A company’s investment philosophy underpins all its investment strategies. It is the set of core beliefs that govern the investment process and the values which encapsulates everything the business stands for and aims to achieve.

Our investment philosophy exists in two parts: our CORE BELIEFS and our INVESTMENT VALUES. These set of principles form the cornerstone of our commitment to clients and governs our day-to-day conduct andinteraction with our clients, colleagues and industry peers.

OUR INVESTMENT PHILOSOPHY

OUR CORE BELIEFS

DIVERSIFICATIONWe do not merely diversify for the sake of diversification alone: our focus ranges from risk mitigation and select exposure to varying sources of return. Thorough research and due diligence enables us to construct portfolios without the need to over-diversify.

INDEPENDENCEAs an independent firm with a proven 16-year track record and strong balance sheet, we are able to offer our clients a wide variety of unique, well-researched and objective investment options.

MASTERING RISK AND VOLATILITYBy defining risk and thereby reducing risk and volatility for investors is of primary importance to us. Remaining invested is half the battle won – volatility deeply impacts investors’ behaviour. Managing volatility thus becomes as important as delivering the targeted long-term returns.

PROGRESSIVE PROCESS, PERFORMANCE AND CONSISTENCYOur products are well positioned to allow the highest degree of certainty and consistency. Our process-based approach is geared towards ensuring the sustainability, success and longevity of everything that we do.

RISK MANAGEMENTEffective and efficient risk management underpins everything we do. We acknowledge that risk is not aone-dimensional concept, and with investment risk the only constant is change. We apply a hands-on,pro-active and dynamic risk management approach, similar to the asset-liability concept used in the pension fund space, to the retail environment.

HEAD OFFICETHIRD FLOOR, THE CLIFFS OFFICE BLOCK 1NIAGARA WAY, TYGER FALLS, CARL CRONJE DRIVEBELLVILLE 7530, CAPE TOWN, SOUTH AFRICATEL: +27 21 914 7730 FAX: +27 21 914 7733

P O BOX 4742, TYGER VALLEY, 7536, SOUTH AFRICA

WWW.NOVARE.COM

JOHANNESBURG OFFICEFIRST FLOOR30 JELLICOE AVENUE, ROSEBANKJOHANNESBURG 2196, SOUTH AFRICATEL: +27 11 447 9605 FAX: +27 11 447 9405

DISCLAIMER

This document is confidential, private and intended solely for the addressee(s) and clients of Novare Investments (Pty) Ltd (NI) (Registration No. 2000/018539/07). Copyright in this

document created by NI will remain vested in us and will not be transferred to anyone in part or whole without the prior written consent of NI. Past performance is not indicative of future

returns which may go up or down. No guarantees are provided in relation to portfolio investment performance. Novare’s schedule of fees and charges is available on request.

NI does not accept any liability or responsibility of whatsoever nature and however arising in respect of any claim, damage, loss or expense relating to or arising out of or in connection

with the reliance by anyone on the contents of this document. Novare Investments (Pty) Ltd is an Authorised Financial Services Provider in terms of the Financial Advisory and Intermedi-

ary Services Act No 37 of 2002. FSP No. 757. NI is approved by the Financial Services Board as a Section 13B Pension Fund Administrator: 24/ 456. NI is a member of the Association

for Savings & Investment SA. (ASISA)

OUR INVESTMENT VALUES

EMPOWERMENTIncluding empowerment of clients, IFAs, trustees, staff as well as the broader investment community. We provide our stakeholders with the tools, systems and information to empower them to appropriately interpret with greater ease and clarity the large amount of manager research, portfolio data and the risks associated with their choices.

ACCOUNTABILITYWe are accountable to ensure that clients’ long-term needs are met. We are the custodians of people’s wealth and duly respect the responsibility thereof. We recognise that assets entrusted to us are never truly “our” assets under management, but that we are merely temporarily accountable for these assets on behalf of the true owners and benefactors, namely our clients.

TRANSPARENCYWe are committed to upfront, honest and complete disclosure. We are entirely transparent about our value proposition, as proven by our full disclosures of fees charged. Regular, reliable and accurate feedback,reporting on product performance and the scope of services rendered is a key element.

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