SYGNIA MONEY MARKET FUND UNIT TRUST

Transcription

1 SYGNIA MONEY MARKET FUND UNIT TRUST RISK PROFILE LOW LESS RISK/ RETURN LOW MEDIUM MEDIUM MEDIUM HIGH HIGH MORE RISK/ RETURN CLASS S1 SOUTH AFRICAN - INTEREST BEARING - MONEY MARKET 30 SEPTEMBER 2017 TIME HORIZON 0-2 YEARS 2 YEARS+ 3 YEARS+ 5 YEARS+ 7 YEARS+ PORTFOLIO MANAGERS IAIN ANDERSON MARELIZE SMIT REGULATION 28 COMPLIANT FUND LAUNCH DATE 29 JULY 2016 CLASS LAUNCH DATE 22 JUNE 2017 FUND SIZE R MILLION INSTRUMENT PRICE FUND OBJECTIVE THE FUND AIMS TO MAXIMISE INTEREST INCOME, PRESERVE CAPITAL AND PROVIDE IMMEDIATE LIQUIDITY INCOME DISTRIBUTION MONTHLY PAYMENT: 1 SEP CENTS PER UNIT PAYMENT: 1 AUG CENTS PER UNIT TRUSTEES STANDARD BANK TRUSTEES ( ) ISSUER EXPOSURE ISSUER PERCENTAGE ALLOCATION Standard Bank Ltd 29.0% Investec Bank Ltd 28.3% Nedbank Ltd 27.1% Firstrand Bank Ltd 12.0% Absa Bank Ltd 3.6% DURATION EXPOSURE DURATION PERCENTAGE 0 to 1 month 52.7% 1 to 3 months 0.4% 3 to 6 months 20.9% 6 to 12 months 26.1% FEES Initial Fees: 0.00% Management Fees: 0.50% per annum (including VAT) INVESTMENT APPROACH The Sygnia Money Market Fund is a low risk money market fund. The aim of the Fund is to offer investors access to a well-diversified money market portfolio, which shall consist of short-term, highly liquid money market instruments with a maturity of less than thirteen months. It may also invest in interest rate swaps. HOW IT WORKS The fund is suitable to investors who would like to make a meaningful difference in the South African landscape by supporting non-political organisations fighting corruption, both in the public and the private sector. Sygnia will donate its entire management fee to the following organisations: OUTA, the Black Sash, Corruption Watch, the Helen Suzman Foundation, the Council for Advancement of the SA Constitution, the Kgalema Motlanthe Foundation and the Ahmed Kathrada Foundation. You can invest as little as a once-off amount of R1 000, or a regular R500 per month, in the Sygnia Money Market Unit Trust. To be clear, this is an investment and not a donation. It is only the management fees that are being donated. You can withdraw your money at any stage. RISK PROFILE The Fund has a low risk profile as it has a 100% strategic allocation to South African money market instruments. WHO SHOULD INVEST? It is a suitable investment for investors seeking to preserve capital over all time horizons. The strategy complies with Regulation 28 of the Pension Funds Act 1956, as amended, so is suitable for investors in retirement annuities, preservation, pension and provident funds that require a very low-risk investment fund. Performance Fees: Total Expense Ratio (TER): Transaction Costs (TC): Total Investment Charge (TIC): N/A TER cannot be calculated TC cannot be calculated TIC cannot be calculated TIME HORIZON There is no recommended minimum investment term for investors in the Sygnia Money Market Fund. Minimum Disclosure Document - Issue Date: 06 Oct 2017 FIND OUT MORE ABOUT OUR FUNDS:

