Anela Elevation Fund
By investing into the Anela Elevation Fund corporates can convert their Supplier Development (SD) spend from an annual expense into a once off investment. The investment return should more than adequately cover the fees associated with the investment. The Fund return will be generated from interest earned on a portfolio of commercial unlisted loans made to qualifying supplier development investments.
Investors will receive a Supplier Development Certificate from an accredited rating agency indicating their exact accredited Supplier Development spend. For so long as investors remain invested in the Fund, they will receive annual accreditation confirming compliance with the Codes. The underlying investments of the Fund are made with the explicit goal of complying with the aspects of the DTI B-BBEE scorecard in so far as they relate to Supplier Development.
Form of investment - investors will be issued with a sinking fund policy administered by Prescient Life (RF) Limited.
Term of investment - the investment has a minimum 5-year term where there is restricted liquidity
Tax treatment of investment - in terms of income tax legislation Prescient Life are required to pay income tax and capital gains tax (CGT) at a rate which depends on how the investor is classified (eg. a natural person, company, or an untaxed policyholder). Trusts are taxed according to the classification of the beneficiary. Income tax is incurred and recovered from the policy when income distributions are made and tax is levied on any capital gains that may arise. This means that on the sale of units to pay a benefit from the policy, the benefit may be reduced by a provision for CGT. Any sale of units to pay fees or charges or a sale of units to effect a switch from one unit trust to another may create a CGT liability which will be recovered from the policy benefit when it is paid out.
Benchmark, Performance and Risk Target – The Fund aims to deliver a gross investment return of at least 5.25% which is sufficient to cover the annual fees charged for the administration and management of the Fund. In addition, the Fund targets capital protection over time whilst delivering measurable social impact.
Fees & charges - All fees are quoted as a percentage of assets under management on an annual basis, and exclude VAT. The asset consulting fee covers the sourcing, screening, structuring and ongoing monitoring of the fund investments.
Financial Advisor Fee
A maximum initial up-front fee of 1.75% is permitted with a maximum ongoing fee of 0.75%. The maximum fee charged over the first 5 years may not however exceed 3.75%. This means that the maximum ongoing fee is reduced by the amount taken as an up-front fee.
Prescient Policy fee - 0.18%
Prescient Policyholder Administration Fee - 0.22%
Annual Asset Consulting Fee
Agri ED Fund - 3.50% | Elevation Fund - 3.50%
Annual B-BBEE Accreditation fee - R1,500.00 (ex vat)