Segregated

Introduction

This fund allows for direct ownership of local assets by fund. This is where BIFM manages the funds of the client, whilst the client holds the scrip / investments directly in their own name.

Target market and investment qualifying criteria

This product is targeted at:

  1. Institutional funds – pension funds and medical aids
  2. Ideal for bigger funds where the economies of scales can be achieved
  3. The qualifying criteria is BWP50 million minimum

Features and Benefits

  1. Custodial arrangements are separate
  2. Any rebalancing will usually attract direct transaction costs
  3. Ideal for big funds which can absorb direct costs
  4. The asset allocation is unique to the client

Investments / Disinvestments

Funds can withdraw / disinvest funds from the portfolio.

Investment

Funds can make a deposit / investment into the portfolio periodically. All investments will come in the form of an instruction from the administrator or Fund.

Fees

  1. Fees are contractual and are based on size of assets.
  2. All other costs are additional, for example brokerage and custodial fees.

Segregated Asset Allocation

Because this is a pooled investment vehicle with a specific client mandate with respect to asset allocation, BIFM manages the contributions within the broad restrictions of the allocation parameters as set by the Funds mandate.