Regulation 28 calculator

[mintydroid]

Reg 28 according to Allan Gray's webpage is as follows:

What is Regulation 28?

These are guidelines that set, amongst other things, the maximum exposures that retirement fund savings may have to various asset classes, for example:
75% in equities
25% in property
25% in foreign assets

I was planning on using the following via PSG:

• PSG Balanced Fund 50%
• Satrix Property 25%
• Satrix World 25%

The PSG calculator says its fine however if I look at Allan Grey's split on their RA calculator it says that there is foreign investment on the PSG balanced fund. This would mean the max. 25% foreign assets allocation would be exceeded. Am I missing something?



What splits do you guys have when building your own RA?

 

[supersunbird]

PSG calculator is wrong then.

For example in my R1000pm Coronation RA:





As you can see my Property Fund is 13.12% of the allocation, but my actual property exposure is 17.18%, due to Top 20s 5.62% property exposure and Global Managed 5.85%

And in fact, due to the R weakening I am out of Reg 28 temporarily.

I did put in instruction yesterday, selling some bond fund (which has a bit of international exposure too) and putting some into the Property Fund (55% of what's sold) and some in Top 20 (45% of what's sold), in the end my actual property exposure will be around 24.9% and international also 24.9% after the instruction is processed, according the Coronations calculator inside the platform.

EDIT:
Please note my monthly contributions are just to the following (due to Coronation minimum R200pm per fund limit):
- R500 Top 20
- R250 Global Managed
- R250 Bond
I then manually buy the Property fund from Bond funds contributions and any over Regulation 28 Global Managed.

 

[hellfire]

Is Regulation 28 anything like Rule 34?

 

[supersunbird]

Is Regulation 28 anything like Rule 34?

I wish, love Rule 34 (mostly)

Regulation 28 is more like if its fun and gives a good return, there's a limit on it

 

[mintydroid]

PSG calculator is wrong then.

For example in my R1000pm Coronation RA:

View attachment 236469

View attachment 236471

As you can see my Property Fund is 13.12% of the allocation, but my actual property exposure is 17.18%, due to Top 20s 5.62% property exposure and Global Managed 5.85%

And in fact, due to the R weakening I am out of Reg 28 temporarily.

I did put in instruction yesterday, selling some bond fund (which has a bit of international exposure too) and putting some into the Property Fund (55% of what's sold) and some in Top 20 (45% of what's sold), in the end my actual property exposure will be around 24.9% and international also 24.9% after the instruction is processed, according the Coronations calculator inside the platform.

EDIT:
Please note my monthly contributions are just to the following (due to Coronation minimum R200pm per fund limit):
- R500 Top 20
- R250 Global Managed
- R250 Bond
I then manually buy the Property fund from Bond funds contributions and any over Regulation 28 Global Managed.

It's quiet hard drafting your own but I'll eventually figure out something.

Anybody else got any other RA structures?