2 SYGNIA MONEY MARKET FUND UNIT TRUST fund COMMENTARY class s1 south african - interest bearing - money market 30 september 2017 risk profile low less risk/ Return Low medium time horizon medium medium high high more risk/ Return 0-2 years 2 years+ 3 years+ 5 years+ 7 years+ MARKET PERFORMANCE The start of the third quarter brought about a short-lived pull-back in shares, bonds and the US dollar after central banks in the Eurozone, the UK and Canada signaled their readiness to begin winding down monetary stimulus measures. However, a flurry of solid manufacturing readings from the Eurozone, Japan and China and relatively good earnings results soon bolstered confidence in the health of the global economy. The IMF indicated that better growth in China, the Eurozone and Japan is making up for a slower-thanexpected US economy and a faltering UK economy. It forecasts 3.5% global growth in 2017 and 3.6% in However, it downgraded its predictions for US growth this year to 2.1%.They expect the Eurozone to grow at 1.9% and China at 6.7%. The stock market gains in the third quarter were largely powered by the technology sector, which remains this year s best performer, up 25%. As hopes for an acceleration in US growth dimmed, investors have been willing to pay more for the earnings and revenue growth that tech stocks offer. The third quarter also saw a resurgence in the energy sector, helped by a sharp rise in the price of oil. Moreover, a record number of S&P500 companies have issued positive revenue guidance for the third quarter. Geopolitical tensions, particularly between the US and North Korea, introduced some ongoing volatility, as did concerns about the impact of two hurricanes which hit the US and the uncertainty about the pace of the US Federal Reserve s interest rate increases. Although the US Federal Reserve cut interest rates in August, and signaled the start of unwinding its crisis-era US$4 trillion balance sheet in September, its consistent acknowledgement of the persistently subdued inflation led to doubts that it would increase interest rates again in This helped to spark an initial rally in US Treasuries and equities, as well as providing a boost to emerging markets and commodities, while weakening the US dollar. By the end of September, however, the position reversed as stronger wage growth figures, a deal over the US federal debt ceiling and US President Donald Trump s promise of corporate tax cuts boosted confidence in the US economy and hence the prospect of a further interest rate increase, with the S&P500 ending the quarter on a record high. US economic growth came in at 2.6% in the second quarter, a pace the economy has not seen since early 2015, while unemployment hit a new low of 4.4%. In Europe, the ECB left interest rates unchanged, and although initially indicating that it may start scaling down its bond-buying scheme, it became more non-committal as the quarter progressed. The Eurozone has been creating jobs at an impressive pace this year, helping to boost consumer spending and second quarter GDP growth, which came in at annualised 2.5%, the fastest pace in two years. However, inflation has remained stubbornly low. The Bank of Japan kept its bond-buying programme steady, but once again pushed back the date when it expects to reach its 2% inflation target to March 2020, five years after its initial target. And China continued to confound expectations of a slowdown. In South Africa, political news continued to dominate in the run up to the December ANC elective conference. South Africa exited a technical recession with a GDP growth rate of 2.5% yearon-year in the second quarter, driven largely by an improvement in the agricultural sector. Lower food prices drove consumer inflation down to 4.8% yearon-year in August. Despite that, the Reserve Bank kept interest rates on hold at 6.75% in September after cutting interest rates in July, citing heightened uncertainties in the economy and upside risks to inflation from a potential 20% electricity tariff hike. The Reserve Bank forecasts GDP growth at 0.6% for 2017, 1.2% in 2018, and 1.5% in It expects inflation to average 5.3% over 2017, 5.0% in 2018 and 5.3% in On a negative note, employment levels continued to decline, business confidence remained at record lows last seen in mid-1980s and manufacturing activity remained in contraction territory. The IMF, meantime, warned that South Africa s economy is extremely vulnerable to external shocks and funding shortfalls. And yet, despite poor short-term economic indicators, the rand remained range-bound, underpinned by the generally positive sentiment towards emerging markets. On the commodities front, commodities such as zinc, copper and iron ore surged on renewed demand from China and a weaker US dollar. The rally in the copper market has driven the price to its highest level in three years. Copper, which has jumped 20% since the end of the May, is seen as the main beneficiary of the growth in electric vehicles and advances in energy storage technology. Oil prices jumped to just under US$60 a barrel in September. One of the reasons was Hurricane Harvey the most powerful hurricane to hit Texas in more than 50 years which knocked out a quarter of the nation s refineries. The longer-term focus, however, has been on a possible extension to the 15-month production curb pact between members of the OPEC and non- OPEC producers, including Russia. The deal agreed late last year to reduce output by about 1.8 million bpd until March 2018 helped to keep prices firmer. The G20 nations put on a face-saving show of unity at the Hamburg summit by negotiating a unanimous communiqué despite deep divisions on trade and climate change driven by President Trump s America First approach. As well as trade, climate change and migration, the final communiqué includes commitments to address global steel overcapacity. The G20 stepped back from an unequivocal commitment to free trade for the first time since its inaugural summit in Instead, it recognised the need for defensive measures in pursuit of balanced trade. The 19 states still committed to the Paris climate accord pledged to fully implement an irreversible agreement. And finally, global stability remains elusive. The UN Security Council introduced further sanctions on North Korea after the country launched more intercontinental ballistic missiles, Qatar remains isolated from its neighbours, US President Donald Trump criticised the 2015 nuclear deal with Iran and Poland and Hungary openly defied the EU rules. FUND PERFORMANCE The Sygnia Money Market Fund S1 Class was launched in June 2017 and in line with the Advertising, Marketing and Information Disclosure Requirements for Collective Investment Schemes, no performance commentary will be provided until the Fund has at least a six month performance track record. During the quarter no significant changes were made to the Fund. The Fund remains positioned to maximise interest income, preserve capital and provide immediate liquidity, in line with its investment objective. Disclaimer Sygnia Collective Investments RF (Pty) Ltd is incorporated and registered under the law of South Africa and is registered under the Collective Investment Schemes Control Act, 2002 (Act No 45 of 2002). The company does not provide any guarantee with respect to the capital or return of the portfolio. Nothing in this document will be considered to state or imply that the collective investment scheme or portfolio is suitable for a particular type of investor. All figures used are for illustrative purposes only. Sygnia COLLECTIVE INVESTMENTS RF (Pty) Ltd Registration No. 2009/003063/07 A member of the Association for Savings & Investment SA CAPE TOWN: 7th Floor, The Foundry, Cardiff Street, Green Point, 8001 T JOHANNESBURG: Unit 40, 6th Floor, Katherine & West Building, West Street, Sandton T info@sygnia.co.za

