Money
  • The top-performing unit trusts available locally would have almost doubled your money in the past year.
  • They were invested in global shares, particularly tech companies.  
  • The losing funds were exposed to property companies.
  • For more articles, go to www.BusinessInsider.co.za.

You would have almost doubled your money had you invested in the best-performing unit trusts available to retail investors in South Africa a year ago. 

Looking at the list of these funds, compiled by the investment research firm Morningstar, most of them were invested in global shares, specifically technology companies.

The so-called ‘FAANG’ shares - Facebook, Amazon, Apple, Netflix and Google - have exploded by more than 60% so far this year.  

They were among the few companies that benefited from the pandemic as more people stayed at home, making for a bigger reliance on technology for work and entertainment.

There are also a smattering of top-performing funds invested in resources, gaining from the gold price's almighty rally to above $2,000/oz in recent weeks.

Top performing unit trusts over the past year

IP Global Momentum Equity 86.63%

Naviga BCI Worldwide Flexible 85.69%

Old Mutual Gold 81.68%

Anchor BCI Global Equity 78.15%

Sygnia FAANG Plus Equity 74.06%

1nvest S&P500 Info Tech Index 64.59%

Anchor BCI Global Technology 57.90%

Ninety One Commodity 55.13%

SIM Resources 48.74%

Sygnia 4th Industrial Revolution 46.75%

Coronation Resources 46.29%

Nedgroup Inv Mining & Res 45.65%

(For the year to August 21, 2020) Source: Morningstar

The losers were primarily unit trusts that were invested in property companies. 

These businesses - which were already taking strain before the coronavirus crisis - were among the worst affected by the pandemic.

SA's malls, owned by large listed property groups, ran empty as consumers stayed home. Tenants demanded payment holidays, and many will go bankrupt. The owners of offices - whose occupants were working from home for months - can also expect an exodus as companies cut down on space. 

Worst performing unit trusts over the past year

Absa Property Index A -42.07%

Momentum Real Growth Property Index A -42.09%

Sygnia Listed Property Index A -42.21%

Optimum Property Fund -42.30%

Satrix Property Index A1 -42.31%

Prescient Property Equity A1 -42.58%

Prudential Enh SA Prop Tracker A -42.72%

Momentum SA Real Growth Property A -42.76%

Catalyst SA Property Equity Prescient A -43.08%

SIM Property A -44.07%

Coronation Property Equity A -44.67%

Ci Property B -47.52%

Select BCI Property A -48.67%

(For the year to August 21, 2020) Source: Morningstar

Experts say you shouldn’t look at share performances over a year, because the stock market is too volatile. Three to five years provide a better yardstick to measure investment performance.

But over these longer periods, the top and worst performing funds look remarkably similar.

Top performing unit trusts over the past three years

Old Mutual Gold R 44.54%

IP Global Momentum Equity A 42.05%

Ninety One Commodity R 31.24%

Anchor BCI Global Equity FF A 29.60%

Sygnia 4th Industrial Revolution Gl Eq A 25.75%

SIM Resources 24.74%

BlueAlpha BCI Global Equity A 24.07%

Nedgroup Inv Mining & Res R 23.74%

Autus Prime Global Equity FF A 23.68%

STANLIB Global Equity FF A 22.09%

Coronation Resources P 21.91%

PSG Wealth Global Creator FF D 21.87%

MI-PLAN IP Global Macro B5 21.86%

(Annualised performance, for the three years to August 21, 2020) Source: Morningstar

Worst performing unit trusts over the past three years

Prescient Property Equity A1 -21.88%

Momentum SA Real Growth Property A -22.03%

Plexus Wealth BCI Flex Property Inc A -22.22%

Catalyst SA Property Equity Prescient A -22.31%

Coronation Property Equity A -22.51%

STANLIB Property Income B1 -22.57%

Prudential Enh SA Prop Tracker A -22.77%

Ninety One Property Equity A -23.15%

SIM Property A -23.42%

Plexus Wealth BCI Property A -23.86%

Select BCI Property A -24.43%

Ci Property B -26.24%

Nedgroup Inv Property A -26.32%

(Annualised performance, for the three years to August 21, 2020) Source: Morningstar 

Top performing unit trusts over five years

IP Global Momentum Equity A 29.03%

Old Mutual Gold R 28.52%

Ninety One Commodity R 24.80%

Coronation Resources P 21.43%

Nedgroup Inv Mining & Res R 19.18%

Personal Trust Income ABIL Retention 18.75%

BlueAlpha BCI Global Equity A 18.24%

SIM Resources 17.91%

Ninety One Global Franchise FF A 16.66%

Autus Prime Global Equity FF A 16.65%

MI-PLAN IP Global Macro B5 16.53%

PSG Wealth Global Creator FF D 16.45%

(For the five years to August 21, 2020) Source: Morningstar

Worst performing unit trusts over the past five years

Absa Smart Alpha Property A -11.67%

STANLIB Property Income B1 -11.69%

Plexus Wealth BCI Property A -12.00%

Coronation Property Equity A -12.28%

Oasis Property Equity D -12.36%

Mazi Asset Management Prime Property -12.41%

SIM Property A -12.58%

Ninety One Property Equity A -12.64%

Select BCI Property A -13.15%

Ci Property B -14.33%

Nedgroup Inv Property A -14.89%

(Annualised performance, for the five years to August 21, 2020)  Source: Morningstar

The article has been corrected to reflect that Visio BCI Property Fund was not among the worst performers over the one-year period. The Visio BCI Property Fund, retail class C, was only launched on 30 June 2020.

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