SOUTHERNCROSS CAPITAL

COMPANY OVERVIEW AND TEAM

The SouthernCross Capital hedge fund strategies are co-managed by Cobus Potgieter and Wilhelm Landman, who have been working together since 2015. They are supported by Pieter Slabbert in his role as equity analyst.

The SouthernCross Market Neutral FR RHF was launched in 2017, the SouthernCross Multi-strategy FR RHF was launched in 2020 and the SouthernCross Global Equity FR RHF was launched in July 2026.

The funds have provided excellent risk-adjusted and absolute returns since inception, and across a range of market conditions. The funds are available across all major investment platforms.

INVESTMENT STRATEGY

The core of the strategies is the team’s expertise in corporate structure and corporate action equity arbitrage. The core equity arbitrage strategies are augmented with market-neutral equity, short-term fixed income, directional fixed income and long/short equity, combining in different proportions to produce the defensive market-neutral fund and growth-oriented multi-strategy fund.

Positions are actively managed, with a focus on trading. The team embraces technology, particularly algorithmic execution, through a proprietary electronic order and portfolio management system.

SouthernCross NCIS Market Neutral RHF

The fund aims to deliver predictable cash-plus returns with absolute performance in all market conditions, flourishing specifically in difficult volatile markets. The fund protects the
downside outright and exhibits low volatility. Investors have achieved 84% positive months since inception. The fund is uncorrelated to most asset classes and other hedge funds.

SouthernCross Multi-Strategy Prescient RIHF

The fund is positioned more aggressively than the market neutral fund to deliver equity-like returns for moderate risk. The fund aims to outperform in all market conditions, including providing relative downside protection during bear markets. The fund is moderately correlated to equity markets.

SouthernCross Global Equity FR RHF

The fund aims to outperform the MSCI World Total Return Index in ZAR utilising a portable alpha strategy. 85% of the fund NAV is invested in a diversified basket of uncorrelated defensive South African hedge funds. 15% is invested in SouthernCross market neutral strategies together with 100% of the synthetic passive beta component.

INVESTMENT TERMS

Fund: SouthernCross Market Neutral FR RHF
Target return: Cash +4%
Risk profile: Cautious
Service fee: 1.75% p.a. (excl VAT)
Performance fee: 20% of excess above benchmark performance, calculated over a rolling 12-month period (excl VAT)
Benchmark: SteFi Call Deposit Index
Manager launch date: October 1, 2017

Fund: SouthernCross Multi Strategy FR RHF
Target return: Cash +6%
Risk profile: Moderate
Service fee: 1.72% p.a. (excl VAT)
Performance fee: 20% of the excess above benchmark performance, calculated over a rolling 12-month period (excl VAT)
Benchmark: SteFi Call Deposit Index
Manager launch date: August 1, 2020

Fund: SouthernCross Global Equity FR RHF
Target return: MSCI World TR +2%
Risk profile: Aggressive
Service fee: 1% p.a. (excl VAT)
Performance fee: 10% of the excess above benchmark performance, calculated over a rolling 12-month period (excl VAT)
Benchmark: MSCI World Total Return (ZAR)
Manager launch date: July 10, 2026

FOR ALL FUNDS

High water mark: Yes
Min investment: R50,000
Min investment LISPs: Platform minimums apply
Availability: All major LISPs
Subscription: Daily
Redemption: Daily