For clients wanting flexibility in managing their liquidity strategies Nedgroup Investments Cash Solutions offers separately managed accounts. These provide something different to the clear-cut investment guidelines of the liquidity funds in the Nedgroup Investments Cash Solutions unitised fund range. Separately managed accounts offer an alternative cash investment option or liquidity solution whereby clients can specify their own benchmarks and unique investment guidelines tailored to their specific requirements.
Separately managed accounts are used by clients who prefer the underlying instruments to be registered in their own name as opposed to owning units in a collective investment scheme, or who want to customise credit exposure terms, duration limits and any other specific requirements. Such accounts can be used in conjunction with traditional money market funds, or in isolation to provide diversification, yield enhancement, flexibility, or to include or exclude certain exposures for various reasons.
Separately managed accounts are not regulated by the Collective Investments Schemes Control Act, but are bespoke portfolios with all instruments registered in the clients’ own name. Unlike the unit trust funds in the range, they are not independently rated and as they are specific to individual clients, track records are not publicly available. Liquidity in a separately managed account is typically not as good as that offered by money market fund unit trusts which are generally larger, with a multitude of investors frequently making deposits and withdrawals. The minimum suggested size for a separately managed account is R200m.
Please contact the Nedgroup Investments Cash Solutions team to find out more about separately managed accounts.