Can you make 24? For hundreds of primary school learners across South Africa, it has become a test of speed, strategy and mental agility. What started as a 54-school pilot in Gauteng in 2025 has grown into a national competition involving more than 300 schools. On 29 October, 38 Grade 4 to 6 finalists compete for the title — the winner takes R25,000 in a Peregrine Capital investment account, plus R25,000 for their school.
Jacques Conradie, as it happens, was a Maths24 national champion himself at school.
Energised by Peregrine Capital:
Can You Make 24?
24SumMore
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CEO, Jacques Conradie
Welcome to the latest edition of Peregrine Capital’s newsletter, where we share our views and news about our business, our funds, and why hedge funds should form part of a growing and diversified investment portfolio. This edition covers our perspective on the third quarter of 2026, following the semi-annual investor letter we published in July.
The third quarter was a reminder of how quickly the investment backdrop can change. The ceasefire in the Middle East broke down, the oil price rose above $100 a barrel, and both the US Federal Reserve and the South African Reserve Bank raised interest rates. It is in markets like these that an active, valuation-disciplined approach earns its place in a portfolio. In his review below, Portfolio Manager Justin Cousins explains how we positioned our funds through the quarter and where we see opportunity from here.
This quarter also marked an important step for our offshore offering. The Peregrine Capital Vision Fund and the Peregrine Capital High Growth USD Fund are now available to retail investors, approved under section 65 of the Collective Investment Schemes Control Act and accessible on the vast majority of platforms our advisers use. [MDB1] Your clients can now hold US dollar exposure to the same investment process behind our 28-year track record. For more information, please speak to your Peregrine Capital Investment Specialist.
We share regular updates and insights on our LinkedIn page, so please follow us to stay updated with what we’re working on as we continue to deliver on our purpose of creating wealth for our clients.
Discover the market dynamics impacting our funds' performance during the third quarter of 2026, as discussed by Justin Cousins, portfolio manager at Peregrine Capital.
The Peregrine Capital High Growth Fund delivered a net return of 0.8% for the third quarter of 2026. This compares with the SA Multi Asset High Equity Index, which delivered 0.3%. The Peregrine Capital Pure Hedge Fund delivered a net return of 1.8% for the third quarter of 2026. This compares with the SA Multi Asset Low Equity Index, which returned 0.3% over the same period.
Earlier this year, we described the outlook as effectively binary. A near-term resolution of the conflict with Iran would likely see oil prices retrace and risk assets recover. A prolonged conflict would keep oil prices elevated, with knock-on effects for inflation, interest rates and equity markets. The second quarter followed the first path: a ceasefire between the US and Iran was agreed in June, the oil price fell back to around $73 per barrel and markets rallied to record highs.
During the quarter, we increased net offshore equity exposure, focused on large technology platform companies, and reduced domestic equity exposure. Index future hedges on part of the funds' equity exposure remain in place, keeping net exposure moderate in the High Growth Fund and low in the Pure Hedge Fund.
The June ceasefire has failed, and a lasting settlement is not in sight. While shipping through the Strait of Hormuz remains disrupted, we expect oil prices and inflation to stay elevated. This limits the scope for interest rate cuts and is a headwind for South African consumers and for highly valued shares.
We remain positive on the long-term opportunity in artificial intelligence. Within technology, we see the best value in the large platform companies, which continue to grow earnings strongly and trade at reasonable valuations relative to that growth.
Over our 28-year track record, we have navigated many periods like this one. Heightened uncertainty often creates the most compelling investment opportunities as valuations become more attractive. We remain disciplined in managing risk while staying positioned to capture those opportunities, and we believe our funds are well positioned to deliver strong risk-adjusted returns for investors in the coming quarters.
Equity market gains were narrow. Large technology and artificial intelligence companies continued to lead, and the S&P 500 returned 2.3% in US dollars, while the MSCI All Country World Index returned 1.7%. Most other markets fell, with smaller US companies, Japanese and Chinese shares all ending the quarter lower.
In South Africa, higher oil prices led the South African Reserve Bank to raise interest rates by 0.25% in September. Precious metals miners surged in August as gold and platinum prices rallied, but gave back much of that gain in September, leaving the JSE Capped All Share Index with a return of -0.3% for the quarter. The rand ended the quarter broadly unchanged at around R16.40 to the US dollar.
