In August 2007 Absa Capital and empowerment partner Vunani Capital (Vunani) created a joint venture company NewFunds (Pty) Ltd to launch NewFunds – a FSB (Financial Services Board) approved collective investment scheme (CIS) named the NewFunds Collective Investment Scheme (NewFunds CIS). Registered under the Collective Investment Schemes Act No. 45 of 2002, NewFunds CIS comprises Absa Capital (50%) and Vunani Limited (50%), a leading South African black-owned investment management group with a proud track record of investment excellence.
In terms of this NewFunds CIS, ABSA Capital will establish various portfolios/ETFs together with appointed trustees and managers to track specific indices. These pioneering ETF products are designed to perfectly fit the investment realities of today's financial world.
Investors purchase Participatory Interests (securities) in the chosen listed portfolios.
Investments are comprehensively protected as NewFunds CIS is both a collective investment scheme (CIS) and a JSE (JSE Limited) listed security bound by the regulations and legislation of both the JSE and the Financial Services Board (FSB).
NewFunds securities are treated like Unit Trusts in terms of taxation, compliance, investment exposure and reporting.
The appointed trustee for the NewFunds Collective Investment Scheme is the Standard Bank of South Africa Limited (Standard Bank).