We believe in the value of sound advice and so recommend that you consult a financial planner before buying or selling unit trusts. You may however, buy and sell without the help of a financial planner. If you do use a financial planner, we remind you that they are entitled to certain negotiable planner fees.
You should ideally see unit trusts as a medium to long term investment. The fluctuations of particular investment strategies affect how a fund performs.
Your fund value may go up or down. Therefore, we cannot guarantee the investment capital or return of your investment. How a fund has performed in the past does not necessarily indicate how it will perform in the future.
Our cut-off time for client instructions (e.g. buying and selling) is at 15:00 each working day for all our funds, except for our money market funds, where the cut-off is at 12:30. The valuation time is set at 15:00 each working day for all our funds, excluding our money market funds which is at 13:00, to determine the daily ruling price (other than at month-end when we value the Old Mutual Index Funds and Old Mutual Multi-Managers Fund of Funds range at 17:00 close). Daily prices are available on our public website and in the media.
The daily ruling price is based on the current market value of the fund’s assets plus income minus expenses (NAV of the portfolio) divided by the number of units in issue.
The fund fees and costs that we charge for managing your investment is accessible on the relevant fund’s minimum disclosure document (MDD) or Table of fees and charges, both available on our public website, or from our contact centre (0860 234 234).
Additional information on this proposed investment can be obtained, free of charge, from our public website or our contact centre.
Funds may borrow to pay client disinvestments and may engage in scrip lending. A process of ring-fencing of withdrawal instructions and managed pay-outs over time may be followed should excessive withdrawals from a fund place the fund under liquidity pressures.
Old Mutual Unit Trust Managers (RF) (Pty) Ltd has the right to close a portfolio to new investors in order to manage it more efficiently in accordance with its mandate.
Old Mutual Unit Trust Managers (RF) (Pty) Ltd is a registered manager in terms of the Collective Investment Schemes Control Act 45 of 2002.
Old Mutual is a member of the Association for Savings & Investment South Africa (ASISA).
Money Market Funds:
A Money Market Fund is not a bank deposit account. Its unit price aims to be constant but investment capital is not guaranteed. The total return is primarily made up of interest (declared daily at 13:00) but may also include any gain/loss on any particular instrument. In most cases this will merely have the effect of increasing or decreasing the daily yield, but in the case of abnormal losses, it can have the effect of reducing the capital value of the fund. The published yield is calculated using the average of the fund’s previous seven days’ net income (and assumes all income was reinvested). This figure is then annualised, which is the weighted average compound growth rate. A process of ring-fencing of withdrawal instructions and managed pay-outs over time may be followed should excessive withdrawals from a fund place the fund under liquidity pressures.
Income Funds:
Income funds derive their income primarily from interest-bearing instruments as defined. The published yield is a current yield and is calculated daily.
The value of underlying assets of Income funds are marked to market on a daily basis.
Fund of Funds:
A fund of funds is a portfolio that invests in other funds in order to meet the investment objective of the fund of funds. Fund of funds can invest in local, foreign or offshore funds which levy their own charges, and may result in a higher fee structure.
Feeder Funds:
A feeder fund is a portfolio that invests all of its capital in a single underlying fund. This underlying fund can be a local, foreign or offshore fund and levy
its own charges which may result in a higher fee structure.
Third-Party Named Funds (co-branded):
Old Mutual Unit Trust Managers (RF) (Pty) Ltd is the manager of Adviceworx, Old Mutual Multi-Managers and Public Investment Corporation SOC Limited suites of co-branded funds and retains full legal accountability.
Funds holding foreign assets:
Some funds hold assets in foreign countries and therefore may have risks, in these countries, regarding liquidity, the repatriation of funds, political and macro-economic situations, foreign exchange, tax, settlement and the availability of information.
AWARDS
Details of any awards are available from Old Mutual Unit Trust Managers (RF) (PTY) Ltd on request.
INITIAL CHARGE
Initial adviser/planner fee will be between 0.00% and 3.00% excluding VAT.
ANNUAL SERVICE FEE
The annual service fee is accrued daily and paid to the management company on a monthly basis. Other charges incurred by the fund, and deducted from its portfolio, are included in the Total Expense Ratio (TER). A portion of Old Mutual Unit Trusts’ annual service fees may be paid to administration platforms.
TOTAL EXPENSE RATIO (TER)
Total Expense Ratio (TER) is a historic measure of the impact the deduction of management and operating costs has on a fund’s value. A higher TER does not necessarily imply a poor return, nor does a low TER imply a good return. The current TER, which includes the annual service fee, may not necessarily be an accurate indication of future TERs.
TRANSACTION COST (TC)
Transaction Cost (TC) is a necessary cost in administering the fund and impacts fund returns. It should not be considered in isolation as returns may be impacted by many other factors over time including market returns, the type of fund, the investment decisions of the investment manager and the TER.
PERFORMANCE DISCLAIMER
The Net Asset Value to Net Asset Value figures are used for the performance calculations. The performance quoted is for a lump sum investment. The performance calculation includes income distributions prior to the deduction of taxes and distributions are reinvested on the ex-dividend date. Performances may differ as a result of actual initial fees, the actual investment date, the date of reinvestment and dividend withholding tax. Annualised returns are the weighted average compound growth rates over the performance period measured.
LIABILITY FOR LOSS
Old Mutual Unit Trusts shall not be responsible and disclaims all liability for any loss, liability, damage (whether direct or consequential) or expense of any nature whatsoever which may be suffered as a result of or which may be attributable, directly or indirectly, to the use of or reliance upon any information, links or service provided through this website.