3 IMPORTANT INFORMATION TO CONSIDER BEFORE INVESTING BALANCING RISK AND REWARD Collective Investment Schemes in Securities (unit trusts) are generally medium- to-long term investments. The value of units may go down as well as up and past performance is not necessarily an indicator of future performance. Unit trusts are traded at the ruling price and are allowed to engage in borrowing and scrip lending. Reinvestment of income is calculated on the actual amount distributed per participatory interest, using the ex-dividend date NAV price of the applicable class of the portfolio, irrespective of the actual reinvestment date. Please note that the Sygnia Money Market Fund is a variable priced fund and therefore does not have a fized unit price of R1.00 per unit. The Sygnia Money Market Fund is not a Bank Deposit Account. Excessive withdrawals from the Fund may place the Fund under liquidity pressure. Should this occur, a process of ring-fencing the withdrawal instruction and managing the pay-out over time may be allowed. FEES A schedule of fees and charges is available on request from Sygnia. Permissible deductions may include management fees, brokerage, STT, auditor s fees, bank charges and trustee fees. Sygnia does not provide advice and therefore does not charge advice fees. If a financial planner is appointed, initial and ongoing advice fees may be payable as agreed upon between you and your financial advisor. The payments of these fees are facilitated by the Linked Investment Service Provider (LISP) and not directly by Sygnia. WHAT IS THE TOTAL EXPENSE RATIO (TER)? The total expense ratio (TER) is the annualised percentage of the Fund s average assets under management that has been used to pay the Fund s actual expenses over the past year. The TER includes the annual management fees that have been charged (both the fee at benchmark and any performance component charged), VAT and other expenses like audit and trustee fees. Transaction costs (including brokerage, Securities Transfer Tax [STT], STRATE and FSB Investor Protection Levy and VAT thereon) are shown separately. Transaction costs are a necessary cost in administering the Fund and impact Fund returns. They should not be considered in isolation as returns may be impacted by many other factors over time, including market returns, the type of financial product, the investment decisions of the investment manager and the TER. Since Fund returns are quoted after the deduction of these expenses, the TER and transaction costs should not be deducted again from published returns. The TER charged by any underlying fund held as part of a fund s portfolio is included in the TER figure, but trading and implementation costs incurred in managing the fund are excluded. As expenses vary, the current TER cannot be used as an indication of future TERs. A higher TER does not necessarily imply a poor return, nor does a low TER imply a good return. Instead, when investing, the investment objective of the Fund should be aligned with the investor s objective and compared against the performance of the Fund. TERs should then be used to evaluate whether the Fund performance offers value for money. The TER and transaction costs cannot be determined accurately because of the short lifespan of the specific class of the Financial Product. Calculations are based on actual data where possible and best estimates where actual data is not available. HOW ARE UNIT PRICES CALCULATED? Unit prices are calculated on a net asset value basis, which is the total market value of all assets in the portfolio, including any income accruals and less any permissible deductions from the portfolio, divided by the number of units in issue. Forward pricing is used and Fund valuations take place at approximately 15:00 each business day. The exception takes place at month end, when valuations are performed at 17:00. Purchases and redemption requests must be received by the manager by 14:00 each business day to receive that day s price. The price shown is specific to this class. The fund size represents the portfolio size as a whole. Unit prices are updated by 10:00 every business day and are available on our website, DISCLAIMER The Fund may be closed to new investments at any time in order to be managed in accordance with its mandate. Sygnia Collective Investments RF (Pty) Ltd is incorporated and registered under the laws of South Africa and is registered under the Collective Investment Schemes Control Act, 2002 (Act No 45 of 2002). Sygnia Asset Management (Proprietary) Limited, an authorised financial services provider, is the appointed investment manager of the Fund. Sygnia Collective Investments RF (Pty) Ltd does not provide any guarantee with respect to the capital or return of the portfolio. Nothing in this minimum disclosure document will be considered to state or imply that the collective investment scheme or portfolio is suitable for a particular type of investor. All figures used are for illustrative purposes only. This document is for information purposes only and does not constitute or form any part of any offer to issue or sell, or any solicitation of any offer to subscribe for or purchase, any particular investment. Whilst reasonable care was taken in ensuring that the information contained in this document is accurate, Sygnia accepts no liability in respect of any damages and/or loss (whether direct or consequential) or expense of any nature which may be suffered as a result of reliance, directly or indirectly, on the information in this document. Additional information such as fund prices, brochures, application forms and a schedule of fees and charges can be requested via admin@sfs.sygnia.co.za or (0860 SYGNIA). SYGNIA COLLECTIVE INVESTMENTS RF (PTY) LTD Registration No. 2009/003063/07 A member of the Association for Savings & Investments SA CAPE TOWN: 7th Floor The Foundry Cardiff Street Green Point 8001 T JOHANNESBURG: Unit 40 6th Floor Katherine & West Building West Street Sandton T info@sygnia.co.za Minimum Disclosure Document - Issue Date: 06 Oct 2017

