My Sygnia Alchemy Portfolio

A while back, I decided I needed to understand better investing. As a project-based learner, my approach is always to learn by doing. I thought I’d try out Sygnia’s ETFs as an easy-to-start investment programme, allowing me to get familiar with their platform. I read up about their ETFs and chose to invest in the ETFs listed below. Here are the past year’s results, compared to keeping the funds in cash. I thought the 4th Industrial Revolution Global Equity ETF would do much better. I was sorely mistaken.

To build on this foundation, I was thinking of doing the following:

Sygnia Alchemy Portfolio

This was my selection of ETFs:

Sygnia Itrix 4th Industrial Revolution Global Equity ETF: This ETF tracks the Solactive Innovative Technologies Index, which is made up of companies that are expected to benefit from technologies driving the 4th Industrial Revolution, including the Internet of Things (IoT), cloud computing, 5G, fintech, AI and robotics. It exposes global technology companies, including semiconductor manufacturers, payment platforms, software firms, etc.

Sygnia Itrix Euro Stoxx 50 ETF: This ETF tracks the Euro Stoxx 50 Index, representing large Eurozone companies. It exposes 50 of the largest and most liquid stocks in the Eurozone, covering countries like Germany, France, Spain, Italy and the Netherlands. Sectors included range from banking to industrial goods to technology and beyond.

Sygnia Itrix FTSE 100 ETF: This ETF offers exposure to major UK-listed blue-chip companies by tracking the FTSE 100 Index. It covers the 100 companies with the highest market capitalization on the London Stock Exchange, including prominent names like HSBC, BP, GlaxoSmithKline and Vodafone.

Sygnia Itrix MSCI Emerging Markets 50 ETF: This fund tracks the MSCI EM 50 Index, which covers 50 large, liquid companies from emerging market countries. It provides a focused allocation to leading emerging market stocks from nations including China, South Korea, Taiwan, India and others.

Sygnia Itrix MSCI Japan ETF: This ETF tracks the MSCI Japan Index, giving broad exposure to large and mid-cap Japanese stocks. It covers about 300 Japanese companies, including well-known names like Toyota, Sony, Softbank Group and more across sectors like autos, electronics and telecommunications.

Sygnia Itrix S&P 500 ETF: This ETF replicates the flagship S&P 500 Index in the US, comprising 500 large US companies covering major sectors. It delivers exposure to leading US stocks like Apple, Microsoft, Amazon, Tesla, Berkshire Hathaway and more.

Sygnia Itrix Top 40 ETF: This fund tracks South Africa’s headline Top 40 Index, covering the 40 largest companies listed on the Johannesburg Stock Exchange. It provides exposure to many South African blue-chip companies across sectors like finance, mining, and telecoms.

Performance

Here’s the table updated with the value of ZAR 1000 invested in each fund after one year and its real value after adjusting for inflation (please correct my maths if I’ve done something silly):

Fund Name1 Year ReturnValue of ZAR 1000 after 1 YearReal Value after Adjusting for CPI
Sygnia Itrix 4th Industrial Revolution Global Equity ETF-9.28%ZAR 907.20ZAR 858.48
Sygnia Itrix Euro Stoxx 50 ETF24.91%ZAR 1249.10ZAR 1182.02
Sygnia Itrix FTSE 100 ETF13.55%ZAR 1135.50ZAR 1074.52
Sygnia Itrix MSCI Emerging Markets 50 ETF21.93%ZAR 1219.30ZAR 1153.82
Sygnia Itrix MSCI Japan ETF18.00%ZAR 1180.00ZAR 1116.63
Sygnia Itrix S&P 500 ETF11.79%ZAR 1117.90ZAR 1057.87
Sygnia Itrix Top 40 ETF9.61%ZAR 1096.10ZAR 1037.24
CPI/ZAR 1000 casy5.37%ZAR 1000ZAR 946.3

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