Page 171 - Profile's Unit Trusts & Collective Investments - March 2026

Fund manager interviews Chapter 9

„ Medium to long term (3 to 5 years): We view the rand as fairly valued at current levels. While
we are closely monitoring the upcoming domestic election cycles, we believe the structural
case for offshore diversification remains intact regardless of currency fluctuations. For a local
investor, allocating capital to US-denominated tech leaders is not just a currency play; it is
a hedge against domestic concentration risk and should be defensive in nature on any rand
weakness.

Could you identify three shares that fall within your universe that you think will perform well
in the medium term?
„ Alphabet (Google): Despite a stellar 2025, Alphabet remains a foundational leader. Its
diversification across digital advertising, cloud, YouTube and Waymo (autonomous taxis)
creates multiple levers for growth. Their integration of Gemini (GenAI) into their massive user
base provides a “distribution moat” that few can challenge.
„ CrowdStrike: Cybersecurity is no longer discretionary; it is critical infrastructure. CrowdStrike’s
platform-first approach makes it difficult for clients to switch, ensuring high retention. As
cyber threats become more sophisticated with AI, the “runway” for growth in this sector is
exceptionally long.
„ Amazon: Amazon has successfully pivoted from a high-growth retailer to a high-margin
technology powerhouse. Between the dominance of Amazon Web Services in the cloud and
the increasing automation of their logistics network, we see a clear path for continued margin
expansion and profitability.
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Taquanta BCI Active Income Fund

Sector: South African–Multi Asset–Income Unit Trust
Awards
Portfolio manager: Taquanta Asset Managers 2026
Benchmark: 110% STeFI Call Index For performance to 31 December 2025
WINNER
Returns to investors 1 year 3 years
Taquanta BCI Active Income Fund 9.25% 10.06%
Sector Average 11.18% 10.60%
Inflation (CPI) 3.60% 3.91%
ProfileData performance stats to 31 December 2025: CAGR with dividends reinvested

Describe your investment universe
The Taquanta BCI Active Income Fund’s investment universe include interest bearing securities
and instruments, bonds, money market instruments, preference shares, notes, equity securities,
property securities, property related securities and non-equity securities.
Comment on your investment year (January - December 2025) from a fund manager’s point
of view
During the year, we deployed capital in line with the fund’s stated investment objectives, taking
advantage of temporary market dislocations such as during the Liberation Day trade shocks in April
2025.
The fund’s strong performance during 2025, is a testament to a strategy that aims to deliver
consistent outperformance and prioritizes sustainable income over directional rate bets. The fund
managed to perform well during a period of aggressive yield compression, despite maintaining a
low-duration profile.

In terms of risk management, what methods or strategies are you able to use to protect your
clients’ investments?
A key element of the strategy is capital preservation through careful selection of credit. We focus
on high-quality credit to minimise capital losses and generating a stable income stream.

Profile’s Unit Trusts & Collective Investments March 2026 169