4 SYGNIA MONEY MARKET FUND UNIT TRUST fund profile class s1 SOUTH AFRICAN - INTEREST BEARING - MONEY MARKET 30 SEPTEMBER 2017 risk profile low less risk/ Return Low medium time horizon medium medium high high more risk/ Return 0-2 years 2 years+ 3 years+ 5 years+ 7 years+ about the fund Investment Approach The Sygnia Money Market Fund is a low-risk multi-managed money market fund. The underlying investments are allocated to a number of money market managers appointed and selected by Sygnia based on their skills, experience, performance and operational and financial soundness. The aim of the Fund is to offer investors access to a welldiversified money market portfolio that utilises the best money market managers, while ensuring that the risk profile of the strategy remains consistent over time. The Fund shall consist of short-term, highly liquid money market instruments with a maturity of less than thirteen months. It may also invest in interest rate swaps. what the fund invests in Strategic Asset ALLOCATION PERCENTAGE ALLOCATION SA MONEY MARKET risk profile The Fund has a very low risk profile as it has a 100% strategic allocation to South African money market instruments. The risk is managed further by spreading investments among a number of asset management houses, ensuring diversification of investment styles and philosophies. for the investor WHO SHOULD INVEST? The Sygnia Money Market Fund has a 100% strategic allocation to South African money market instruments and has a low risk profile. It is a suitable investment for investors seeking to preserve capital over all time horizons. The strategy complies with Regulation 28 of the Pension Funds Act 1956, as amended, so is suitable for investors in retirement annuities, preservation, pension and provident funds that require a very low-risk investment fund. The fund is suitable to investors who would like to make a meaningful difference in the South African landscape by supporting non-political organisations fighting corruption, both in the public and the private sector. Sygnia will donate its entire management fee to the following organisations: OUTA, the Black Sash, Corruption Watch, the Helen Suzman Foundation, the Council for the Advancement of the SA Constitution, the Kgalema Motlanthe Foundation and the Ahmed Kathrada Foundation. You can invest as little as a once-off amount of R1 000, or a regular R500 per month, in the Sygnia Money Market Unit Trust. To be clear, this is an investment and not a donation. It is only the management fees that are being donated. You can withdraw your money at any stage. AND FOR HOW LONG? There is no recommended minimum investment term for investors in the Sygnia Money Market Fund. FEES Initial fees 0.00% Management Fees PERFORMANCE FEEs Total Expense Ratio (TER) TRANSACTION COSTS (TC) TOTAL INVESTMENT CHARGE (TIC) 0.50% per annum (including VAT) N/A TER cannot be calculated TC cannot be calculated TIC cannot be calculated Sygnia charges an annual management fee, calculated and accrued daily. This fee is payable monthly in arrears. key facts FUND Launch Date 29 JULY 2016 CLASS Launch Date 22 JUne 2017 Fund size R million Regulation 28 Compliant Benchmark STeFI INDEX portfolio managers IAIN ANDERSON Head: investments CFA, BMath(Honours) Marelize Smit Portfolio manager BCom (Economic Science), BCom (Hons Statistics) FEE DISCLOSURE Sygnia does not provide advice and therefore does not charge advice fees. If a financial planner is appointed, initial and ongoing advice fees may be payable as agreed upon between you and your financial advisor. The payments of these fees are facilitated by the Linked Investment Service Provider (LISP) and not directly by Sygnia. Disclaimer Sygnia Collective Investments RF (Pty) Ltd is incorporated and registered under the laws of South Africa and is registered under the Collective Investment Schemes Control Act, 2002 (Act No 45 of 2002). Sygnia Asset Management (Proprietary) Limited, an authorised financial services provider, is the appointed investment manager of the Fund. Sygnia Collective Investments RF (Pty) Ltd does not provide any guarantee with respect to the capital or return of the portfolio. Nothing in this document will be considered to state or imply that the collective investment scheme or portfolio is suitable for a particular type of investor. All figures used are merely for illustrative purposes only. Unit pricing Please note that the Sygnia Money Market Fund is a variable priced fund and therefore does not have a fixed unit price of R1.00 per unit.

