Rand Swiss Discretionary Mandate
IT IS AGREED AS FOLLOWS:
1. Introduction
1.1. This Mandate is entered into between Rand Swiss and the Client for the rendering of Financial Services in Rand Swiss’ capacity as holder of a Category II FSP License. Rand Swiss is authorised to render intermediary services of a discretionary nature, as well as authorised to render intermediary and advisory services under its Category I FSP License, in respect of investment products residing under the financial product subcategories indicated in paragraph 1.3 hereunder.
1.2. The definitions to this Mandate can be accessed by the client by visiting the following link www.randswiss.com/definitions.
1.3. The Provider is authorised to invest in any of the following financial product subcategories:
Category II
2.5 Shares
2.6 Money market instruments
2.8 Warrants, certificates and other instruments
2.9 Bonds
2.10 Derivative instruments
2.11 Participatory Interests in one or more collective investment schemes
Category I
1.3 Long-Term Insurance subcategory B1
1.20 Long-term insurance subcategory B2
1.21 Long-term Insurance subcategory B2-A
1.22 Long-term Insurance subcategory B1-A
1.4 Long-Term Insurance subcategory C0
1.5 Retail Pension Benefits
1.7 Pension Funds Benefits
1.8 Shares
1.9 Money market instruments
1.10 Debentures and securitised debt
1.11 Warrants, certificates and other instruments
1.12 Bonds
1.13 Derivative instruments
1.14 Participatory interests in a collective investment scheme
1.15 Forex investment
1.17 Long-term Deposits
1.18 Short-term Deposits
1.4. The Client hereby authorises the Discretionary FSP to have full discretion to invest in the Financial Products. Further, there shall be no restrictions in relation to the investment vehicles, investment products, or jurisdiction used for the purpose of and/or applicable to the management of the investment except as prescribed by prevailing legislation.
1.5. This Mandate describes the relationship between the Client and Rand Swiss and explains the rights and obligations of each respectively. Any special arrangements that have been agreed upon with Rand Swiss should be committed to writing and appended to this Mandate. The Client undertakes the responsibility to obtain a full copy of this Mandate, duly initialled on each page and signed by both Parties.
1.6. Rand Swiss has adequate insurance to cover the risk of loss from fraud and negligence by employees under our fidelity extension and our professional indemnity policy. Rand Swiss shall not be liable for any losses, expenses or damages suffered by the Client as a result of the Client's actions. The Client hereby indemnifies Rand Swiss against any claims for loss, expense or damage that the Client may suffer.
1.7. Rand Swiss shall, on request from the Client, furnish the Client with written confirmation of the amount of such insurance cover.
1.8. The Client's investment objectives are specified in the schedule that is attached to this Mandate.
1.9. The Client warrants the ongoing accuracy and correctness of the Client's investment objectives and any other information that has been provided to Rand Swiss in order to conclude this Mandate.
1.10. Rand Swiss may, in its efforts to render Financial Services, make use of its own staff or that of other approved FSPs.
2. Risk Acknowledgement
2.1. The Discretionary FSP hereby discloses to the Client that there are various risks involved in investing in local and international financial markets due to fluctuations in market values. With international investments, there is additionally a risk arising from fluctuations in international currency exchange rates, and there are various risks involved in the use of futures and other derivative instruments. Further offshore investments in currencies other than the base currency of the investor's portfolio will expose the offshore investment to possible currency risk, and the movement of exchange rates may affect, unfavourably as well as favourably, any gain or loss on the investment or on the investment itself.
2.2. The Client acknowledges that he has been made aware by Rand Swiss of the risks pertaining to the Financial Product;
2.3. In light of the Client's circumstances and financial position, the Client confirms that the Financial Product(s) selected is suitable to achieve his investment objectives, and if deemed necessary, the Client has taken the appropriate independent advice prior to concluding this Mandate.
2.4. The past performance of any investment is not necessarily a guide to future returns.
2.5. While Alternative Investments have many advantages over traditional long-only equity portfolios, it is very important that the Client understands the risks involved before an account is opened. The Client will be required to read the additional Risk Disclosure Statement included in Annexure A: Risk Disclosure and fully understand the contents thereof.
