Over the long term (10 years), the Fund’s investment performance continues to be good, meeting the relevant objectives.

After the poor investment returns resulting from the challenging economic environment in 2018, there was a pleasing improvement in 2019, resulting in much more encouraging one-year returns (shown on the far right in the graph above).

The impact of the 'trade wars' (new import tariffs or taxes being put in place) between the USA and China was reduced when a 'Phase 1' deal was reached.

After the United Kingdom election results, Brexit finally became a reality and the UK exited the European Union in January 2020 – although many details are still to be negotiated.

Both international and domestic financial markets reacted favourably, ending 2019 on a positive note, only to be unsettled almost immediately by the emergence of the coronavirus in China, followed by its spread to many countries. The uncertainty regarding the coronavirus and its full economic impact has dominated news headlines and is being felt across all financial markets.

Domestically, despite a slight reduction in the political uncertainty of the past two years, turning around the low and slowing economic growth remains essential to creating desperately needed work opportunities and to addressing the pressing social issues. Eskom’s ongoing struggle to meet the electricity demand also continues to disrupt economic activity.