Please read this heartfelt message from our Executive Chairman and “Team Impact” about COVID-19.
Also, please read this message from Amit Bouri, Co-Founder and CEO of the Global Impact investing Network.
Breaking News – Important Investor Announcement
20 March 2020
Financial markets have been in turmoil with investors facing large portfolio losses for those exposed to the JSE and bond markets. The Rand has also taken a big knock as a consequence of investors disinvesting from South Africa.
The Corona virus has been declared a global pandemic and is expected to negatively affect the local economy severely, which was already in recession before this crisis unfolded. It is possible that economic growth for the first quarter 2020 could be as much as -5% and be an even bigger contraction for the second quarter.
The SARB has responded to the crisis with a 1% cut in the repo rate from 6.25% to 5.25%.
At Impact Investment Management, we can at least provide our investors with some comfort. The nature of our investment strategies is somewhat insulated from the listed financial markets. We have not had any indication that our investments have been negatively affected at this time. We are monitoring the situation very closely. We also believe that we are in a very good position to take advantage of investment opportunities that are opening up as assets become cheaper.
Our Cash Management Fund benchmark is repo + 2%. The repo rate moves from 6.25% to 5.25% means our benchmark will shift from 8.25% to 7.25%. However, the fund has been achieving 13%+ and we anticipate that this will continue to be the case going forward.
Our Section 12J investment projects have also not been affected as such by the Corona crisis and our investment strategies remain on track. We continue to monitor the situation.
Our investment strategies are aligned in such a way that risks are managed and mitigated to ensure investors are protected from loss.
Should you have any questions please do not hesitate to contact us.
The Impact Investment Management – Investment Committee
Who we are
As an impact investment company, Impact Investment Africa focuses on investments that, along with generating financial returns for investors, seek to achieve a positive and measurable socio-economic or environmental impact. This includes investments into SME growth companies, education, medical, aviation, agricultural projects, manufacturing, information technology and private property development with a focus on affordable housing.