BLUECHIP2025 DFM GUIDE -
BLUECHIP2025 DFM GUIDE - PROFILEPortfolios built for prosperityCapital International Group (CIG)offers the ultimate suite of financialservices designed to simplifyasset and cash management forbusinesses, intermediaries and high networth individuals.Founded over 25 years ago, the Groupaims to deliver the most effectivesolutions to meet individual short andlong-term financial goals, includingan open architecture investmentplatform, discretionary investmentmanagement services and a digitalcorporate banking service.Headquartered in the Isle of Manand with offices in Jersey and SouthAfrica, CIG’s dedicated team of 240+employees serve an international clientbase and collectively manage over-billion in AUA for clients located inover 100 countries.CIG recognises the importance ofbuilding trusted, transparent relationshipsand works with a broad spectrum ofprofessional firms and advisory businesses,each of which has specific and constantlyevolving needs.DFM: the search for Sustainable AlphaAt the heart of their DFM business is CIG’sSustainable Alpha philosophy.Sustainable Alpha is the quality CIGlooks for when assessing new investmentopportunities across all their discretionarymanaged investment strategies.CIG is essentially looking for assetscapable of consistently increasing the valuethey create, while reducing the resourcesthey consume. This is a tried and testedmethod for identifying assets positionedto deliver sustainable outperformanceover the long term. In the Group’s view,profitability and sustainability are notmutually exclusive ideas.Capital InternationalGroup’s investment solutionsFor a quarter of a century, CIG’s investmentstrategies have delivered consistent andstrong risk-adjusted returns benchmarkedagainst relevant peer group indices.Our strategies aim to consistentlyoutperform benchmarks over their giventime horizon. We measure our strategiesagainst appropriate peer group benchmarksand have consistently outperformed overthe last five years.CIG offers several solutions that can beshaped to meet your clients’ needs:• Multi-Asset Service: Prism – A powerfullyeffective, risk-rated solution with ultimateflexibility. Shape your clients’ portfoliosbased on their risk-return appetitewith the ability to alter strategies as theirneeds evolve.• Model Portfolio Service: Fusion –Fusion targets attractive returns andprovides broad diversification through amanaged portfolio of funds and ETFs.• Discretionary Service: A fullycustomisable investment portfoliobuilt specifically to suit your client, ourDiscretionary Service combines carefulconsideration of client interests withoriginal and innovative thinking to achieveconsistently strong returns.Using their in-house investment profilingand projection technology, CIG can helpyou to model the potential impact of anychanges to your strategy over time, assistingto keep your clients on track to achievetheir goals by reviewing and continuouslyoptimising their strategies.With a dedicated account-opening team,CIG can have you up and running quicklyand efficiently, where both you and yourclient gain access to their state-of-the-artinvestment portal to manage and monitoryour investments on-the-go.Client protectionCapital International Limited is regulated bythe Isle of Man Financial Services Authority,who are responsible for the regulation andsupervision of financial services. An awardwinningjurisdiction, the island has a longstandingglobal presence within the lifeassurance and investment sectors.In addition, all client monies and assetsare held on trust in segregated accounts orin CIG’s separate nominee company, CapitalInternational (Nominees) Limited (CINL).CIG’s nominee company is not permittedto do anything other than simply hold cashand assets for clients and the client alwaysretains 100% beneficial ownership.The investment management businessoperates in the Isle of Man and in Jerseyvia Martello Asset Management Limitedauthorised by the Jersey Financial ServicesCommission. Activity in South Africa isdelivered via regulated businesses which areauthorised as Financial Services Providers bythe Financial Sector Conduct Authority.Portfolios built for prosperityCIG’s team of investment specialists overseetheir investment portfolios with the aimof maximising returns. Collectively, theteam possesses over 200 years of industryexperience and can be accessed at any pointin the lifespan of your clients’ investment.Our collaborative approach enables usto better understand your business, adaptto its unique requirements and ensure thatyour client needs come first.Contact informationTo request a portfolio proposal,contact:• Lerato Lebitsa, BusinessDevelopment Manager (Investments)• Telephone: 021 201 1070• Email: l.lebitsa@capital-sa.com• Website: www.capital-iom.comThe views, thoughts and opinions expressed within this article are those of the author, and not those of any company within the CapitalInternational Group (CIG) and as such are neither given nor endorsed by CIG. Information in this article does not constitute investmentadvice or an offer or an invitation by or on behalf of any company within the Capital International Group of companies to buy or sellany product or security or to make a bank deposit. Opinions constitute views as at the date of publication and are subject