Welcome to the September 2022 edition of FC Viewpoint.

IN THE NEWS:

• The JSE All Share Index declined from 69 719 on Friday 20 August 2022 to 66 209 on Thursday 22 September 2022.
•  1 US Dollar will cost you R17.74; 1 Pound = R19.97 and 1 Euro = R17.46.
•  Annual consumer price Inflation is at 7.8%.
• The prime lending rate in SA is 9% per annum. This will probably increase by 0.5 to 0.75% today.
• The price of Oil is $90 per barrel.

SLIDE OF THE MONTH: THE JSE in 2021 compared to the JSE YTD in 2022

We continue, with our fund focus, and this month we look at the Allan Gray Balanced Fund.

The Fund invests in a mix of shares, bonds, property, commodities and cash.
The Fund can invest a maximum of 45% offshore. The maximum net equity exposure of the Fund is 75%

About the Fund

• The goal of the Allan Gray Balanced Fund is to create steady, long-term wealth for investors by balancing income generation, capital growth and risk of loss using a mixed selection of assets. We aim to beat the average performance of similar unit trusts without taking any more risk.

• The Fund’s benchmark is the market value-weighted average return of funds in the South African – Multi-Asset – High Equity category (excluding Allan Gray funds).

• The fund seeks to buy shares at a discount to their intrinsic value. We thoroughly research companies to assess their intrinsic value from a long-term perspective. This long-term perspective enables us to buy shares that are shunned by the stock market because of their unexciting or poor short-term prospects, but which are relatively attractively priced if one looks to the long term. If the stock market offers few attractive shares we may increase the Fund’s weighting to alternative assets such as bonds, property, commodities and cash, or we may partially hedge the Fund’s stock market exposure. By varying the Fund’s exposure to these different asset classes over time, we seek to enhance the Fund’s long-term returns and manage its risk. The Fund’s bond and money market investments are actively managed.

Performance

Top equity holdings (%)

TO CONCLUDE

Let us help you to build a financial plan and achieve your financial goals. The best time to start saving, plan your financial affairs and building wealth is now.

QUOTE OF THE MONTH

“I believe that through knowledge and discipline, financial peace is possible for all of us.” – Dave Ramsey

Wealth regards,

Fanie Jansen Van Vuuren CA (SA), CFP®

Director: FC Wealth and Investments (Pty) Ltd

E: fanie@fcfin.co.za  |  T: 083 384 5868

W: www.fcfin.co.za