2.6. The deduction of charges and expenses means that the Client may not get back the amount initially invested;
2.7. Rand Swiss will only conduct business with a Client for whom it considers such business to be appropriate. In assessing appropriateness, Rand Swiss will rely on the information provided by the Client in his application form. For this reason, it is essential that the Client immediately advise Rand Swiss in writing if there is subsequently an adverse change in the information which the Client has provided.
3. Accounts to be Opened
3.1. Rand Swiss may, but shall not be obliged, to open the trading or investment account for the Client upon receipt of the account documentation required.
3.2. Rand Swiss shall only maintain the Client's account provided that the Client is in compliance with the terms and conditions of this Mandate, the laws of the Republic of South Africa and any other express or implied terms regulating the conduct of trading and investment accounts in the Republic of South Africa.
3.3. The Financial Product account shall be opened in the Client's name, and Rand Swiss shall require satisfactory proof in terms of the Financial Intelligence Centre Act 38 of 2001. Accordingly, the details provided by the Client in terms of this Mandate shall be deemed to be correct, and the onus is on the Client to update such details periodically.
3.4. Rand Swiss is authorised to switch funds between the Client's accounts with the various Financial Product Provider at Rand Swiss' discretion.
3.5. Rand Swiss will obtain and transmit to the Client any information which a Financial Product Provider must disclose in terms of any law, unless the Client in writing specifically requests Rand Swiss not to provide such information.
3.6. The Client acknowledges that Rand Swiss has no jurisdiction restrictions that apply to the rendering of the Financial Services in relation to the Financial Products supplied.
4. Registration of Financial Products
4.1. All Financial Products managed from time to time by Rand Swiss in terms of this Mandate shall be registered in the name of:
4.1.1. The Client with a Financial Product Provider;
4.1.2. An approved nominee company nominated by the Client;
4.1.3. An approved nominee company of Rand Swiss; or
4.1.4. The independent custodian of an administrative FSP.
4.2. The Client warrants and undertakes that all investments entrusted and/or delivered by it, or under its authority, to Rand Swiss in terms of or for the purposes of this Mandate are not and will not be subject to any lien, charge or other encumbrance or impediment to transfer and that the same shall remain free to any such lien, charge, encumbrance or impediment whilst subject to Rand Swiss' authority pursuant to this Mandate.
5. Treatment of Funds
5.1. Client monies will be deposited, pending investment, into the trust account or inflow account of a Financial Product Provider or an account in the Client's name held with a Financial Product Provider.
5.2. Alternatively, the monies may be entrusted initially to Rand Swiss by depositing such monies into Rand Swiss’ trust account or inflow account listed below:
Account Name: Rand Swiss
Bank: Investec
Branch Code: 580105
Account No.: 50013489163
Rand Swiss shall forthwith deposit all cash accruals, including interest, dividends, proceeds of disposal and cash received in connection with providing Financial Services, to the credit of the Client, into the Client's account held with a Financial Product Provider.
6. Reporting
Rand Swiss shall furnish the Client with quarterly reports concerning the Client's investments in an electronic format. Additionally, Rand Swiss shall, on request, in a comprehensible and timely manner, provide to the Client, any reasonable information regarding the investments, market practices and the risks inherent in the different markets and products.
7. Remuneration
7.1. The Client shall remunerate Rand Swiss as follows:
7.1.1. Annexure B details indicative costs associated with the execution of the Financial Services;
7.1.2. The Client hereby irrevocably authorises Rand Swiss to deduct fees due to Rand Swiss from the cash amount standing to the credit of the Client or from the sale of Financial Products should the cash amount be insufficient to cover the fees due;
7.1.3. The Parties hereto agree that any amendments to the manner in which fees due to Rand Swiss by the Client are calculated shall be in writing and signed by both Parties;
7.1.4. From time-to-time Rand Swiss may receive referral brokerage and/or expense softening from its Financial Product Providers;
7.1.5. If the Client has been introduced to Rand Swiss by one of its "referrers or introducers of business", there may be a sharing of the agreed fees, as outlined in this Mandate, by Rand Swiss with such introducer.