5 SYGNIA DIRECT INVESTMENT APPLICATION FORM NATURAL PERsons No instruction will be processed unless all requirements have been met, all relevant documentation received and the funds reflected in Sygnia s bank account. The daily cut-off for receipt of instructions is 14h00. For full information on turnaround times please refer to the Sygnia Terms and Information document. Completed forms and required documentation are to be faxed to or ed to instructions@sfs.sygnia.co.za. Please read the Terms and Information that apply to this investment. This is available from your financial advisor, the Sygnia Client Service Centre or Should you have any queries regarding this application, please contact the Sygnia Client Service Centre on (0860 SYGNIA). Note: If you are completing this form online, please save the form to your computer prior to completing any details to ensure a copy is kept for your records. Document checklist South African bar-coded ID, valid passport (if foreign national) or birth certificate (if minor) Proof of residential address less than 3 months old (Refer to Annexure A for examples) Proof of banking details (e.g. bank statement or cancelled cheque) Proof of deposit/transfer in to the relevant Sygnia bank account If a unit transfer is required, please provide a recent statement of your current investment For the authorised representative South African bar-coded ID or valid passport (if foreign national) Proof of residential address less than 3 months old (Refer to Annexure A for examples) Proof of authority to act (e.g. power of attorney) INVestoR DETAils Title: First name(s): Surname: ID or Passport number (if foreign national): Date of birth: South African resident: Yes No Are you a registered taxpayer? Yes No If yes, specify income tax number: Occupation: Is your postal address the same as your residential address: Yes No Residential address: Postal address: Home telephone number: ( ) Work telephone number: ( ) Cellphone number: Fax number: ( ) SYGNIA FINANCIAL SERVICES (PTY) LTD Registration No. 2010/015491/07 CAPE TOWN: 7th Floor I The Foundry I Cardiff Street I Green Point I 8001 I T I F JOHANNESBURG: Unit 40 I 6th Floor I Katherine & West Building I West Street I Sandton I 2196 T I F DURBAN: Office 2 2nd Floor Ridgeview 1 Nokwe Avenue Ridgeside Umhlanga Ridge 4319 T F info@sygnia.co.za Sygnia Financial Services (Pty) Ltd is a licensed Financial Services Provider [FSP 44426] Code: Code:

6 address: Please select only one of the following communication methods. If no selection is made, or if both are selected, communication will be made via . Communication method: Post Language preference: English Afrikaans (Please note not all communication is available in Afrikaans.) If you have a financial advisor, you may choose to have your communication sent to you, your financial advisor or to both. Send communications to: Me My financial advisor both If no selection is made we will send communication to you only. Please keep me informed of the latest news, exclusive Sygnia Investor events and any additional products or services on offer via my chosen communication method above: Yes No Manage and view your investment on the Sygnia Alchemy Online Platform: Once your funds have been invested and unitised, you will be able to register on the Sygnia Alchemy Online Platform: com/account/login to view your personal and investment details. Within 5 business days of your investment being finalised, you will receive your log on details and Sygnia Welcome Pack. In order to grant you access to the platform and before registration can take place, an authentic address will be required. DETAILS OF PERSON ActinG ON BEHALF OF INVestoR *Capacity: (* e.g. Guardians/Persons with Power of Attorney or mandate acting on behalf of investor.) Title: First name(s): Surname: Occupation: ID or Passport number (if foreign national): Residential address: Code: Postal address: Code: Home telephone number: ( ) Work telephone number: ( ) Cellphone number: Fax number: ( ) address: Annual administration fee Sygnia Unit Trust and Unitised Life Funds No ADMINISTRATION fees apply on Sygnia unit trusts and unitised life funds. All external-manager Unit Trust Funds Administration fees are charged as follows when you are invested in external-manager unit trusts: Sygnia Investments ANNUAL ADMINistratioN FEE (excl vat) value of ALL ACCOunts SYGNIA Funds External-Manager Funds First R % 0.50%* Over R % 0.20%** * 0.50% (excl VAT) is levied on the proportionate value of the external-manager funds below R2 million. ** 0.20% (excl VAT) is levied on the proportionate value of the external-manager funds above R2 million. Please note: While Sygnia does not charge any administration fees in respect of its own funds, Sygnia takes into account all your investments with us when assessing the R2 million threshold, including your investments in Sygnia funds. For the fees relating to the underlying investment managers please refer to the Sygnia Alchemy Funds document available on request or online at page 2/10 June 2017

