Sanlam Employee Benefits, in partnership with 27four Investment Managers (27four), launched South Africa’s first black-managed smooth bonus product. The Progressive Smooth Bonus Fund is managed by 27four and guaranteed by Sanlam.
This initiative is evidence of our commitment to empowerment as a business goal and national economic necessity for creating resilience and prosperity. It enables us to shape an inclusive future for the sector, in line with the principles outlined in the Financial Sector Charter.
The smoothed bonus fund, which is managed by black asset managers, was created for progressive clients that value the economic empowerment of black asset management rms and seek out smoothing and guarantees in investment products. This product was developed in response to a lack of investment flows to black-managed portfolios and the complete absence of any black-managed smoothed bonus portfolios.
Black asset managers currently preside over less than 10% of private sector assets under management in South Africa. The fund therefore offers a suitable nancial vehicle for investors to play a tangible role in contributing to the transformation of the financial services sector, and the South African economy as whole.