During March the SA listed Property sector (SAPY) lost -4.97%, relative to equities -6.15% and bonds +2.54%. Local markets continue to follow global signals with investors fleeing equity markets amid heightened risk despite positive changes locally. Moody’s announced that it will keep South Africa’s sovereign debt at investment grade which is positive news for both bond and equity markets in South Africa particularly the property sector which uses a lot of debt. We also saw the South African Reserve Bank cut interest rates by a quarter of a percent. Both these factors are supportive of the South African listed Property sector. This confirms our stance to be overweight domestic counters and underweight offshore counters.