8. Prohibition of Selling or Buying certain Financial Products
8.1. Rand Swiss shall not directly or indirectly:
8.1.1. sell any Financial Products owned by Rand Swiss to the Client;
8.1.2. buy for own account any Financial Products owned by the Client;
Unless such Financial product is to directly hedge the Client's financial product
9. Voting rights
Rand Swiss has the right within its sole discretion to vote on behalf of the Client with respect to the Client's Financial Product holdings.
10. Deposits/Withdrawals from the Client's Account
10.1. Rand Swiss is authorised to withdraw from the Client's account such amounts as are required from time to time to settle any amounts due in the course of opening, closing or maintaining any positions on behalf of the Client and/or due in respect of any trades and/or contracts and to make such other payments as are necessary and/or required in the operation of the Client's account including but not limited to platform fees, JSE royalties, custodial fees, and/or third party data fees.
10.2. Rand Swiss and/or Financial Product Providers' margin requirements are available on request and may change from time to time at the discretion of Rand Swiss and/or Financial Product Provider;
10.3. The Client shall pay to Rand Swiss such amounts as Rand Swiss may require from time to time by way of initial, variation, retained or additional margin or any other amount required, including interest or any other amount by Rand Swiss and/or Financial Product Provider in order to inter alia maintain margin balances in respect of or in connection with any position, trade and/or contract as required by Rand Swiss, the Financial Product Provider and/or this Mandate.
10.4. Rand Swiss has the right in its sole discretion to require the Client to pay to Rand Swiss additional margin on demand in respect of any position, trade and/or contract, the amount of which will be determined and/or calculated by Rand Swiss according to the margin requirements of Rand Swiss' Financial Product Providers, as amended from time to time.
10.5. Notwithstanding the provisions of clauses 10.3 and 10.4 above, should the Client fail to pay any margin when payment is due as required by Rand Swiss, the Financial Product Provider and/or this Mandate, Rand Swiss is entitled to immediately close out one, more or all of the positions, trades and/or contracts of the Client.
11. Client instructions and authorisations
11.1. The Client agrees that all instructions given by the Client to Rand Swiss telephonically or in writing by email or facsimile shall be valid and binding on the Client upon transmission and the instruction cannot be withdrawn without Rand Swiss' consent and that Rand Swiss is not obliged to further verify the authenticity of such Clients' instruction.
11.2. The Client hereby authorises Rand Swiss to acknowledge receipt of the instructions in relation to the trading of Financial Products issued by the Client and or any of the authorised signatories, attorneys or agents. In the event Rand Swiss fails to acknowledge receipt of the instruction will not absolve the Client or his / her authorised signatory from taking delivery of any Financial Product duly purchased by Rand Swiss on behalf of the Client or his/ her authorised signatory and to pay any fees due on any of such purchase.
11.3. The Client may, prior to receipt of a written confirmation from Rand Swiss, cancel any instruction given where Rand Swiss has not acted upon the said instruction. The Client acknowledged that where Rand Swiss has already acted upon the Client's instruction, Rand Swiss may, subject to certain conditions and, depending on whether any other third party is involved, already be irrevocably bound to process such instructions.
11.4. Rand Swiss may, upon giving reasonable prior written notice to the Client, choose not to act upon the instruction if:-
11.4.1. The instructions are not clear;
11.4.2. Rand Swiss has reason to believe that the instructions did not originate from the Client;
11.4.3. the instructions have not been given in accordance with this Mandate; and
11.4.4. Rand Swiss believes that in carrying out the instructions, a law, regulation, code, or other duty or obligation which Rand Swiss is required to comply with may be breached;
11.5. Rand Swiss shall, in no way, be liable for any loss, damage, cost or expense in respect of any order, communication or instruction from the Client which has not been given in writing. Rand Swiss shall not accept and act in accordance with orders, communications or instructions which have not been given in writing by email to
[email protected], facsimile or telephonically by the Client.
11.6. All communication from Rand Swiss shall be deemed to be delivered, whether actually received by the Client or not, upon the receipt by Rand Swiss of a clear transmission report in the case of facsimile or email transmission and after 5 (five) calendar days in the case of pre-paid registered mail where it can be proven that the communication was correctly addressed to the recipient. All communication transmitted by telephone shall be deemed to have been transmitted immediately and shall be recorded. The Parties acknowledge and confirm that they are aware of the provisions of the JSE rules and general industry practices relating to the recording of telephone calls, and each Party irrevocably consents to the making of such recordings.
