and Investment from Reading University. BA in English Literature from Durham University. 19 years’ industry experience 4 years with firm Tom Walker Co-Head of Global Real Estate Securities BA in Politics from University of Newcastle Upon Tyne. MRICS. Graduate Diploma in Real Estate from London South Bank University. 19 years’ industry experience 4 years with firm

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SEI Investments (Europe) Limited (SIEL) https://seic.com/en-gb/our-locations/south-africa

Company details FAIS FSP registration number: 9796 Switchboard: 0027 11 994 4200 Fax number: 0027 11 388 3963 General email: gmokoka@seic.com Website: https://seic.com/en-gb/our-locations/ south-africa Address: Unit 8A 1st Floor 3 Melrose Boulevard Melrose Arch, 2196 1 Freedom Valley Dr, Oaks, PA, 19456 Compliance officer name: Debra Gill 087 897 6970

Investment philosophy SEI utilises a multi-manager investment platform in which we recommend hiring multiple specialised investment managers, with clearly differentiated investment processes within each asset class and combining them to achieve maximum diversification and potential risk managed for growth. Our investment professionals assume the responsibilities of portfolio structure, manager selection, manager evaluation and manager replacement. SEI’s philosophy and process reflect strategies geared towards achieving long-term investment goals in various financial climates. We believe: ■ Trustee time is better spent on strategic issues such as goal setting and monitoring success – as an investment manager, SEI is best placed to manage the day-to-day aspects of the investment strategy ■ In a strategic asset allocation framework customised to the financial objectives of each client ■ In a proactive, dynamic de-risking framework that is customised to the needs of each client ■ Short-term market inefficiencies create opportunities to add value across and within asset classes ■ Skilled specialised managers with a determinable competitive edge do exist

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■ A multi-manager framework provides tangible benefits ■ In an active risk management approach and continual oversight Establishing Our Point of View In order to actively manage a client’s asset allocation in an effective manner, SEI first establishes a point of view. The point of view is developed by combining both a top down, macroeconomic perspective with a bottom-up, underlying investment management perspective. SEI holds a bi-weekly roundtable meeting to integrate the views of our Investment Management Unit and Fund Managers, which we then implement across client portfolios. FAIS requirements Who is your FAIS complaints officer? Mr Jan Scholtz, Compliserve Please provide the link to the complaints policy on your website: On request.

Ownership What is the ownership structure of the company? ■S EI Investments (Europe) Limited (SIEL) is a wholly owned subsidiary of SEI Global Investments Corporation (SGIC), which is a wholly owned subsidiary of SEI Investments Company. SIEL is regulated by the Financial Conduct Authority. ■S EI Investments (South Africa) (Pty) Ltd (SEI SA) is wholly owned subsidiary of SEI Global Investments Corporation (SGIC), which is a wholly owned subsidiary of SEI Investments Company. SEI SA provides global investment solutions to South African institutional investors. ■S EI Investments Distribution Co. (SIDCO) is a broker-dealer registered with the SEC under the Securities and Exchange Act of 1934 and is a member of the Financial Industry Regulatory Authority.

■ SEI Investments Management Corporation (SIMC) is an investment adviser and is a U.S. corporation organised under the laws of the state of Delaware. It is registered with the SEC under the Investment Advisers Act of 1940 and provides investment management and advisory services. SEI’s Institutional Group provides investment management and advisory services, the core of this proposal, through SIMC. ■ SEI Investments Global, Limited (SIGL) is the Manager of SEI’s Dublin-domiciled UCITS Funds and is authorised by the Central Bank of Ireland to provide investment management services to the UCITS Funds and their sub-funds which are commonly referred to as ‘building blocks’. SIGL has appointed SIMC as the investment adviser to the Dublinregistered funds and SIMC provides investment management and advisory services to the funds under that agreement. Who are the directors of the company? Kgosietsile Giles Mokoka, Paul Klauder, Patrick Disney, Jeffrey Klauder, Mr Leeapeetswe Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: SEIC is a publicly traded firm, and many employees participate in our stock option and stock purchase programs.

History When was the company established? 1968 List of mergers that have taken place since being established: 1983: Acquired A.G. Becker Paribas, Inc.’s Funds Evaluation Division.

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SEI Investments (Europe) Limited (SIEL) Continued

B-BBEE credentials Are you B-BBEE accredited? SEI (SA) has been operating in SA since 1996. We have had clients in SA for over 20 years. During that time, we have shown our long-term commitment to this country by maintaining a fully staffed office in Johannesburg, to look after the interests of our South African clients. Over the years, we have demonstrated our ambition to align the business objectives of SEI (SA) with those of the SA government, especially in the areas of Employment Equity and BBBEE (Broad Based Black Economic Empowerment): 1. SEI acquires office supplies from black-owned companies. 2. We are currently developing some of our Emerging suppliers with grant contributions. 3. We pay (EME and QSE) suppliers within 15 days to help them with their cash flow. 4. SEI has created an internship program, to empower young black graduates with work experience. 5. SEI employees are awarded scholarship to further their studies at universities and other tertiary institutions. 6. SEI has (over the past five years) adopted an orphanage in Alexandra Township, as part of our SocioEconomic Development Initiative. SEI completed a Black Economic Empowerment (BEE) transaction, resulting in 26 percent blackemployee ownership in the companyâ&#x20AC;&#x2122;s South African business, including nearly eight percent black female ownership. SEI received the second highest (Level 2) designation in terms of meeting the target criteria for minority ownership.

What is your B-BBEE status? Level 2 By whom have you been accredited? Empowerlogic Date of accreditation: 2018-06-26 Expiry date: N/A

GIPS Are you GIPS compliant? SEI Investments Europe Limited follows a similar time-weighted calculation as mandated by Global Investment Performance Standards (GIPS), formerly AIMR, for calculating portfolio-level performance returns for clients. We are currently working with an independent verification services consulting firm to become GIPS compliant. Are you GIPS verified? N/A By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? $92 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: $92 billion Retail: N/A Life: N/A Other: N/A

Key investment personnel Size of Investment Team: James Smigiel Chief Investment Officer 26 years industry experience 18 years with firm Stephen Beinhacker Head of Research CFA, MBA 30 years industry experience 7 years with firm Bill Lawrence Head of Fixed Income CFA, MBA 33 years industry experience 11 years with firm Jason Collins Head of Equities 22 years industry experience 9 years with firm Cai Rees Chief Investment Strategist CFA, MBA 16 years industry experience 3 years with firm Eugene Barbaneagra Portfolio Manager CFA, MBA 18 years industry experience 16 years with firm

SEI is one of the first global investment management businesses to open a local office in South Africa and the first global multi-manager to conclude a BEE transaction introducing black ownership into its South African operations 249

