The fund was successfully launched just prior to quarter end and at the time of writing has reached R2 million. We are selectively purchasing the listed property shares that our research process has highlighted as fundamentally sound. As at the 30 September 2002 the fund was 14% invested in property stocks and this will obviously increase as the buying program continues. The balance of the fund has been temporarily placed in zero risk, high yielding fixed interest instruments.

STANLIB expects another 1% increase in interest rates. Significant inflationary pressures are still around and the impact of higher oil prices has not yet impacted on these numbers. However the peak in inflation is expected at 11.3% in November.