Gryphon Money Market unit trust – the most accessible money market account out there?

Managing people & their emotions around money™

Gryphon Money Market unit trust – the most accessible money market account out there?

Despite all the money that the banks spend advertising their savings products and all the claims to have no fees or commissions, I would not put a cent into any of their money market or savings products. If you want a money market account then you need to use a unit trust money market fund. They are safer, more transparent (cheaper) and give better returns than the bank money market accounts:

Safer – the money is held in a trust and you own units in the trust (remember Saambou or African Bank?)

Better returns – the fund generally invests billions and is able to secure a better rate than your single investment at the bank

Transparent/Cheaper – each fund publishes its annual fee and these range from 0.25% to about 0.5%. As a rule, the lower the fee, the better the return you will receive.

Expected return – currently 8%+ pa (after fees)

Unfortunately, most unit trust money market accounts want big initial deposits and/or very high monthly debit orders…but not the Gryphon Money Market Unit Trust Fund. They accept an initial investment of just R2000 or a R200 debit order and on that amount you will receive the same interest as someone who invests R1m. That’s the beauty of a unit trust account!

You can read more about the fund on their website and can also find the application there

Below are a few of the facts about the fund…happy saving.

Benchmark: Short term Fixed Interest Index (STEFI)
Charges (Incl. VAT): Initial 0%
Annual Management Fee 0.29%
Minimum lump sum: R2,000
Minimum debit order: R200

For the record – they also have some other great funds.



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