The objective of the Sygnia Itrix FANG.AI Actively Managed ETF is to provide a simple vehicle to investors who wish to gain investment exposure to companies which use advanced technologies to acquire and retain users, including industry disrupting technologies such as artificial intelligence, large language models, cloud storage, big data, social media, and e-commerce tools.
“Our funds are designed to challenge the status quo, because we want our investors to feel like the world is their oyster, that everything is possible.”
Kyle Hulett, Head of InvestmentsInvestment objective and strategy
The objective of the Sygnia Itrix FANG.AI Actively Managed ETF is to provide a simple vehicle to investors who wish to gain investment exposure to companies that use advanced technologies to acquire and retain users, including industry-disrupting technologies such as artificial intelligence, large language models, cloud storage, big data, social media and e-commerce tools. The holdings of this actively managed portfolio depend on a number of factors, including the underlying benchmark, the NYSE® FANG+™Index (although the portfolio is not obliged to hold all the benchmark constituents).
What the fund invests in
| Top 10 holdings | Percentage | Allocation |
|---|---|---|
| Microsoft Ord Shs | 11.3 | |
| Alphabet Ord Shs Class A | 11.1 | |
| NVIDIA Ord Shs | 10.6 | |
| Amazon Com Ord Shs | 10.6 | |
| Meta Platforms Ord Shs Class A | 10.1 | |
| Apple Ord Shs | 10.1 | |
| Snowflake Ord Shs Class A | 6.3 | |
| Netflix Ord Shs | 5.9 | |
| Broadcom Ord Shs | 5.8 | |
| Tesla Ord Shs | 5.4 |
Risk profile
The fund has a high risk profile, as it is predominantly invested in global equities, which combine both equity market and currency risks. Furthermore, the fund invests specifically in companies involved in new and emerging technologies, which have a high degree of volatility. Risk is also high as the fund is a concentrated portfolio, with the fund’s benchmark comprised of only ten shares. Effective exposure of the portfolio invested outside South Africa will always be above 80% and is affected by, among other factors, general market risk, exchange rate risk, interest rate risk, liquidity risk and legal and regulatory risk.
Who Should Invest?
The fund is suitable for investors seeking currency diversification and higher returns with a view to long-term capital growth. It is also suited to investors willing to tolerate a higher risk of volatility in performance through exposure to companies involved in transformative technologies.
| Annual management fee | 0.70% p.a. (excl. VAT) |
| Performance fee | 20% of the outperformance of the benchmark |
| VAT | 0.11% |
| Other costs | 0.01% |
A higher TER does not necessarily imply a poor return, nor does a low TER imply a good return. The current TER may not necessarily be an accurate indication of future TERs. TCs are a necessary cost in administering the financial product and impact financial product returns. TCs should not be considered in isolation, as returns may be impacted by many other factors over time, including market returns, the type of financial product, the investment decisions of the investment manager and the TER.
Disclosures
The Sygnia Group is a member of the Association for Savings and Investment SA. Sygnia ltrix (RF) (Pty) Ltd is a registered and approved Manager under the Collective Investment Schemes Control Act, 2002 (CISCA). Sygnia Asset Management (Pty) Ltd (FSP 873), an authorised financial services provider, is the appointed investment manager of the fund. Sygnia ltrix does not provide any guarantee with respect to the capital or return of the portfolio. Collective investment schemes are generally medium to long-term investments. Collective investment schemes are traded at ruling prices and can engage in borrowing and scrip lending. The value of investments/units may go down as well as up, and past performance is not necessarily an indicator of future performance. AMETFs trade on stock exchanges and may therefore incur additional costs associated with listed securities. Unlike a unit trust, which can be bought or sold only once per day, an AMETF can be traded intraday, during exchange trading hours. AMETFs may invest in foreign securities, which may be exposed to macroeconomic, settlement, political, tax, liquidity and foreign exchange risks. Performance is calculated for the portfolio, and individual investor performance may differ as a result of trading cost and price paid for investment share. A schedule of fees, charges and – where the AMETF engages in securities lending activities, information on such securities lending activities – may be requested via admin@sfs.sygnia.co.za or 0860 794 642. The complete terms and conditions of your AMETF investment are contained in the fund’s offering circular, pre-listing statement, programme memorandum and/or supplemental deed, and constituents with prices are published daily on Sygnia’s website. The documents/information may be obtained from www.sygnia.co.za or on request from Sygnia. Nothing in this document shall be considered to state or imply that the fund is suitable for a particular type of investor. All the portfolio options presented are approved collective investment schemes in terms of the CISCA. The Manager has the right to close any portfolios to new investors to manage the portfolios more efficiently in accordance with their mandates. A copy of the minimum disclosure document (MDD) is available on our website: www.sygnia.co.za.
Benchmark disclosures
NYSE® FANG+™ Index (the “Index”) is a product of ICE Data Indices, llc (“ICE Data”) and is used with permission. ICE® is a registered trademark of ICE Data or its affiliates. ICE Data, its affiliates and their respective third party suppliers disclaim any and all warranties and representations, express and/or implied, including any warranties of merchantability or fitness for a particular purpose or use, including the indices, index data and any data included in, related to or derived therefrom. None of ICE Data, its affiliates nor their respective third party suppliers shall be subject to any damages or liability with respect to the adequacy, accuracy, timeliness or completeness of the indices or the index data or any component thereof, and the indices and index data and all components thereof are provided on an “as is” basis, and your use is at your own risk. Inclusion of a security within an index is not a recommendation by ICE Data to buy, sell or hold such security, nor is it considered to be investment advice. ICE Data, its affiliates and their respective third party suppliers do not sponsor, endorse or recommend Sygnia Asset Management (Pty) Ltd (FSP 873) or any of its products or services.