7 INVESTMENT DETAils Source of funds (compulsory) This information is required by legislation and by Sygnia in order to invest your funds. Existing Sygnia account Bonus Savings Inheritance Salary Transfer from another financial services provider Other If other, please specify: Note: Sygnia Financial Services (Pty) Ltd reserves the right to request proof of source of funds. LUMP sum contribution - MINIMUM R (minimum of R1 000 if investing into the Sygnia Money Market Class S1 or S2) Will this be a unit transfer: Yes No Rands: Cents: Date of deposit/transfer: / / Electronic/Internet transfer (EFT): Electronic collection by Sygnia: Electronic/Internet transfers may take up to 2 days to reflect in the Sygnia Bank account. Sygnia Financial Services (Pty) Ltd ( Sygnia ) requires proof of transfer or deposit before this application can be processed. This is a once-off direct debit from your bank account and is restricted to R per day. Units bought with a direct debit can only be withdrawn after 32 business days. I hereby instruct and authorise Sygnia or its assignees to draw against my account the above electronic collection instruction with the bank account noted in this form. Name of account holder: Signature of bank account holder: FUND selection: Note: Only unit trust funds and not unitised life funds may be selected in respect of this product. FUNDS class rand AMOUNT percentage total R TOTAL % Phasing-in You may phase in your lump sum contribution. The amount to be phased in must be R or more. Do you require a phase-in: Yes No If yes: over 3 months over 6 months over 12 months Default Phase-in Money Market Fund: The investment will be phased-in from the Sygnia Money Market Fund. page 3/10 June 2017

8 DEBIT order contribution MINIMUM R500 per MONTH Rands: Cents: per month: Escalation rate per annum: 0% 5% 10% 15% Commencement month: Collection date: 1 st 15 th I hereby instruct and authorise Sygnia or its assignees to draw against my account the above debit order or once-off electronic collection instruction from the bank account noted in this form (or any other bank or branch to which I may transfer my account). Name of account holder: Signature of bank account holder: FUND selection: Note: Only unit trust funds and not unitised life funds may be selected in respect of this product. FUNDS class rand AMOUNT percentage total R TOTAL % REGulAR WithDRAWAL DETAILS Regular withdrawal amount: Rands: Cents: Commencement month: Regular withdrawal frequency: Monthly in arrears Quarterly in advance Bi-annually in advance Annually in advance You may only schedule a regular withdrawal payment if you have more than R in your account. Regular withdrawal payments are scheduled for the 25 th of each month. Sygnia must receive the instruction 7 business days before the scheduled payment date to be effective. If not, the first withdrawal will take place the following month. FUND selection FROM which to deduct regular withdrawal Select one of the following options: Regular withdrawal is withdrawn proportionately across all investments. OR Regular withdrawal is withdrawn from the specific unit trust fund/s selected below. Note: If at any stage there is an insufficient balance available in the selected fund/s, the withdrawal will be made proportionately from the other available funds. Only unit trust funds and not unitised life funds may be selected in respect of this product. page 4/10 June 2017

9 FUNDS class rand AMOUNT percentage total R TOTAL % INVESTOR BAnkinG DETAils The details specified below must be in the investor s name and will be used for all future banking transactions. Should any changes occur, the investor must notify Sygnia in writing. Bank: Branch: Account number: Branch code: Type of account: Current Transmission Savings Name of account holder: A recent bank statement must accompany this application form as confirmation of proof of bank details. No payments will be made to third parties (i.e. payments will only be made to the bank account in the name of the registered investor). Payments to credit cards or market-linked accounts are not permitted. The Administrator executes all payment instructions electronically to a South African bank account in the name of the investor. No payment will be made by cheque. THIRD PARTY BAnkinG DETAils This section must be completed where a third party makes payment on behalf of the investor. In the event that the payment is a debit order/ electronic collection the third party must provide Sygnia with authorisation by signing below. Bank: Branch: Account number: Branch code: Type of account: Current Transmission Savings Name of account holder: A recent bank statement must accompany this application form as confirmation of proof of bank details. No payments will be made to third parties (i.e. payments will only be made to the bank account in the name of the registered investor). Payments to credit cards or market-linked accounts are not permitted. The Administrator executes all payment instructions electronically to a South African bank account in the name of the investor. No payment will be made by cheque. Signed at: on this day of year Signature of third party: page 5/10 June 2017