Within our funds, large technology platform holdings and precious metals miners were the largest contributors to performance. As the conflict re-escalated, we added oil positions as insurance against a prolonged disruption to supply. These positions contributed as the oil price rose, and we have since sold them. South African food producers and retailers detracted, as did European luxury goods holdings. Within semiconductors, gains in artificial intelligence chip holdings were offset by losses in memory and data storage holdings.
The third quarter moved onto the second path. The ceasefire broke down in early July, and renewed US strikes and attacks on shipping again restricted traffic through the Strait of Hormuz. The oil price rose by roughly 40% over the quarter to above $100 per barrel. Higher energy prices pushed inflation concerns back up, and the US Federal Reserve raised interest rates in September, its first increase in three years. The US 10-year government bond yield rose to around 5.3%, its highest level in nearly two decades.
We expect oil prices and inflation to stay elevated while shipping through the Strait of Hormuz is disrupted.
QI HEDGE FUND
Now available to retail investors: a US dollar-denominated global hedge fund built to maximise capital growth in dollars over the long term, investing across a flexible range of global assets including shares, bonds and property. The same process that built the track record at home, applied offshore.
Click above to view the longest-running hedge fund in South Africa, designed to offer investment stability and downside protection while growing investors’ purchasing power. The longest-running hedge fund in South Africa, designed to offer stability and downside protection while growing investors’ purchasing power. It aims to deliver inflation-beating returns over the medium term and has achieved 100X growth without a single negative year since inception in July 1998.**
**Please refer to disclaimers at the end of the newsletter.
USD FUND
QI HEDGE FUND
Now available to retail investors: the US dollar version of our High Growth Fund, applying the same multi-asset process and risk discipline to grow wealth in hard currency over the long term.
Click above to view why you should continue to invest in Peregrine Capital’s High Growth Fund - the first hedge fund in South Africa to achieve 100X an investor’s initial investment. R1 million invested in February 2000 is worth more than R209 million today.*
*Please refer to disclaimers at the end of the newsletter.
Want To Learn More
About Our Flagship Funds?
H4 QI HEDGE FUND
Click above to view the longest-running hedge fund in South Africa, designed to offer investment stability and downside protection while growing investors’ purchasing power. The fund aims to deliver returns above inflation over the medium term and has never had a negative year since its inception in July 1998.**
**Please refer to disclaimers at the end of the newsletter.
H4 QI HEDGE FUND
Click above to view why you should continue to invest in Peregrine Capital’s High Growth Fund - the first hedge fund in South Africa to achieve 100X* an investor’s initial investment, so R1 million invested in the fund in February 2000 is worth more than R100 million now.
*Please refer to disclaimers at the end of the newsletter.
Want to learn more about our flagship funds?
View our Flagship Fund’s Third Quarter 2025 Performance Below:
A year into our partnership with the Rugby Centurions, the idea has outgrown the campaign that started it. What began as two TV adverts has become an ongoing conversation about what it takes to compound success over decades — on the field and in the market. Same discipline, same patience, same refusal to chase the short win.
100X Centurions:
Still Playing The Long Game
Upcoming Event Where You Can Meet the Peregrine Capital Team
We have Peregrine Insiders planned in Cape Town in May and Johannesburg in August. Our next webinar will be in June, and we have more events scheduled across all active regions in South Africa. We hope to see you there soon.
Peregrine Investor Day Johannesburg
Leading Beyond The Numbers
Alternative Views on Hedge Funds
Tania Formilan, Chief Operating Officer and Chief Financial Officer at Peregrine Capital, writes on what leadership in an investment business looks like beyond performance — the culture, the people and the decisions that do not show up in a return figure.
Hedgeweek’s Alternative Views series goes behind closed doors with those in the know. In this interview, Jacques Conradie describes Peregrine Capital as “fundamentally bottom-up stock pickers” after almost 28 years investing in South Africa and explains why the team has significantly increased exposure to companies benefiting from the AI ecosystem.
The Legacy Of 100
Investing In A World Gone Tech Crazy
Writing in Moneyweb, Kavita Patel, Peregrine Capital Investment Specialist, looks at what the number 100 actually represents — in rugby caps and in returns — and why longevity, not any single year, is the real measure of an investment business.
