Allan Gray Stable Fund

The Fund invests in a mix of shares, bonds, property, commodities and cash. The Fund can invest a maximum of 45% offshore. The Fund typically invests the bulk of its foreign allowance in a mix of funds managed by Orbis Investment Management Limited, our offshore investment partner. The maximum net equity exposure of the Fund is 40%. The Fund’s net equity exposure may be reduced from time to time using exchange-traded derivative contracts on stock market indices. The Fund is managed to comply with the investment limits governing retirement funds. Returns are likely to be less volatile than those of an equity-only fund or a balanced fund.

Source: Profile Data

The Fund’s benchmark is the daily interest rate, as supplied by FirstRand Bank Limited, plus 2%.

A major portion of the Fund is typically invested in money market instruments. Allan Gray seeks  to deploy the Fund’s cash by investing in shares when they can be bought at a significant discount to their intrinsic value. They thoroughly research companies to assess their intrinsic value from a long-term perspective. This long-term perspective enables them to buy shares which are shunned by the stock market because of their unexciting or poor short-term prospects, but which are relatively attractively priced if one looks to the long term. If the stock market offers few attractive shares, they may allocate a low weight to shares or partially hedge the Fund’s stock market exposure in consideration of the Fund’s capital preservation objectives. The Fund may also invest in bonds, property and commodities. The Fund’s bond and money market investments are actively managed.

• Allan Gray SA Equity Fund
• Allan Gray Orbis Global Optimal Fund of Funds
• Allan Gray Orbis Global Balanced Feeder Fund
• Allan Gray Orbis Global Equity Feeder Fund
• Allan Gray Money Market Fund
• Allan Gray Bond Fund
• Allan Gray Optimal Fund
• Allan Gray Stable Fund
• Allan Gray Equity Fund
• Allan Gray Balanced Fund