South African Balanced Fund Positioning: STRAT to the point | EEMEA

Research evidence excerpt

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M

Idea

August 17, 2026 11:01 PM GMT

STRAT to the point | EEMEA

RMB Morgan Stanley Proprietary Limited+

Christopher Nicholson

Equity Strategist and Analyst

South African Balanced Fund

Positioning

Andrea Masia

Economist

Key recent research

Global Economic Briefing: The Weekly

Worldview: Holding the Line (17 Aug 2026)

Exhibit 1:

Summary of South African Balanced Fund positioning by quarter

Global Thematics: The Thematic Map – Scaling

Themes into AlphaSignals (16 Aug 2026)

Asia EM Equity Strategy: Garner Alpha Bites

(133) – Korea is recovering: reiterate upgrade to

OW (13 Aug 2026)

Global Thematics: The Model Race Gets More

Complicated: Chinese Model Pricing & OpenWeights Adoption (12 Aug 2026)

Podcast | Thoughts on the Market: ‘Show Me

the Money,’ Market Tells Companies (11 Aug

2026)

US Equity Strategy: Strategy Data Pack –

August 2026 (6 Aug 2026)

Source: Fundsdata Online, RMB Morgan Stanley Research

In Exhibit 1 we provide a survey of the asset allocation across 20 of South Africa's

largest Balanced Funds, calculated on a weighted AUM basis. We now have a

complete data set to the end of the 2Q26 - capturing a period of global instability

given the ongoing conflict in Iran in particular. For the 2Q26 the data reflects:

STRAT to the point: Chart Pack - August 2026 (3

Aug 2026)

South Africa Economics & Equities: London Trip

Notes: The Market Thinks We're Early (13 Jul

2026)

South Africa Equity Strategy+: Optically cheap,

• A reduction in SA equity exposure

selectively interesting (8 Jun 2026)

• An increase in offshore equity exposure

Global Strategy Mid-Year Outlook: Constructive,

• An increase in SA bonds exposure

Not Complacent (12 May 2026)

• A net increase in offshore allocation up to 40.6% at 30 June 2026 vs ~39%

at 31 March 2026

This needs to be viewed in conjunction with the performance of various asset

classes as an overlay. For the 1H26:

• The JSE All Share Index provided a total return of -3%. It appears that

allocation to SA equities was reduced more than this return

• The SA 10Y bond provided a total return of +7%. The allocation to SA bonds

…