12. Confidentiality
12.1. Rand Swiss undertakes not to disclose confidential information relating to the Client except where such disclosure is:
a) made under compulsion of law or in terms of the JSE rules and/or the Financial Markets Act 19 of 2012;
b) in compliance with a duty to the public to disclose;
c) necessary to further the legitimate interests of Rand Swiss;
d) made with the consent of the Client; or
e) required by a Financial Product Provider, the Financial Sector Conduct Authority, and/or the JSE.
12.2 Rand Swiss undertakes to process all personal information collected within the course of providing financial services in accordance with the Protection of Personal Information Act 4 of 2013 and in terms of Rand Swiss' Privacy Policy.
12.3 The provisions of this clause shall remain in full force and effect notwithstanding the termination or cancellation of this Agreement for any reason whatsoever.
13. Client Warranties
13.1. The Client warrants that the information regarding the Client as set out in this Mandate is in all respects true and correct;
14. Complaint procedure
14.1. In terms of the FAIS Act, Rand Swiss has established a formal internal complaint procedure which is available on the Rand Swiss Website and upon request.
14.2. The Client agrees not to publish, on a public platform, whether online or otherwise, any complaint without first making use of the Rand Swiss complaints mechanisms until a resolution has been reached, as highlighted in "the Complaints Procedure". Any such publication will be grounds for immediate termination of this Agreement and all obligations of Rand Swiss contained herein. Rand Swiss reserves the right to litigate against any person who publishes defamatory statements about Rand Swiss, the company, its products and services and/or staff that would constitute a breach of contract and carry a liability.
15. Conflict of Interest Policy
15.1. In terms of the Act, Rand Swiss has established a formal internal conflict of interest policy to ensure that the quality of our financial services is not significantly compromised by conflicts of interest that may arise in the normal course of carrying out our business.
15.2. A copy of the Rand Swiss conflict of interest policy is available on request on the Rand Swiss' website.
16. Financial Intelligence Centre Act (FICA)
16.1. In terms of the FIC Act, Rand Swiss, as an accountable institution, is obligated to implement controls to combat money laundering and terrorist financing.
16.2. Rand Swiss' FICA requirements are included in Annexure C
16.3. The Clients hereby undertakes to:-
16.3.1. provide all necessary FICA documentation immediately on demand from Rand Swiss;
16.3.2. provide new or additional FICA documentation immediately on demand from Rand Swiss should the Client open a new account, thereby entering into a new financial transaction as that term is defined by the FIC Act;
16.3.3. to update FICA documentation from time to time upon request of Rand Swiss.
17. Termination of Mandate
17.1. Rand Swiss or the Client shall be entitled to terminate this Mandate after notice in writing of thirty (30) calendar days. Rand Swiss shall not initiate any new market transactions in any Financial Products on behalf of the Client after notice of termination has been received or given by Rand Swiss. Upon receipt of such notice of termination, all outstanding fees due to Rand Swiss in respect of this Mandate shall be immediately due and payable.
17.2. Upon termination of this Mandate, Rand Swiss shall forthwith return all cash, assets and documents of title to the Client and shall simultaneously provide the Client with a detailed final statement of account. If the assets and documents of title are in possession of a custodian or nominee company, Rand Swiss shall forthwith issue an instruction to such custodian or nominee company to return such assets or documents of title to the Client. Rand Swiss shall indicate on the final statement of account that such instruction has been given.
17.3. Should the Financial Services Conduct Authority withdraw the Category II license approval of Rand Swiss, this Mandate shall, despite the notice period referred to in paragraph 17.1, automatically be cancelled without prejudice to the rights and obligations of Rand Swiss and the Client.
18. Administrative arrangements
18.1. Rand Swiss and the Client hereby designate as their domicilium citandi et executandi for all purposes of this Mandate the following address:
Rand Swiss
1st Floor JSE Building,
One Exchange Square,
2 Gwen Lane,
Sandton, 2196
The Client:
The physical address is detailed in the Client Details schedule.
