Listed property specialist Plexus Wealth has launched a second property fund, the Plexus Wealth BCI Flexible Property Income Fund, which, the company says, offers investors and retirees a potentially higher income than they might earn from other income-generating investments.

“The fund is attractive to investors and retirees who seek to maximise their income in South Africa’s high-inflation environment,” says Eric Jones, the chief executive of Plexus Wealth. “By mirroring our model portfolio offered to private clients who value high income above the need for growth, we can make this type of investment accessible to all investors.”

Although the fund is predominantly invested in local listed property stocks, it also holds Redefine International and Polish company Echo Polska Properties.

Amanda de Wet, Plexus Wealth’s portfolio manager, says: “Property has consistently outperformed local equities, bonds and cash over the past 15 years and is surpassed only by offshore equities in recent times due to the negative impact of political events in South Africa and the ratings downgrades.

“The fundamentals for listed property remain solid even though the growth in distributions is now more in line with inflation than the double-digit figures delivered by several listed property companies over the past five years. We believe a forecast annual return of 10% to 12% is very attractive in the current low-growth environment.”

The Plexus Wealth BCI Flexible Property Income Fund falls within the South African multi-asset flexible sub-category.

You can invest monthly amounts from R1 000 or lump sums of R25 000.