Page 6 - Profiles's Unit Trusts & Collective Investments - September 2024
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Contents
Chapter 4
The CIS Industry .......................................... 73
Management Companies .............................................................. 73
Trustees and Custodians .............................................................. 74
Asset Managers ..................................................................... 75
ASISA............................................................................. 77
The FSCA (formerly the FSB) ........................................................... 77
Linked Investment Service Providers (LISPs)................................................ 78
Financial Advisors (Brokers) ............................................................ 79
Chapter 5
Legislation and Guidelines .................................. 81
The Need for Regulation ............................................................... 81
Collective Investment Schemes Control Act (CISCA) .......................................... 81
The Twin Peaks Approach to Regulation ................................................... 82
The Conduct of Financial Institutions (COFI) Bill.............................................. 83
Financial Intelligence Centre Act (FICA) .................................................... 87
POPI.............................................................................. 92
CRISA and TCF...................................................................... 97
Chapter 6
Investment Risk .......................................... 100
What is Risk? ...................................................................... 100
Risk Assessment ................................................................... 100
Starting with the Basics .............................................................. 101
Types of Risk ...................................................................... 103
Measuring Risk .................................................................... 108
Risk Profiling ...................................................................... 114
Risk Profile Worksheets .............................................................. 115
Chapter 7
Understanding Asset Allocation ............................. 121
Cash ............................................................................ 121
Bonds and Gilts .................................................................... 125
Equity Funds....................................................................... 126
Property Funds..................................................................... 129
Derivatives ........................................................................ 131
Alternative Investments............................................................... 133
Balancing the Asset Mix .............................................................. 134
4 Profile’s Unit Trusts & Collective Investments
