The fund is 15 months old. Its total return since inception is 10.7%, well ahead of its benchmark (STeFI Composite x 1.1), which has returned 7.4%. It also compares very favourably to the other 56 funds in its sector. Regrettably it suffered its first negative month in June, losing 0.3%. In the context of a month in which cash gained just 0.4%, bonds lost 1.5%, ILBs lost 5.5% and equities lost 5.7%, we trust that investors will remain pleased with overall results. For many months we have believed that a rate cut by the SARB would be reckless. Recent events have all but driven the final nail into the coffin of a cut. Despite regulatory requirements regarding conservative holdings, and a 10% holding in equities, the fund's yield exceeds that of the notional STeFI x 1.1 by about 1.4%.