Articles

Life insurance is a powerful financial tool, but it must serve the policyholder’s needs and align with their financial reality. Life insurance is an essential financial planning tool, providing peace of mind and financial security to loved ones. However, circumstances change, and what once seemed like a prudent decision can become an overwhelming financial burden. […]

Putting off retirement planning can lead to compromises like working longer than you’d hoped or depending on others for financial support. If you were to ask 100 South African retirees what they would have done differently, they would all say the same thing: “I should have started planning earlier.” This insight, heard in many conversations […]

Understanding how your money is earned, spent, and invested empowers you to make informed decisions. Financial wellness is more than just having money in the bank. It’s about creating a stable, secure, and fulfilling life. It intersects with physical and mental well-being, forming a foundation for long-term peace of mind. Whether you’re just starting your […]

If you’re concerned about putting plans in place in the event of death or your health failing, there are a few simple steps to take in advance. Question: My wife and I are both in our eighties and still in relatively good health. I manage all our financial affairs, but I’m increasingly becoming concerned about […]

A well-planned retirement isn’t just about savings – it’s about balancing life expectancy, spending needs, and diverse income streams for long-term financial security. When people ask, “How much do I need to retire?” it’s tempting to look for a simple answer. Rules of thumb, like saving 25 times your expenses or following the 4% withdrawal […]

Retiring from a retirement fund marks the shift from accumulating savings to drawing an income. Choosing the right annuity for your unique circumstances can be complex, with numerous factors and variables to consider. This decision requires careful evaluation to ensure your retirement capital effectively supports your financial needs and goals. Should you take a cash withdrawal? […]

South Africa’s retirement funding industry is highly regulated, complex, and challenging to navigate independently. Knowing the differences between retirement fund vehicles and their tax implications is crucial for building a well-structured portfolio aligned with your needs. In this article, we take a closer look at these vehicles, their benefits, and the legislation that governs them. […]

Following a systematic approach towards managing your finances for 2025,  we would suggest that you do the following: Draw up a budget The first thing you need to do is draw up a budget. You need to know how much money is coming into your household each month and how much is going out. You […]

Renowned economist Dawie Roodt shared his economic outlook for 2025 – including interest rate cuts, inflation, the NHI and where investors should be putting their money. Daily Investor asked Roodt to share his thoughts on how South Africa’s economy will fare in the coming year. Where economic growth is concerned, Roodt explained that he expects […]

I would like to take this opportunity to wish you a blessed Christmas and a joyful, prosperous New Year. Thank you for your loyal  support this past year. Please note that our offices will be closing on Wednesday 18 December 2024, and will re-open on Monday 6 January 2025. Best wishes from Phil and the […]

Shaken, Not Stirred:  As November unfolds, the financial world finds itself in a plot worthy of 007 himself—complete with intrigue, high stakes, and unexpected twists. The return of Donald Trump to the White House has set the stage for a showdown that could rival Casino Royale. His pro-growth policies may sound like the shiny gadgets […]

Election Fever: Rising Yields and Fiscal Uncertainty Shake Market Momentum   The stock market’s rally encountered an “October surprise” as rising bond yields grabbed attention, much like a last-minute swing in the polls. Following the Fed’s half-point rate cut, both 2- and 10-year Treasury yields unexpectedly spiked, creating an economic twist reminiscent of a debate […]

A brief overview of the market in September 2024: – United States Monthly return in US$ USA        Dow Jones Industrial 30                2.0%  Positive USA       Nasdaq Composite                           2.8%  Positive USA       S & P  500      […]

August was a month of contrasts for global markets, marked by significant volatility and a pronounced recovery in the latter half. The month had a turbulent start, driven by escalating concerns about a potential US recession and the unwinding of carry trades, which led to sharp selloffs in various asset classes. However, by month-end, markets […]

What is the risk, and can I do better? For many investors over the last few years, the predominant tendency has been to either invest in local money market funds or offshore cash markets. Investors have become more risk-averse and, in doing so, are seeking a conservative option for their offshore cash. However, they might […]

August’s Market Clash: A Thrilling Showdown – August in the financial markets was like a classic showdown. Just when it seemed some asset classes might be down for the count, they managed to rally back, ending the month on a high note with global stocks ultimately coming out ahead. Even though some markets faced a […]

The Olympic Games of Rotation – In the grand arena of financial markets, akin to an Olympic stadium buzzing with excitement, we’ve seen a remarkable shift in front runners over the past month. In the U.S., it’s been a dazzling sprint by small-cap and value stocks, alongside cyclical sectors, outpacing the marathon dominance of mega-cap […]

It is important that you, as a couple, understand the state of your finances and have a documented plan for where your income streams are going to be coming from. Question: I have always managed the family finances. I am concerned that when I die my spouse could receive the wrong financial advice and run out […]

