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Liberty offers two new globally focused structured portfolios

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  • Liberty

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Liberty is offering investors the chance to invest their capital in a second tranche of the Liberty Structured Global Performer V2 and the Liberty Structured Global Performer ESG V2 portfolios.

These portfolios will allow new policyholders an opportunity to take advantage of global investment opportunities with downside protection and shielding from currency fluctuations.

 

The Liberty Structured Global Performer V2 Portfolio offers exposure to a selection of leading companies from both the United States and the Eurozone with a basket comprised of 50% to the S&P 500 and 50% to the Euro Stoxx 50 capital indices.

The Liberty Structured Global Performer ESG V2 Portfolio meanwhile tracks the MSCI Global Diversified ESG 100 Decrement 5% index which holds companies with top environmental, social and governance (ESG) scores. These companies include UPS, Tesla, Paypal and Blackrock.

 

“Research from the MSCI, shows that companies that prioritize ESG principles are more agile and able to capitalize on global opportunities more efficiently than their competitors,” says Luvhani Makoni, Senior Specialist for Technical Communications at Liberty.

 

“These studies indicate a real link between solid ESG practices, (environmental, social and governance factors), and lower volatility with fewer ethical issues, which is why we think this represents a good opportunity,” added Makoni

The Liberty Structured Global Performer V2 Portfolio meanwhile tracks top performing stocks on both sides of the Atlantic.

 

“This gives South African investors exposure to sectors like cutting edge tech, renewable energy and cosmetics. We’re talking about companies like Apple, Tesla and Microsoft amongst many others,” says Makoni.

“These are all globally competitive companies who lead their markets with innovative offerings and have built up solid investment track records,” says Makoni

 

The terms of these structured portfolios are five years and begin from the strike date on 9 December 2022.

Both portfolios are available on Liberty’s Evolve Investment Plan (including Sinking Fund) and made available to individuals, companies and trusts (with only natural person beneficiaries).

“Given the current levels of equity volatility and uncertainty, these portfolios are a great offering for clients who want a competitive yield with some form of protection,” says Makoni.

 

In terms of structuring, for the Liberty Structured Global Performer V2 portfolio, if the change in the value of the basket is positive at maturity date (after adjusting for tax), investors will receive a minimum return of 8.50%* p.a. (companies: 7.54%* p.a.). If the change in the value of the basket is greater than 8.50%* p.a. (companies: 7.54%* p.a.) at maturity date (after adjusting for tax), investors receive all the growth adjusted for tax.

 

Where there is no change in the value of the basket or where the value of the basket decreases by no more than 30% at maturity date, the amount that was transferred into the structured portfolio will be returned. If the change in the value of the basket decreases by more than 30% at the maturity date, the 100% capital guarantee falls away and investors will receive the return of the basket.

 

For the Liberty Structured Global Performer ESG V2 portfolio the above scenarios apply except the returns are 13.50%* p.a. (companies: 12.10%* p.a.).

All returns are net of fees and taxes and are denominated in Rands.

 

The closing date for contributions to both portfolios is 2 December 2022.

 

* This is the return Liberty aims to achieve but it will be subject to market conditions at strike date. The final return % will only be known  one week after strike date which is 9 December 2022 and Liberty will inform the investor accordingly. Credit risk does not apply.

 

The summary information does not constitute advice by Liberty. Any legal, technical, or product information contained in this document is subject to change from time to time. If there are any discrepancies between the document and the contractual terms and conditions or, where applicable, any fund rules, the latter contractual terms and conditions or fund rules will prevail. Past performance cannot be relied on as an indication of future performance. Investment performance will depend on the growth in the underlying assets, which will be influenced by prevailing market conditions. Any recommendations made by a Financial Adviser or Broker must take into consideration your specific needs and unique circumstances.

Liberty is the Licensed Life Insurer of the Evolve Investment Plan (including Sinking Fund) and is an Authorised Financial Services Provider (no 2409). T’s, C’s, contribution rules, risks and limitations apply.

For more details about benefits, definitions, guarantees, fees, tax, limitations, charges, contributions or other conditions ,associated risks, and/or credit risk(applicable on the structured portfolios) please speak to a Liberty Financial Adviser or your Broker

 

About Liberty

 

Liberty is a subsidiary of The Standard Bank Group and currently the largest provider of long-term insurance solutions to South Africa’s retail affluent market. With a strong and relevant brand of more than 60 years Liberty offers an extensive, market-leading range of products and services to help clients build and protect their wealth and lifestyle. This is enabled by Liberty’s 3,000 strong tied distribution force that expertly equips customers with knowledge to make financial decisions that add value throughout their various life stages. Liberty’s incorporation into Standard Bank provides synergies and advantages not only in South Africa but across the African continent, positioning Liberty as an integral part of a universal financial service organisation focused on delivering exceptional customer experiences and superior value.  Liberty’s wholly owned asset manager STANLIB is one of the biggest retail unit trust managers (including money market) in South Africa, with award winning capabilities in property and fixed income, who together with their market-leading offshore partners are able to provide unique investment opportunities for clients

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