Step 3 : Choose a Product (Investment Vehicle)
You now need to choose a product (or investment Vehicle) to house your investments.
It is important to choose a product that best suites YOUR needs and requirements.
By clicking on the "Product name" below, you will be able to access the product Application forms as well as other details about each product available via Allan Gray.
Unit Trusts
Investing in Unit Trusts gives you the opportunity to grow your investment while at the same time gives you the flexibility to access it at any time (allowing for processing times etc). Unit trust investments can be used for investing towards retirement as well as towards any interim goals you may have.
It is important that you understand what your investment objectives are and then choose an investment vehicle that best suits that objective.
Click on the Product name or Document name to download.
Product Name | Minimum Investment Allowable | Product Documents |
|---|---|---|
R20,000 &/or R500 per month | ||
R20,000 &/or R500 per month |
Retirement Annuity
Investing in a Retirement Annuity gives you the opportunity to invest towards your retirement in a very tax efficient manner, while at the same time gives you the flexibility to manage your own portfolio.
It is important that you understand what your investment objectives are and then choose an investment vehicle that best suits that objective.
Regulation 28: What is this and what does it mean. Regulation 20 of the Pension Funds Act stipulates the maximum exposures that retirement fund savings may have to various asset classes, for example: 75% in equities, 25% in property and 25% in foreign assets.
Ensure that youe selection complies with Regulation 28.
To confirm whether your unit trust selection complies, use the Regulation 28 calculator supplied by Allan Gray here.
Click on the product name/ document name to download the Application form and Conditions of membership.
Product Name | Minimum Investment Allowable | Product Documents |
|---|---|---|
R20,000 &/or R500 per month |
Offshore Investment (Direct)
Investing offshore gives you the opportunity to diversify your Rand investments. Although offshore investing brings on an extra level of diversification, it also adds to the level of potential volatility you may experience in your portfolio.
It is important that you understand what your investment objectives are and then choose an investment vehicle that best suits that objective.
Click on the Product name or Document name below to download.
Product Name | Minimum Investment Allowable | Product Documents |
|---|---|---|
US$10,000 (and or equivalent in EUR, GBP, JPY or AUD) |
Endowment Policy
Investing in an Endowment Policy gives you the opportunity to grow your investment and benefit from an estate planning tool. There are 3 important aspects to understand when investing in an Endowment Policy:
- The tax effect on your investment within the policy. (Although endowment policies are tax free in the hands of the recipient, they do incur tax within the policy)
- The Estate planning benefit offered by the policy structure.
- You must be aware of the minimum investment term of an Endowment policy as well as the withdrawal limitations.
It is important that you understand what your investment objectives are and then choose an investment vehicle that best suits that objective.
Click on the Product name or Document name to download.
Product Name | Minimum Investment Allowable | Product Documents |
|---|---|---|
R20,000 &/or R500 per month | ||
R20,000 &/or R500 per month |
Preservation Funds
Investing in a preservation fund gives you the opportunity to preserve and grow your Pension or provident fund investment when you change jobs. Preservation funds retain the rules of the original funds they originated from. You cannot add to your investment in a preservation fund.
It is important that you understand what your investment objectives are and then choose an investment vehicle that best suits that objective.
Regulation 28, What is this and how does it affect your investment. Regulation 28 of the Pension Funds Act stipulates the maximum exposure that retirement fund savings may have to various asset classes, for example: 75% in equities, 25% in property and 25% in foreign assets.
Ensure that your fund selection complies with Regulation 28.
To confirm whether your unit trust selection complies, use the Regulation 28 calculator supplied by Allan Gray here.
Click on the Product name and Product Document name to download the Application documents and conditions of membership documents.
Product Name | Minimum Investment Allowable | Product Documents |
|---|---|---|
R50,000.00 |
Living Annuity
When you reach retirement, you will be required to convert/invest a certain portion of your retirement savings (Pension, Provident and Retirement Annuity funds) into an annuity.
Investing in to a Living Annuity gives you the opportunity to manage and grow your investment while at the same time gives you the flexibility to change your monthly drawings rate, on an annual basis. It is however very important that you manage your Living Annuity very carefully to ensure that you have funds to provide an income for the rest of your life.
It is important that you understand what your investment objectives are and then choose an investment vehicle that best suits that objective.
Click on the Product name or Document name to download.
Product Name | Minimum Investment Allowable | Product Documents |
|---|---|---|
R100,000.00 |
Tax Free Savings Account
Investing in a Tax Free saving Account gives you the opportunity to grow your investment Tax Free while at the same time gives you the flexibility to access this investment at any time (allowing for processing times etc). There are some important rules to be aware of when investing into a tax free savings account:
- A maximum of R30,000.00 can be invested tax free per year. (Any amount invested above the R30,000.00 is taxed at 40%)
- A maximum of R500,000.00 (as at Jan 2016) is allowed to be invested into a tax free savings account.
- If you make a withdrawal, you cannot replace those funds in your account.
It is important that you understand what your investment objectives are and then choose an investment vehicle that best suits that objective.
Click on the Product name or Document name to download.
Product Name | Minimum Investment Allowable | Product Documents |
|---|---|---|
R20,000 &/or R500 per month |
Once you have chosen your product and downloaded the Application form, please tick the radio button corresponding to the product choice you have made below and then click next to move to the next step.
Note : You will not be able to proceed to the next step until you have marked ONE of the radio buttons.