A small cash balance is maintained in your portfolio including Custom portfolios to support the ongoing management and operations of your account.
- Cover Management Fees
Your management fees are automatically deducted from this cash balance each month. Keeping a small buffer ensures that your account always has enough available cash to cover these deductions.
- Avoid Over-Investing
Maintaining a small cash buffer prevents over-investing of your funds. Since asset prices fluctuate, this allows Syfe to accurately invest your money without overshooting the intended allocation.
How Is My Cash Balance Managed?
Syfe continuously works to minimise idle cash so that the majority of your funds stay invested. When your accumulated cash (for example, from dividends or new top-ups) reaches a level that makes it economical to reinvest, Syfe’s cash management algorithm will automatically deploy it into the market.
In some rare cases, if your cash balance falls below the required maintenance range, a small portion of your holdings may be sold to restore it to the optimal level.
