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CREATING A PORTFOLIO OF HIGH YIELDING ASSETS Authorised Financial Services Provider – 48870 – Registration Number: 2017/418473/06 - SARS Registration Number - VCC – 0101

CREATING A PORTFOLIO OF HIGH YIELDING ASSETS Capital... · dividend yeild with up to 45% back on your investment within 8 - 10 months of investing. This is done by purchasing operating

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Page 1: CREATING A PORTFOLIO OF HIGH YIELDING ASSETS Capital... · dividend yeild with up to 45% back on your investment within 8 - 10 months of investing. This is done by purchasing operating

CREATING A PORTFOLIO OF HIGH YIELDING ASSETS

Authorised Financial Services Provider – 48870 – Registration Number: 2017/418473/06 - SARS Registration Number - VCC – 0101

Page 2: CREATING A PORTFOLIO OF HIGH YIELDING ASSETS Capital... · dividend yeild with up to 45% back on your investment within 8 - 10 months of investing. This is done by purchasing operating

Sunstone Capital

Sunstone has maintained full deployment with investments in

Outdoor Media Assets

Commercial Fleet Vehicles

Sunstone offers investors an opportunity to earn a stable and dependable dividend yeild with up to 45% back on your investment within 8 - 10 months of investing. This is done by purchasing operating assets and renting them for fixed monthly amounts and building a low risk, diversified portfolio boasting full deployment of capital .

28.92%

71.08%

STABLE YIELDS Predictable dividends

are earned as our

portfolio of assets

generates fixed

monthly rentals.

HIGHLY LIQUID We target assets with

high levels of liquidity

as we cycle them every

18-36 months.

Liquidity is important as it reflects whether there is a ready market for an asset – which is the ease of converting it into cash.

ASSET UNDERPIN All investments are

underpinned by assets,

this significantly reduces

the risk of investment failure.

Past Investments

01

Page 3: CREATING A PORTFOLIO OF HIGH YIELDING ASSETS Capital... · dividend yeild with up to 45% back on your investment within 8 - 10 months of investing. This is done by purchasing operating

12J KEY POINTS1. There is currently a R5 million limit on the amount that

each taxpayer can deduct from the their taxable income through a section 12J investment.

2. Any investment must be held for at least 5 years to ensure the tax benefit remains permanent.

3. While the investor receives a tax benefit for the initial investment in the fund, all future earnings are still taxable.

4. The reason 12J was instituted was to promote equity investments into key sectors to stimulate the South African economy.

5. The asset class has matured dramatically over time and is experiencing exponential growth year on year.

CONTACT US T 011 262 6433

E [email protected]

W www.sunstonecapital.co.za

A 164 Katherine Street Pinmill Office Park Building 2 Sandton Johannesburg South Africa 2196

Section 12JSunstone is a SARS approved Venture Capital Company (VCC)We make use section 12J to make our investments more tax efficient in order to enhance investor returns.

WHAT IS SECTION 12J.Section 12J refers to a section in the South African Income Tax Act which provides a tax incentive for individuals, trusts and companies who invest in a SARS approved Venture Capital Company. Any investment amount can be claimed as a 100% deduction against taxable income in the year in which the investment is made.

Features: 100% Tax deductible investment

5 Year investment horizon

Incentive for any taxpayer (Individual, Company or Trust)

02

Page 4: CREATING A PORTFOLIO OF HIGH YIELDING ASSETS Capital... · dividend yeild with up to 45% back on your investment within 8 - 10 months of investing. This is done by purchasing operating

Table indicates targeted cashflows over a 5 year investment period.

YEAR 0 YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Investment into Sunstone 1 000 000

Tax benefit (45%) (450 000)

Net outflow 550 000

Yield per SunStone Capital model (Pre- WHT)

7.5% 7.5% 7.5% 7.5% 7.5%

Dividend Declared 75 000 75 000 75 000 75 000 75 000

Dividend tax (20%) (15 000) (15 000) (15 000) (15 000) (15 000)

After Tax dividend yield 6% 6% 6% 6% 6%

Capital returned 900 000

Portion of InvestedCapital returned %

90%

Capital Gains Tax (18%) (162 000)

Net cashflows (550 000) 60 000 60 000 60 000 60 000 798 000

Targeted Return Profile

03

Motion. Stability.

Page 5: CREATING A PORTFOLIO OF HIGH YIELDING ASSETS Capital... · dividend yeild with up to 45% back on your investment within 8 - 10 months of investing. This is done by purchasing operating

The Team

AMARESH CHETTYNON-EXECUTIVE CHAIRMAN

Feature Detail

Investment Horizon 5 Years

Industry sector Movable assets

Minimum investment amount R 105 000

Targeted IRR over 5 year period 18%+

Targeted Annual dividend yield 7.5%

Salient Features

STAN MEDALIE NON-EXECUTIVE DIRECTOR

AVI GORDONFUND MANAGER

JEFF MILLERNON-EXECUTIVE DIRECTOR

Page 6: CREATING A PORTFOLIO OF HIGH YIELDING ASSETS Capital... · dividend yeild with up to 45% back on your investment within 8 - 10 months of investing. This is done by purchasing operating

SUNSTONE CAPITAL LIMITED

Authorised Financial Services Provider – 48870 – Registration Number: 2017/418473/06 - SARS Registration Number - VCC – 0101