SAFFRON WEALTH FUNDS

Transcription

1 SAFFRON WEALTH FUNDS

2 a boutique hedge fund and traditional investment management firm Saffron Wealth is a boutique hedge fund and traditional investment management firm delivering consistent high-quality returns since Located in Stellenbosch, South Africa, we focus on managing investments across all the major asset classes both within South Africa, the African Continent and further abroad.

3 core investment team successfully operating together since 2005 The Saffron investment team has been successfully operating together since 2005 and provides a well proven investment process that has delivered competitive performance in their fund classes. Saffron Wealth manages in excess of R2.5bn in assets across a diversified set of fund strategies that demands precise top-down and bottom-up analysis.

4 our core values The Saffron business is supported by our core values of Integrity, Investment Excellence and Innovation. We are able to leverage our combined experience of more than 48 years to formulate investment strategies to maximise and protect investor's wealth.

5 Saffron rate strategies INCOME ENHANCEMENT Saffron MET Opportunity Income Fund STEFI +2% INFLATION PROTECTION Saffron MET Inflation Linked Bond Fund CPI+2% FRONTIER MARKET EXPOSURE Saffron African Yield Opportunity Fund USD3Mnth + 3% HEDGE FUNDS Saffron HF1 (May 2014)

6 outsourced business model Outsourcing ensures focus on the investment process

7 Saffron investment team Brandon Quinn BCom, CFA 16 Yrs Jacques Simpson MCom 15 Yrs 64 Yrs Deon van Zyl BCom(Hons) 31 Yrs Anina Rust BCom(Hons) 2 Yrs

8 Saffron investment philosophy A dynamic and evolutionary investment process is needed to keep ahead of changing market opportunities Alpha within a risk framework - R0E Exploit pricing inefficiencies Quantitative & technical bias Invest in technology & skills Unconstrained investment universe improves risk-adjusted returns Diversified sources of added value improve the risk-return profile

9 Saffron investment process A combination of quants and economic / fundamental modelling orientated towards identifying value opportunities where the margin of safety is maximised

10 Saffron investment process Proprietary Modelling Macro & Quants Key Criteria Risk budgetting Short Term Horizon / Maturity Specific yield expectations - entry / exit Quantify potential downside risks and tolerances Investment Strategies Real vs Nominal Rate rotation Relative Value Strategies Correlation Optimisation Capital Structure Optimisation Credit Currency & Domestic and Foreign Interest Rates Commodities A L P H A Instrument Structuring Market Timing Entry / Exit Optimisation

11 Saffron flexible income philosophy Flexible Income-focused funds Consistent surplus returns requires flexibility to seek opportunities Inter-asset class returns Intra-asset class returns >>> Return consistency >>> Reduces directional return volatility typically apparent in a single asset class

12 Saffron flexible income mandates Flexible Income-focused funds with a wide investment universe: Cash Sovereign bonds Credit & credit derivatives Listed Property Offshore assets Equity derivatives Commodity derivatives Wide investment universe requires detailed knowledge of risk management and hedging techniques

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15 conference homework 1. Go our new Saffron website 2. Download fund fact sheets

16 THANK YOU