On the face of it, it is a great product, one that I am going to look at more closely, as it subscribes to my investment philosophy of buy and stick with the winners. Positives are that they are cycling out of losing positions, and holding winners, so in theory they should not be underperforming the market, and in practise, they should be outperforming it. Now for the negatives - or at least red flags. No 1: NB, NB, NB - it has to have a market maker (I can't see if they do or don't). This is imperative, since it is a very illiquid ETF. If you want to exit your position on this, and it is sizeable (say R100k or more), you are going to be stuffed if there isn't a market maker (they seem to be covering 50 units on the buy and sell?) 2: they are re-investing the dividends, so you will not be able to rely on dividend payout. In theory though, momentum stocks are lousy dividend contributors, so this should not be an issue. 3: Disclosure - ABSA are a bit cagey on the details, from what I can see. Hard to tell how this fund is constructed, and what their full portfolio is - also, they are cycling in and out of positions, from what I can guess, so how does the tax work on this?