High Income Fund

100% Tax Deduction in Year 1, immediately reducing your capital at risk by as much as 45%. The Fund, with High Income return characteristics, looks to achieve a steady and stable 8% dividend yield per annum paid out every 6 months throughout the 5 year investment term.


Invest within assets that are influenced by micro-economic factors as opposed to macro-economic factors. Ability to invest directly into high growth sectors such as renewable energy and provide mezzanine finance to stable and predictable projects.

  • Access to multiple Section 12J funds in SA’s key growth sectors.
  • An anticipated Internal Rate of Return – 18,62% (Net of Fees & Taxes)
  • Diversified exposure to professionally selected investments.
  • A Reduced minimum invest size of R350 000.
  • Zero additional fees payable to Metta Capital.
  • A comprehensive product that is supported by SA’s largest wealth managers.


Composition: Holdings as at 28 February 2021
Sectoral Diversity: Asset Allocation as at 28 February 2021


1. Assuming a natural person paying tax at the maximum marginal rate of 45% and subject to dividend withholdings tax of 20% where applicable.
2. Returns are forecast by applying the market returns of each VCC to their weightings within the Metta Capital High Income Fund portfolio.
3. All returns shown are ner of all fees charged by the investment managers, including their specific performance fees.

The cash flow profile and cash return chart demonstration may not necessarily reflect the actual returns that will be earned by Metta Capital High Income Fund. 

The Metta Capital Investor Experience

House and track your investment in one place. A clear picture at all times of your investment’s performance allows you to track the developments of each investment in the portfolio, and be part of each journey as these investments start to produce tangible results and returns.
MeTTa Capital: House and track your investment in one place

Retirement Annuity vs Section 12J Investments

Retirement Annuity
Section 12J Investment
Investment cap
R350 000 per annum
R2.5 million per annum
R5 million per company
Deductible portion of taxable income
Annual costs
3 – 6%
2 – 3 %
Tax on returns
Income Tax – up to 45%
Dividends Tax – 20%
Tax on withdrawal
Income Tax – up to 45%
Capital Gains Tax – 18%
55 years of age
5 years from date of investment
Investment status
Members of an RA
Shareholding within Public Unlisted Companies
While Retirement Annuities (RAs) have their place, especially in terms of automating monthly retirement savings and providing a cash lump sum upon retirement, there is a similar, but an equally important option available to investors who are looking for an attractive tax deduction whilst growing and diversifying their portfolio – Section 12J. In a year whereby Reg 28 is more uncertain, now is a better time than any to consider the essential benefits of Section 12J versus Retirement Annuities:

Building the High Income Fund

Stage 1 – 184 VCCs

Obtains the SARS approved Section 12J supplier list and embark on the desktop level screening process in evaluating each VCC’s ability to meet the portfolio’s investment mandate.

Stage 2 – 42 VCCs

Through the completion of initial screening process and consultation to prior investment process results, a shortlist of VCC’s are invited to participate within the formal investment process.

Stage 3 – 12 VCCs

Through requests of additional information Metta Capital then apply their strict investment mandate criteria to the second layer of screening to obtain a shortlist of VCC’s to be invited to present to the Investment Committee.

Stage 4 – 5 VCCs

Metta Capital’s Investment Committee evaluates the due diligence and investment packs generated for each shortlisted VCC and, following the completion of all VCC interviews, compile and weight the strongest possible investment portfolio based on the portfolio’s specific investment mandate criteria.


Download out investor brochure to review why Metta Capital’s High Income Fund is the most comprehensive Section 12J investment product in the market.