MANAGER WATCH™ SURVEY

Sentio Capital Management (Pty) Ltd www.sentio-capital.com

Company details

Ownership

Investment mandates

FAIS FSP registration number: 33843 Switchboard: +27 11 880 1994 Fax number: +27 11 447 8818 General email: TC@sentio-capital.com Website: www.sentio-capital.com Address: Illovo Edge, Building 3, 1st Floor, 5 Harries Road, Illovo 2146 PO Box 1120, Houghton, Johannesburg, South Africa, 2041 Compliance officer name: Jan H Scholtz 086 127 3783

What is the ownership structure of the company? Managemenet and staff 78%, RMI – 22% Who are the directors of the company? Mohamed Mayet, Rayhaan Joosub, Imtiaz Suliman, Olwethu Notshe, Traugott (TC) von Czettritz und Neuhaus Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes they do, 78%

What are your total assets under management? R15.4 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R14.5 billion Retail: R900 million Life: N/A Other: N/A

Investment philosophy Sentio customized investment filters used to highlight high probability investment opportunities and risk categorization. Detailed fundamental models using multidimensional analysis are used to value companies. Management interaction and macro analysis to highlight key risks and catalysts for each investment opportunity. The stock selection process is integrated with quantitative portfolio construction to make buy and sell decisions. These decisions are made with a view to building portfolios that deliver superior risk-adjusted returns.

FAIS requirements Who is your FAIS complaints officer? Doug Stott Please provide the link to the complaints policy on your website: http://www.sentio-capital.com/complaints

History When was the company established? 2007-07-04 List of mergers that have taken place since being established: N/A

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 1 By whom have you been accredited? Premier Verification Date of accreditation: 2018-11-26

GIPS Are you GIPS compliant? Not yet Are you GIPS verified? Not Yet By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Key investment personnel Size of Investment Team: 11 Mohamed Mayet Chief Investment Officer / Head of research B Com (Wits), B Com Hons (Adv Fin), NASD (USA) 21 years’ industry experience 10 years with firm Rayhaan Joosub Chief Investment Officer BSc Chemical Engineering (Wits), B Com (Unisa) 19 years’ industry experience 10 years with firm Sanveer Hariparsad Head of Fixed Income Actuarial Exams (Current) (Completed: CT1-9, ST 0, ST5, CA3, CA2); CFA; CAIA; MSc (Financial Engineering); BSc (Hons) (Financial Mathematics) (Cum Laude); BSc (Actuarial Science) 10 years’ industry experience 1 year with firm Imtiaz Suliman Senior Portfolio Management CFA: CFA Institute, BSc: Financial Mathematics, University of Pretoria 14 years’ industry experience 7 years with firm Olwethu Notshe Senior Portfolio Management B.Bus Sci, CFA, CAIA 9 years’ industry experience 6 years with firm

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SECTION 6

Sesfikile Capital (Pty) Ltd www.sesfikilecapital.com

Company details FAIS FSP registration number: 39946 Switchboard: +27 11 684 1200 Fax number: 086 619 5265 General email: Sescap@sescap.co.za Website: www.sesfikilecapital.com Address: 2nd Floor, 18 The High Street, Melrose Arch, 2076 Suite 334, Private Bag X1, Melrose Arch, 2076 Compliance officer name: Enrique Goosen +27 21 975 6597

Investment philosophy Our investment philosophy is that long term returns in listed property investment are driven by the underlying fundamentals of the property assets and management, considering systematic and unsystematic risks associated with those fundamentals. We also believe that earnings growth is a key driver to total returns over the medium term, but due regard should be given to the quality of those earnings. We summarise our philosophy as Fundamentals at a Reasonable Price (FARP).

FAIS requirements Who is your FAIS complaints officer? N/A Please provide the link to the complaints policy on your website: Available on request

Ownership What is the ownership structure of the company? Ukukhlua Sibanye En Commandite Partnership: 37.40%, Evan Jankelowitz: 12.50%, Mohammed Kalla: 12.50%, Kundayi Munzara: 12.50% and Royal Investment Managers: 25.01%

Who are the directors of the company? Executive director: Evan Jankelowitz, Kundayi Munzara and Mohamed Kalla, Non-executive director: Kabelo Rikhotso, Carlo Dickson and Stanley Pierre du Preez Independent non-executive director: Rahab Matabane Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Staff and management hold a 37.5% ownership interest in the company.

History When was the company established? 1 December 2010. List of mergers that have taken place since being established: None

Investment mandates What are your total assets under management? R17.74 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R15.74 billion Retail: R2.00 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 3

B-BBEE credentials

Evan Jankelowitz Portfolio Manager B Com (Financial Management; Cum Laude) from the University of Johannesburg, CFA 14 years’ industry experience 7.8 years with firm

Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 3 By whom have you been accredited? Empowerdex Date of accreditation: 2017-07-31

Mohamed Kalla Portfolio Manager B Com (Investment Management; Cum Laude) from the University of Pretoria, CFA 13 years’ industry experience 7.8 years with firm

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Kundayi Munzara Portfolio Manager BSc. (Hons) in Property Studies, CFA 12 years’ industry experience 7.8 years with firm

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MANAGER WATCH™ SURVEY

STANLIB Asset Management Ltd www.stanlib.com

Company details FAIS FSP registration number: 26/10/719 Switchboard: +27 11 448 6000 General email: contact@stanlib.com Website: www.stanlib.com Address: 17 Melrose Boulevard, Melrose Arch, Johannesburg, 2196 PO Box 202, Melrose Arch, 2076 Compliance officer name: Njabulo Duma +27 11 448 5374

Investment philosophy STANLIB believes that there is no ‘one size fits all’ investment solution for clients. Diverse clients need diverse investment outcomes. They therefore look at investments through many lenses and from many angles - this gives them an in-depth understanding of an ever changing investment landscape. Their investment model thus houses multiple focused units with unique philosophies, which cater for diverse client needs. The STANLIB investment team consists of Franchises made up of specialist teams of investment professionals. They manage clients’ assets in their area of expertise, namely: fixed interest, listed property, equities, multi-asset allocation, multi-management and alternatives. These specialist investment teams deal with market changes with agility and speed, as they are supported by dedicated research, trade, implementation, risk management and compliance teams. Their Multi-Specialist Franchise Model truly reflects the complex investment world they operate in and echoes their desire to deliver tailored solutions for diverse clients; the result of which is a broad investment offering designed to deliver their investment promise to clients.

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They strongly believe it is possible to add value both through superior research and a superior investment process. For this reason, STANLIB currently employs 95 investment professionals.

