Alternative Investments

South Africa's inclusion in the global economy has brought a number of new investment opportunities - ranging from international equities and bonds to international hedge funds. South African investors have capitalised on these opportunities to increase their diversification by introducing new asset classes.

However, domestic equities still make up a large portion of South African investors' total assets.

NOVARE® Investments is continuously looking for new ideas to improve the efficiency of clients' investment structures. We identified alternative investments, including absolute return portfolios and hedge funds as building blocks absent from investors' strategies. These instruments have the ability to improve risk-return profiles by increasing diversification.

Funds of hedge funds can add value to any portfolio as their performances are mostly uncorrelated to traditional asset classes.

Even though a fund of hedge funds does not guarantee initial capital as structured products do, the net effect is generally to deliver stable positive returns irrespective of market conditions.

Services on Alternative Investments

NOVARE® Investments employs a dedicated team of professionals who specialise in the risk management, monitoring and reporting of local hedge funds and absolute return funds.

We advise on the Mayibentsha® Fund of Funds, which is available as an alternative investment for institutional and individual investors. The Mayibentsha Fund of Funds was launched in April 2003 and is available to South African individual investors through and endowment wrapper offered by PSG FutureWealth.

PSG FutureWealth is a South African Life Insurance Company.

Learn more about the Mayibentsha® Fund of Funds by contacting us