Newsletter:

Subject:	Portfolio Changes and Market View
Date:	15 Jul 03

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Current Market View	11 Jul 2003
Unit Trust investing should generally be viewed on a medium to long term basis. Our market view seeks to reflect this, and is updated when we perceive that conditions warrant it.

Increase allocation to SA equities exposed to the domestic economy

The views expressed in our last view on 21 May remain valid. The various markets have, in fact, moved pretty much as expected in that market view. We won’t always be as prescient!

Our recommended portfolios have had a large allocation to property unit trusts over the past 8 months. While these have performed very well and continue to be good defensive allocations, we would recommend that investors’ exposure to domestic equities should be increased somewhat. Our view remains that the preferred South African equity investments are those primarily exposed to the domestic economy. Given our rand view, rand hedges should continue to be avoided. Heiko van Wyngaarden Oryx Investment Management (Pty)Ltd.

Read the full text and previous views at
http://equinox.co.za/default.asp?marketview

Portfolio Changes
Speculators Portfolio - The Oasis Property Fund has been disappointing, hence the move into the Marriott Property Equity Fund. We believe the F&I Index may still have some positive movement but that the small cap/value funds offer great potential at very good prices right now. We're very uncertain on gold - but not quite enough to get rid of our small allocation!

Top Managers Portfolio - Property still looks good but we believe excellent value lies in the funds concentrating on good value domestic equities. The AMB Foord Equity Fund has not performed as well as we would have liked - so we have moved the balance into the Investec Value Fund which has done very well of late and looks set to continue in this vein.

Prudential Portfolio - no changes here.

To view the EQUINOX Managed Portfolios, click here: http://equinox.co.za/default.asp?portfolios

Note that investors in our EQUINOX Managed Portfolios do NOT incur any switching fees when the underlying funds are changed. This means that our investment managers are be able to concentrate purely on optimising performance, without any conflicts of interest, or worries that smaller investors in these products will be prejudiced by the costs of switching.

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Economic and Market Comment: Investment Solutions
Has the world equity market turned the corner or not? Analysts point to factors which are difficult to interpret and understand. Read this carefully written and cautious overview of the highlights and low points of the second quarter, 2003.

More at http://www.equinox.co.za/article_481.html

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Mcubed Property Equity Fund available to investors.
The M Cubed Property Equity Fund, launched in January this year, is now available to EQUINOX.co.za investors.

More at http://www.equinox.co.za/article_479.html

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Investing requirements to change as the battle to control hot money hots up
In terms of new legislation applicable from June 30, 2003, EQUINOX.co.za, as well as hundreds of other South African businesses will have an onerous new duty: compliance with money-laundering laws. Previously only dealers in motor vehicles and Kruger Rands were "accountable institutions" with respect to money-laundering legislation.

More at http://www.equinox.co.za/article_475.html

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Pensions - A Call for Greater Trustee Participation
Unit trust watchers may have picked up on an ongoing debate conducted through the press between asset management companies and the trustees of pension funds. Blamed for the recent poor performance of investments, asset managers have been quick to point out that their hands were tied by sometimes inappropriate mandates. Here, in a press release from Alexander Forbes Asset Consultants, Muitheri Wahome of Alexander Forbes takes the call for trustee and shareholder participation a step further.

More at http://www.equinox.co.za/article_483.html

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Revised foreign investment allocations for Domestic and Worldwide unit trusts.
According to the Association of Collective Investments' (ACI) website, Domestic Unit trust funds are now permitted to invest 30% of their portfolios offshore, and Worldwide funds are obliged to invest a minimum of 30% offshore and 30% in South Africa. The balance of the portfolio is, as before, invested according to the discretion of the fund manager.

More at http://www.equinox.co.za/article_478.html

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Best Regards
The Equinox Team

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