FAIS requirements Who is your FAIS complaints officer? Njabulo Duma Please provide the link to the complaints policy on your website: http://www.stanlib.com/Contactus/Pages/ FurtherQueries.aspx

Ownership What is the ownership structure of the company? STANLIB Asset Management (STANLIB) is wholly owned by Liberty Life, which in turn is 54% owned by the Standard Bank Group. Who are the directors of the company? D Msibi, D Munro, JH Sutcliffe, A P Cunningham and MW Hlahla Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Not in the form of share ownership as STANLIB is wholly owned by Liberty. Instead, STANLIB offers incentives in the form of deferred investment units. This deferred scheme is applied to all investment professionals and senior management, and is akin to ownership as investment professionals have a direct interest in the success of their Franchise(s), funds, clients and the overall Firm.

History When was the company established? STANLIB was formed in May 2002 following the merger of the Liberty Asset Management (LIBAM) and Standard Corporate and Merchant Bank Asset Management (SCMB). Liberty Asset Management was formed in 1969 and SCMB Asset Management in 1974. List of mergers that have taken place since being established: In a move to expand the firm’s capability across the full spectrum of credit financial instruments and infrastructure assets, STANLIB acquired Mezzanine Partners from Brait, Old Mutual Investment Group and the executive investment team in 2011. In 2016, STANLIB subsequently sold its entire shareholding to Ethos Private Equity Proprietary Limited.

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? AAA - Level 2 contributor By whom have you been accredited? EMPOWERDEX Date of accreditation: 2018-05-23

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STANLIB Asset Management Ltd Continued

GIPS Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? PricewaterhouseCoopers Date of verification: 31/12/2016 Expiry date of verification: No expiry date.

Investment mandates What are your total assets under management? R609 billion (Includes Africa) Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R329 billion Retail: R229 billion Africa: R49 billion Other: N/A

Key investment personnel Size of Investment Team: 70 Herman Van Velze Head of Equity Franchise BEng, MBL 25 years’ industry experience 21 years with firm Robin Eager Head of Multi-Asset Franchise B.Sc (Engineering), Accounts Conversion (UCT) 20 years’ industry experience 11 years with firm Henk Viljoen Co-Head of Fixed Interest Franchise M.Com (Econ) (cum laude) 34 years’ industry experience 28 years with firm

Victor Mphaphuli Co-Head of Fixed Interest Franchise B Com (Hons) (Econometrics) 21 years industry experience 17 years with firm Ansie van Rensburg Head of Money Market BCom (Hons) (Economics) 37 years’ industry experience 27 years with firm Marius Oberholzer Head of Absolute Return Franchise BCom (Economics and Commercial Law), MSc (Global Finance) 19 years’ industry experience 55 years with firm Keillen Ndlovu Head of Listed Property Franchise BCom (Hons), CAIB (SA), Property Development Programme 13 years’ industry experience 13 years with firm Brian Kipps MD: Quantitative Investment Strategies BBusSci, FIA, FASSA, CFA, AMP(MIT) 20 years’ industry experience 2 years with firm Johan Marnewick Head of Credit Investment Team BCom (Law), LLB, BCom (Accounting), PGDA, CA (SA), HDIP (Tax) 15 years’ industry experience 1 year with firm Patrick Mamathuba Head of Direct Property Franchise B.Com (Hons), CFA 26 years’ industry experience 19 years with firm

Amelia Beattie Chief Executive Officer – Liberty Two Degrees BCom (Financial Accounting and Transport Economics) 19 years’ industry experience 6 years with firm Joao Frasco Chief Investment Officer-STANLIB Multi Manager Franchise BSc (Actuarial Science and Mathematics Statistics), MBA (Investments), CFA, CIPM, FASSA, FIA, CAIA 16 years’ industry experience 7 years with firm Alphonso Raats Head of Equity and Derivative Dealing BAcc, BCom (Hons), MCom (Cum Laude) 19 years’ industry experience 18 years with firm Mark Lovett Head of Investments Securities Industry Qualification in Investment Analysis and Fund Management 30 years’ industry experience 5 months with the firm. Giles Heeger Executive: Asset Management BBusSc (Hons), PGDA, MSc 20 years’ industry experience 1 year with firm Kevin Lings Chief Economist B.Com (Hons) Economics 29 years’ industry experience 17 years with firm

Greg Babaya Head of Infrastructure Investments B.Com, B.Com (Hons) Accounting, MBA 22 years’ industry experience 6 years with firm

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MANAGER WATCH™ SURVEY

STANLIB Multi-Manager (Pty) Ltd www.stanlibmultimanager.com

Company details FAIS FSP registration number: 763 Switchboard: +27 11 448 6000 Fax number: +27 11 448 6671 General email: SMMOperations@stanlib.com / SMMBusinessDevelopment@stanlib.com Website: www.stanlibmultimanager.com Address: 17 Melrose Boulevard, Melrose Arch, Johannesburg, 2196 PO Box 202, Melrose Arch, 2076 Compliance officer name: Njabulo Duma +27 11 448 5374

Investment philosophy ■■ We begin with a focused and uncompromising commitment to exploiting the highest quality data, systems, processes and people, since these are the controllable factors in an otherwise uncertain investment environment ■■ We recognise that asset managers with skill may exist within certain markets or specific market segments/ asset classes i.e. they have the ability to deliver returns in excess of their benchmarks or passive alternatives ■■ We identify these managers through a rigorous and integrated approach of quantitative and qualitative manager research ■■ Using advanced modeling and statistical techniques, we combine these managers with passive alternatives where appropriate, to produce superior net investment returns, with a greater consistency than single mandates, through the diversification of idiosyncratic manager risks ■■ Strategic (long-term) and tactical (short-term) asset allocation ensures that portfolios are appropriately designed and maintained to maximise the probability of meeting investment objectives 254

■■ Our systematic and on-going portfolio management process includes inputs from manager and market research, asset allocation and portfolio construction. This value add ensures portfolios are efficiently managed and positioned ■■ Portfolio risk is managed at each and every step of the process to ensure that portfolios are designed, constructed and maintained so as to maximise the chances of achieving the investment objectives within any specified constraints Core values: ■■ Focus on highest quality inputs ■■ Do not begin with investment ideologies ■■ Apply curiosity throughout ■■ Deliberately insist on diversity in thinking ■■ Value collective wisdom ■■ Individual measurement and accountability ■■ Consider all sources of risk and return ■■ Continuous monitoring and evaluation ■■ Efficient and effective communication

FAIS requirements Who is your FAIS complaints officer? Barbra Eagan Please provide the link to the complaints policy on your website: http://www.stanlib.com/Contactus/Pages/ FurtherQueries.aspx

Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Not in the form of share ownership as STANLIB is wholly owned by Liberty. Instead, STANLIB offers incentives in the form of deferred investment units. This deferred scheme is applied to all investment professionals and senior management, and is akin to ownership as investment professionals have a direct interest in the success of their franchise(s), funds, clients and the overall firm.

