FSCA Communication 19 of 2023 (RF)

ANNEXURE A SCHEDULE IB ASSETS HELD IN COMPLIANCE WITH REGULATION 28 As at… Fair value R A Total assets (Schedule IA -Total investments) B1 Less: Reg 28 compliant investments (certificate received from issuing entity):- B.1.1 Collective Investment Schemes (Reg 28(8)(b)(i)) B.1.2 Linked Policies (Reg 28(8)(b)(ii)) B.1.3 Non-Linked policies (Reg 28(8)(b)(iii)) B.1.4 Entity regulated by FSB (Reg 28(8)(b)(iv)) B2 Less: Reg 28 Excluded investments B.2.1 Insurance Policies ( Reg 28(3)(c)) C Less: Investments not disclosed /data not available for disclosure [Refer Schedule IAN] D TOTAL ASSETS for REGULATION 28 DISCLOSURE R % 1 CASH 100%

1.1 Notes, deposits, money market instruments issued by a South African Bank, margin accounts, settlement accounts with an exchange and Islamic liquidity management financial instruments 100%

(a) Notes and coins, any balance or deposit in an account held with a South African bank -per issuer/entity 25% (b) A money market instrument issued by a South African bank including an Islamic liquidity management financial instrument -per issuer/entity 25% (c) Any positive net balance in a margin account with an exchange -per issuer/entity 25% (d) Any positive net balance in a settlement account with an exchange, operated for the buying and selling of assets -per issuer/entity 25%

2 1.2 Balances or deposits, money market instruments issued by a foreign bank including Islamic liquidity management financial instruments SARB maximum limits

(a) Any balance or deposit held with a foreign bank -per issuer/entity 5% (b) Any balance or deposit held with an African bank -per issuer/entity 5% (c) A money market instrument issued by a foreign bank including an Islamic liquidity management financial instrument -per issuer/entity 5% 2 DEBT INSTRUMENTS INCLUDING ISLAMIC DEBT INSTRUMENTS 100% issued/ guarantee d by Republic otherwise 75% 2.1 Inside the Republic 75/100% (a) Debt instruments issued by, and loans to, the government of the Republic, and any debt or loan guaranteed by the Republic 100% (b) Debt instruments issued or guaranteed by the government of a foreign country 75% -per issuer 10% (c) Debt instruments issued or guaranteed by a South African Bank against its balance sheet:

75%

(c)(i) Listed on an exchange with an issue market capitalisation of R20 billion or more, or an amount or conditions as prescribed 75% -per issuer 25% (c)(ii) Listed on an exchange with an issuer market capitalisation of between R2 billion and R20 billion, or an amount or conditions as prescribed 75% -per issuer 15% (c)(iii) Listed on an exchange with an issuer market capitalisation of less than R2 billion, or an amount or conditions as prescribed 75% -per issuer 10% (c)(iv) Not listed on an exchange 25% - per issuer 5% (d) Debt instruments issued or guaranteed by an entity that has equity listed on an exchange, or debt instruments issued or guaranteed by a public entity under the Public Finance Management Act, 1999 (Act No. 1 of 1999) as prescribed:

50%

(d)(i) Listed on an exchange 50% -per issuer 10% (d)(ii) Not listed on an exchange 25%

3 -per issuer 5% (e) Other debt instruments:

• 25% (e)(i) Listed on an exchange 25% - per instrument 5% (e)(ii) Not listed on an exchange 15% -per instrument 5% 2.2 Foreign SARB maximum limits (a) Debt instruments issued by, and loans to, the government of the Republic, and any debt or loan guaranteed by the Republic SARB maximum limits (b) Debt instruments issued or guaranteed by the government of a foreign country SARB maximum limits -per issuer 10% (c) Debt instruments issued or guaranteed by a South African Bank against its balance sheet:

SARB maximum limits (c)(i) Listed on an exchange with an issue market capitalisation of R20 billion or more, or an amount or conditions as prescribed SARB maximum limits -per issuer 25% (c)(ii) Listed on an exchange with an issuer market capitalisation of between R2 billion and R20 billion, or an amount or conditions as prescribed SARB maximum limits -per issuer 15% (c)(iii) Listed on an exchange with an issuer market capitalisation of less than R2 billion, or an amount or conditions as prescribed SARB maximum limits -per issuer 10% (c)(iv) Not listed on an exchange 25% - per issuer 5% (d) Debt instruments issued or guaranteed by an entity that has equity listed on an exchange SARB maximum limits

