ASSETS UNDER MANAGEMENT: Collective investment schemes surpass the R3-trillion milestone for the second time in three years

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Investment companies are confident that greylisting is already priced into the market.

, retail and corporate investors as well as retirement funds continued to invest in the collective investment schemes industry, which recorded net inflows of R108-billion in 2022, ending the year with R3.14-trillion in assets under management.

“Improving and strengthening current anti-fraud and money laundering legislation should be considered a plus for investors, as it provides foreign investors more protection and safeguards when they invest money in South Africa. Once all requirements are met, it also puts our country on par with international legislation found in other developed nations,” he adds.

While greylisting may not pose an immediate threat, the tumultuous economic climate of 2022, with increasing interest rates together with pockets of opportunity in the equity market, was instrumental in moving money out of certain sectors. The SA interest-bearing short-term sector saw the highest net outflows, losing R8-billion. However, Mulder says this is hardly surprising, given last year’s extreme market volatility.

 

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