History When was the company established? STANLIB Multi-Manager was founded in 1999. List of mergers that have taken place since being established: N/A

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? AAA – Level 2 Contributor By whom have you been accredited? EMPOWERDEX Date of accreditation: 2018-05-23

Ownership

GIPS

What is the ownership structure of the company? STANLIB Asset Management (STANLIB) is wholly owned by Liberty Life, which in turn is 54% owned by the Standard Bank Group. Who are the directors of the company? The Chairman: David Munro (CEO: Liberty) Chief Executive Officer: Derrick Msibi Non-Executive Director: Anthony Cunningham*, Monhla Hlahla, James Sutcliffe* and Howard Walker * British

Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? PricewaterhouseCoopers Date of verification: 01 January 2016 Expiry date of verification: 31 December 2016

SECTION 6

STANLIB Multi-Manager (Pty) Ltd Continued

Investment mandates What are your total assets under management? R74 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R74 billion Retail: N/A Africa: N/A Other: N/A

Lubabalo Kenyane Portfolio Manager BBA, CIPM, Passed CFA Level II 12 years’ industry experience 3 years with firm Richo Venter Portfolio Manager Bcom(Hons) (Cum Laude), CFAI 13 years’ industry experience 11 year with firm

Size of Investment Team: 14

Chris Roelofse Head of Alternative Assets BCom(Hons), CFA, CFP,MBA 13 years’ industry experience 2 years with firm

Joao Frasco Chief Investment Officer BSc, MBA, CFA, CIPM, FASSA, FIA, CAIA 18 years’ industry experience 7 years with firm

Renate Potgieter Portfolio Manager BSc(Hons), CFA 13 years’ industry experience 6 years with firm

Malcolm Holmes Head of Portfolio Management (Institutional) BCom (Hons), CFA 23 years’ industry experience 16 years with firm

Vuyo Mkhathazo Portfolio Manager Bcom(Hons) CA(SA), Passed CFA Level I 7 years’ industry experience 1 year with firm

Key investment personnel

Jennifer Henry Head of Portfolio Management (Retail) BCom(Hons) CFA, FRM 12 years’ industry experience 4 years with firm Kent Grobbelaar Head of Portfolio Management (Global) BCom(Hons), ICMQ, FAUT, IMC 19 years’ industry experience 16 years with firm

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MANAGER WATCHâ&#x201E;˘ SURVEY

Taquanta Asset Managers (Pty) Ltd www.taquanta.co.za

Company details

Ownership

GIPS

FAIS FSP registration number: 618 Switchboard: +27 21 681 5100 Fax number: +27 21 681 5199 General email: crm@taquanta.co.za Website: www.taquanta.co.za Address: 7th Floor, Newlands Terraces, 8 Boundary Road, Newlands, 7700 PO Box 23540, Claremont, South Africa, 7735 Compliance officer name: Timothy Howse +27 21 671 8162

What is the ownership structure of the company? 100% Private Who are the directors of the company? Directors: Dr TV Maphai, J Kretzschmar (CEO), SPC Rogers (Managing Director), S Matsebula (Chairperson), N Mqikela Company Secretary: Humeira Kazi Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: 42.92%

Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? eComply Consultants (Pty) Ltd Date of verification: 2018-10-31 Expiry date of verification: Not applicable

Investment philosophy Taquantaâ&#x20AC;&#x2122;s investment philosophy is guided by the premise that investors are in general too easily swayed by shortterm sentiment and that a rules based, systematic approach guided by a sound investor hypothesis will outperform in the long term. Taquanta view themselves as being style agnostic, focusing on delivering tailor-made solutions across all asset classes focused on investor preferences and or constraints. Taquanta fundamentally believes that a product or portfolio is born only where their process meets an investors preference.

FAIS requirements Who is your FAIS complaints officer? Timothy Howse Please provide the link to the complaints policy on your website: timh@taquanta.com

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History When was the company established? 1999 List of mergers that have taken place since being established: N/A

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level Two By whom have you been accredited? AQRate Verification Services Date of accreditation: 2018-11-01

Investment mandates What are your total assets under management? R151.5 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R151.5 billion Retail: N/A Life: N/A Other: N/A

SECTION 6

Taquanta Asset Managers (Pty) Ltd Continued

Key investment personnel Size of Investment Team: 11 Ray Wallace Chief Investment Officer BCompt (Hons), CFA 24 years’ industry experience 23 years with firm Stephen Rogers Managing Director FCIS 35 years’ industry experience 33 years with firm Thembumenzi (Menzi) Lukhele Head of Business Development BA: Economics & International Relations 10 years’ industry experience 3 years with firm Charles Allderman Head of Fixed Income BCom, CFA 23 years’ industry experience 22 years with firm Sharika Salie Senior Portfolio Manager B.Com (Hons) 13 years’ industry experience 11 years with firm

Faith Muramba Portfolio Manager BSC (Hons), CFA 9 years’ industry experience 8 years with firm Clyde Gangerdine Portfolio Manager BCom (Finance) 11 years’ industry experience 7 years with firm Liezel Louw Portfolio Manager (under supervision) B.Com( Hons) Financial Management, CFA 15 years’ industry experience 8 years with firm Chané Hendricks Trainee Analyst (under supervision) BBA (Bachelors of Business Administration) 3 years’ industry experience 3 years with firm Neo Mokhesi Trainee Analyst (under supervision) BSc Honours Biochemistry, MSc in Medicine 2 years’ industry experience 1 year with firm

Marshall Brown Senior Portfolio Manager Bcom (Law & Business Economics) Adv Dip Banking 25 years’ industry experience 6 years with firm

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MANAGER WATCH™ SURVEY

Terebinth Capital (Pty) Ltd www.terebinthcapital.com

Company details FAIS FSP registration number: 47909 Switchboard: +27 21 943 4820 / 4823 / 4819 +27 21 943 4824 / 4821 General email: team@terebinthcapital.com Website: www.terebinthcapital.com Address: 2nd Floor, Combined HQ Building 4 Bridal Close, Tyger Falls Tyger Valley, 7530 Compliance officer name: eComply Consultants (Pty) Ltd +27 21 671 8162

Investment philosophy The investment process (and thus strategy across funds) focuses on macro-economic principles. Macroeconomics is the study of the economic system as a whole – total production, total consumption, total savings and total investment. The study of macroeconomics is indispensable as it is the main agent for formulation and successful execution of government economic policies, it is also indispensable for the formulation of microeconomic models. The key drivers of an economy broadly covers national output (measured by GDP), unemployment and inflation. Fixed income markets are almost solely driven over time by these broad economic factors. Studying the behaviour of all these units combined provides the most sustainable picture of any fixed income market. Applied in trading the manager implements strategies spread across various timelines, broadly characterized as: ■■ Tactical/Technical (mostly eventdriven – such as over key data releases and monetary/fiscal statements); ■■ Structural trading (focusing mostly on technical issues related to intramarket issues – such as switch auctions etc – and their impact on the broader economy);

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■■ Strategic trading (normally the longest timeline applied – such as trading upside/downside views on GDP/inflation over cycles relative to consensus).”

