IPO Open: New Satrix Global Balanced Fund of Funds ETF

The Satrix Global Balanced Fund of Funds ETF (known as the Satrix Global Balanced FoF ETF) is an index tracking fund registered as a Collective Investment Scheme (CIS) and will be listed on the Johannesburg Stock Exchange (JSE) as an Exchange Traded Fund (ETF) on Wednesday, 4 December 2024.

This new ETF will track the Satrix Global Balanced Index in ZAR and aims to provide local investors with optimally diversified exposure to a global basket of indices representing different asset classes.

JSE Listing Code: STXGLB

The new Satrix Global Balanced Fund of Funds ETF initial public offering (IPO) has now opened, and we invite you to take part. The IPO closes on SatrixNOW, at midnight, Sunday, 24 November 2024, and via other platforms or stockbrokers at midday on Monday, 25 November 2024.

About the Satrix Global Balanced Index
The index consists of a diversified blend of global indices representing different asset classes including equities, bonds, inflation-linked bonds, listed infrastructure, listed property, credit, and cash.

The Satrix Global Balanced Index is made up of the following underlying indices, also known as the strategic asset allocation (SAA):

The index is rebalanced back to its SAA semi-annually, in March and September. This allows weight drifting to occur in between rebalances, which may benefit from market momentum. 

Key Features of This ETF

• The ETF will gain exposure to these different asset classes by tracking the Satrix Global Balanced Index.
• Satrix shall hold participatory interests in collective investment schemes (CIS) registered in South Africa or of participatory interests in collective investment schemes or other similar schemes operated in territories with a regulatory environment that is of a sufficient standard to provide for investor protection which is at least equivalent to that in South Africa.
• ETFs have several advantages offering trading flexibility, liquidity, portfolio diversification, tax benefits, and transparency in a cost-effective vehicle.
• This ETF is offered at a TER of 0.35%.
  
  

Who Should Invest in this ETF?
This ETF is suitable for investors seeking to acquire diversified global exposure in ZAR. It is most suitable to investors who have a longer-term investment horizon and who are able to withstand volatility over the medium term. 
 

How to Invest
Existing investor: You can access the Satrix Global Balanced FoF ETF via SatrixNOW, which requires no minimum investment amount. Open your App, select the top left menu, and go to “New Listings”.
New investor: If you don’t yet have a SatrixNOW account, you can register here.

It will also be available via other investment platforms and personal stockbroking accounts.

Download the IPO Information Sheet. 

Key Dates

Disclaimer:

Satrix Investments (Pty) Ltd is an approved financial service provider in terms of the Financial Advisory and Intermediary Services Act, No 37 of 2002 (“FAIS”). The information above does not constitute financial advice in terms of FAIS. Consult your financial adviser before making an investment decision. While every effort has been made to ensure the reasonableness and accuracy of the information contained in this document (“the information”), the FSP, its shareholders, subsidiaries, clients, agents, officers and employees do not make any representations or warranties regarding the accuracy or suitability of the information and shall not be held responsible and disclaim all liability for any loss, liability and damage whatsoever suffered as a result of or which may be attributable, directly or indirectly, to any use of or reliance upon the information.

Satrix Managers (RF) (Pty) Ltd (Satrix) is a registered and approved Manager in Collective Investment Schemes in Securities and an authorised financial services provider in terms of the FAIS. Collective investment schemes are generally medium- to long-term investments. With Unit Trusts and ETFs, the investor essentially owns a “proportionate share” (in proportion to the participatory interest held in the fund) of the underlying investments held by the fund. With Unit Trusts, the investor holds participatory units issued by the fund while in the case of an ETF, the participatory interest, while issued by the fund, comprises a listed security traded on the stock exchange. ETFs are index tracking funds, registered as a Collective Investment and can be traded by any stockbroker on the stock exchange or via Investment Plans and online trading platforms. ETFs may incur additional costs due to being listed on the JSE. Past performance is not necessarily a guide to future performance and the value of investments / units may go up or down. A schedule of fees and charges, and maximum commissions are available on the Minimum Disclosure Document or upon request from the Manager. Collective investments are traded at ruling prices and can engage in borrowing and scrip lending. Should the respective portfolio engage in scrip lending, the utility percentage and related counterparties can be viewed on the ETF Minimum Disclosure Document. 

For more information, visit https://satrix.co.za/products