General Information

1. Hayrick (PTY) Ltd and Hayrick refer to the same company and can be used interchangeably.

2. Your assets are held in the name of an approved Nominee, on your behalf, as the beneficial owner.

3. You are obliged to inform the Hayrick of any changes with regards to bank or contact details, including postal, residential and email address, and provide, where appropriate, supporting documentation.

4. All deposits received are to be made in ZAR (South African Rands). Hayrick does not accept cash or written cheques.

5. Hayrick does not facilitate or process any third-party payments and/or transfers.

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Hayrick TFSA (Self-traded ETF solution)

1. With the self-traded ETF solution, you are responsible for all trades and trading decisions.

2. The ETFs made available to you have been reviewed and approved as compliant investments within a tax-free savings account.

3. You are not able to access or trade anything outside of these selected ETFs, this is hard controlled within the trading platform.

4. Should an approved ETF no longer be compliant, you will receive communication from Hayrick, and you will be required to sell out of the position. Should this not be done within the communicated time frame, Hayrick will close the position for you at the prevailing market price.

5. Requests for ETFs to be added will be considered but Hayrick reserves the right to reject the request.

6. Hayrick will not trade on your behalf unless under extreme circumstances whereby you are unable to access the platform.

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Hayrick TFSA (Auto-traded Corion Fund Solution)

1. Investments into the bundles that you have selected will be done monthly, at the beginning of the new month.

2. You can change your bundle selection at any time during the month and Hayrick will implement this trade at the next trade date.

3. You cannot place your own trades in this solution.

Investment

1. You may select any one or a combination of the Unit Trusts made available by the Administrator as the underlying investments of this Contract. Investments are held in safe custody by a Nominee Company. The value of the investment is directly linked to the underlying investments. The value of the investment is therefore not guaranteed.

2. The market value of the investment is increased by:
   
   1. 1. Positive investment returns;
      2. Additional contributions;
      3. Allocations of dividends and interest earned.

3. The market value of the investment is reduced by:
   
   1. Negative investment returns;
   2. Any relevant fees and charges;
   3. Regular disinvestments;
   4. Disinvestments;
   5. And Deductions for tax liability (e.g. Capital Gains Tax; tax on income and Dividend Withholding Tax ("DWT") for individuals).

4. There is no guarantee of the performance or capital of the investment.

5. The total amount you can contribute to your tax-free investments in any given tax year is subject to a limitation. This limit applies regardless of the number of tax-free investment accounts you hold or the financial institutions with which you hold them. Should your contributions exceed this established limit, a penalty equal to 40% (forty percent) (or such other rate as may be determined by the Minister of Finance) of the excess amount will be assessed as income tax payable for that specific tax year (Please familiarise yourself with these limits (SARS link)

6. In Addition to the annual limit, there is an also a lifetime limit. This limit applies regardless of the number of tax-free investment accounts you hold or the financial institutions with which you hold them. Should your contributions exceed this established limit, a penalty equal to 40% (forty percent) (or such other rate as may be determined by the Minister of Finance) of the excess amount will be assessed as income tax payable.

7. Where a contribution you have made exceeds either of the thresholds, Hayrick will reject the contribution entirely.

8. There is no cooling off period for your Hayrick TFSA regardless of the solution you are invested in, you can liquidate your positions and withdraw your money at any time.

9. The minimum monthly debit order contribution to the Hayrick TFSA is ZAR300 with a maximum of ZAR3000 limited by the statutory contribution limits.

10. There is no minimum ad hoc contribution, but ad hoc contributions are limited by the statutory contribution limits.

11. It is important to note that if you close your Hayrick TFSA, your lifetime contributions are not reduced. Your deposits made into a tax free savings account do not get deducted from your lifetime contributions, if you subsequently close, or withdraw, from your tax free savings account.

12. Due to the nature and structure of this investment product you cannot nominate beneficiaries. Should you pass away, your investment will form part of Your estate and will be dealt with in terms of the instructions of the executor of your estate where necessary.

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Communication

1. You can submit support requests and instructions through the Unity platform.

2. All communication information is available to you through the Hayrick website.

3. Relevant communication will be sent to you via your preferred method of communication and to contact details that Hayrick has saved on file. You must ensure that this information is kept up to date.

4. A variety of statements are available to you through the Unity platform.

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Processing Instructions and requests

1. Hayrick aims to empower clients to manage their accounts directly by providing clients with the required tools and mechanisms.

2. Instructions received that fall outside the scope of Hayrick's services will not be processed.

3. Hayrick Reserves the right to withhold the processing of any unclear, incomplete or ambiguous instructions submitted by clients.