The second quarter of 2024 painted a diverse picture across global markets, with notable disparities in regional and sector performances. Emerging markets shone brightly, as evidenced by the MSCI EM USD Index’s impressive +5.0% rise (YTD: +7.5%), outpacing the MSCI World USD Index, which posted a +2.6% gain (YTD: +11.8%) for the same period. This […]

Children living abroad who have not officially emigrated might still be regarded as South African tax residents, which has implications when they inherit their parents’ deceased estate. Question: I have children who are living overseas. They did not emigrate officially and are now citizens of the countries where they are resident. They have absolutely no assets […]

Election ANC-xiety The month of May ended with all eyes focused on South Africa’s national elections. In a historic upset, akin to a championship team losing its long-held title, South Africa’s African National Congress (ANC) stumbled, losing its majority for the first time since Nelson Mandela’s triumphant post-apartheid victory 30 years ago. The ANC’s decline […]

Question: We left South Africa 10 years ago and eventually ended up in Canada, where we now live. We never officially emigrated. Will this cause problems in years to come? Answer: Many people leave SA to work abroad. What was originally an adventure to get some offshore experience often becomes a permanent arrangement. As they did […]

Putting your offshore assets into an insurance wrapper has the twin benefits of reducing your tax liability and making inheriting easier. Question: A few months ago, you talked about using offshore insurance wrappers to save on inheritance tax. We have some money overseas, from which we occasionally draw to supplement our South African income. If we […]

Throughout the month, the global financial markets have been weaving their way through an intricate tapestry of geopolitical uncertainties, pivotal economic data, and the strategic directions undertaken by central banks. In the United States, the Federal Reserve’s March Federal Open Market Committee (FOMC) meeting heralded a wave of optimism. The dovish tone struck by Federal […]

During the month, global financial markets navigated through a complex interplay of economic indicators, geopolitical tensions and central bank policies. In the US, ongoing concerns surrounding the Federal Reserve’s monetary policy stance played a pivotal role. Investors closely monitored signals from the central bank regarding its approach to interest rates and inflation management amidst mounting […]

The year started with financial markets witnessing a shift in sentiment following the gains from the December rally. While the beginning of the month hinted at a pull-back, a reversal occurred as the month progressed, ultimately concluding with global indices finishing in positive territory. In the United States, the focal point of the month was […]

The final quarter of 2023 saw a synchronized rally across global bonds and equities as falling inflation in many economies led central banks to continue to pause or effectively end their interest rate hiking cycles and start to look towards rate cuts, particularly in the US. And, although a growth slowdown is still expected in […]

The attached “Decoding the month – December 2023” provides an overview of key events that influenced financial markets over the course of December 2023. Click on the below link: Decoding the Month – December 2023 Insert from Corion Capital

I would like to take this opportunity to wish you a blessed Christmas and a joyful, prosperous New Year. Thank you for your loyal  support this past year. Please note that our offices will be closing on Wednesday 18 December 2023, and will re-open on Monday 6 January 2024. Best wishes from Phil and the […]

The attached “Decoding the month – November 2023” provides an overview of key events that influenced financial markets over the course of November 2023. Click on the below link: Decoding the Month – November 2023 Insert from Corion Capital

With SARS now in charge of financial emigration, there are still many questions regarding “Do I need to financially emigration” The below article by Suzean Haumann covers some of the questions around financial emigration. The question posed was: I’m moving to Ireland. I have an EU passport and will register for tax in Ireland. I have […]

The attached “Decoding the month – October 2023” provides an overview of key events that influenced financial markets over the course of October 2023. Click on the below link: Decoding the Month – October 2023 Insert from Corion Capital

Many South Africans have contemplated a possible exit plan from the country, either now or in the future. It is important to understand the major consequences that emigration will have on your worldwide assets, investments, and tax status. In this newsletter, we tackle some important and difficult-to-understand financial issues regarding emigration, our obligations to SARS […]

  Once you reach retirement, you need to make investment choices to ensure that the money you have saved will last as long as you live. Choose wisely to ensure your money outlasts you – here are your choices: You have three choices in this regard: a living annuity, a guaranteed life annuity or a […]

The attached “Decoding the month – September 2023” provides an overview of key events that influenced financial markets over the course of September 2023. Click on the below link: Decoding the Month – September 2023 Insert from Corion Capital

The attached “Decoding the month – August 2023” provides an overview of key events that influenced financial markets over the course of August 2023. Click on the below link: Decoding the Month – August 2023 Insert from Corion Capital

The attached “Decoding the month – July 2023” provides an overview of key events that influenced financial markets over the course of July 2023. Click on the below link: Decoding the Month – July 2023 Insert from Corion Capital

