The impact of Asisa’s new equity fund classifications on DFMs and asset managers

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In this episode of Money, Markets & Masterminds, we continue our Mind Over Markets series in partnership with Morningstar South Africa. I sat down with Michael Dodd, senior fund analyst at Morningstar, to discuss a major shift in South Africa’s equity fund landscape - the reclassification of unit trust categories.

The Association for Savings and Investment South Africa (Asisa) has introduced a classification change, separating SA-only equity funds from general equity funds that include offshore allocations. This development is set to enhance transparency, improve fund comparability, and influence how discretionary fund managers (DFMs) and asset managers structure their portfolios.

Dodd explained why Asisa introduced these category changes and what they mean for fund selection and how increased offshore limits (up to 45%) have influenced fund performance.

Listen to our conversation on how fund managers, DFMs, and retail investors should navigate these changes and what trends will shape SA equity funds going forward.
4 Feb 2025 English South Africa Investing

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