On MoneywebNOW, the conversation between Simon Brown and Jacques Conradie turns to how a valuation-disciplined manager approaches a market being reshaped by artificial intelligence — and where the opportunities and the risks actually sit.
Peregrine Capital
in The News
Peregrine Insider Durban
Investment Forum in Johannesburg and Cape Town
Thank you to the advisors who joined us in Umhlanga for a Peregrine Insider, featuring market insights from Justin Cousins, Portfolio Manager and Alan Yates, Head of Distribution, on fund performance, global trends, and positioning for emerging opportunities. We also had a special guest appearance by rugby Centurion Eben Etzebeth to talk to us on what it takes to go from 1 to 100.
We joined The Collaborative Exchange at the Cape Town and Johannesburg Investment Forum where AJ Snyman, an Investment Analyst at Peregrine Capital, presented on “Investing after the end of the world as we know it,” exploring how investors can position portfolios in a rapidly evolving global environment.
HedgeNews Africa Symposium
Investment Advisors Lunch in Cape Town
Our Chairman, David Fraser, took part in the HedgeNews Africa Symposium, where he joined peers to share insights on current fund strategies and market dynamics.The discussion covered macro-driven markets, balancing top-down and bottom-up approaches, risk management, and the relative appeal of South Africa versus global opportunities
The Investment Think Tank events took place in Mbombela, Potchefstroom, Bloemfontein, Durban, and Port Elizabeth this August. Various team members from Peregrine Capital represented us across the country and spoke at a presentation titled “Using Hedge Funds to Navigate Rough Waters”.
Industry Events We Participated
in That You May Have Missed
**100X also refers to the Peregrine Capital Pure Hedge QI Hedge Fund. R1m invested in the Pure Hedge Fund at inception, is worth more than R100m today. Pure Hedge Fund annualised return: 18.41%. Categorised as a SA Multi Asset - Low Equity Category and quoted since inception (July 1998).
Contact Us
About Investing, Today.
Building Conviction:
Our Podcast On The Leaders Behind Exceptional Businesses
Episode 2
Fortress Real Estate
Episode 3
Gerrie Fourie, Capitec
Episode 1
Marthinus Visser, OUTsurance
Episode 1
Marthinus Visser, OUTsurance
Episode 1
Marthinus Visser, OUTsurance
Episode 1
Marthinus Visser, OUTsurance
Steven Brown, CEO of Fortress Real Estate, explains how a flawed dual-share structure, capped A shares and geared B shares with equal voting rights, nearly broke the company, the R7 billion NEPI Rockcastle deal that finally fixed it, and the growth strategy that has followed across logistics, retail and Central Europe to help build a R54 billion property portfolio.
“We’re retailers, we think client and then risk. Bankers look at risk, risk, risk, and then client.” Twenty-five years building Capitec into South Africa’s largest bank by market capitalisation, the one capital rule he would not move, and what the market misread for twelve years.
Twenty-eight years inside one of the JSE’s most closely watched compounders, from a single Centurion office in 1998 to a multinational insurer worth more than R100 billion. Where the OUTbonus came from, why Australia and not Brazil, and why they walked away from the ventures that did not work.
Twenty-eight years inside one of the JSE’s most closely watched compounders, from a single Centurion office in 1998 to a multinational insurer worth more than R100 billion. Where the OUTbonus came from, why Australia and not Brazil, and why they walked away from the ventures that did not work.
Twenty-eight years inside one of the JSE’s most closely watched compounders, from a single Centurion office in 1998 to a multinational insurer worth more than R100 billion. Where the OUTbonus came from, why Australia and not Brazil, and why they walked away from the ventures that did not work.
Twenty-eight years inside one of the JSE’s most closely watched compounders, from a single Centurion office in 1998 to a multinational insurer worth more than R100 billion. Where the OUTbonus came from, why Australia and not Brazil, and why they walked away from the ventures that did not work.
In June, we launched Building Conviction, a podcast series about what it takes to build something exceptional — the businesses, the leaders and the decisions behind them. Jacques sits down with the people who actually built the companies we follow closely, and every guest closes with a Conviction Card: one high-conviction view for the decade ahead. Three episodes are out.