FAIS requirements Who is your FAIS complaints officer? Nicole Le Riche (internal) Tim and Nick Howse (eComply Consultants (Pty) Ltd) Please provide the link to the complaints policy on your website: Our complaints policy is available on request.

Ownership What is the ownership structure of the company? 51% – Nomathibana Matshoba 32% – Erik Nel 17% – Nicole Le Riche Who are the directors of the company? Nomathibana Matshoba, Erik Nel, Bonolo Zwane Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes. 100%

History When was the company established? 2013 List of mergers that have taken place since being established: N/A

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 By whom have you been accredited? Signa Advisors (Pty) Ltd Date of accreditation: 2018-08-16

GIPS Are you GIPS compliant? Yes Are you GIPS verified? N/A By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R3.07 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R3.01 billion Retail: R63.66 million Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 4 Erik Nel Chief Investment Officer Deutsche Bank/African Harvest Limuvune Investment Banking Course, ICMQ 18 years’ industry experience 5 years with firm Nomathibana Matshoba Head of Research CFA 8 years’ industry experience 1.5 years with firm Raymond Sithole Fixed Income Analyst BSc (Finance Honours) 15 years’ industry experience 4 months with firm

SECTION 6

TriAlpha Investment Management (Pty) Ltd www.trialpha.co.za

Company details FAIS FSP registration number: 28090 Switchboard: +27 (0)21 943 4800 Fax number: +27 (0)21 914 2566 General email: info@trialpha.co.za Website: http://www.trialpha.co.za Address: 2nd Floor, Combined HQ Building 4 Bridal Close, Tyger Falls Tygervalley, 7530 Postnet Suite 225, Private Bag X22 Tygervalley, 7536 Compliance officer name: Timothy Howse +27 21 671 8162

Investment philosophy TriAlpha is trusted by large, sophisticated institutional investors to build innovative products that meet their expectations of incremental alpha generation, with an intense focus on downside risk protection. The predominant focus is the management of enhanced Cash and Fixed Income long-only and hedge fund institutional investment mandates using a portable alpha approach. Their portable alpha approach combines different investment styles to achieve consistency throughout the Fixed Income market cycle. By Fixed Income they mean conventional bonds, inflationlinked bonds, convertible bonds, notes, fixed rate agreements, loans, deposits, money market instruments and at the margin preference shares and property. Portable alpha, also known as “alpha transport”, refers to the ability of a portfolio manager to extract the alpha generated within any investment portfolio from the beta, and to then apply this outperformance to any other asset class the manager chooses, which ultimately eliminates the market risk of the manager’s portfolio.

So the sweet spot for the firm on the relative / absolute return continuum is the cross-section where the return objective leans towards actively exploiting investment opportunity through skills sets, and the risk objective is not to take more than market risk when replicating or beating a benchmark.

FAIS requirements Who is your FAIS complaints officer? Mr Theron van Wyk Please provide the link to the complaints policy on your website: http://www.trialpha.co.za/complaints

Ownership What is the ownership structure of the company? StonehageFleming Group: 52.0%, Black Empowerment Partners: 21.5%, Management and Staff = 26.5% Who are the directors of the company? W T van Wyk, E Oblowitz, A H Sternberg, RCJ Shanglee, Dr M Phosa Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes. 26.5%

History When was the company established? 2006 List of mergers that have taken place since being established: None

GIPS Are you GIPS compliant? Yes Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Investment mandates What are your total assets under management? R16 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R16 billion Retail: N/A Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 10 (SA & UK based) Theron van Wyk Chief Investment Officer B Com (Hons), FFA 20 years’ industry experience 11 years with firm Emile Visser Head of Fixed Income BSc (Hons), CAIA, FRM, CFA 11 years’ industry experience 11 years with firm

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 3 By whom have you been accredited? Acker & Maloney Inc. Date of accreditation: 2016-09-09 259

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Truffle Asset Management (Pty) Ltd www.truffle.co.za

Company details FAIS FSP registration number: 36584 Switchboard: +27 11 325 0030 Fax number: +27 11 325 0331 General email: info@truffle.co.za Website: www.truffle.co.za Address: Ground Floor, Lancaster gate building, Hyde Lane Business Park, Hyde Lane Hyde Park, Sandton 2196 P.O. Box 535, Pinegowrie, 2123 Compliance officer name: Independent Compliance Services (ICS). +27 21 975 6597

Investment philosophy We believe in calculating the intrinsic value of companies based on their normalised fundamentals over the longer term. Our decisions are based on our investment fundamentals over a three to five-year period and we understand that decisions implemented today could only bear fruit over several years.

Braam van Heerden – 7.24% Theuns Lategan – 3.66% Craig Sampson – 2.00% Saul Miller – 1.13% Sophie Marie van Garderen – 1.13% Treasury Stock – 6.46% Who are the directors of the company? Directors: Louis van der Merwe, Hannes van der Westhuyzen, Charles Booth, Jonathan du Toit, Iain Power Non-executive: Alida van Rooyen and Andre Rousseau Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Yes, staff and management own 65% of the interest.

History When was the company established? Apr-08 List of mergers that have taken place since being established: N/A

B-BBEE credentials

We believe in a philosophy of valuing the long-term normalised business fundamentals of each company. The philosophy was borne out of many years investment experience.

Are you B-BBEE accredited? No What is your B-BBEE status? N/A By whom have you been accredited? N/A Date of accreditation: N/A

FAIS requirements

GIPS

Who is your FAIS complaints officer? Craig Sampson Please provide the link to the complaints policy on your website: N/A

Are you GIPS compliant? No Are you GIPS verified? N/A By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

Ownership What is the ownership structure of the company? RMI Investment Managers – 25% Louis van der Merwe – 13.16% Hannes van der Westhuyzen – 11.71% Iain Power – 9.82% Jonathan du Toit – 9.82% Charles Booth – 8.87% 260

Investment mandates What are your total assets under management? R20.5 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R20.1 billion Retail: R0.4 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 10 Iain Power Chief Investment Officer B Com (Hons) 26 years’ industry experience 8 years with firm Hannes van der Westhuyzen Head of Fixed Income CA(SA) 29 years’ industry experience 10 years with firm Jonathan du Toit Portfolio Manager CA(SA), CFA 12 years’ industry experience 8 years with firm Saul Miller Portfolio Manager M Bus Sci, FFA 20 years’ industry experience 4 years with firm Sophié-Marié van Garderen Portfolio Manager M Com, CFA 26 years’ industry experience 2 years with firm Nicole Agar Portfolio Manager CA(SA) 20 years’ industry experience 3 years with firm

SECTION 6

Visio Capital Management (Pty) Ltd www.visiocapital.co.za

Company details FAIS FSP registration number: 871 Switchboard: +27 11 245 8900 Fax number: +27 11 245 8915 General email: info@visiocapital.co.za Website: www.visiocapital.co.za Address: The Place, 1 Sandton Drive Ground Floor, South Wing Sandton, 2196 Compliance officer name: Karen Goldstone-Hoffman 011 245 8928 or 082 677 3999

financial models on the majority of the listed companies in their investment universe. They update, enhance and tweak those models regularly as they represent the primary tools in our decision making process. The investment universe spans across industries, market capitalizations and through the use of a number of different investment instruments. Those include not just listed shares, but also listed commodity ETF’s, listed corporate debt issues, index futures and listed options. Portfolio ‘churn’ is low. Significant shareholdings may be accumulated in individual companies or material exposures achieved in certain sectors from time to time.