4. Although every effort is made to process or respond to instructions and requests, Hayrick does not guarantee any specific turnaround times on any request or instruction unless in matters where Hayrick is legally required to do so.

5. Instructions and request may only be sent in relation to your account and not on behalf of or by a third-party.

6. You must submit instructions, or requests, either through the Unity platform, or by sending us an email, using an email address that Hayrick has on file for your account.

7. Withdrawals will be processed within a maximum of 5 working days.

8. No withdrawals and/or transfers will be processed within the last 10 days of the tax year.

9. Hayrick reserves the right to reject or cancel an instruction or request where legally allowed to do so.

10. You cannot request any advice that may constitute as financial advice from Hayrick.

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Fees and Charges

1. The Client shall be obliged to pay to Hayrick, the fees set out in the Fee Schedule in the Mandate. The Fee Schedule may also be supplied to the Client on demand. HAYRICK may change such commissions and charges without notice when the change is to the Client's advantage, or the grounds for changes are due to external circumstances beyond Hayrick's control.

2. There are two direct fees associated with the Hayrick TFSA. Please view the Hayrick website for the latest fee schedule:
   
   1. Platform fee
   2. Brokerage fee

3. Indirect fees charged by the underlying investments can be found on the ETF provider's website and Corion's website.

Bundle and ETF List

Self-traded ETF Solution

Due to the dynamic nature of this list please reach out to info@hayrick.com for the latest list.

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Auto-traded Corion Solution

1. Corion Growth

2. Corion Stable

3. Corion Income

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Complaints and Disputes

1. Access to Policies

The Complaints Policy and Conflict of Interest Management Policy are publicly available on the HAYRICK website: www.hayrick.com.

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2. Submitting a Complaint

If the Client has raised a question or concern with their account executive or any other employee of HAYRICK and is not satisfied with the response, the Client may lodge a formal written complaint with the HAYRICK Complaints Department. Complaints should be directed to:

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3. Complaints Department

HAYRICK

45a 7th Avenue

Parktown North

Johannesburg, Gauteng, South Africa, 2193

Email: info@hayrick.com  

The Complaints Department will investigate and respond to the complaint. Hayrick’s full complaints procedure is available on the website. Clients agree to act in good faith and make reasonable efforts to resolve complaints directly with Hayrick before pursuing external remedies.

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4. Escalation to the Ombud

If the Client is not satisfied with the resolution provided by the Complaints Department regarding financial advice and/or financial products, they may escalate the complaint to the Ombud for Financial Services Providers:

Telephone: +27 (0) 12 470 9080

Fax: +27 (0) 12 348 3447

Postal Address: P.O. Box 74571, Lynnwood Ridge, 0040

Physical Address: Sussex Office Park, Ground Floor, Block B,

473 Lynnwood Road, Corner Lynnwood Road & Sussex Avenue,

Lynnwood, 0081

5. Contact and Licence Details

Company Registration Number: 2011/105666/07

Physical and Postal Address: 45a 7th Avenue, Parktown North,

Johannesburg, Gauteng, South Africa, 2193

FAIS Licence Number: 48416

6. Client Services

Telephone: +27 10 201 6300

Email: info@hayrick.com  

Website: www.hayrick.ai

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Disclosures

Hayrick (Pty) Ltd ("Hayrick") is an authorised financial services provider ("FSP"), in terms of section 8 of the Financial Advisory and Intermediary Services Act, 2002 (Act 37 of 2002) ("the FAIS Act"), with FAIS Act licence number 48416. Hayrick is authorised for Category I (advice and non-discretionary intermediary services), and Category II ("discretionary FSP"). The portfolio(s) reflected in this document are administered on our platform, as part of bundles comprising portfolios of collective investment schemes ("CIS") in securities, administered, and managed, by several CIS managers. The Disclosure certificate includes information about the FSP, the financial products, and financial services, for which it is licensed, the product suppliers of the financial products it offers to clients, conflicts of interest (actual, potential, or perceived), and the details of the representatives who have been appointed by the FSP, to render financial services for the specified financial products, including whether, or not, the representatives are being supervised, when rendering those financial services. The information reflected in this document, and on the website, is not advice, as defined, and contemplated, in the FAIS Act. The value of a financial product may go down, or up, due to changes in the value of the underlying investments, or of currency movement. This will affect the value of your investment, which may result in you suffering a financial loss. Past performance is not necessarily an indication of future performance. An investor may not recoup the full amount invested. We do not provide any guarantee, either with respect to the capital, or the return, of an investment. Forecasts, and examples, are for illustrative purposes only, and are not guaranteed to occur. Any projections contained in the information are estimates only and are not guaranteed to occur. The projections are subject to market influences, and contingent upon matters outside the control of the FSP, so may not be realised in the future.