19. Effective Date
This Mandate will become of force and effect on the signing of this Mandate by Rand Swiss and the Client. In the event that Rand Swiss or the Client does not sign this Mandate at the same time, it is specifically noted that this Mandate shall only commence from the date when it is confirmed by the authorised signatory of Rand Swiss on behalf of Rand Swiss. Rand Swiss reserves the right to refuse acceptance of this Mandate without having to give any reason therefore.
20. Amendments to be in writing
20.1. Clients may request amendments to be made to their personal information such as a home address, place of work, landline telephone number (including a telephone answering machine), mobile telephone (including answer phone), fax number, bank account details, email address or other contact details in writing, by sending an email to
20.1.1.
[email protected].
Alternatively, telephonically (which shall be recorded) by requesting the respective representative to complete the change of client information form on behalf of the Client.
21. Governing Law
This Mandate shall be governed by and subject to the laws of the Republic of South Africa
SCHEDULE – FULL DISCRETION
I hereby authorise the Provider to manage my investments at its sole and full discretion in order to achieve my investment objectives as indicated below. This means that the Mandate is an unlimited Mandate for the Provider to exercise its full discretion with regards to the process of managing my investments, and the Provider shall not need to obtain further authority or consent from me to effect any transactions in terms of the Mandate to which this is attached. The Provider may reinvest in terms of this schedule any amounts that have accrued to me in the form of interests, dividends and the proceeds of disposals. The Client's investment objectives are specified as desiring long-term growth with a very aggressive risk profile. Risk preference is determined considering the current set of information and circumstances of the Client but may change in time.
ANNEXURE A: RISK DISCLOSURE STATEMENT
The risks and characteristics contained in this schedule and outlined immediately hereunder represent some of the more general risks and characteristics prevalent in geared portfolios. The list below should not be seen as exhaustive. As more risks and characteristics are identified that were not initially mentioned in this schedule, then such risks and characteristics will, as they become prevalent, be included herein.
Investment strategies may be inherently risky
lternative strategies may include leverage, short-selling and short-term investments. In addition, the portfolios often invest in unlisted instruments, low-grade debt, foreign currency and other exotic instruments. All of these expose investors to additional risk. However, not all fund managers employ any or all of these strategies, and it is recommended that investors consult their advisers in order to determine which strategies are being employed by the relevant manager and which consequent risks arise.
Leverage usually means higher volatility
Geared fund managers may use leverage. This means that the fund manager borrows additional funds, or trades on margin, in order to amplify his investment decisions. This means that the volatility of the portfolio can be many times that of the underlying investments. The degree to which leverage may be employed in any given portfolio will be limited by the Mandate the Client has with the manager. The limits laid down by the Mandate should be carefully reviewed in making an investment decision.
Short-selling can lead to significant losses
The fund manager may borrow securities in order to sell them short, in the hope that the price of the underlying instrument will fall. Where the price of the underlying instrument rises, the Client can be exposed to significant losses, given that the manager is forced to buy securities (to deliver to the purchaser under the short sale) at high prices.
Unlisted instruments might be valued incorrectly
The fund manager may invest in unlisted instruments where a market value is not determined by willing buyers and sellers. The fund manager may have to estimate the value of such instruments, and these estimates may be inaccurate, leading to an incorrect impression of the fund's value. Investors should ensure that objective valuations are performed for all instruments in a portfolio and that the manager utilises the services of a competent administrator.
Fixed-income instruments may be low-grade
Fund managers may invest in low-grade bonds and other fixed-interest investments. These investments are more likely to suffer from defaults on interest or capital. They are also more likely to have volatile valuations when the market changes its view on credit risk. The Mandate should also limit the extent (i.e. lowest acceptable rating and maximum percentage exposure) to which low-grade debt can be acquired by the Client. Investors should review the Mandate to gain an appreciation of the maximum possible exposure applicable to the relevant Mandate.
Exchange rates could turn against the fund
A fund manager might invest in currencies other than the base currency. For example, a South African hedge fund manager might invest in UK or US shares. The portfolio is therefore exposed to the risk of the rand strengthening or the foreign currency weakening.
