momentum global growth allocator

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Momentum Global Growth Allocator

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Imagine an investment solution so advanced that it allows you to invest today, but it is only decided what percentage is invested in each of the selected international equity markets, after we calculate its performance at the end of the term.

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Would you be interested?

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What do we offer?

• Five year investment term product

• Growth linked to four major international market indices

• We only choose your allocation after five years

• Unlimited participation in returns from indices

• We boost returns with 20% (indicative only)

• Your returns are based on your original investment amount (fees do not affect your returns)

• Capital protection of the original investment amount at maturity

• 100% allocation: all costs are embedded in the product and no further costs are charged for the five-year period

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What do we offer?











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What is the Momentum Global Growth Allocator?

Exposure to the following leading international equity markets:

•United States of America (S&P 500 Index)

•Europe (Eurostoxx 50 Index)

•Asia (Hang Seng Index)

•Africa (BNP Paribas Africa Funds ER Index)

United StatesThe S&P 500 Index provides

you with exposure to roughly two-thirds of all

listed American companies

EuropeThe EURO STOXX 50 Index covers 50 leading blue-chip

companies from twelve European countries

AfricaThe BNP Paribas Africa

Funds ER Index is strategically diversified

across the African continent

AsiaThe Hang Seng Index provides you with exposure to a range of Asian companies listed on

the Hong Kong Stock Exchange

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Investing with the benefit of hindsight

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What do we offer?











• Your returns are based on your original investment amount (fees do notaffect your returns)

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Momentum Global Growth Allocator in action

For illustrative purposes only

100% protection

20.65% Additional return

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What do we offer?










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Momentum Global Growth Allocator back tested rolling five year returns

Source: I-Net, Morningstar. *Average global equity fund returns are based on the Morningstar Global Large-Cap Blend Equity category

100% Capital protection during market falls

Boosted upside performance

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How are the returns calculated?

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Growth market scenario

Example is indicative only

Investors benefit in positive market conditions from the embedded gearing factor

Maturity amount = original investment amount x (100% + 53.50% ) Maturity amount = original investment amount x (100% + 53.50% )

Index

Weight allocated Final performanceRank Name Starting level Final level Performance

1 S&P 500 Index 1700 2580 51.76% 40.00% 20.71%

2BNP Paribas Africa Equities Funds (EUR) Excess Return Index

145 210 44.83% 30.00% 13.45%

3 Hang Seng Index 23000 32000 39.13% 20.00% 7.83%

4 EuroStoxx 50 Index 3000 3780 26.00% 10.00% 2.60%

Basket performance 44.58%

Booster 8.92%

Final investment return 53.50%

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No growth market scenario


Maturity amount = original investment amount x (100% + 5.40% ) Maturity amount = original investment amount x (100% + 5.40% )

Index

Weight allocated Final performance Rank Name Starting level Final level Performance


145 155 6.90% 40.00% 2.76%

2 Hang Seng Index 23000 24300 5.65% 30.00% 1.70%

3 S&P 500 Index 1700 1715 0.88% 20.00% 0.18%

4 EuroStoxx 50 Index 3000 2960 -1.33% 10.00% -0.13%

Basket performance 4.50%

Booster 0.90%

Final investment return 5.40%

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Falling market scenario


Investors will enjoy the security of complete capital protection at maturity Investors will enjoy the security of complete capital protection at maturity

Investors will benefit from capital protection in a falling market scenario

Index

Weight allocated Final performance Rank Name Starting level Final level Performance

1 EuroStoxx 50 Index 3000 2800 -6.67% 40.00% -2.67%

2 Hang Seng Index 23000 21300 -7.39% 30.00% -2.22%

3 S&P 500 Index 1700 1560 -8.24% 20.00% -1.65%


145 130 -10.34% 10.00% -1.03%

Basket performance -7.57%

Booster Not applicable

Final investment return Capital returned

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Industry cost comparison



Average competitor global feeder fund

Average competitor global feeder fund

Annualised all inclusive cost

Annualised fund costs

0.90%*

2.15%

1.75%1.75%Asset

Management fee

0.40%0.40% Fund expenses

*All five years deducted upfront (i.e. 3.42% + 4.58% = 8% taken upfront)

Reduced cost + benefit of hindsight + embedded capital protection Reduced cost + benefit of hindsight + embedded capital protection

+ Financial adviser fee of 3.42% embedded in product

+ Financial adviser fees must be negotiated with client

All inclusive structure

fees

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Technical details

• The Momentum Global Growth Allocator has a five year investment term.

• Available in all six Momentum products• Flexible Investment Option (need license 1.11)

• Flexible Endowment Option

• Traded Endowment Option

• Retirement Annuity Option (S14 transfers or switches thereafter not allowed)

• Retirement Preservation Option

• Retirement Income Option

• Minimum lump sum investment amount of R50,000 (no ad hoc contributions permitted).

• Reg 28 applies to all compulsory products – max 25% allocation• Falls under International and Equity

• You may sell any part of your investment before the end of the investment term at the prevailing market value, but you will give up your capital protection for the part you sell.

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Technical details

• 100% capital protection is provided at maturity in South African Rand.

• Capital protection is provided by BNP Paribas

• Unlimited upside performance linked to four global equity market indices.

• Investment held and reported in South African Rand.

• All currency risk has been hedged out of the Momentum Global Growth Allocator.

• Fees and charges (inclusive of VAT where applicable):

• Financial advisor upfront commission of 3.42%

• Annualised administration fees of 0.90% (all five years deducted upfront)

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How to invest

• This is a limited offer

• You can invest up until 12 May 2014

• We strike the initial index levels of the different markets on 19 May 2014. This means you are not invested in the product until 19 May 2014 and will not participate any growth before this date.

• Boost factor will be confirmed when we trade

• You need to complete our new business form and a separate investment instruction.

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Important information on how structured investments work on our platform

• You can make withdrawals at any time but you

will be paid market value

• Protection and full return only applicable at

maturity.

• On day one, price drops as result of fees,

changes in interest rates, volatility

assumptions etc.

• During period, price movement roughly in-line

with that of underlying index.

• Converges as product moves to maturity.

• At maturity, full protection and full growth

participation as stated in investment

instruction.

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Thank you

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Physical address:

268 West AvenueCenturion

Postal address:

PO Box 7400Centurion 0046

Share Call:

0860 54 65 33

Email address:

[email protected]

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Opinions in this document are that we held at the date we made this brochure available and is for this document only. The

information and opinions are of a general nature and are not intended to be advice, in any form, as contemplated in the Financial

Advisory and Intermediary Services Act (FAIS).

The information we have used to prepare this brochure includes information from third party sources and while we have made every

effort to make sure it is accurate, we cannot guarantee it to be accurate or complete, nor can we guarantee that the information is

always up to date.

Momentum is not responsible for any use of this brochure or responsible to any other person or entity for any inaccurate information

in it or for any error or omission, regardless of the cause of the inaccuracy, error or omission.

This brochure is not advice of any kind. No one must act on the basis of any information in this brochure without considering and

taking the necessary advice for their own specific circumstances.

Past performance is not necessarily an indication of future performance. An investor with a different reference currency from that in

which the fund is denominated may be subject to exchange rate movements, which will cause fluctuations in the value of their

investments. Investments involving exposure to other currencies other than that in which the investment component is denominated

may also cause investment values to fluctuate.

momentum global growth allocator

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