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JOHANNESBURG - The local Collective Investment Schemes(CIS)  industry statistics for the quarter and year ended June, released today by the Association for Savings and Investment South Africa (ASISA) show that the strong net inflows in the quarter pushed total net inflows for the year ended June to R96 billion.

The organization said the CIS industry is the custodian of R2.3 trillion in assets belonging to ordinary South Africans.

Sunette Mulder, senior policy adviser s Asisa said a vibrant and growing savings culture is a pre-requisite to strong economic growth, healthy net inflows are good news for the country as a whole.

“Year-on-year the local CIS industry also delivered a steady growth in assets. At the end of June last year, assets stood at R2.1trn, compared to the R2.3trn at the end of the second quarter this year,” Mulder said.

The data also shows that 29% of the inflows into the CIS industry in the 12 months to the end of June came directly from investors; Intermediaries contributed 32% of new inflows and institutional investors like pension and provident funds contributed 18%. Linked investment services providers (Lisps) generated 21% of sales.

Mulder said locally registered foreign portfolios held assets under management of R518bnat the end of June, while there are currently 456 foreign currency denominated portfolios on sale in South Africa.