Retirement annuity

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buyeye

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I have a RA with Salam which is invested in Alan gray equity, top 20 coronation and investec fund among others. It's not a huge amount but I'm still young.

Today Salam sent a email saying they can save on fees by moving me to 100% Satrix lifetime fund. It sound of except the part about putting all your eggs in one basket.


What do you guys think?
 
buyeye said:
I have a RA with Salam which is invested in Alan gray equity, top 20 coronation and investec fund among others. It's not a huge amount but I'm still young.

Today Salam sent a email saying they can save on fees by moving me to 100% Satrix lifetime fund. It sound of except the part about putting all your eggs in one basket.


What do you guys think?
Click to expand...

Satrix is not "one basket" it is a conglomerate share made up of many different businesses and industries.
 
Sartix 40 is great. Even better if you can cut out Sanlam
 
JStrike said:
Sartix 40 is great. Even better if you can cut out Sanlam
Click to expand...

If you cut out Salam do you get anything back from SARS? Because at the moment that is may more than the Sanlam fees.
 
JStrike said:
Sartix 40 is great. Even better if you can cut out Sanlam
Click to expand...

If you cut out Salam do you get anything back from SARS? Because at the moment that is may more than the Sanlam fees.
 
Another thing I don't like is the wording of the promotion of "the echo bonus". I don't want Sanlam to "give" me anything for my money.

I pay them annual fees to invest my money. So this "giving me an echo bonus" might actually make me find someone else to invest my money.
 
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buyeye said:
Another thing I don't like is the wording of the promotion of "the echo bonus". I don't want Sanlam to "give" me anything for my money.

I pay them annual fees to invest my money. So this "giving me an echo bonus might actually make me find someone else to invest my money.
Click to expand...

Agree.
 
They've just come up with some new marketing to swindle you out of more money, always remember, there's no such thing as a free lunch.

If it makes no sense, walk away
 
buyeye said:
I have a RA with Salam which is invested in Alan gray equity, top 20 coronation and investec fund among others. It's not a huge amount but I'm still young.

Today Salam sent a email saying they can save on fees by moving me to 100% Satrix lifetime fund. It sound of except the part about putting all your eggs in one basket.


What do you guys think?
Click to expand...


Sanlam own Satrix, so they can offer lower fees.

An RA will be a balanced fund not only a Top 40 tracker fund.
So it'll be made up of cash, bonds, equities, and a foreign component.

This product is probably a balanced tracker fund made up of Satrix tracker funds, Sanlam will be charging an extra fee to do the asset allocation.

If the total fee is less than 1.5% p.a, I'd choose that instead of what u have now.
You're probably paying over 3%.
 
Pegasus said:
Sanlam own Satrix, so they can offer lower fees.

An RA will be a balanced fund not only a Top 40 tracker fund.
So it'll be made up of cash, bonds, equities, and a foreign component.

This product is probably a balanced tracker fund made up of Satrix tracker funds, Sanlam will be charging an extra fee to do the asset allocation.

If the total fee is less than 1.5% p.a, I'd choose that instead of what u have now.
You're probably paying over 3%.
Click to expand...

They're offering to save you money, which goes against their business model.
I just wonder if there's a catch somewhere.

Then again, they could be trying to save face and truly offer value.

If I was the OP, I'd read the fine print carefully before switching.
 
The echo bonus is a good incentive. Sanlam and other traditionala are trying to compete with the likes of discovery invest that offer "bucks back" after so many years of loyalty.
Remember if you move there will be penalties and this may work out more than any fee saving in the long run.
 
Hendrix said:
They're offering to save you money, which goes against their business model.
I just wonder if there's a catch somewhere.

Then again, they could be trying to save face and truly offer value.

If I was the OP, I'd read the fine print carefully before switching.
Click to expand...


They are taking business away from other asset managers.
And passive investing is the way to go these days.
 
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