Other complex investments might be misunderstood
In addition to the above, fund managers might invest in complex instruments such as but not limited to futures, forwards, swaps, options and contracts for difference. Many of these will be derivatives, which could increase volatility. Many will be "over-the-counter", which could increase counterparty risk. Many exotic instruments may also be challenging for the manager to administer and account for properly. Investors should enquire into how these instruments are objectively and independently valued.
The Client may be caught in a liquidity squeeze
Given their often short-term nature, fund managers need to be able to disinvest from or close certain positions quickly and efficiently. But market liquidity is not always stable, and if liquidity were to decrease suddenly, the fund manager might be unable to disinvest from or close such positions rapidly or at a good price, which may lead to losses.
The prime broker or custodian may default
Fund managers often have special relationships with so-called "prime" brokers. These are stock brokers that provide the required leveraging and shorting facilities. Prime brokers usually require collateral for these facilities, which collateral is typically provided using assets of the relevant Client, and consequently, such collateral might be at risk if the prime broker were to default in some way. A similar situation could occur with the custodian of the
'Client's funds.
Regulations could change
Legal, tax and regulatory changes could occur during the term of the investor's investment in an alternative strategy-based portfolio that may adversely affect it. The effect of any future legal, tax and regulatory change or any future court decision on a particular type of portfolio could be substantial and adverse.
Past performance might be theoretical
Portfolios are on occasion marketed using theoretical or paper track records. Past performance is seldom a reliable indicator of future performance. Theoretical past performance is often an even less reliable indicator, and investors should place a lower significance on these.
The manager may be conflicted
The fund manager might be managing other geared portfolios or other traditional investment funds. The investor should ensure that sufficient controls are in place to manage any conflicts of interest between the different funds.
Manager accountability may be vague
Portfolios are often managed by specific individuals, and investors should ensure that sufficient controls are in place for the times when the manager is being covered for by colleagues. In addition, a fund structure (for example, a fund of funds) and its managers or advisors may rely on the trading and/or investing expertise and experience of third-party managers or advisors, the identity of which may not be disclosed to investors. This constitutes an additional risk for investors, which they must take into account.
Fees might be high
Fund structures fees might be significantly higher than the fees charged on traditional investment funds. Investments should be made only where the potential returns justify the higher fees.
Fees might be performance-based
The fund manager's fees are usually performance-based. This means that the managers typically get a higher fee when their portfolios outperform specified performance targets, which might lead to riskier positions being taken. Investors need to ensure that performance fees allow for a fair sharing of both the good and the bad.
Transaction costs might be high
Given the often short-term nature of investment positions, portfolios may be traded more aggressively. This implies more stock-broking commission and charges being paid from the portfolio, which is ultimately for the 'Client's account.
Transparency might be low
The fund manager's performance is often the result of unique proprietary strategies or contrarian investment positions. For obvious reasons, managers will want to keep these confidential. Managers are therefore less likely to disclose
trades to their investors, and holdings might be disclosed only in part or with a significant delay.
Dealing and reporting might be infrequent
A fund manager's performance can often be disturbed by irregular cash flows into or out of an investment. For this reason, fund managers often limit the frequency of investments and withdrawals. Similarly, the manager may choose to report infrequently on performance and other statistics. Investors should ascertain, prior to investing, the nature and frequency of reporting.
Withdrawals might not be easy
As mentioned above, the frequency of withdrawals might be limited to monthly or quarterly dates. In addition, the manager may impose notice periods or lock-ins in order to ensure that he has the necessary time for his investment positions to deliver their desired results.
