Category Investments

Liberty launches structured global tracking funds targeting future growth

14 October 2021 Liberty
Vimal Chagan, Head of Retail Investment Products at Liberty

Vimal Chagan, Head of Retail Investment Products at Liberty

Liberty is offering investors the chance to get involved in two structured investment opportunities that take advantage of global growth opportunities.

The first is the Liberty Structured Global Performer ESG V1 portfolio, that tracks the MSCI Global Diversified ESG 100 Decrement 5% Index, for investors who feel that companies which adhere to sustainable environmental, social and governance principles make a worthy investment opportunity.

The other is the Liberty Structured Global Performer V1 portfolio, balancing 50 percent between the S&P 500 and the Eurostoxx 50 to take advantage of some of the best performing companies in the US and the Eurozone.

With the Global Performer V1 offering, if the change in value of the basket is positive at maturity date (after adjusting for tax), but less than 8%* p.a., clients receive the full 8%* p.a. If the change in the value of the basket, adjusted for tax, is more than 8% *p.a. at maturity date, the client then receives the growth (adjusted for tax) at Maturity Date. All returns are net of fees and taxes and are denominated in Rands.

If there is no change or where the basket of underlying indices drops by less than 30% at the maturity date, then the client receives their allocated investment amount in the structured portfolio back. If the return drops by more than 30% at the maturity date, then the capital protection falls away and the client receives the return of the basket.

A similar arrangement applies with the Liberty Structured Global Performer ESG V1 portfolio, except that the target return is 12*% p.a.

Both portfolios are protected from currency swings as the proceeds are denominated in rands and the benefits provided on both portfolios are net of fees and taxes. The portfolios are available on Liberty's Evolve Investment Plan and Evolve Investment Plan (Sinking Fund) for a limited period, which closes on 3 December 2021.

"Our leading investment offerings use indexes which aggregate some of the best companies worldwide. The basket of stocks underlying each index is reviewed regularly by these index providers," says Vimal Chagan, Head of Retail Investment Products at Liberty.

"We think the companies of the future are the ones that are taking care to protect the future. This is why our investments offer clients the opportunity to invest in companies that fit into our broader view of creating a sustainable future."

"Managing the future is also about dealing with the ever-growing complexity of the markets, with so many more choices becoming available every day to investors. This is so they can focus on knowing we've thought about all the options and their savings are on a journey that is constantly evolving to take advantage of every emerging angle," he says.

Investors who wish to get involved in either or both of these offerings should contact their financial adviser for more information about fees and minimum investment amounts.

Liberty offers investors a wide variety of choices, which includes the Standard Bank Shyft app that allows you to buy forex instantly and invest in some of the top performing US stocks and ETFs online.

(* This is the return Liberty aims to achieve. The final rate will only be known at the portfolio's strike date which is 10 December.)

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