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  • Performance of the Harvest Cash Alternative Strategy

Summary of Investment Objective

To deliver a return over the medium term significantly above the rate paid on cash deposits while delivering a very low level of volatility.

Strategy Overview

Base Currency…………………………… EURO

Total Net Assets. . . . . . . . . . . . . . . .€1,385 bn

Annual Distribution Target (Net) . . . . .3.5%

Avg Annual Mgt Charge . . . . . . . . . . 0.65%

Total Expense Ratio . . . . . . . . . . . . .0.76%

Liquidity . . . . . . . . . . . . . . . . . . . . .Daily

Performance of Cash Alternative Strategy vs Cash (March 2021)

Cash Alternative Strategy – June 2021

The Cash Alternative Strategy continued to meet its objectives over Q2, returning 1.2% over the period, well ahead of cash deposits. Both the Legg Mason (bonds) and GAM (Mortgage Backed Securities) funds rose steadily over the quarter while the Aegon fund was a little more volatile due to its equity component. The second half of the year may bring additional volatility in markets but we would expect the strategy to continue to deliver for investors.

Performance of the Harvest Cash Alternative Strategy

Why should you consider the Harvest Cash Alternative Strategy?

You should consider the Harvest Cash Alternative Strategy if you wish to receive better returns than are currently available for cash deposits while minimising the volatility in your portfolio.

The components of this strategy will be monitored by the Investment Department on an ongoing basis but it is not envisaged that there will be regular changes.

The Harvest Cash Alternative Strategy may be of particular interest to clients with pre and post retirement arrangements:

  • who want a positive return in excess of cash deposits in the medium term: and / or
  • who are looking for alternatives to holding cash in their portfolios.

It may also be of interest to clients who have stepped back from investing as they reach the Standard Fund Threshold.

How do I find out more about the Harvest Cash Alternative Strategy?

To find out more about the Harvest Cash Alternative Strategy and to determine if it is suitable and appropriate for your portfolio please speak to your Client Manager, call us on 01 237 5500 or email justask@harvestfinancial.ie

Click to see further details on the Harvest Cash Alternative Strategy. 

Performance of the Harvest Cash Alternative Strategy over four years.

Though holding cash is a sure bet, your gains will be minimal given the extremely low cash deposit interest rates. A world of low deposit returns is challenging for investors. Many are looking for solutions that have the potential to generate higher returns without taking significantly higher levels of risk. The Harvest Cash Alternative Strategy looks to address this.

The chart and table below show the performance of the Harvest Cash Alternative Strategy vs. cash deposits over the past four years assuming an equal holding in all three selected funds. An investor in this strategy could have earned almost 23% over the past four years compared with less than 4% from cash deposits. It is our expectation that future returns of the three selected funds will not be as high as recent years but should be comfortably ahead of cash deposits.

Performance of the Harvest Cash Alternative Strategy
Source for the chart and the table: Financial Express Analytics.
Assumptions for the chart and the table: for simplicity the effect of commissions and other charges are ignored. The return is based on an investment in the three selected funds and does not represent the return achieved by individual accounts linked to the funds.

The Harvest Cash Alternative Strategy is to target an average annual return of 3-5% over the medium term from a portfolio comprising a mix of the selected funds.

How do I find out more about the Harvest Cash Alternative Strategy?

To find out more about the Harvest Cash Alternative Strategy and to determine if it is suitable and appropriate for your portfolio please speak to your Client Manager, call us on 01 237 5500 or email justask@harvestfinancial.ie

Investment Broker of the Year 2018

This marketing information has been provided for discussion purposes only. It is not advice, it is provided for general information purposes only and does not fully take into account your financial position, investment needs and objectives, attitude to risk, liquidity needs, capital security needs, capacity for loss, etc. It should therefore not be relied upon to make investment decisions. Prior to any formal investments taking place you will be provided with a detailed suitability letter taking into account all the above and outlining why the Harvest Cash Alternative Strategy and the selected fund(s) are (not) suitable for you.

Past performance is not an indicator or guarantee of future performance. The value of units in the strategy and income received from it can go down as well as up, and investors my not get back the full amount invested. Other charges and taxes payable by an investor may not be included in the figures.

Warning: If you invest in this fund you may lose some or all of the money you invest. Past Performance is not a reliable guide to future performance. This fund may be affected by changes in currency exchange rates. The value of your investment may go down as well as up. Income may fluctuate in accordance with market conditions and taxation arrangements.


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Address:
Block 3, The Oval, Shelbourne Road, Ballsbridge, Dublin 4. Postcode: D04 T8F2.
Tel: +353 (0) 1 237 5500, Fax: +353 (0) 1 237 5555. Email: justask@harvestfinancial.ie