ANNEXURE B: FEE SCHEDULE
Note: All fees and brokerage are exclusive of VAT unless indicated otherwise:
JSE Statutory Fees (Applicable to equity accounts)
Fee or Tax Type Cost
STRATE electronic settlement 0.005787% (minimum R10.19 maximum of R73.49)
FSCA Investor Protection Levy 0.0002%
Offshore Custody 0.15% per annum (minimum R50 per month)
Inactivity Fee R100 per quarter (90 days no trade)
Administrative Costs
Withdrawals R25.00 per withdrawal
Real-time withdrawal R250.00 per real-time withdrawal
Transfer of Ownership (Offshore) $25 per counter None
Full Transfer of Ownership (Local) R50.00 per counter
Partial Transfer of Ownership (Local) R100.00 per counter
Asset Swap Fee 0.35% per annum
OFFSHORE FEES
US stock CFDs 20-50bps of traded value subject to applicable trade minimums per region
Canadian stock CFDs 20-50bps of traded value subject to applicable trade minimums per region
UK and European 20-50bps of traded value subject to applicable trade minimums per region
Australian and New Zealand stock CFDs 20-50bps of traded value subject to applicable trade minimums per region
Asian stocks 20-50bps of traded value subject to applicable trade minimums per region
Indices & Commodites 20-50bps of traded value subject to applicable trade minimums per region
Margin FX 20-50bps of traded value subject to applicable trade minimums per region
Discretionary Fees
Managed Global Equity Portfolio 1% per year
Managed SA Equity Portfolio 1% per year
Managed Future Tech AI Portfolio 1.5% per year
Managed ETF Portfolio
Bespoke Management 1% per year
Structured Products 5% maximum upfront fee or equivalient ongoing free.
A Product Schedule containing all up-to-date fees and margin rates can be found on our website: www.randswiss.com/pricing
ANNEXURE C: FICA CHECKLIST
South African Citizen - Individual
1. Copy of ID (Back and Front for ID card) no older than 3 months
2. Proof of address no older than months
3. Proof of bank no older than 3 months
Foreign National - Individual
1. Certified passport
2. Certified proof of address no older than months
3. Certified proof of bank no older than 3 months
4. Proof of Tax (Any letter from SARS with Client name & Tax number)
Companies
1. Certificate of Incorporation
2. Change of name documentation (if applicable)
3. Memorandum of Incorporation / Memorandum & Articles of Association / Constitution (if applicable)
4. Register of Directors
5. Register of Shareholders (reflecting all shareholders with 20% or more of the voting rights at a general meeting of the entity)
6. Entity organogram for complex structures
7. Resolution/ Signatory Rules identifying those individual persons authorised to act on behalf of the entity ("Authorised Persons")
8. South African Barcoded Identity Document/card (Primary Identification; both pages/sides) for all Directors, Shareholders, Authorised Persons ^ – All non-South African Directors and Shareholders, copy of passport
9. Utility bill as proof of residence for all Directors, Shareholders, Authorised Persons (dated in the last three months) ^^
10. Utility bill Proof of registered address/operating address if not specified in the company documents already listed ^^
11. Proof of Banking Details in the name of the Applicant, i.e. Bank Statement, Cancelled Cheque or Letter from the bank.
Trusts
1. Documentation for trusts established outside of South Africa must be certified. Documentation for South African trusts, South African trustees and South African beneficiaries need not be certified.
2. Trust Deed
3. Letter of Authority from Master of the High Court or other relevant authority (if applicable)
4. South African Barcoded Identity Document/Card (Primary Identification both pages/sides) for all Trustees, Named Beneficiaries, as well as the Founder/Donor (All non-South African Trustees/Beneficiaries/Founders/Donors, copy of passport.)
5. Utility bill as proof of residence for all Trustees, Named Beneficiaries, as well as the Founder/Donor (dated in the last three months.)
6. Proof of Banking Details in the name of the Applicant, I.e. Bank Statement, Cancelled Cheque or Letter from the bank.
ANNEXURE D: Corporate Cash Manager
I hereby appoint and authorise Rand Swiss (Pty) Ltd – Registration number – 2014/119362/07 (the “Agent”) to be our Agent on the following terms:
Client Investment Mandate
1. To enter into commercial business transactions in relation to over-the-counter and/or exchange traded Foreign Exchange products futures and/or money market products, to open Customer Foreign Currency accounts and/or any other accounts as may be required, (the “Transactions”) with Investec Bank Limited, Registration Number
1969/004763/06 (“Investec”) on our behalf.
2. To do all things necessary to give effect to the Transactions including, but not limited to, the execution of the Standard Terms and Conditions, all confirmations of the Transactions (the “Trade Confirmations”), the provision of settlement instructions, including completion and signing of Balance of Payment (BOP) documents and all ancillary documents associated with the Transactions to give effect thereto, the same being forwarded by Investec to my/our Agent from time to time. The Principal acknowledges that it has read, understood and agrees to be bound by the provisions of the Standard terms and Conditions entered into between Investec and the Principal (as executed by the Agent for and on behalf of the Principal).
