The Satrix Swix Top 40 endeavours to replicate the performance of the FTSE/JSE Swix Top 40 index. This shareholder weighted Top 40 index makes use of the share register of the top forty companies to reduce the constituent weights for foreign shareholders in these stocks. In addition, the Swix Top 40 is adjusted for cross-holdings and strategic holdings. The impact is to reduce the weightings of mainly resource and dual-listed stocks in the Top 40 index by approximately half.

The asset manager of the Satrix Swix Top 40 accurately replicates the FTSE/JSE Swix Top 40 index, by holding the exact weighting and number of shares that constitute this index. Any dividends that are paid by the top forty companies are paid out to Satrix Swix Top 40 shareholders payable on a quarterly basis. In this way the holders of Satrix Swix top 40 securities replicate the total performance (capital plus dividend yield) of the top 40 companies listed on the JSE.

Buy one security (the Satrix Swix Top 40) and own the market!!


The reweighting of the Swix Top 40 index relative to the normal Top 40 index results in less volatility in the Swix Top 40 index and smoothes out its performance over time. The foreign participation in South Africa´s main companies contained in the Top 40 index can result in sharp price fluctuations from time to time, as these offshore investors react to exogenous factors affecting global stockmarkets and to fluctuations in the rand exchange rate. By down-weighting the top 40 shares held in the foreign share registers, the Swix Top 40, to a significant extent, eliminates the impact of such fluctuations on the local index.

COMPONENTS OF THE SATRIX SWIX TOP 40 PORTFOLIO (as at 30 November 2009)
	% of Portfolio
Basic Materials	30,42
Oil & Gas	7,30
Consumer Goods & Services	17,58
Industrials	5,12
Health Care Providers	0,97
Finance	25,05
Telecommunications	13,40
Cash	0,20

Portfolio Diversification
The Satrix Swix Top 40 provides a balanced portfolio of the top 40 companies in South Africa measured by market capitalisation, liquidity and free float, adjusted to reduce the impact of such shares held in non-SA shareholder registers. It therefore provides an index of the stocks available to trade on local shareholder registers, which shares are normally more stable and less likely to short-term trading fluctuations for the top 40 shares held on foreign registers. The Swix Top 40 thereby provides a diversified portfolio of the top 40 companies on the JSE, but with reduced price volatility and short-term market fluctuations.

Performance

PERFORMANCE DATA
(Sept to Sept)**         (per annum)	STXSWIX Fund**	SWIX Top 40 Performance (total return)
1 year return	7,61%	5,79%)
3 year return	6,67%	7,12%
**	Fund established April 2006.   Returns calculated for lump sum investments.  All dividends reinvested.

Low Cost
Satrix Swix Top 40 does not charge large management fees or other advisory and ongoing costs, common to other managed investments. The income Satrix earns from scrip lending activities cover a portion of the running costs of the Satrix Trusts. 

The only costs involved with the purchase or sale of Satrix securities are the brokerage and other JSE transaction costs incurred as with any listed security. A big advantage is that by purchasing Satrix Swix top 40 you only pay brokerage and other transaction costs once, and not forty times, which would be the case if you were to purchase the index constituent shares separately. Satrix securities can also be held and transacted through various management account portfolios, such as the Satrix Investment Plan.

In the case of the Satrix Investment Plan, which is administered by Automated Outsourcing Services Limited (AOSL), transaction costs (brokerage) of 0,1% is levied on purchases and sales of Satrix securities. Annual management fees, charged by AOS, are as follows:

Investment Plan Administration Fees (for both lump sum and debit order investments)

Annual administration fee: (calculated daily and deducted quarterly)

Total Investment Per Fund	Fee
R0 to R100 000	0,80%
R100 000 to R250 000	0,75%
R250 000 to R1 000 000	0,70%
R1 000 000 to R3 000 000	0,50%
R3 000 000 or more	0,45%

Transaction Fees
Debit order fee: R3.50
Stock brokerage fees: 0.10% (buying and selling)
Nominal Strate and Investor Protection levies will also be charged.
Where a financial adviser is used, commissions will be charged (as scheduled in Section 8).
All fees quoted are exclusive of VAT.  VAT will be levied where applicable

Satrix Swix Top 40 is traded all day on the JSE and its price is subject to trading in the marketplace. The price of Satrix securities can be obtained from any media publication that reports JSE prices.

All settlement, registration, recording and guarantee of trade is done through the normal JSE market systems.

Official market makers have been appointed by Satrix to ensure that investor´s transactions will be accommodated in the market.

Regulation and Disclosure
Satrix Swix top 40 is subject to the same regulations, reporting and compliance requirements of any listed company on the JSE. Satrix Swix Top 40 is also registered as a Collective Investment Scheme and is therefore subject to the regulation of the Financial Services Board. Satrix Managers (Pty) Ltd is registered as a Financial Services Provider.