Investment Philosophy

With the expertise and invaluable knowledge of our well experienced staff, we evaluate a clients’ financial situation, as this guides us to adequately evaluate a client’s investment decision-making process. All our investment activities operate according to the unifying philosophy which incorporates the following aspects:

• Importance of risk control.
• Emphasis on consistency.
• Understanding the importance of market inefficiency.
• Market timing.
• Macro-forecasting not critical to investing.

Investment Strategy and Process

We employ the Multi-Disciplinary Approach (MDA), a multi-faceted approach which allows us to investigate an investment opportunity irrespective of the market label.

Why MDA?

This approach ensures:

• Consistent performance across all cycles.
• Minimises style-specific volatility.
• Appropriate as certain styles become unfavourable.
• It’s an unconventional diverse approach.
• Pockets of opportunities are always present across the whole market irrespective of the style.
• Unconstrained investment approach.
• Conducive to constructing portfolios with long-term excess risk-adjusted returns.

Direct shares

Investing in company ordinary shares that are listed on the JSE or any other exchange has similar characteristics as those of savings. Generally, investments make it possible for you to use your money to make more money. You can invest this money, either regularly or as and when you have extra cash to invest.

Guarantees Products

Investment capital and investment returns in shares cannot be guaranteed. We however have entered into partnership with an institution (Bank) that affords us retail structured products which are guaranteed.

Trading Contract for Difference Local and offshore

A Contract for Difference (CFD) is a popular form of derivatives trading. CFD trading enables you to speculate on the rising or falling prices of fast moving global financial instruments such as shares, indices, commodities, currencies and treasures. Merritt Investment Managers provide its clients with trading systems that are at the forefront of the CFD trading environment. Using our customizable web-based trading solution, our clients will have a Direct Market Access (DMA) for local and offshore stocks.

Nature of returns

Depending on the underlying asset classes used in the fund, you can earn interest, dividends and have capital gains or losses. Shares and EFTs are suitable investment vehicle for investors who want to invest after-taxed capital over the medium to long term period and would like to spread their risk between a number of asset classes and asset managers.

Taxation

Tax is paid on interest earned, dividends received or on any capital gains made when the shares are sold.

Target market

• Institutional investors.
• Individual investors.
• Financial professionals.

Investor categories

• Discretionary.
• Non-Discretionary .
• Advisory.

Merritt Securities Pty Ltd is a South African based Stockbroking company that offers trading, investment services and research to its clients, through different platforms which include Direct Market Access (DMA).

1. Equities trading in JSE listed securities covering the following markets:
   • Sub-Sahara Africa -Listed Equities
     Exchanges – Tanzania (DSE), Kenya (KSE), Mauritius (MSE), Botswana (BSE), Bourse Régionale des Valeurs Mobilières SA (BRVM), Egypt (EGX), Morocco (CSE), Ghana (GSE), Mozambique (BVM), Namibia (NSX), Nigeria (NSE), Rwanda (RSE), Uganda (USE), Zambia (LuSE) and Zimbabwe (ZSE).
   • Global Markets Exchanges -London Stock Exchange, New York Stock Exchange and Australian Stock Exchange.
2. Bonds trading in SA issued Bonds comprising of Government Bonds, Corporate Bonds, Inflation Linker and SOEs Issuances.
3. Quantitative Research which focuses on the following::
   
   • Government Bonds Analysis (SA only)
   • Interest Rates Analysis (Swap Curve Analysis)
   • Credit Market Analysis

Target market

- Non-controlled clients.

Merritt Administrators offers administration services to professionals and non-professionals, to ensure that a company’s insurance records are properly administered. We facilitate communication between the underwriter and clients through the use of technology and systems that are in place, coupled with creative thinking, which enables us to continuously look for ways to improve our products and services offered to clients.

Target market

• Co-operatives .
• Organisations (Churches, Burial Societies, Funeral parlours, Stockvels) .
• Unions
• Companies
• Brokers