Bundles

We may allocate your investments to an appropriate bundle, on your behalf. A bundle is an administrative account wrapper, wrapped together as a portfolio, consisting of underlying financial products. The underlying financial products may be CIS portfolios, or other financial products, such as long-term insurance policies, or retirement fund products. The underlying combination of financial products is selected, to optimally target the risk/return requirements, and investment objectives, of clients. It is a combination of separate, financial products, in which the client has direct ownership, and may be better described as an account (or administrative account). These underlying financial products are selected according to your investment requirements. There is no joint ownership among clients, and individual ownership of the units, or participatory interests, in the underlying financial products, can always be transparently demonstrated. A bundle investment is often administered, and facilitated by, the relevant administrative FSP. If a bundle is administered, and facilitated by, the relevant administrative FSP, it may include any financial products that are available for investment on the relevant administrative FSP's platform. If a bundle is administered, and facilitated by, the relevant administrative FSP, the costs, and other information, applicable to bundle, are set out in the documents of the relevant administrative FSP.

Underlying collective investment schemes Contact details

For more information about the underlying collective investment schemes in securities portfolios ("CIS in securities portfolios"), including the details of each CIS manager, trustee, and investment manager, please refer to the latest minimum disclosure documents ("MDD"), available on the website of the relevant CIS manager. Each CIS manager is registered as a manager of collective investment schemes, in terms of the Collective Investment Schemes Control Act, 2002 ("the CISCA").

General

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CIS are generally medium-term to long-term investments, but a hedge fund may have short-term strategies and practices. The value of participatory interests ("units") or the investment may go down, or up. Past performance is not necessarily a guide to future performance. CIS are traded at ruling prices and can engage in borrowing and scrip lending (borrowing and lending of assets). Hedge funds trade at ruling prices and prices may fluctuate post publication. Hedge funds can engage in scrip borrowing and scrip lending. The CIS manager does not provide any guarantee, either with respect to the capital or the return of a portfolio. Any forecasts and/or commentary in this document are not guaranteed to occur. Different classes of participatory interest may apply to portfolios and are subject to different fees and charges. A schedule of fees and charges, inclusive of VAT and maximum commissions, is available on request from us, from your financial adviser/investment consultant, or on the relevant CIS manager's website. Forward pricing is used.

Income distributions

Income distributions may be subject to income tax, dividends tax, or withholding tax on interest, and proceeds from disinvestments, or withdrawals, may be subject to capital gains tax, and you acknowledge that you are aware of the effect this may have on your investment returns. A rebalancing of your portfolio may result in capital gain, on which capital gains tax may be payable.

Redemptions

The CIS may borrow up to 10% of the market value of a portfolio, to bridge insufficient liquidity. The ability of a portfolio to repurchase is dependent upon the liquidity of the securities, and cash, of the portfolio. A CIS manager may suspend repurchases for a period, subject to regulatory approval, to wait for liquidity, and the CIS manager must keep the investors informed about these circumstances. In certain circumstances, service level agreements are in place with specific institutional clients, and in those cases, the terms and conditions specified in those service level agreements override the general terms and conditions, where there are differences.

Yields

The yields of the bond, and income, portfolios, are reflected on the MDDs of the specific underlying portfolios.

Prices

The latest prices, and total expense ratio, are published daily in national newspapers, and are made available on the relevant CIS manager's website.

Valuations and transaction cut-off times

The pricing dates, valuation, and transaction cut-off, times of the underlying portfolios are reflected on the MDDs of the specific underlying portfolios. The withdrawal instruction must be received before the relevant cut-off time prior to the pricing date, failing which, the next pricing date will apply.

Additional information

For additional information on the underlying portfolios, refer to the following documents, available on the relevant CIS manager's website, from your financial adviser, or on request from the CIS manager, free of charge.

• Application form

• Annual report

• General investor report

• MDD

• Performance fee frequently asked questions document

• Schedule of all fees and charges, inclusive of VAT and maximum commissions

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Complaints and conflicts of interest

The Complaints policy and procedure, and the Conflicts of interest management policy, are available on the relevant CIS manager's website. Associates of the relevant CIS manager may be invested within certain portfolios, and the details thereof are available from the CIS manager.

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Closure of the portfolio

The relevant CIS manager has the right to close certain portfolios to new investors, to manage them more efficiently, in accordance with their mandates.