3. The Principal hereby warrants that any Transactions undertaken on its behalf by the Agent shall comply with any Rulings, Regulations and Legislation, in respect of the South African Reserve Bank Exchange Control Regulations and, further the Principal warrants that it is not, as at the signature date hereof, and shall not, during the currency of this mandate, be, in contravention of any Exchange Control Rules, Regulations and/or Legislation. The Principal further undertakes to furnish Investec with all documents required by the Exchange Control Department of the South African Reserve Bank prior to the Maturity Date of any Transaction.
4. The Principal acknowledges that Investec does not participate in any fee sharing arrangement with the Agent and as such no fees shall be payable by Investec in respect of any Transaction(s) entered into between the Agent and Investec.
5. The Principal acknowledges that Investec shall quote the market related base rate (“Base Rate”) in respect of Transactions entered into by the Agent on behalf of the Principal, the determination and amendment of which shall be solely within Investec’s discretion, which Base Rate shall be the rate at which Investec will convert the currency.
6. Notwithstanding the provisions of clause 4 and 5 above, the Principal hereby expressly authorises its Agent to charge an Agency fee of 1.15%, which shall be an additional charge to the Base Rate and as such expressly permits Investec to pay the Agent such Agency fees as accrue in respect of Transactions executed by the Agent on behalf of the Principal.
7. The Principal hereby indemnifies Investec and the Agent against any and all claims, loss, demands, liability, costs and expenses of whatsoever nature and howsoever caused and arising, which may at any time be made against Investec or the Agent by any person or which Investec or the Agent may sustain or incur arising directly or indirectly out of or in consequence of any payments facilitated by Investec or the Agent on behalf of the Principal.
8. The Principal acknowledges that Investec has the sole discretion to enter into Transactions with the Agent.
9. Should the Principal engage the services of a new agent (the “New Agent”) then it shall enter into a new mandate with the New Agent, terminate the services of the old Agent, and forward written notice of the same to Investec. The Principle further acknowledges that Investec has the sole discretion to enter into Transaction with the New Agent.
10. This authority may be terminated by the Principal on written notice to Investec.
11. The Principle warrants that they are duly authorised to sign this mandate and that the information provided herein is true and correct and they hereby authorise and empower Rand Swiss (Pty) Ltd (“the agent”) to act as their agent and invest money on their behalf with Investec Bank Limited (“Investec”). The Principle hereby acknowledges that in granting this mandate they assume all risks connected with the administration of the entrusted funds (except in so far as there may in law be a right of recovery against the agent), as well as the responsibility to ensure that the agent executes the instructions as recorded in this written contract of agency.
12. The Principle furthermore, warrants that they have provided the agent with full power of attorney to do and act in all respects for and on behalf of the Principle, all such things as set out herein or as required to give effect to this investment mandate.
13. The Principle acknowledges that the funds are invested through Investec products (including a call account, notice account and term deposits) and that due to the nature of each product a drawing against the invested funds will be subject to the time frames accompanying such products. The Principle hereby indemnifies the agent against any loss that may be incurred as a result of a request by the Principle to draw against uncleared funds or funds where the normal clearance periods were waived by the agent at the request of the Principle.
14. The Principle further acknowledges that a monthly administration fee will be levied as a percentage on the size of the deposit held.
15. The Interest rate indicated and paid to the Principle by Investec, will be inclusive of the above-mentioned administration fee.
16. To the extent that the agent cannot perform or process any transaction as a result of the loss or destruction of data, hacking, computer viruses, power failures, natural phenomena, riots, acts of vandalism, sabotage, terrorism, failure or unavailability of third party systems or by any inability of a third party to process a transaction or any other event beyond the agent’s control, except to the extent that such loss was occasioned by the fraud or gross negligence of an employee of the agent, the Principle hereby indemnifies the agent from all liability for any loss, damage, liability or expense of any nature whatsoever which may be suffered by the Principle or a third party.
17. It is agreed that all instructions shall be provided in writing and for the avoidance of doubt; writing shall include correspondence via e-mail.
