Malindah was speaking at a media briefing to explain the importance of investments, portfolios and understanding objectives associated with pension funds. He told the journalists in attendance that BPOPF uses Allan Gray Investment Firm for its long term investments.
The Managing Director of Allan Gray, Phatsimo Ncube, explained that the company is a privately owned investment management firm that was established in 1973. It is affiliated to the international Orbis Group that is valued at US$38.1 billion with US$530 billion assets under management, 1 422 employees and 26 investment professionals.
Ncube said in Botswana, Allan Gray was registered in August 2003 and launched July 2004. It has P9.1 billion assets under management comprising P1.6 billion in global balanced mandates and P7.5 billion in specialist mandates.
Ncube emphasised the importance of having a retirement fund because it ensures that members retire comfortably from strategies employed by fund managers to grow member’s contributions. She noted that investments obtain a return of inflation plus 5 percent or they can be an absolute value, growing the Fund’s assets to a certain level.
At Allan Gray, she said, investments are made in several ways, among them bonds where the issuer promises the holder a fixed stream of income over a specified period, interest and (small) capital growth. Other forms of investment are property as tangible assets, commodities like gold, capital growth equities, and company shares.