Disclaimers:
Fund Name | Inception date | Highest annual return | Lowest annual return | Latest 1 year | Latest 5 years | Latest 15 years |
|---|---|---|---|---|---|---|
High Growth Fund | Feb-00 | 53.01% (2004) | -11.98% (2008) | 10.56% | 13.17% | 16.72% |
ASISA South Africa MA High Equity | Feb-00 | 27.49% (2004) | -8.24% (2008) | 15.97% | 10.71% | 9.19% |
Pure Hedge Fund | Jul-1998 | 67.90% (1999) | 1.61% (2008) | 8.90% | 11.30% | 12.28% |
ASISA South Africa MA Low Equity | Jul-1998 | 40.59% (1999) | -10.69% (2008) | 13.09% | 9.62% | 8.31% |
Unlock The World Of Hedge Funds
24SumMore
The 2026 edition of Peregrine Capital's 24SumMore Maths Competition is up and running, with deliveries to competing schools well underway and the excitement already building. Term 2 is set to turn up the heat as learners go head-to-head for the chance to represent their schools at the semi-finals, kicking off in Term 3.
Designed for Grades 4 to 6, 24SumMore is Peregrine Capital's CSI initiative that transforms maths from an intimidating subject into an exciting, fast-paced challenge that rewards speed, creativity, and sharp problem-solving. Through a dynamic, game-based format, the programme makes maths fun, engaging, and accessible while building genuine confidence in young learners.
Following a hugely successful pilot in Gauteng in 2025, the competition is now going national, reaching hundreds of schools across South Africa and bringing the thrill of mathematical challenge to classrooms everywhere. By blending competition with learning, 24SumMore sharpens mental maths skills and sparks a lasting love for numeracy.
But this is about more than trophies and titles. 24SumMore reflects Peregrine Capital's deeper commitment to nurturing the next generation of confident, capable problem-solvers, laying a strong foundation in mathematical ability and the building blocks of future financial literacy.
Due Diligence – A Rare Tailwind for Dealmakers
We've put together a comprehensive guide to help you understand the fundamentals of hedge funds. Whether you're new to the concept or looking to deepen your knowledge, this video series covers the essentials—how hedge funds work, why they matter, and how we at Peregrine Capital use these strategies to drive performance.
Click below to watch the series and gain a clearer perspective on this powerful investment vehicle.
Upcoming Event Where You Can Meet the Peregrine Capital Team
We have Peregrine Insiders planned in Cape Town in May and Johannesburg in August. Our next webinar will be in June, and we have more events scheduled across all active regions in South Africa. We hope to see you there soon.
Peregrine Insider
Top-Performing Funds Navigating Markets
Building Conviction:
Our Podcast On The Leaders Behind Exceptional Businesses
In June, we launched Building Conviction, a podcast series about what it takes to build something exceptional — the businesses, the leaders and the decisions behind them. Jacques sits down with the people who actually built the companies we follow closely, and every guest closes with a Conviction Card: one high-conviction view for the decade ahead. Three episodes are out.
Welcome to the latest edition of Peregrine Capital’s newsletter, where we share our views and news about our business, our funds, and why hedge funds should form part of a growing and diversified investment portfolio. This edition covers our perspective on the third quarter of 2026, following the semi-annual investor letter we published in July.
The third quarter was a reminder of how quickly the investment backdrop can change. The ceasefire in the Middle East broke down, the oil price rose above $100 a barrel, and both the US Federal Reserve and the South African Reserve Bank raised interest rates. It is in markets like these that an active, valuation-disciplined approach earns its place in a portfolio. In his review below, Portfolio Manager Justin Cousins explains how we positioned our funds through the quarter and where we see opportunity from here.
This quarter also marked an important step for our offshore offering. The Peregrine Capital Vision Fund and the Peregrine Capital High Growth USD Fund are now available to retail investors, approved under section 65 of the Collective Investment Schemes Control Act and accessible on the vast majority of platforms our advisers use. [MDB1] Your clients can now hold US dollar exposure to the same investment process behind our 28-year track record. For more information, please speak to your Peregrine Capital Investment Specialist.
We share regular updates and insights on our LinkedIn page, so please follow us to stay updated with what we’re working on as we continue to deliver on our purpose of creating wealth for our clients.
