Sanlam is the second largest financial services institution in South Africa.
Its primary business is to satisfy the financial needs of individuals and organisations by providing advice, services and products in the field of saving and investment and the underwriting of assurance risks. (Back to Contents...)
Sanlamtrust Managers Ltd, a full subsidiary of Sanlam has been at the forefront when the unit trust movement was started in 1965 and manages a total of eight unit trusts in South Africa and two in Namibia.
It is the second largest unit trust management company with a total of 401 089 investors on record representing assets at market value of R3650,2 million as at 31 December 1995. (Back to Contents...)
The directors of SML are Desmond Smith (chairman), who is also managing director of Sanlam,
Hendrik Bester, a senior general manager in charge of Sanlam's investment team,
Johann Treurnicht, a senior general general heading Sanlam's marketing division,
and Willie Olivier, a Sanlam general manager. (Back to Contents...)
All the Sanlam unit trusts are managed in full compliance with the legal requirements of the Unit Trust Control Act No. 54 of 1981.
Each of these unit trusts is controlled by a trust deed that determines the basis of its operation and forms the agreement between Sanlamtrust Managers Ltd. and the trustee of each particular trust and the investors in each trust. (Back to Contents...)
In June 1994 Schalk Theron (41) became senior portfolio manager for all ten funds.
He has 16 years experience in asset management and joined Sanlam's investment division in 1979.
He is a commerce graduate from Stellenbosch University.
The senior official in charge of the day-to-day management is adv. Cas Potgieter (56).
The auditors is Coopers & Lybrand (Back to Contents...)
Sanlam's considerable investment expertise is fully employed in compiling the various unit trust portfolios.
The company's general investment objective is to render sustained above-average returns on the medium to long term at acceptable risk levels.
It strives to outperform its competitors, the JSE indices and the inflation rate in the long term. (Back to Contents...)
An important characteristic of unit trusts is the transparency. Sanlam Unit Trusts maintain a high level of service and communication with its clients and with the market place.
This is done in full adherence to the letter and spirit of the Association of Unit Trusts' Code of Conduct. (Back to Contents...)
Of Sanlam Unit Trusts' ten unit trusts four are general equity funds, namely Sanlamtrust, Sanlam Index Trust, Sanlam Prime Growth Trust and Sanlam Namibian Growth Trust.
There are a further four in the specialist equity category, namely Sanlam Mining and Resources Trust. Sanlam Industrial Trust, Sanlam Provider Trust and Sanlam Optirand Trust.
The two remaining funds are high income trust, namely Sanlam Income Trust and Sanlam Namibian Income Trust. (Back to Contents...)
Sanlam Unit Trusts also offer Guarantee 24 on its South African equity funds.
By applying for each Sanlam fund, the investor is guaranteed that the greater of the highest value of the investment during the preceding 24 months or the capital paid in will be paid out should he/she die.
This facility assures a Sanlam unit trust investor against the risk of capital loss in event of death when share prices are in decline, i.e. a Bull Market.
The premium only becomes payable when the value of the investment moves below its previous high and is retained from the half-yearly income distribution for easy and cheap administration. (Back to Contents...)
To avoid poor timing of a lump sum investment and obtain rand cost averaging, a minimum investment of R5 000 can be kept in TransTrust Plan. Whilst earning interest, an amount of the investors choice is transferred monthly to his/her selected trust. . (Back to Contents...)
A non-recurring initial charge of 5% is included in the daily purchase price. Pensioners over 60 only pay 4%. Starting at R50 000 the initial charge decreases for larger amounts invested. For Income Trusts it is fixed at 1,5%.
A compulsory charge of between 1,5% and 2% is applicable on all transactions.
As from 1 April 1995 the annual service charge is 2%. It is calculated on the market value of the portfolio at the end of every month and is retained from the half-yearly/quarterly income before it is allocated to investors.
Investors may switch between Sanlam's equity unit trusts without extra cost. Only the compulsory charge of between 1,5 to 2% is levied.
In terms of current legislation dividend income is tax-free and interest income partially tax-free.
Sanlam Unit Trusts are marketed at all Sanlam offices country-wide (about 500).