In our guide today, we will focus on the Absa global core equity feeder fund in South Africa.
These funds provide capital growth over long-term investment in a diversified portfolio of global equity services.
The fund invests in a broadly diversified portfolio of securities selected through analytical techniques.
We will first show you the features of this fund.
What Are The Features
Your capital as an investor is exposed to currency risk and normal fluctuations associated with an investment in shares.
The fund is ideal for long-term investors who can tolerate a high level of risk.
The fund offers you geographic and currency diversification.
There is a rand-denominated offshore fund that offers you protection against depreciating rand.
The fund is suitable for investors interested in exposure to the offshore markets.
These are the features of the Absa global equity feeder fund in South Africa.
Absa Global Core Equity Feeder Fund
This is a domestic feeder fund consisting of exchange rate swaps, liquid-form assets, and participatory interest of the Schroder international selection fund QEP global core.
This fund is actively managed and aims to deliver consistent outperformance of the MSCI World.
Investors get capital growth primarily through investments in equity securities of companies worldwide.
The funds are invested internationally in equities quoted on recognized stock exchanges and other investments like transferable securities, collective investment schemes, warrants, and money market instruments.
You also have exposure to the listed and unlisted financial instruments and foreign investment exposure.
The Global core equity feeder fund works in South Africa.
What Are The Risks
The fund may lose value when moved to the foreign exchange rates.
The money owed to the fund may be lost in part or in whole if a counterpart cannot fulfill their obligations.
A derivative that may not perform as expected may create losses greater than the cost of the derivative leading to a loss of funds.
There is a liquidity risk where a fund may not sell a security for the full value in difficult market conditions.
This is all you need to know about Absa global core equity feeder fund in South Africa.