SAVINGS INVESTMENT ACCOUNT

The Savings Investment Account offers investors an attractive alternative to bank deposits and savings accounts as

well as the flexibility to achieve their investment needs and objectives through a single investment vehicle.

Savings Investment Account / V2 022012 / Page 1 of 2

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I d e a l I n v e s t o r

The Savings Investment Account is suited to investors who:

Wish to earn interest or dividends on their investment

Have a short- to medium-term investment horizon

Have voluntary savings to invest

This investment product is available to natural persons,

trusts and companies.

S a l i e n t F e a t u r e s a n d B e n e f i t s

Capital Security

The Savings Investment Account is a versatile investment

vehicle that offers investors a capital secure investment with

high levels of liquidity.

Multiple Investment Options

The Savings Investment Account provides the entry point

for the selection of funds that offer an attractive alternative

to bank deposits and savings accounts. Investors are pro-

vided with the following investment options:

F l e x i b i l i t y

Investment flexibility is provided by the facility to switch

between investment options and allows for regular or ad

hoc withdrawals and additions.

L i q u i d i t y

An investment in the Savings Investment Account can be

ceded during the investment term, either as collateral or as

an outright cession. However, acceptance of the investment

as collateral for loans is left to the discretion of the financial

institution approached.

T a x I m p l i c a t i o n s

Money Market Fund

Interest derived from an investment in the Money Market

Fund is taxable in the hands of the investor, subject to the

current interest exemption for natural persons. Companies

and trusts will be taxed at their applicable rate.

Dividend Income Fund

Income derived from the Dividend Income Fund consists

primarily of dividends. As local dividends are currently not

taxable, the investor should receive tax free returns. As the

unit price resets to 100 cents after each income distribution,

the effect of capital gains tax, if any, will be minimal.

Money

Market Fund

Offers investors, who are not tax sensi-

tive, competitive interest returns

Dividend

Income Fund

Offers investors, who have a high mar-

ginal tax rate, an alternative to cash with

competitive after-tax returns

M i n i m u m I n v e s t m e n t A m o u n t

R 50 000

R 500 per month

R 10 000

Lump sum investment Recurring investment Additional investment

Absa Investment Management Services (AIMS)

Authorised Financial Services Provider

PO Box 974, Johannesburg, 2000

Absa Insurance and Financial Adviser Clients : 0860 000 005 / aimscc@absa.co.za

Independent Financial Adviser Clients : 0860 000 022 / aimsind@absa.co.za

Fax No : 0861 339 265

Internet Website: www.absainvestments.co.za

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SAVINGS INVESTMENT ACCOUNT

Savings Investment Account / V2 022012 / Page 2 of 2

Refer to the Savings Investment Account application form for details relating to documentation required, product account details,

timing standards and product terms and conditions.

First R 250 000 0.85%

Next R 250 000 0.65%

A R500 minimum initial administra-

tion fee will be charged on invest-

ment amounts below R 50

000.

No AIMS initial fee is charged on

investment amounts greater than R

500 000.

First R 250 000 0.35%

Next R 500 000 0.10%

Above R 750 000 0.00%

The annual administration fee is

charged per investment portfolio and

applies to both lump sum and recur-

ring investments.

AIMS receives a rebate from Absa

Fund Managers on the Dividend In-

come Fund.

Initial Administration

Fees (Lump Sum)

Annual Administration

Fees

Initial Administration

Fees (Recurring)

First R 1 000 2.25%

Next R 4 000 1.50%

Above R 5 000 0.50%

A R11.25 minimum initial administra-

tion fee will be charged on recurring

investment amounts below R 500.

F e e s a n d C h a r g e s

Initial Fees

- An administration fee for services provided by AIMS

- A financial adviser fee for services rendered to the investor by the financial adviser

- Fees levied by the fund management companies which will vary depending on the unit trust fund selected

Annual Fees

- An annual fee is levied for administrative and management services provided by AIMS

- An annual client processing fee

- An investment and advisory review fee for the financial adviser

Fees levied by the fund management companies which will vary depending on the unit trust fund selected.

The annual fees are calculated on the market value of the units held in the fund.

Financial adviser initial and annual review fees are negotiable between the member and the financial adviser.

AIMS fees are generally reviewed on an annual basis. A schedule setting out the current fee structure is available on request from

AIMS and is detailed in the application form.