10 SYGNIA BANK Account DETAils Account holder: Bank: Branch name: Sygnia Financial Services Inflow Nedbank Corporate Client Services Cape Town Branch code: Account number: Reference number: Initial and surname together with Sygnia Client Code / South African ID number / Passport number (if foreign national) The Administrator requires proof of deposit or transfer together with receipt of the applicable documentation as set out in this form, before this application can be processed. FINAnciAL ADVice Fees I hereby confirm that the Financial Advisor whose details are completed in the Financial Advisor Details and Declaration section below, is my appointed Financial Advisor and agree to payment of fees as follows: Initial advice fee: (Lump sum) Initial advice fee: (Debit order) Annual advice fee: % excluding VAT (Negotiable to maximum 3% exclusive of VAT. Applied to each lump sum contribution and deducted before investment is made). % excluding VAT (Negotiable to maximum 3% exclusive of VAT. Applied to each debit order contribution and deducted before investment is made). % excluding VAT (Negotiable to a maximum of 1%) per annum of the market value of the investment portfolio, charged by way of unit reduction and paid to the Financial Advisor monthly in arrears (If an initial fee in excess of 1.50% has been deducted the annual fee is limited to 0.50% per annum.) This authority may be withdrawn by written notice to the Fund. Signature of investor: FINAnciAL ADVisoR DETAils Financial advisor full name and surname: Financial Service Provider (FSP) name: FSP code: Investor Declaration (only applicable where an FSP holds a Category ii discretionary licence) I/We confirm that: I/We have entered into a mandate with the FSP Yes No The mandate gives the FSP discretion to act on my/your behalf Full Limited Note: A copy of the signed mandate must accompany this application form. Signature of investor: FSP Declaration I/We declare that I/we am/are a licensed Financial Service Provider(s) and have made the disclosures required in terms of the Financial Advisory and Intermediary Services Act, No. 37 of 2002, and subordinate legislation thereto, to the investor. warrant what I/we have established and verified the identity of the investor(s) (and persons acting on behalf of the investor) in accordance with the Financial Intelligence Centre Act, No. 38 of 2001 ( FICA ) and subordinate legislation thereto, and I/we will keep records of such identification and verification according to the provisions of FICA. are not aware of any activities in which the investor is involved which may lead us to suspect or reasonably suspect that the investor is or may be involved in any unlawful activities or money laundering. Should we subsequently become aware of suspicions of this nature, we shall immediately inform Sygnia Financial Services (Pty) Ltd. Signed at: on this day of year Signature of financial advisor: page 6/10 June 2017

11 A politically exposed person (pep) This declaration is required to be completed by all investors. In terms of Financial Intelligence Centre Act (FICA), Sygnia Financial Services (Pty) Ltd is an accountable institution and is required to establish the risk profile of its clients. This includes determining whether a client is a politically exposed person. A PEP is someone who is involved, or has been involved, in a prominent public function. This includes local functions or functions in foreign countries. You are also considered a politically exposed person, if any of your family members, nominated beneficiaries or close associates are politically exposed. PEPs are not limited to government employees or people involved in politics. The following public functions serve as examples in identifying PEPs: Heads of state Cabinet ministers Members of parliament Senior administrators in government departments Senior judges Managers of local municipalities who award tenders Senior and/or influential officials Ambassador Senior representatives of religious organisations By taking the above into consideration, please answer the following question: Are any of the persons or entities identified and verified in terms of FICA in this form, regarded as politically exposed? Yes No DeclARAtion BY INVestoR I/We acknowledge, understand and accept the Sygnia Terms and Information Document. I/We acknowledge, understand and accept that Sygnia may use the information I/we have provided in this form for either of the following purposes: to effectively process my/our transactions; to detect and prevent fraud; to comply with auditing and record-keeping requirements; to comply with legal and regulatory requirements; to verify my/our identity; to share information with service providers with whom Sygnia has a business agreement to process such information on Sygnia s behalf or to those who render services to Sygnia. I/we acknowledge and understand that I/we may access the personal information Sygnia have on record and that I/we may request that Sygnia correct any errors or delete my/our information. I/we acknowledge and understand that I/we can view Sygnia s full privacy policy on Sygnia s website on I/we confirm that I/we was/were provided with the Minimum Disclosure Document prior to transacting. Signed at: on this day of year Signature of investor: page 7/10 June 2017