Investment philosophy

FAIS requirements

Their investment process is firmly rooted in fundamental analysis. Their approach is predominantly bottom up and sector or theme specific. Every company is different and is influenced by its own particular factors, hence the need for in-depth research and analysis, regular management contact, site visits, broker and company presentations, etc. They spend a considerable amount of time ‘on the road’ towards achieving this end. Additional attention is devoted to companies that are either underresearched, not covered by sell side analysts or otherwise those businesses considered out of favor from time to time by the investment fraternity. There is limited use of technical analysis in the formulation of their strategies

Who is your FAIS complaints officer? Ulrike Engling Please provide the link to the complaints policy on your website: The complaints policy is available on request and not published on our website

Their research is not limited to only listed companies. They continuously expand our knowledge and contacts base with many unlisted companies, who are either trading partners or competitors with their listed counterparts. Their strength lies in their ability to integrate the information which we continuously gather in order to formulate medium to long term investment ideas for the funds. They maintain their own

Ownership What is the ownership structure of the company? Current ownership structure of Visio Capital Management (Pty) Ltd is 100% owned by Patrice Michael Moyal will change. Effective 1 October 2018, Visio Fund Managers (Pty) Ltd will be structured as follows; Royal Investment Managers (RIM) 30% shareholding and Visio Team (70% includes Visio Capital Management) with 5% to be allocated to future staff. Who are the directors of the company? Currently Patrice Moyal & Paul Sundelson. However, effective 1 October, once all suspensive conditions have been met, there may be additions or changes.

Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: Previously, the company was owned 100% by Patrice Moyal but effective 1 October 2018, Visio staff and management will own 70% with 5% to be allocated to future staff.

History When was the company established? 2003 List of mergers that have taken place since being established: There have been no mergers since the company was established

B-BBEE credentials Are you B-BBEE accredited? Yes What is your B-BBEE status? Visio Fund Management is Level 6 rated (will rise after the transaction with RIM) By whom have you been accredited? Premier Verification (Pty) Ltd Date of accreditation: 2017-11-30

GIPS Are you GIPS compliant? No Are you GIPS verified? No By whom have you been verified? N/A Date of verification: N/A Expiry date of verification: N/A

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Visio Capital Management (Pty) Ltd Continued

Investment mandates What are your total assets under management? R49 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R43.5 billion Retail: R0.5 billion Life: R5 billion Other: N/A

Key investment personnel Size of Investment Team: 12 Patrice Moyal Chief Investment Officer / Head of Research / Head of Equities Chartered Accountant 22 years’ industry experience 15 years with firm Paul Sundelson Director / Fund Manager Bcom, CFA Charter Holder 21 years’ industry experience 15 years with firm Kerris Foster Fund Manager/Analyst BSc Chemical Engineering 18 years’ industry experience 13 years with firm Douglas Wallace Fund Manager/ Analyst CA (SA), CFA Charter Holder, ACA 22 years’ industry experience 12 years with firm Ofri Kahlon Fund Manager/Analyst Master of Mathematics, Operational Research, Statistics & Economics 12 years’ industry experience 12 years with firm

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Ronald Chabvonga Fund Manager/Analyst CA (Z), CA(SA) 15 years’ industry experience 10 years with firm Phihlelo Matjekane Fund Manager / Analyst B Com, CFA Charter Holder 15 years’ industry experience 8 years with firm Mark Wadley Fund Manager / Analyst MBBCH Medicine & Surgery, MBA 10 years’ industry experience 5 years with firm Tassin Meyer Fund Manager / Analyst / IR BBusSci (Hons) 15 years’ industry experience 5 years with firm Kathryn Robinson Fund Manager / Analyst Bcom (Hons), CFA 10 years’ industry experience 4 years with firm Sindiso Mujaji Fund Manager / Analyst BBusSci (Hons), CFA 11 years’ industry experience 4 years with firm Pumla Molope Fund Manager / Analyst / IR CA(SA) 8 years’ industry experience 2 years with firm

SECTION 6

Vunani Fund Managers (Pty) Ltd www.vunanifm.co.za

Company details FAIS FSP registration number: 608 Switchboard: +27 21 670 4900 Fax number: +27 21 683 5788 General email: info@vunanifm.co.za Website: www.vunanifm.co.za Address: 6th Floor, Letterstedt House, Newlands on Main, Newlands, 7700 PO Box 44586, Claremont, 7735 Compliance officer name: Carmen Peskin +27 21 670 4980

Investment philosophy Vunani Fund Managers (VFM) has a strong investment capability in the areas of absolute return (CPI + range), enhanced income, vanilla bond, ILB, core domestic equity, specialist equity, global equity capability, as well as property funds. Their investment philosophy is based on the use of inference as opposed to forecasting and the minimisation of drawdown risk across all product groups. To this end the following principles guide their investment process and philosophy ■■ Risk control. Their objective in each of their product groups is to deliver performance that exceeds benchmark but with less-than-commensurate risk. ■■ Emphasis on consistency. They value consistency in everything they do. This includes delivering alpha as consistently as they are able to. ■■ Market efficiency. Unlike most market participants that believe that they possess some skill or are able to find inefficiencies in the market. Whilst this is possible in some cases Vunani Fund Managers don’t believe it to be the primary source of long term alpha generation. ■■ Specialization. They believe that specialization offers the surest path to the achievement of results. In a world of increasing complexity they focus each product area on “just one thing”.

■■ Macro-environment. Using inference as opposed to forecasting they extract the key values discounted by the market at any point in time and debate these. Their analysis shows that aggregate return expectations differ for both asset classes and companies in each of the three regimes identified within the macro-economic environment. ■■ Market timing. Whilst they do not seek to time the market or believe that its time in the market that counts, they focus their market timing decisions in the context of the potential for drawdown risk as defined by their composite macro indicator.

