The year ended Aug 2022 saw improved performance compared to the prior year as our view around inflation globally materialised and resulted in equity and bond prices falling together, along with Rand weakness. Markets rallied into the 2021 calendar year end, but when the Fed’s board minutes were released early Jan 2022 the market started pricing in inflation risks, and from this point the funds generally outperformed substantially.

While global markets turned at the start of the year, South African equities peaked later and have generally outperformed global equities substantially – some of this is due to a positive relative view on the SA economy due to managed inflation, higher tax collections and super profits from the mining sector.

More information is available here: Rezco Asset Management – Annual Investor Communication 2022