12 DIVIDENDS TAX - declaration AND UndertAKING FOR exemption Important notes: 1. This declaration is required to be completed by all investors. 2. SARS requires us to pay over dividend tax on your behalf where applicable. We will deduct this tax before we pay any dividends to you or re-invest these into your investment account. The tax rate for South African residents is 20%. However, you may qualify for an exemption or a reduced rate of tax. If you believe an exemption or reduced rate is applicable to you please complete the relevant section below. 3. To be completed by the beneficial owner (of dividends, including dividends in specie) in order for the exemptions from dividends tax referred to in section 64F read with sections 64FA(2), 64G(2) or 64H(2)(a) of the Income Tax Act, 1962 (Act No 58 of 1962) (the Act) to apply. Nature of entity: Individual Trust (any type) Unlisted company Listed company RSA Government, provincial administration, municipalities Retirement fund (pension, provident, benefit, RA etc.) Other (please provide a description/explanation of nature of the entity/person): Country of residence (if non-sa resident): Country where tax is payable: Country of issue (if passport no. was provided in the Entity Details Section: Reason for Exemption: Please indicate the reason why the investor is exempt from the dividends tax: (a) - a company which is resident in South Africa (b) - the Government, provincial government or municipality (of the Republic of South Africa) (c) - a public benefit organisation (approved by SARS ito section 30(3) of the Act) (d) - a trust contemplated in section 37A of the Act (mining rehabilitation trusts) (e) - an institution, body, or board contemplated in section 10(1)(cA) of the Act (f) - a fund contemplated in section 10(1)(d)(i) or (ii) of the Act (pension fund, pension preservation fund, provident fund, provident preservation fund, retirement annuity fund, beneficiary fund or benefit fund) (g) - a person contemplated in section 10(1)(t) of the Act (CSIR, SANRAL etc.) (j) - a person who is not a resident and the dividend is a dividend contemplated in paragraph (b) of the definition of dividend in section 64D (i.e. a dividend on a foreign company s shares listed in SA, such as dual-listed shares) Signed at: on this day of year Signature of investor: page 8/10 June 2017

13 FOReiGN TAX DeclARAtion Important notes: 1. This declaration is required to be completed by all investors, including South African entities. 2. The following information is required to ensure correct reporting and/or withholding of taxes as required by the US tax authorities in terms of the Foreign Account Tax Compliance Act (FATCA) and the Organization for Economic Cooperation and Development (OECD) Common Reporting Standard on financial accounts for other jurisdictions. 3. For more information, please contact your financial advisor. INvestor details Full name(s): ID or Passport number: Tax residency: Tax residence refers to the country in which you pay tax on your income. Please indicate in which country (ies) you are a resident for tax purposes (including South Africa). Country of Tax residence: Country of Tax residence: Country of Tax residence: Country of Tax residence: Tax reference number/tin** Tax reference number/tin** Tax reference number/tin** Tax reference number/tin** If you are not resident in any country for tax purposes please tick this box ** tin refers to the us Tax Identification Number I declare that all the above information supplied by me is true and accurate and I agree to notify Sygnia of any changes to the information supplied herein. Signed at: on this day of year Signature of investor: page 9/10 June 2017

14 ANNEXURE A: EXAMPLES OF DOCUMENTATION WE ACCEPT AS PROOF OF ADDRESS Before we can enter into a transaction or a business relationship, the Financial Intelligence centre Act 38 of 2001, and the regulations thereto, require that we establish and verify the identity of a client. Sygnia may only place investments of a client, or conclude a contract with a financial advisor, once all the required FICA documentation has been received. The following Fica documentation is required: A copy of your South African bar-coded ID, valid passport (if foreign national) or birth certificate (if minor) Proof of your residential address which must be less than 3 months old: The list below provides guidance of what documentation will be accepted as proof of residential address in your name: Utility bill reflecting the name and residential address of the person (not older than 3 months); Municipal rates and taxes invoice reflecting the name and residential address of the person (not older than 3 months); Telephone or cellular account reflecting the name and residential address of the person (not older than 3 months); A recent income tax return reflecting the name and residential address of the person; Bank statement reflecting the name and residential address of the person if the person previously transacted with a bank registered in terms of the Banks Act (not older than 3 months); Recent lease or rental agreement reflecting the name and residential address of the person; Mortgage statement reflecting the name and residential address of the person (not older than 3 months); Valid television licence reflecting the name and residential address of the person; Recent long-term or short-term insurance policy document issued by an insurance company and reflecting the name and residential address of the person; Recent motor vehicle license documentation reflecting the name and residential address of the person; A statement of account issued by a retail store that reflects the residential address of the person (not older than 3 months); or A recent tax invoice issued by a regulatory body (e.g. SAICA) that reflects the residential address of the person. If you do not have proof of residential address in your own name the following will be accepted: Utility bill or any other acceptable proof of residence in your spouse s, partner s or parent s name; A copy of your spouse s, partner s or parent s South African bar-coded ID, valid passport (if foreign national); Confirmation of residential address by co-habitant or home owner form, which is available on our website page 10/10 June 2017