(d)(i) Listed on an exchange SARB maximum limits -per issuer 10% (d)(ii) Not listed on an exchange 25% -per issuer 5% (e) Other debt instruments:

• 25% (e)(i) Listed on an exchange 25% - per instrument 5% (e)(ii) Not listed on an exchange 15% -per instrument 5%

4 3 EQUITIES 75% 3.1 Inside the Republic 75% (a) Preference and ordinary shares in companies, excluding shares in property companies, listed on an exchange:

75%

(a)(i) Issuer market capitalisation of R20 billion or more, or an amount or conditions as prescribed 75% -per issuer 15% (a)(ii) Issuer market capitalisation of between R2 billion and R20 billion, or an amount or conditions as prescribed 75% -per issuer 10% (a)(iii) Issuer market capitalisation of less than R2 billion, or an amount or conditions as prescribed 75% -per issuer 5%

(b) Preference and ordinary shares in companies, excluding shares in property companies, not listed on an exchange 10% -per issuer 2.5% 3.2 Foreign SARB maximum limits (a) Preference and ordinary shares in companies, excluding shares in property companies, listed on an exchange:

SARB maximum limits (a)(i) Issuer market capitalisation of R20 billion or more, or an amount or conditions as prescribed SARB maximum limits -per issuer 15% (a)(ii) Issuer market capitalisation of between R2 billion and R20 billion, or an amount or conditions as prescribed SARB maximum limits -per issuer 10% (a)(iii) Issuer market capitalisation of less than R2 billion, or an amount or conditions as prescribed SARB maximum limits

-per issuer 5% (b) Preference and ordinary shares in companies, excluding shares in property companies, not listed on an exchange 10% -per issuer 2.5% 4 IMMOVABLE PROPERTY 25% 4.1 Inside the Republic 25% (a) Preference shares, ordinary shares and linked units comprising shares linked to debentures in property companies, or units in a Collective Investment Scheme in Property, listed on an exchange 25%

(a)(i) Issuer market capitalisation of R10 billion or more, or an amount or conditions as prescribed 25% -per issuer 15%

5 (a)(ii) Issuer market capitalisation of between R3 billion and R10 billion, or an amount or conditions as prescribed 25% -per issuer 10% (a)(iii) Issuer market capitalisation of less than R3 billion or an amount or conditions as prescribed 25% -per issuer 5%

(b) Immovable property, preference and ordinary shares in property companies, and linked units comprising shares linked to debentures in property companies, not listed on an exchange 15%

• per issuer 5% 4.2 Foreign 25%

(a) Preference shares, ordinary shares and linked units comprising shares linked to debentures in property companies, or units in a Collective Investment Scheme in Property, listed on an exchange 25%

(a)(i) Issuer market capitalisation of R10 billion or more, or an amount or conditions as prescribed 25% -per issuer 15% (a)(ii) Issuer market capitalisation of between R3 billion and R10 billion, or an amount or conditions as prescribed 25% -per issuer 10% (a)(iii) Issuer market capitalisation of less than R3 billion or an amount or conditions as prescribed 25% -per issuer 5% (b) Immovable property, preference and ordinary shares in property companies, and linked units comprising shares linked to debentures in property companies, not listed on an exchange 15%

• per issuer 5% 5 COMMODITIES 10% 5.1 Inside the Republic 10% (a) Kruger Rands and other commodities on an exchange, including exchange traded commodities 10%

(a)(i) Gold (including Kruger Rands) 10% (a)(ii) Other commodities 5% -each other commodity 5% 5.2 Foreign 10% (a) Gold and other commodities on an exchange, including exchange traded commodities 10%

(a)(i) Gold 10% (a)(ii) Other commodities 5% -each commodity 5%

6 6 INVESTMENTS IN THE BUSINESS OF A PARTICIPATING EMPLOYER INSIDE THE REPUBLIC IN TERMS OF:

