1. Our Local Funds
We have three wrap fund strategies in South Africa, with one being very stable like a money market or a savings account, the second consisting of, according to us, the very best SA growth funds, and the third with the very best locally registered offshore funds. We invest our clients’ money proportionally in these funds according to their risk profiles and circumstances but invest as far as possible their voluntary monies in our similar funds offshore. These local funds are:
1.1 Stable SA
1. Investable Universe
The wrap fund invests mainly in fixed income instruments, government stocks, industrial stocks, and income funds.
2. Primary Objective
The fund intends to compete and beat South African savings and money market accounts with a projected CAR net of fees of more than 5.5% per annum. Though the projected CAR of Stable SA of ±5.5% per annum net of fees is almost two times more than the interest rate of the local banks its Down STD is almost as low as that of a money market fund. The returns are mostly interest related and therefore taxable
like that of a savings account.
3. Investor Profile
Investors that seek a relative low volatility and stable growth. This investment will be suitable for individuals who wish to draw income and for funds used to generate income for the investor.
4. Competitive Advantage
Stable SA has been successfully investing in local funds. We have the proper infrastructure to conduct extensive research and due diligence on funds which forms a critical component of successful fund of funds management.
1.2 Equities SA
1. Investable Universe
The wrap fund invests mainly in high quality, high growth equity unit trusts
2. Primary Objective
This is according to us one of the best equity growth wrap funds in South Africa and intends to give clients according to their risk profiles and circumstances maximum ZAR growth over the medium to the long term. The fund will normally have a lower CAR than that of our Global SA Wrap fund, which buys locally registered offshore funds, but also with a much lower STD.
3. Investor Profile
Investors that seek to diversify investments and who are willing to tolerate volatility in the value of their investment. Investors should have no income requirements for funds invested in this portfolio and a time horizon of three to five years or more.
4. Competitive Advantage
Equities SA has been successfully investing in local funds. We have the proper infrastructure to conduct extensive research and due diligence on funds which forms a critical component of successful fund of funds management.
1.3 Global SA
1. Investable Universe
Though the wrap fund is Rand denominated, the fund invests only in locally registered offshore growth funds.
2. Primary Objective
This wrap fund consists, according to us, of the best locally registered offshore funds and will even do better than Equities SA Wrap over the medium to long term. Investors should however be aware of the negative effect of a weak Rand that is bouncing back over the short term as the underlying shares are mainly that of US companies and therefore USD based.
3. Investor Profile
Investors that seek to diversify investments in a managed offshore diversified portfolio of growth funds.
4. Competitive Advantage
Global SA has been successfully investing in locally registered offshore growth funds. We have the proper infrastructure to conduct extensive research and due diligence on funds which
forms a critical component of successful fund of funds management.
2. Our Offshore Funds
We usually encourage clients to invest most of their voluntary contribution monies offshore due to better growth prospects over the medium to the long term. These offshore funds are:
2.1 Stable Offshore
1. Investable Universe
The fund has the flexibility to invest globally in any currency of its choosing, primarily focusing on global fixed income instruments and alternative investments that exhibit lower levels of volatility, comparable to that of fixed income instruments. This investment approach allows us to seek out attractive risk-adjusted returns for our investors while maintaining a prudent level of risk management.
2. Primary Objective
Our investment strategy involves primarily investing in hedge funds that have delivered above-average returns while maintaining a low downside standard deviation (STD). This approach aims to make our fund an appropriate investment vehicle for clients who seek to draw income or capital over the short term. Our objective is to compete with and outperform savings accounts and money markets, with a projected USD compound annual return (CAR) net of fees of approximately 7% per annum. Although the projected CAR of our fund may be lower than that of Moriah Global and Equities Offshore, our projected downside STD is significantly lower, almost comparable to that of a money market account.
3. Investor Profile
Investors that seek a relative low volatility and stable growth. This investment will be suitable for individuals who wish to draw income and for funds used to generate income for the investor.
4. Competitive Advantage
Kanaan asset managers has a proven track record of successful investments in foreign funds. Our investment approach is supported by a robust infrastructure that enables
us to conduct thorough research and due diligence on the funds in which we invest. This rigorous process is a critical component of our fund of funds management strategy, which has contributed to our consistent success in achieving our investment objectives.
2.2 Equities Offshore
1. Investable Universe
The fund has the flexibility to allocate its capital globally in various currencies, primarily focusing on growth funds and shares related to the Fourth Industrial Revolution that exhibit significant intrinsic value but may also experience significant price fluctuations
2. Primary Objective
The primary objective of this investment strategy is to generate exceptional capital appreciation, with a target range of 15% to 20%. While it is possible to achieve these returns over the short term, the focus is on delivering sustained growth over the medium to longer term, with a standard deviation of less than 20%. As market timing is not a key consideration, investors should view this fund as a buy-and-hold opportunity for a minimum of 3 to 5 years, and potentially longer.
3. Investor Profile
This investment opportunity is best suited for investors who are seeking to diversify their portfolio and are comfortable with the inherent volatility in the value of their investments. Investors should have a time horizon of at least three to five years, or potentially longer and have no income requirements from the
fund.
4. Competitive Advantage
Kanaan Asset Managers has a proven track record of successful investments in foreign funds. Our investment approach is underpinned by a robust infrastructure that enables us to conduct thorough research and due diligence on the funds in which we invest. This rigorous process is a critical component of our fund of funds management strategy, which has contributed to our consistent success.
2.3 Moriah Global
1. Investable Universe
The fund has a wide mandate investing in global investment instruments with a focus on Global hedge funds and alternative investment vehicles.
2. Primary Objective
To deliver consistent investment returns uncorrelated to global equity markets with lower volatility. The return objective is 10%-15%pa over the medium to longterm (5-10 years) with a down deviation 8% or less.
3. Investor Profile
Investors that seek to diversify investments in a managed offshore diversified portfolio of hedge funds, unit trust funds and shares aiming for a CAR of more than 10% per annum and a STD of less than 10% per annum.
4. Competitive Advantage
Moriah: The management team at Moriah Global possesses over two decades of experience in the investment industry and has a proven track record of selecting top-performing global hedge funds and unit trusts. Over the past ten years, Kanaan Asset Managers has established a substantial network of industry contacts and information resources, enabling us to identify fund managers with the ability to outperform in all market conditions. Our team has developed a rigorous due diligence process and honed our skills in selecting funds that have demonstrated resilience during major market crises, including the 1998 Far East Pacific Crash, 2000 IT Bubble, 2008 Credit Crisis, 2020/2021 Covid Pandemic, and the 2022 Ukraine War.
Download Moriah Global Fact Sheet
Download Moriah Global ZAR Fact Sheet