CEO, Jacques Conradie
The third quarter moved onto the second path. The ceasefire broke down in early July, and renewed US strikes and attacks on shipping again restricted traffic through the Strait of Hormuz. The oil price rose by roughly 40% over the quarter to above $100 per barrel. Higher energy prices pushed inflation concerns back up, and the US Federal Reserve raised interest rates in September, its first increase in three years. The US 10-year government bond yield rose to around 5.3%, its highest level in nearly two decades.
Discover the market dynamics impacting our funds' performance during the third quarter of 2026, as discussed by Justin Cousins, portfolio manager at Peregrine Capital.
We expect oil prices and inflation to stay elevated while shipping through the Strait of Hormuz is disrupted.
Equity market gains were narrow. Large technology and artificial intelligence companies continued to lead, and the S&P 500 returned 2.3% in US dollars, while the MSCI All Country World Index returned 1.7%. Most other markets fell, with smaller US companies, Japanese and Chinese shares all ending the quarter lower.
In South Africa, higher oil prices led the South African Reserve Bank to raise interest rates by 0.25% in September. Precious metals miners surged in August as gold and platinum prices rallied, but gave back much of that gain in September, leaving the JSE Capped All Share Index with a return of -0.3% for the quarter. The rand ended the quarter broadly unchanged at around R16.40 to the US dollar.
Within our funds, large technology platform holdings and precious metals miners were the largest contributors to performance. As the conflict re-escalated, we added oil positions as insurance against a prolonged disruption to supply. These positions contributed as the oil price rose, and we have since sold them. South African food producers and retailers detracted, as did European luxury goods holdings. Within semiconductors, gains in artificial intelligence chip holdings were offset by losses in memory and data storage holdings.
The Peregrine Capital High Growth Fund delivered a net return of 0.8% for the third quarter of 2026. This compares with the SA Multi Asset High Equity Index, which delivered 0.3%. The Peregrine Capital Pure Hedge Fund delivered a net return of 1.8% for the third quarter of 2026. This compares with the SA Multi Asset Low Equity Index, which returned 0.3% over the same period.
Earlier this year, we described the outlook as effectively binary. A near-term resolution of the conflict with Iran would likely see oil prices retrace and risk assets recover. A prolonged conflict would keep oil prices elevated, with knock-on effects for inflation, interest rates and equity markets. The second quarter followed the first path: a ceasefire between the US and Iran was agreed in June, the oil price fell back to around $73 per barrel and markets rallied to record highs.
QI HEDGE FUND
Click above to view the longest-running hedge fund in South Africa, designed to offer investment stability and downside protection while growing investors’ purchasing power. The fund aims to deliver returns above inflation over the medium term and has never had a negative year since its inception in July 1998.**
**Please refer to disclaimers at the end of the newsletter.
Click above to view why you should continue to invest in Peregrine Capital’s High Growth Fund - the first hedge fund in South Africa to achieve 100X* an investor’s initial investment, so R1 million invested in the fund in February 2000 is worth more than R100 million now.
*Please refer to disclaimers at the end of the newsletter.
QI HEDGE FUND
Want to learn more about our flagship funds?
View our Flagship Fund’s First Quarter Performance Below:
Discover What it’s Really Like to Invest With Peregrine Capital
Curious about what it’s like to invest with Peregrine Capital? Hear directly from the people who know best—our advisors. Watch as two advisors share their experiences, offering insight into investing in our funds. They also offer valuable perspectives on what their clients say about us. Get a behind-the-scenes look at the trust, strategy, and performance that help to set us apart from these two advisors who chatted with Waldo Booysen, our Investment Specialist based in the Winelands in the Western Cape.
Francois Le Clus
Gerhard Van Niekerk
Protecting Downside – Capturing Upside
In the Currency News feature, Peregrine Capital explores how investors can navigate an increasingly complex “new world order” shaped by geopolitical shifts and rapid technological change.
The article highlights how the breakdown of the post-Cold War global system, rising trade tensions, and policy uncertainty have driven market volatility. Against this backdrop, Peregrine emphasises the importance of disciplined risk management, including protecting portfolios during periods of stress while remaining positioned to capture opportunities created by market dislocations.
