Allan Gray remains – four years on – the leading manager of local unit trusts, the latest PlexCrown Fund Ratings of collective investment scheme managers shows.
The three months to September 30 mark the 16th quarter in a row that Allan Gray has scored the top average PlexCrown rating for the management of rand-denominated funds, Ryk de Klerk, director of PlexCrown Fund Ratings, says.
The PlexCrown ratings assign each qualifying unit trust fund a score of between one (the lowest) and five (the highest) based on its performance on four or five different risk-adjusted measures over periods up to five years.
The scores of the individual funds are used to determine an average rating for each management company in various broad unit trust sectors, such as equity, fixed interest and asset allocation. These averages are, in turn, averaged to determine for each company two total ratings: one for its management of domestic funds and one for its management of foreign funds.
An overall rating for each management company is determined using 75 percent of its average total domestic rating and 25 percent of its average total foreign rating.
Management companies must have at least one fund in certain key unit trust sectors to qualify for an overall rating.
A total of 12 companies qualified for an overall rating at September 30, and of these, Allan Gray achieved the highest average PlexCrown rating of 4.125 (out of a maximum of five PlexCrowns), De Klerk says.
Allan Gray’s strengths are apparent once the average ratings of companies in the various unit trust sectors are compared.
Allan Gray achieved the highest average rating, 4.333 PlexCrowns, for the management of domestic funds, De Klerk says.
It shared first place with Aylett & Co. in the domestic equity sector.
Allan Gray’s Balanced Fund and Equity Fund each achieved the highest rating of five PlexCrowns, De Klerk says.
Coronation was runner-up, with an overall average rating of 4.021 PlexCrowns, De Klerk says.
Coronation did well relative to its peers on average PlexCrown ratings for the management of domestic and foreign funds, he says.
Coronation, with an average rating of 3.861 PlexCrowns, was placed second among the managers ranked for their management of domestic funds, De Klerk says.
Coronation was first among its competitors for the management of domestic real estate funds, he says.
Coronation’s second position overall was in part thanks to its taking first position among its competitors based on average scores for the management of their foreign funds. It achieved an average foreign rating of 4.500 PlexCrowns.
Coronation achieved first position in the foreign equity sector.
Seven of Coronation’s funds achieved the highest score of five PlexCrowns: the Balanced Defensive, the Balanced Plus, the Equity, the Financial, the Industrial and the Property Equity funds, as well as its World Equity [ZAR] Fund of Funds.
Prudential edged out Nedgroup Investments to take third spot overall, with a rating of 3.625 PlexCrowns.
In the rankings for the management of domestic funds, Prudential, with a rating of 3.667 PlexCrowns, had only a short lead on Nedgroup Investments, with 3.619 PlexCrowns, De Klerk says.
Prudential was in first position in the foreign fixed-interest sector.
Prudential’s Global High Yield Bond Fund of Funds was its only fund to score five PlexCrowns.
STANLIB IS TOP OFFSHORE COMPANY
Stanlib emerged as the leading management company among those with offshore funds that may be marketed to South African investors, a survey by PlexCrown Fund Ratings to September 30 shows.
Stanlib achieved an overall rating of 3.444 PlexCrowns for its funds domiciled outside South Africa, Ryk de Klerk, director of PlexCrown Fund Ratings, says.
Stanlib achieved first place in the global fixed-interest sector, in the overall fixed-interest sector and in United States equity, De Klerk says.
It shared third place in Europe equity and in Far East equity, but Stanlib’s overall equity rating was watered down somewhat by a relatively weak showing in the global equity sector, he says.
Stanlib has 10 offshore funds. Its Global Bond Fund achieved the top rating of five PlexCrowns.
Three of its other funds each achieved four PlexCrowns.
Nedgroup Investments International, with a rating of 3.250 PlexCrowns, was placed second among the companies with offshore funds, De Klerk says.
Nedgroup Investments International shared third placed in the global equity sector and the overall equity sector.
Nedgroup has three offshore funds. Its best performer, the Global Equity Fund, achieved four PlexCrowns.
Ashburton was rated the third-best company, with an overall offshore rating of 3.208 PlexCrowns.
Ashburton topped the rankings in the Europe equity sector. However, its overall equity rating was watered down by a weak showing in the global equity and the Far East equity sectors, De Klerk says.
Ashburton’s Replica Dollar Asset Management Fund achieved five PlexCrowns and four funds each achieved four PlexCrowns.