Why invest in these products?

Why invest in these products?

Spreads risk

The risk in collective investments is spread as it invests in a range of underlying assets, ensuring that all eggs are not in one basket. Assets that show a stable or better performance cushion the drop in price of other assets. Therefore your investment won’t necessarily perform poorly in a volatile market.

Easy and accessible

Collective investments are a very convenient way of investing in markets which you otherwise would find difficult to access. At Black Marlin Investment Fund you can invest in them with as little as $1000 per investment.

Good returns

History proved that the average returns of collective investments compare favourably with returns from more traditional investment products. The longer your period of investment, the greater the opportunity for growth.

Expert decision-making

Collective investments are managed by highly qualified investment managers who are responsible for making the investment decisions. Few people have the necessary time, skills or experience to actively manage their own investment on a day-to-day basis.

Value for money

Collective investments are designed to give you good value. The pooling of money increases buying power, enabling investment managers to buy assets the small investor normally cannot afford.

Fees are competitive and transparent. 
They comprise an annual management fee of 0.65 -1.5% of the fund’s market value and an initial fee up to a maximum of 5% of your investment. These usually decrease on a sliding scale for larger investments. The initial fee is deducted from the amount invested before units or shares are purchased at the NAV price, and the annual management fee is deducted before income distributions are declared. Collective investment funds fees are deregulated and investors should familiarise themselves with all fees applicable to any investment as these may differ from fund to fund.

You always know how much you own

The NAV prices of units or shares are quoted daily on the internet and the website shortly, and can also be obtained directly from the fund administrators. You can calculate the value of your investment at any time by multiplying the number of units or shares you own by the NAV price of your fund.

You are protected

Your money is held separately from the managing company’s assets in a trust held by a third party cash custodian. If anything goes wrong with the company, your money is safe. The collective investment industry is strictly regulated by the Financial Services Commission of Mauritius and in addition by each collective investment portfolio company’s trustees to protect your investment. A vigilant financial press and analysts who continuously monitor the performance of the industry also protect you. In addition, you receive quarterly reports and a bi-annual report listing all the assets in which your collective investment fund invests.

Flexible investment options

You can either invest a lump sum amount so that your entire investment immediately benefits from the growth and income potential of the chosen fund or funds. Or you can make a regular investment, an easier way of building up capital. The latter smoothes your investment into the market over time (called cost averaging) rather than being affected by a market movement at a particular time. Collective investment fund investments are also transferable between funds for no additional costs and you can invest in somebody else’s name.

Easy access

Collective investment fund investments are liquid so you can cash in all or part of your investment at any time and have ready access to your money.

Tax effective

Compared to other investment vehicles, Black Marlin’s collective investment funds are extremely tax effective.
* Firstly in terms of Capital Gains Tax (CGT) because there is none due to the regulatory and legislative framework in Mauritius.
* Secondly, income tax is limited to an effective 3%!
* Thirdly there are no dividends or withholding taxes as in many other jurisdictions.

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