History

FAIS requirements

Are you B-BBEE accredited? Yes What is your B-BBEE status? Level 2 QSE By whom have you been accredited? Sworn Affidavit Date of accreditation: 2018-07-06

Who is your FAIS complaints officer? Carmen Peskin Please provide the link to the complaints policy on your website: http://www.vunanifm.co.za/Uploads/ Documents/News/0_Vunani%20 Fund%20Managers%20FAIS%20 Disclosure%202017.pdf

Ownership What is the ownership structure of the company? Vunani Capital = 89%; Lexshell 630 Investments (Pty) Ltd = 11% Who are the directors of the company? Executive Directors: Butana Khoza, Letshego Rankin Non-Executive Directors: Nathi Chonco (Chairman), Manana Nhlanhla Do staff and management have an interest in ownership? Please provide the percentage held by staff and management: A decision has been reached to allocate 30% of the equity in the business to staff.

When was the company established? 1999 List of mergers that have taken place since being established: None. In June 2010 long-term empowerment partner, the Vunani Group, increased its stake from 11% to a majority 51% shareholding, whilst the controlling company at the time, Peregrine Holdings, retained a meaningful 49% interest. On 15 August 2011 Vunani Fund Managers became 100% owned by Vunani Capital.

B-BBEE credentials

GIPS Are you GIPS compliant? Yes Are you GIPS verified? Yes By whom have you been verified? Deloitte & Touche Date of verification: 2017-02-01 Expiry date of verification: 2017-12-01

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Vunani Fund Managers (Pty) Ltd Continued

Investment mandates What are your total assets under management? R24.8 billion Please detail the mandates you currently manage and the size of each of these mandates: Institutional: R20.8 billion Retail: R3.9 billion Life: N/A Other: N/A

Key investment personnel Size of Investment Team: 13 Tony Bell Chief Investment Officer B Com (Hons), MBA 31 years industry experience 18 years with firm Rowan Williams-Short Head: Fixed Interest MSc, FIFM, CFA, CIPM 29 years industry experience 10 years with firm Safs Narker Head: Equities CA (SA), CFA 10 years industry experience 5 years with firm Craig MacArthur Head: Passive BSc (Hons), CFA 25 years industry experience 18 years with firm Johan de Kock Portfolio Manager: Equity B Com (Hons), MBA 28 years industry experience 5 years with firm

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Nino Frodema Portfolio Manager: Equity MSc, CAIA 10 years industry experience 3 years with firm Ntobeko Stampu Senior Portfolio Manager BCom (Hons), BSc, CAIA, CQF 17 years industry experience 5 months with firm Ntsekhe Moiloa Portfolio Manager: Absolute Return MA (Econ), LLM (Fin.), CAIA 14 years industry experience 1 year with firm Morotola Pholohane Portfolio Manager: Absolute Return BCom (Hons), BSc, CAIA, MBA 14 years industry experience 1 year with firm Tshidiso Maduwa Junior Credit Analyst: Fixed Interest CA (SA) 3 years industry experience 7 months with firm Nompumelelo Qwabe Graduate Trainee Analyst: Equity BCom (Hons) 1 year industry experience 2 years with firm Gershwin Long Product Manager BCom (Hons), MPhil 12 years industry experience 5 months with firm Siv Govender Head: Dealer RPE 23 years industry experience 3 years with firm

Helping over a million members retire more comfortably Through research and analysis of our Member WatchTM data we empower our clients to secure the financial well-being of their employees. Member Watch uses data from all the retirement funds we administer, making it the most extensive membership and employer data sample of retirement fund surveys in South Africa. The numbers speak for themselves and now you can harness the power of this data.

If you donâ&#x20AC;&#x2122;t yet have your fund with us, contact us today. www.alexanderforbes.co.za

Alexander Forbes Financial Services (Pty) Ltd is a licensed financial services provider (FSP 1177 and registration number 1969/018487/07).

MANAGER WATCHâ&#x201E;˘ SURVEY

Allan Gray Proprietary Limited Grant Pitt / Vuyo Nogantshi Tel: +27 21 415 2300 Email: institutional@allangray.co.za www.allangray.co.za

Aluwani Capital Partners (Pty) Ltd Lonwabo Dambuza Tel: +27 21 204 3813 Cell: +27 82 331 5009 Email: lonwabo.dambuza@aluwanicapital.co.za www.aluwanicapital.co.za

Argon Asset Management (Pty) Ltd Luyanda Joxo, CFA Tel: +27 21 670 6576 Mobile: +27 84 701 1271 www.argonassetmanagement.co.za An African investment firm with global standards

Ashburton Investments Gordon Wessels / Rudigor Kleyn Tel: +27 11 282 8800 (reception) Email: institutional@ashburtoninvestments.co.za www.ashburtoninvestments.com Access to fixed income and private markets for diversified sources of return.

Coronation Fund Managers www.coronation.com

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Fairtree Asset Management (Pty) Ltd Francis Wheeler Tel: 0861 760 760 Email: clientservices@fairtree.com www.fairtree.com

Foord Asset Management Siphesihle Nzuza Tel: +27 21 532 6978 Email: sihle.nzuza@foord.co.za www.foord.co.za

Investec Asset Management Natalie Phillips Tel: +27 21 416 1700 Fax: +27 21 416 2700 Email: natalie.phillips@investecmail.com www.investecassetmanagement.com Investing for a better tomorrow

Mergence Investment Managers (Pty) Ltd RonĂŠl Bantjes Tel: +27 21 433 2960 Email: ronel@mergence.co.za www.mergence.co.za Pragmatic investing

Mianzo Asset Management (Pty) Ltd Luvo Tyandela | Mark Lamohr Thembeka Sobekwa | Mohamed Shafee Loonat Tel: +27 21 552 3555 Email: info@mianzo.co.za www.mianzo.co.za Certainty in uncertain times

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Northstar Asset Management (Pty) Ltd Peter Steele Tel: +27 21 810 8400 Email: psteele@northstar.co.za www.northstar.co.za Quality at a Reasonable Price

Oasis Asset Management Limited Adam Ebrahim Tel: +27 21 413 7860 Fax: +27 21 413 7900 Email: clients@za.oasiscrescent.com www.oasiscrescent.com Superior returns at lower than market risk

Old Mutual Multi-Managers Trevor Pascoe Tel: +27 (0)21 524 4815 Email: tpascoe@ommm.co.za www.ommultimanagers.co.za

Prudential Institutional Team Tel: 0860 105 775 Email: icm@prudential.co.za CONSISTENCY IS THE ONLY CURRENCY THAT MATTERS.™

PSG Asset Management (Pty) Ltd Anet Ahern Tel: +27 21 799 8000 www.psg.co.za/asset-management Bigger picture thinkers

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Rezco Asset Management Brian du Plessis | Head of Client Relationships Tel: +27 76 992 0237 Email: brian@rezco.co.za

Sasfin Asset Managers Martin Hyde | Head: Distribution Tel: +27 (11) 8097779 Email: Martin.Hyde@sasfin.com

Sentio Capital Management Traugott (TC) von Czettritz und Neuhaus Direct Tel: +27 11 880 6080 Switchboard: +27 11 880 1994

