Alternatives

The objective of the Portable Alpha Fund is to enhance overall portfolio returns by generating alpha independently of the liability-driven benchmark exposure.

The Portable Alpha Fund combines a liability-matching core portfolio with distinct alpha-generating strategies. The core portfolio delivers the desired market or benchmark exposure aligned with the investor’s liabilities, while the alpha component aims to generate additional returns through uncorrelated strategies such as hedge funds, long/short approaches, or alternative risk premia. This structure enables the fund to improve returns without altering the underlying asset allocation.

The target return is SA CPI + 3% over a rolling 3-year period. Underlying Strategies provide explicit capital protection over rolling 36 months. The fund provides for a minimum return of 100% of capital plus some upside to a selected local or global equity index.

The Fund is investing in the renewable energy sector in Africa, with a primary focus on sub-Saharan Africa (“SSA”) (excluding South Africa), with potential to consider a small portion (20%) of the Fund’s investments in non-SSA markets (i.e. Northern Africa). These investments can be broadly categorised as traditional utility-scale projects, involving a long-term Power Purchase Agreement with national utility companies, and the off-grid sector (non-utility, including Commercial & Industrial (C&I) off-takers and C&I aggregators; mini-grids; and “Pay as You Go” or other retail providers). • In all cases, the Fund targets investment utilising proven renewable generation technologies. Off-grid Fundamentally, the off-grid sector is designed to supply power through standalone products, systems and services, to people or businesses beyond the reach of the grid power supply (or reliable grid supply).