Derivatives

There is no assurance that a portfolio's use of a derivative strategy will succeed. A portfolio's management may employ a sophisticated risk management process, to oversee and manage derivative exposures within a portfolio, but the use of derivative instruments may involve risks different from, and, in certain cases, greater than, the risks presented by the securities from which they are derived.

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Foreign securities

For foreign securities, it is important to be aware of the additional material risks, depending on the specific risks affecting that country, such as:

• Potential limitations on the availability of market information: obtaining investment performance information may be more difficult than obtaining information about South African based investments

• Tax risks: investments are exposed to different tax regimes that may change without warning, and it may influence investment returns

• Foreign exchange risks: exchange control measures may change in the country of investment, and it may influence accessibility to the invested capital. The value of the rand has deteriorated over several years. It is important to understand that, if the exchange rate changes against the exchange rate of the foreign currencies in which your money is invested, it may create a loss of capital, or reduced investment returns, when the money is returned to South Africa in rand. Fluctuations, or movements, in exchange rates may cause the value of underlying foreign securities to go up, or down. You are reminded that an investment in a currency other than your own, may expose your investment to a foreign exchange risk

• Additional risks, such as potential constraints on liquidity, and the repatriation of funds; settlement risks; macroeconomic risks; political risks.

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Money market portfolios

A money market portfolio is not a bank deposit account. A constant price ("CNAV") is applied to a participatory interest of the portfolios. The total return to the investor is made up of interest received, and any gain, or loss, made on a specific instrument, and in most cases, the return will merely have the effect of increasing, or decreasing, the daily yield, but in the case of abnormal losses, it can have the effect of reducing the capital value of the portfolio. Excessive withdrawals from the portfolio may place the portfolio under liquidity pressures, and in these circumstances, a process of the ring-fencing of withdrawal instructions, and managed pay­ outs, over time, may be followed.

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Fund of funds and Feeder funds

A fund of funds, or hedge fund of funds, invests in CIS portfolios that levy their own charges, which could result in a higher fee structure for the fund of funds, or hedge fund of funds. A feeder fund invests in a single CIS portfolio, which levies its own charges, and which could result in a higher fee structure for the feeder fund.

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Drawdown

The potential magnitude of loss -the largest peak-to-trough decline in returns over the period, also known as the maximum drawdown.

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Liquidity

The risk that a given security or asset cannot be traded quickly enough in the market to prevent a loss (or make the required profit).

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Equities

The value of equities may vary according to company profits, prospects, and more general market factors. If a company default occurs, the owners of their equity rank last in terms of any financial payment from that company.

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Bonds

The value of bonds tends to decrease when interest rates and/or inflation rises. Bonds issued by major governments, or companies, will be more stable than those issued by emerging markets, or smaller corporate issuers. If an issuer experiences financial difficulty, there may be a risk to some, or all, of the capital invested. Any historical, or current, yields quoted, should not be considered reliable indicators of future performance.

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Third party portfolios

The relevant CIS manager may establish co-named, or incubator, agreements with a third party, for the portfolios to be established under the manager's CIS, without the third party being registered as a CIS manager, subject to specified conditions. The CIS manager retains full legal responsibility for the third-party portfolios. The assets of the portfolios are managed by the third party, which is an external financial services provider ("FSP"). For co-named portfolios, the FSP has no intention of becoming a CIS manager, and the portfolio names must reference the names of both the CIS manager, and the FSP. For incubator portfolios, the FSP intends becoming a CIS manager, and the portfolio names only reference the name of the FSP. There may be actual, or potential, conflicts of interest, which must be managed, and mitigated, in accordance with the CIS manager's Conflicts of interest management policy.

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Exchange Traded Funds ("ETFs") and index tracking portfolios

ETFs are listed, and traded, on an exchange, and may incur additional costs. Traditional collective investment schemes in securities are priced on an exchange, but are not traded on an exchange. They are both collective investment schemes in securities, and are structured in the same way, and are subject to the same regulatory requirements. Whereas other exchange traded products are not collective investment schemes in securities. Index tracking portfolios, and passive ETFs, are collective investment schemes in securities that track the performance of the index(es), so they are passively managed. Investors can view the constitution, and performance, of the index(es) on the relevant exchange's website. Risks associated with passive ETFs, and index tracking portfolios, are that the performance returns of the portfolio may not match the performance returns of the index, due to the operating costs of the portfolio, and some passive ETFs, and index tracking portfolios, rely on complex investment techniques, or hold riskier underlying assets, to achieve their objectives, so you should always ensure you read the documents provided, to ensure you fully understand the risks you are taking on, before you invest. Actively managed ETFs are different to passive ETFs, and index tracking portfolios, in that they do not track the performance of the index(es), because the assets of the portfolio are actively managed.