TriAlpha Investment Management (Pty) Ltd Russell Shanglee Tel: +27 21 809 1210 Fax: +27 21 882 8421 Email: russell.shanglee@trialpha.co.za www.trialpha.co.za

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Thank you The Annual Retirement Fund Survey 2018 is the product of the Survey team on behalf of Alexander Forbes. The team consists of Don Andrews, Thokozani Zwane and Joseline Munsami. Through extensive research within the industry and comprehensive quantitative analysis of asset manager data, the team produced a complete analysis of performance over 2018. The Survey team would like to thank the following people for their extensive contribution to this publication in service of the asset management industry of South Africa: Abdul Davids

Isaah Mhlanga

Rob Price

Janina Slawski

Samantha Schoeman

Dwayne Kloppers

Yuvern Dokie

Riccardo Fontanella

Nkgomo Bojosinyane Art Director

Kim Jonson Designer and DTP

Alexander Forbes Communications team: Lebogang Mokoana Project Manager

Sharmaine Chanee Production Manager

A special thank you to the asset management industry for supplying Alexander Forbes with the necessary data and information in order for this publication to be produced. Thank you!

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If you donâ&#x20AC;&#x2122;t yet have your fund with us, contact us today. www.alexanderforbes.co.za

Alexander Forbes Financial Services (Pty) Ltd is a licensed financial services provider (FSP 1177 and registration number 1969/018487/07).

MANAGER WATCHâ&#x201E;˘ SURVEY

Allan Gray Proprietary Limited Grant Pitt / Vuyo Nogantshi Tel: +27 21 415 2300 Email: institutional@allangray.co.za www.allangray.co.za

Aluwani Capital Partners (Pty) Ltd Lonwabo Dambuza Tel: +27 21 204 3813 Cell: +27 82 331 5009 Email: lonwabo.dambuza@aluwanicapital.co.za www.aluwanicapital.co.za

Argon Asset Management (Pty) Ltd Luyanda Joxo, CFA Tel: +27 21 670 6576 Mobile: +27 84 701 1271 www.argonassetmanagement.co.za An African investment firm with global standards

Coronation Fund Managers www.coronation.com

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Fairtree Asset Management (Pty) Ltd Francis Wheeler Tel: 0861 760 760 Email: clientservices@fairtree.com www.fairtree.com

Foord Asset Management Siphesihle Nzuza Tel: +27 21 532 6978 Email: sihle.nzuza@foord.co.za www.foord.co.za

Investec Asset Management Natalie Phillips Tel: +27 21 416 1700 Fax: +27 21 416 2700 Email: natalie.phillips@investecmail.com www.investecassetmanagement.com Investing for a better tomorrow

Mergence Investment Managers (Pty) Ltd RonĂŠl Bantjes Tel: +27 21 433 2960 Email: ronel@mergence.co.za www.mergence.co.za Pragmatic investing

Mianzo Asset Management (Pty) Ltd Luvo Tyandela | Mark Lamohr Thembeka Sobekwa | Mohamed Shafee Loonat Tel: +27 21 552 3555 Email: info@mianzo.co.za www.mianzo.co.za Certainty in uncertain times

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Northstar Asset Management (Pty) Ltd Peter Steele Tel: +27 21 810 8400 Email: psteele@northstar.co.za www.northstar.co.za Quality at a Reasonable Price

Oasis Asset Management Limited Adam Ebrahim Tel: +27 21 413 7860 Fax: +27 21 413 7900 Email: clients@za.oasiscrescent.com www.oasiscrescent.com Superior returns at lower than market risk

Old Mutual Multi-Managers Trevor Pascoe Tel: +27 (0)21 524 4815 Email: tpascoe@ommm.co.za www.ommultimanagers.co.za

Prudential Institutional Team Tel: 0860 105 775 Email: icm@prudential.co.za CONSISTENCY IS THE ONLY CURRENCY THAT MATTERS.™

PSG Asset Management (Pty) Ltd Anet Ahern Tel: +27 21 799 8000 www.psg.co.za/asset-management Bigger picture thinkers

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Rezco Asset Management Brian du Plessis | Head of Client Relationships Tel: +27 76 992 0237 Email: brian@rezco.co.za

Sasfin Asset Managers Martin Hyde | Head: Distribution Tel: +27 (11) 8097779 Email: Martin.Hyde@sasfin.com

Sentio Capital Management Traugott (TC) von Czettritz und Neuhaus Direct Tel: +27 11 880 6080 Switchboard: +27 11 880 1994

TriAlpha Investment Management (Pty) Ltd Russell Shanglee Tel: +27 21 809 1210 Fax: +27 21 882 8421 Email: russell.shanglee@trialpha.co.za www.trialpha.co.za

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Isaah Mhlanga

Rob Price

Janina Slawski

Samantha Schoeman

Dwayne Kloppers

Yuvern Dokie

Riccardo Fontanella

Nkgomo Bojosinyane Art Director

Kim Jonson Designer and DTP

Alexander Forbes Communications team: Lebogang Mokoana Project Manager

Sharmaine Chanee Production Manager

A special thank you to the asset management industry for supplying Alexander Forbes with the necessary data and information in order for this publication to be produced. Thank you!

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We take care of how you spend the rest of your life At Sentio Capital Management the highly motivated and skilled teams of investment managers understand investor requirements and that discipline and humility deliver exceptional performance and sustainable returns. Our track record and robust methodology delivers for the good of our clients, the environment and for humanity.

www.sentio-capital.com info@sentio-capital.com Tel: +27 11Â 880 1994, Illovo Edge, Building 3, 1st floor, 5 Harries Road, Illovo, Johannesburg, South Africa, 2196 Sentio Capital Management (Pty) Ltd is an authorized Financial Services Provider. FSP No.33843

ALEXANDER FORBES FINANCIAL SERVICES Alexander Forbes, 115 West Street, Sandton PO Box 787240, Sandton, 2146 Tel:+27 (0)11 269 0000 email: managerwatch@aforbes.com or munsamij@aforbes.com www.alexanderforbes.co.za

Alexander Forbes Financial Services is a licensed financial services provider (FSP 1177). The information in this document belongs to Alexander Forbes. You may not copy, distribute or modify any part of this document without the express written permission of Alexander Forbes. This information is not advice nor is it intended as a personal recommendation, guidance or a proposal on the suitability of any financial product or course of action as defined in the Financial Advisory and Intermediary Services (FAIS) Act. While care has been taken to present correct information, Alexander Forbes and its directors, officers and employees take no responsibility for any actions taken based on this information, all of which require advice. Note that past performance is not a reliable indicator of future investment returns. Please speak to your financial adviser for tailored advice based on your individual financial needs before you make financial decisions based on this information. Credits: Alexander Forbes Communications (production) | Getty Images (imagery). 16772-SUR-2018-02