The Investor - Moneyweb's monthly investment magazine Issue 4 | Page 34

WHICH FUNDS ARE ATTRACTING INVESTOR MONEY? As South African investors grow more sophisticated, they are better understanding the benefits of looking offshore. The importance of diversification and the wider universe that international markets offer are something that many investors now see as a vital consideration. They also appreciate that you don't need to take money offshore to get international exposure. Many South African asset managers offer rand denominated funds with a global mandate that are as simple to invest in as any local unit trust or exchange-traded fund. Although not all asset classes have been equally attractive, in general local investors are increasing their exposure to global funds. Overall there have been net inflows of over R3 billion into global unit trusts and exchange-traded funds over the last year. That is opposed to overall net outflows of more than R4 billion from domestic funds over the same period. Overall there have been net inflows of over R3 billion into global unit trusts and exchangetraded funds over the last year. 34 ISSUE 4 – JULY 2015 The below table shows the flows into a selection of the main global fund categories between 1 June 2014 and 31 May 2015. Fund flows to 31 May 2015 Sector Six month net flows One year net flows One year change Global – Equity – General R1.6 b [[ۂ