In July 2021, the average prudential balanced portfolio returned 1.9% (June 2021: 0.4%%). Top performer is NAM Coronation Balanced Plus Fund with 2.6%, while Allan Gray Balanced Fund with 1.3% takes the bottom spot. For the 3-months Momentum Namibia Growth Fund takes the top spot, outperforming the ‘average’ by roughly 1.2%. On the other end of the scale, NinetyOne Managed Fund underperformed the ‘average’ by 1.2%. Note that these returns are before (gross of) asset management feess.

The Monthly Review of Portfolio Performance to 31 July 2021 provides a full review of portfolio performances and other interesting analyses.

Understanding Benchmark Retirement Fund Investments

In the last and the next few issues of our monthly Performance Review, I will provide background and guidance on investments to assist Benchmark Retirement Fund members taking charge of their fund investments.

  1. Parties to fund and their roles and responsibilities
  2. Investment choice and return objectives
  3. Investment range and portfolio composition
  4. Performance characteristics of asset classes and portfolios
  5. The default portfolio
  6. The default portfolio vs the smooth growth portfolio
  7. Income replacement ratio and contribution rates
  8. Selection of investment managers
  9. Combining investment portfolios and when to switch
  10. Investment manager risks and manager diversification
  11. Performance measurement

In the previous three newsletters, I covered the first six topics. In this newsletter, I cover the topics “Income replacement ratio and contribution rates” and “Selection of investment managers”..

Read part 6 of the Monthly Review of Portfolio Performance to 31 July 2021 to find out what our investment views are.