to change.Regulated investment activities are undertaken by Capital International Group Limited's licensed member companies. Capital InternationalLimited and Capital Financial Markets Limited are licensed by the Isle of Man Financial Services Authority. Capital International Limitedis a member of the London Stock Exchange. CILSA Investments (Pty) Ltd (FSP No. 44894) trading as Capital International SA, is licensedby the Financial Sector Conduct Authority in South Africa. All subsidiary companies across both jurisdictions are represented underthe Capital International Group brand. Martello Asset Management Limited is regulated by the Jersey Financial Services Commissionand is licensed by the Financial Sector Conduct Authority in South Africa as an authorised Financial Services Provider (FSP No. 51164).20
2025 DFM GUIDE - INTERVIEWBLUECHIPMaking offshore investing easyLerato Lebitsa, Business Development Manager, Investment Management,explains how one can avoid complexity in offshore investments.What makes your business distinctive?While we are a global business, the core of ouroperations are based in the Isle of Man and ourclients, whether domiciled in South Africa orany of the 100+ jurisdictions we currently serve,take great comfort in the fact that their assetsare held in what is regarded as a politicallystable jurisdiction, internationally respectedfor its progressive regulation and stronggovernance. Within our discretionary investmentmanagement business, our team of specialistinvestment managers and analysts currently lookafter approximately £800-million of assets undermanagement. This team works consistently tomaximise value for clients through expertise andcontinual research.At Capital International, our goal is to provideinvestors with all the advantages of investingoffshore, without the complexity. We provideour clients a triad of benefits: a highly qualifiedteam of expert invest managers, access to astrong jurisdiction which is complemented bylocal support offered by our team in South Africa.Who is your ideal client and who are notyour clients?We deal with financial advisors, wealthmanagers, intermediaries and trustees. Ourideal clients are South African investors lookingto maximise the allocation of their wealthoffshore held in a variety of structures whereall are managed and administered centrally.Our clients are limited to those who adhereto our minimum investment amount of£50 000 or currency equivalent. Furthermore,any clients who want to trade securities and FXdaily to earn an income would be better servedwith a different investment platform provider.What role do you believe DFMs play inimproving client outcomes?I would point to three key areas: expertise,reach and monitoring. Expertise comes in theform of highly qualified professional investmentmanagers focused on improving clientoutcomes and have decades of experience inmanaging client wealth.Reach relates to the internationaloutlook professional investment managershave. They can research opportunitiesinternationally and have access to institutionalterms and investments not available toindividual investors.Finally, monitoring alludes to the constantanalysis and research the team undertakesdaily. Constantly monitoring the markets allowsour team to be quicker to react to upside anddownside risks, giving them a “jump start” onachieving better outcomes.Some argue DFMs are just another layer ofcosts for clients.There is no hiding that a DFM costs money.However, should the DFM demonstrate valuefor their professional expertise, the servicethey provide, as well as through the investmentperformance they deliver, then that layer ofcost is justified in the client’s peace of mind. It’sworth remembering that it can cost a lot moreto make the wrong decision.Some have the view that DFMs should haveperformance tables like fund managers.Your perspective?Performance tables have their place and operatewell for funds because there are sectors andclassifications that make it easy to make likefor-likecomparisons. However, DFMs come indifferent shapes and sizes which can make itdifficult to draw valid comparisons. Performanceis important but so are service, local support,access to an investment team and flexibility toadapt to change.What are the biggest challenges you seefacing DFMs in the next decade?There are several challenges on the horizon.It’s undoubtedly a competitive market andstanding out is difficult, especially when facedwith ever-tightening regulations. Technologyis also important; it’s crucial that DFMs stayahead of the game in harnessing automationto increase efficiencies, allowing them to focuson areas that have the greatest impact.Lerato Lebitsa, BusinessDevelopment Manager, CapitalInternational GroupBIOGRAPHYLerato is a BusinessDevelopment Manager forCapital International, basedin Johannesburg and focusedon offshore discretionaryinvestment management.With 16 years of investment,stockbroking and wealthmanagement experience,she is focused on promotingthe Capital InternationalInvestment product offering toIndependent Financial Advisors,Investment Specialists, BusinessDevelopment Managers, WealthManagers, Financial Advisorsand individuals. Lerato hosts the“Capital Alchemy” podcast andholds a BA in Political Scienceand English from the Universityof KwaZulu-Natal.21
