1. Evolve Investment
Strategies
Is 60% too much to have in equities?
Are you hesitant to commit 60% of your client’s money
to the higher Target Return Capped Tracker (which tracks the
ALSI Top 40) but would still like to benefit from the Evolve
Range’s low ongoing costs?
Invest your client’s money in Evolve by investing only a portion
upfront and adding the remainder as an additional lump sum
investment.
This will allow your client to get the benefit of low ongoing
charges with a much smaller allocation of their total investment
into the Capped Tracker.
It is important to remember that by investing only a portion of
your client’s money upfront, this will impact on the allocation
enhancement your clients will receive on their total investment.
Another option would be to simply select the lower Target
Return Capped Tracker.
Let’s look at an example:
John has R1 000 000 to invest but does not want to commit
a full 60% of his investment to the ALSI Top 40.
He opts to invests R400 000 into an Evolve Investment Plan
and makes an additional ad-hoc investment of R600 000 into
his own choice of portfolios on the Evolve Investment Plan.
Want to protect your clients against potential losses?
Evolve offers your clients the option of adding investment
guarantees to their investments. This offers them the protection
of the capital they invested over a five year period. In essence, it
is a money back guarantee if the market does not perform!
To give your clients the Liberty advantage, contact your Broker Consultant or Investment Specialist.
Disclaimer: The information contained in this document does not constitute advice by Liberty. Any legal, technical or product information contained in this document is subject to change from time to time. If there are any discrepancies between this document and the
contractual terms or, where applicable, any fund rules, the latter will prevail. Past performance cannot be relied on as an indication of future performance. Investment performance will depend on the growth in the underlying assets, which will be influenced by inflation levels
in the economy and prevailing market conditions. Any recommendations made must take into consideration your specific needs and unique circumstances.
Liberty Group Limited is an authorised financial services provider (no. 2409) Terms and conditions apply.
© Liberty Group Ltd 2014. All rights reserved.
R5800
R13680
R400000 R600000
R416000
(104%)**
R603480
(100.58%)**
R1 mil
(100%
)
R160000Ownchoiceof
portfolios
Challengespecial
enhancement
Total
Investment
R760000 (76%)
R240000
3.42%*
(R13680)
0.58%
(R2320)
CappedTracker
StandardEvolve
R240000(24%)
Total
R600000
R0
Invest R 400 000
into an Evolve
Investment Plan
Add the other
R 600 000 as an
additional lump sum
ENHANCEMENTS
0.00%
(R0)
0.58%
(R3480)
The market has given us all a rough ride and no one knows what lies ahead.
+
* R400 000 is less than R1 million.
** The 104% is calculated on R400 000 and 100.58% on R600 000,
which comes to 101.95% for the full R1 000 000.
*** This excludes any initial advice fees. In this example, you could still
charge R19 480 and your client will still receive 100% allocation.
R 1 019 480 (101.95%)***