Peregrine Capital
in The News
In a recent Moneyweb feature, Peregrine Capital’s Grant Dixon explores the idea that the greatest investment risks are often not the obvious ones, like market crashes or geopolitical shocks, but the slower, less visible threats that unfold over time.
The article highlights how risk is perceived differently by different investors, with many individuals focusing less on volatility and more on whether their investments can sustain their lifestyle and outpace inflation. A key insight is that risk evolves as personal circumstances change, and that a mismatch between risk tolerance and required returns can quietly erode long-term outcomes.
Risk is What You Don't See
In the Mail & Guardian feature on top-performing funds, Peregrine Capital shares insights on navigating today’s increasingly complex global investment landscape.
The article outlines how higher interest rates and a more fragmented global economy have contributed to heightened market volatility. In this environment, Peregrine highlights the importance of maintaining a disciplined, long-term investment approach while remaining agile enough to respond to shifting conditions.
A key focus is on high-conviction investing — building concentrated portfolios of quality businesses and using market dislocations as opportunities to deploy capital. It also highlighted the launch of Peregrine’s US dollar-denominated Vision Fund, which we launched in 2025, offering investors access to the firm’s best global ideas through a focused strategy.
In this insightful Classic Business radio interview, Peregrine Capital’s Chairman, David Fraser explores why the current trading environment in South Africa is creating a rare tailwind for dealmakers. He unpacks how shifting market conditions, improved corporate balance sheets, and increased strategic activity are opening up opportunities for mergers, acquisitions, and capital deployment.
Fraser highlights that, despite ongoing global uncertainty, disciplined investors are finding compelling value—particularly in businesses positioned to benefit from structural trends and operational resilience. He also shares perspectives on South Africa’s investment landscape, noting that select sectors and companies are well-placed to benefit from both local recovery and global demand dynamics.
Contact Us
About Investing, Today.
**100X also refers to the Peregrine Capital Pure Hedge QI Hedge Fund. R1m invested in the Pure Hedge Fund at inception, is worth more than R100m today. Pure Hedge Fund annualised return: 18.41%. Categorised as a SA Multi Asset - Low Equity Category and quoted since inception (July 1998).
HedgeNews Africa Symposium
Our Chairman, David Fraser, took part in the HedgeNews Africa Symposium, where he joined peers to share insights on current fund strategies and market dynamics.The discussion covered macro-driven markets, balancing top-down and bottom-up approaches, risk management, and the relative appeal of South Africa versus global opportunities
Investment Forum in Johannesburg and Cape Town
We joined The Collaborative Exchange at the Cape Town and Johannesburg Investment Forum where AJ Snyman, an Investment Analyst at Peregrine Capital, presented on “Investing after the end of the world as we know it,” exploring how investors can position portfolios in a rapidly evolving global environment.
Industry Events We Participated
in That You May Have Missed
Investment Advisors Lunch in Cape Town
The Investment Think Tank events took place in Mbombela, Potchefstroom, Bloemfontein, Durban, and Port Elizabeth this August. Various team members from Peregrine Capital represented us across the country and spoke at a presentation titled “Using Hedge Funds to Navigate Rough Waters”.
Peregrine Insider Durban
Thank you to the advisors who joined us in Umhlanga for a Peregrine Insider, featuring market insights from Justin Cousins, Portfolio Manager and Alan Yates, Head of Distribution, on fund performance, global trends, and positioning for emerging opportunities. We also had a special guest appearance by rugby Centurion Eben Etzebeth to talk to us on what it takes to go from 1 to 100.
Fund Name | Inception date | Highest annual return | Lowest annual return | Latest 1 year | Latest 5 years | Latest 15 years |
|---|---|---|---|---|---|---|
High Growth Fund | Feb-00 | 53.01% (2004) | -11.98% (2008) | 10.56% | 13.17% | 16.72% |
ASISA South Africa MA High Equity | Feb-00 | 27.49% (2004) | -8.24% (2008) | 15.97% | 10.71% | 9.19% |
Pure Hedge Fund | Jul-1998 | 67.90% (1999) | 1.61% (2008) | 8.90% | 11.30% | 12.28% |
ASISA South Africa MA Low Equity | Jul-1998 | 40.59% (1999) | -10.69% (2008) | 13.09% | 9.62% | 8.31% |
Disclaimers: