Are you wondering how the Absa multi-managed bond fund works? Then check out this article.
A multi-managed bond fund is whereby multi-managers refer to the numerous involvement of different managers in the investment strategy of a bond fund.
The primary objective of this fund is to provide investors with income and capital growth for a medium to long-term duration.
The fund also offers investors lower volatility of capital as is generally received from bond-type investments.
We will first show you the requirements to apply for the funds.
What Are The Requirements
Below are the requirements to apply for the Absa multi managed bond fund:
- You need a Certified south African ID
- Provide your Birth certificate
- Proof of address not older than three months
- If you are not an Absa client, you should provide proof of banking details
- You need to provide your Tax number
These are the requirements to apply for the Multi-managed bond fund in South Africa.
Absa Multi Managed Bond Fund
The minimum amount you can invest is R2000, and the minimum monthly contribution is R200.
Capital growth is core to this fund which also aims at providing its customers with attractive income yields.
The fund invests in non-equity securities, liquid assets, bonds, and fixed deposits.
The Multi-managed bond fund is ideal for medium to long-term investment plans.
The multi-managed bond fund also invests in foreign assets as permitted by the act and financial instruments determined by the legislation.
These are the features of Multi managed bond fund in South Africa.
What Are The Risks of Multi-managed Bond Fund In South Africa
Changes in the values of different currencies may affect the value of funds investment and related income.
Investments may be concentrated on specific areas like investment style and several other ways.
The value of fixed-income investments tends to decrease when interest rates or inflation rises.
This is all you need to know about the Absa multi-managed bond fund in South Africa.