10% (a) Section 19(4) of the Pension Funds Act 5% (b) To the extent it has been allowed by an exemption in terms of section 19(4A) of the Pension Funds Act 10% 7 HOUSING LOANS GRANTED TO MEMBERS IN ACCORDANCE WITH THE PROVSIONS OF SECTION 19(5) 95%65%

8 HEDGE FUNDS, PRIVATE EQUITY FUNDS AND ANY OTHER ASSET NOT REFERRED TO IN THIS SCHEDULE 15% 8.1 Inside the Republic 15% (a) Hedge fund 10% (a)(i) Funds of hedge funds 10% - per issuer 5% (a)(ii) Hedge funds 10% - per issuer 2.5% (b) Private equity funds 10% 15% (b)(i) Funds of private equity funds 10% - per issuer 5% 10% (b)(ii) Private equity funds 10 %

• per issuer 2.5%5% (c) Other assets not referred to in this schedule and excluding a hedge fund or private equity fund 2.5% 8.2 Foreign 15% (a) Hedge fund 10% (a)(i) Funds of hedge funds 10% - per issuer 5% (a)(ii) Hedge funds 10% - per issuer 2.5% (b) Private equity funds 10% 15% (b)(i) Funds of private equity funds 10% - per issuer 5% 10% (b)(ii) Private equity funds 10% - per issuer 2.5% 5% (c) Other assets not referred to in this schedule and excluding a hedge fund or private equity fund 2.5% TOTAL ASSETS – REGULATION 28

7 SCHEDULE IB – CONTINUED ASSETS HELD IN COMPLIANCE WITH REGULATION 28 As at……….. INVESTMENT SUMMARY (REGULATION 28) Local Percentage of Fair value Foreign (Excluding Africa) Percentage of Fair value Africa Percentage of Fair value Total R % R % R % R 1 Balances or deposits, money market instruments issued by a bank including Islamic liquidity management financial instruments n/a 2 Debt instruments including Islamic debt instruments 3 Equities 4 Immovable property 5 Commodities 6 Investment in the business of a participating employer 7 Housing loans granted to members - section 19(5) 8 Hedge Funds, private equity funds and any other assets not referred to in this schedule 9 Fair value of assets to be excluded in terms of sub-regulations3(c ) and (8)(b) of Regulation 28 10 Investments not disclosed/data not available for disclosure TOTAL (equal to the fair value of assets) Note: Maximum Foreign limits and disclosure in terms of South African Reserve Bank requirements

8 BREACHES IN TERMS OF SUB REGULATION 3 OF REGULATION 28 As at …… Total (Inside & Foreign) Percentage of Fair value Regulation 28 limits R % Asset Limits in terms of sub regulation 3(f) Other debt instruments not listed

Equities not listed

Immovable properties not listed

Hedge funds , Private Equity funds and other assets

-- TOTAL 35%45 % Asset Limits in terms of sub regulation 3(g) Equities not listed

Private Equity funds

TOTAL 15%20 % Asset Limits in terms of sub￾regulation 3(h) Cash and deposits with a South African Bank Debt instruments guaranteed by a South African Bank Overall limit for all instruments per entity/issuer (local and or foreign) - (excluding debt instruments issued by, and loans to, the government of Republic and any debt or loan guaranteed by the Republic) List Entities exceeding 25% Counter-party exposure 1. 2. 3.

TOTAL 25% NOTES:

1. Credit balance in current accounts must be included in item 1. 2 If the investments exceed the limit per institution/company/individual and no exemption has been obtained, the details below must be completed for each institution/company/individual in each category of assts. Investments in institution/company/individual Item % of Fair Value Fair Value ( R)

9 ……………………………………… …………………… ……… ……… ……. ……………. ……………………………………… …………………… ……… ……… ……. ……………. ……………………………………… …………………… ……… ……… ……. ……………. 3. EXEMPTIONS GRANTED BY THE AUTHORITY Item Max % Date of letter Expiry Date ……………………………………… …………………… ……… ……… ……. ……………. ……………………………………… …………………… ……… ……… ……. …………….