wealth portfolio management wealth

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1 wealth portfolio management wealth

2 experience the power of dividends produce inflation-beating returns diversify your portfolio

3 Why invest in shares? If you own shares, also known as equities, you own a portion of a company. This makes you a shareholder who is entitled to a portion of the companies profits, paid in the form of dividends. Some of the advantages include: The combination of dividends and the growth in capital market value of your shares over time is the total return for your investment. You can use the dividend as an income or you can reinvest it in your share portfolio. Dividends on shares attract less tax compared to the other sources of investment return. Shares also provide you with higher returns than any other asset class. Shares, therefore, gives you the best chance of beating inflation. Although investing in shares does not come without risk, you can manage your risk to a minimum by investing in different sectors and a variety of shares, and by taking a long-term view on your investment. Why a personal share portfolio with Momentum Wealth makes sense Focused investing You can invest in shares through an equity unit trust fund or a managed share portfolio. We offer a wide range of investment components, which includes both options. With personal share portfolios (PSPs), portfolio managers have fewer shares in a portfolio and take high-conviction positions in the shares they really like. Unit trust managers must invest according to their investment mandate and tend to spread the investment risk by using several different shares. They also tend to keep close to their benchmark and peers to prevent significant underperformance. Share portfolios managed with high conviction are therefore the best way to generate alpha (additional return over the benchmark) on your investment. Tax and estate planning benefits When you invest in a PSP with Momentum Wealth, you get the tax and estate planning benefits that an investment product offers you. For example: retirement annuities do not attract any tax on its investment returns, your investment amounts, within limits, can be deducted from tax, and you also do not have to pay estate duty.

4 Flexibility and convenience You can easily move between a PSP and other investment components as your needs change. We also combine all your investment components when we report to you. Our statement shows you how your share portfolio is made up. Reduced administration fees We calculate your annual administration fees on the total amount you have invested across our product range. This means that you pay less compared to if we calculate our fee on each individual investment. Why use Wealth Portfolio Management? At Wealth Portfolio Management, you enjoy access to our portfolio management skills. We will work closely with your financial adviser to make sure that your PSP fits in with your overall financial plan. We can also use specialised investment instruments when putting your PSP together. Our investment minimums for a PSP are of the lowest in the market and our portfolio management fees are very competitive. You will also benefit from lower platform administration fees because you are using an in-house PSP provider. Benefit from a skilled portfolio manager Wayne McCurrie is the Head of Momentum Wealth Portfolio Management. He has 25 years experience with the MMI Group, which includes the active management of money since He held various senior positions in our single and multi-manager businesses, namely portfolio manager, managing director, group strategist and deputy director. Wayne is also a well-known media personality who regularly appears on radio and TV programmes such as Talk Radio 702, 567 Cape Talk, SAfm, CNBC Africa and Business Day TV.

5 Wayne is the portfolio manager for our three model portfolios, which represents our best investment views. You can choose from the following: Equity Portfolio an actively managed, concentrated portfolio of a maximum of 15 shares. This portfolio is for investors looking for wealth creation and maximum capital growth over the medium to long term. High Dividend Yield Portfolio a concentrated portfolio with a maximum of 15 shares managed for investors who want to optimally benefit from dividends. You can use the dividend yield for income drawdown purposes or for its contribution to the total investment returns from shares over time. Asset Allocation Portfolio an actively managed, diversified portfolio that invests in equities, bonds and cash. This portfolio is for investors looking for capital growth over the medium to long term. Our model portfolios have discretionary mandates. This means that Wayne makes the investment decisions for your PSP. Minimum lump sum investment amount: R Minimum additional regular investment amount: R1 000 (monthly) Custom portfolio If you have different investment needs and have R5 million or more to invest, we can create a custom portfolio for you. Wayne will manage all custom portfolios, based on your unique investment needs. For more information, please contact: Portfolio manager: Wayne McCurrie Tel: +27 (0) , [email protected] Operations: Marilize Lansdell Tel: +27 (0) , [email protected]

6 Disclaimer: Shares are generally medium- to long-term investments. The value of shares may go down as well as up and past performance is not necessarily a guide to the future. Opinions expressed in this document are those held as at the date appearing in this material only. Momentum shall not be liable or responsible for any use of this document or to any other person or entity for any inaccuracy of information contained in this document or any errors or omissions in its content, regardless of the cause of such inaccuracy, error or omission. This document should not be seen as an offer to purchase any specific product and should not be construed as advice or guidance in any form whatsoever. MMI Group Limited 268 West Avenue Centurion 0157 PO Box 7400 Centurion 0046 South Africa Tel +27 (0) Fax+27 (0) Share Call [email protected] Reg. No. 1904/002186/06. Momentum, a division of MMI Group Limited, an authorised financial services and credit provider.