Your investment in human capital is just as important as your financial capital. A financial advisor is a pivotal element to the success of your portfolio. Managing personal finances can be a challenging task. With a myriad of financial options, complex investment strategies, and constantly changing market conditions, it is no wonder that many individuals […]

It depends on how much monthly income you will require in retirement and how much you want your loved ones to inherit the day you pass on. I often get asked: “How much is enough, and how much do I need the day I retire”? Well, that all depends on how much monthly income you […]

If you are a non-resident of South Africa and you inherit money from a South African estate, there are a few things you need to know. A person who has no ties to South Africa in any way would naturally be regarded as a bona fide non-tax resident of South Africa, however proof of your non-residency status […]

The attached “Decoding the month – June 2023” provides an overview of key events that influenced financial markets over the course of June 2023. Click on the below link: Decoding the Month – June 2023 Insert from Corion Capital

The attached “Decoding the month – May 2023” provides an overview of key events that influenced financial markets over the course of May 2023. Click on the below link: Decoding the Month – May 2023 Insert from Corion Capital

Most people realise the importance of planning for retirement, but how many know exactly how to make their retirement plan work effectively for them? Whether it be a retirement annuity, living annuity, or investment policy – every financial product has different benefits and restrictions. The key is knowing which product, or combination of products, to […]

The attached “Decoding the month – April 2023” provides an overview of key events that influenced financial markets over the course of April 2023. Click on the below link: Decoding the Month – April 2023 Insert from Corion Capital

The attached “Decoding the month – March 2023” provides an overview of key events that influenced financial markets over the course of March 2023. Click on the below link: Decoding the Month – March 2023 Insert from Corion Capital

February proved to be a mixed, but broadly negative, month for South African financial markets, driven by the stronger-than-expected US market data that confirmed higher and more widespread inflation, more robust retail sales and industrial production, and a still-improving labour market. These combined to shift global market sentiment back to a view of “higher interest […]

Overcontribution can be used to reduce or even neutralise the amount of tax paid on living annuity income payments. Not many investors are aware that any retirement contributions which did not previously qualify for a deduction can be used to reduce tax payable on retirement lump sums or post-retirement income. The total contributions an individual […]

The attached “Decoding the month – February 2023” provides an overview of key events that influenced financial markets over the course of February 2023. Click on the below link: Decoding the Month – February 2023 Insert from Corion Capital

The South African Reserve Bank (SARB) may no longer be a visible part of the process to cease residency in South Africa. However, when it comes to moving money out of the country during or after emigration, the Reserve Bank is still very much involved. This is especially true for amounts above R10 million. Currently, […]

Global financial markets resumed their recovery in January after December’s losses, propelled by improving data in a number of areas, including a shifted consensus pointing to a sooner-than-expected end to interest rate hikes in the US (and elsewhere), upside surprises to corporate earnings, and expectations of shallower growth downturns than previously anticipated. Risk assets were […]

The attached “Decoding the month – January 2023” provides an overview of key events that influenced financial markets over the course of January 2023. Click on the below link: Decoding the Month – January 2023 Insert from Corion Capital

In this note, we highlight ten general thoughts on the global and South African (SA) economy as we move into 2023. Over the next year, we expect slower global economic growth to dominate the agenda. A recessionary-like environment can be expected across developed markets (DMs), with more divergence in economic activity for emerging markets (EMs). […]

Life, they used to say, begins at 40. This was based on the idea that having married and started a family in your 20s, your kids would be grown and out of the house, your bond would be paid off and your parents were happily retired. So, you could start spending on yourself and enjoying […]

The attached “Decoding 2022” provides an overview of 2022. Click on the below link: Decoding 2022 Insert from Corion Capital

It’s worth committing to a set of healthy financial habits to strengthen your financial position in 2023 and beyond. If, as Jack Canfield says, ‘Your habits will determine your future’, it’s worth committing to a set of healthy financial habits to strengthen your financial position in 2023 and beyond. As we all know, there is […]

May we take this opportunity to wish you a blessed Christmas and a joyful, prosperous New Year. Thank you for your loyal  support this past year. Please note that our offices will be closing on Thursday 22 December 2022, and will re-open on Wednesday 4 January 2023. Best wishes from all of us at Sirius […]

The attached “Decoding the month – November 2022” provides an overview of key events that influenced financial markets over the course of November 2022. Click on the below link: Decoding the Month – November 2022 Insert from Corion Capital

Global equity markets were broadly positive in October, rebounding after a sharp two-month sell-off. In the US, earnings season was in full swing with several mega-cap technology companies reporting disappointing results, fuelling concerns about slowing global growth.  Meanwhile, International Monetary Fund (IMF) Managing Director Kristalina Gerogieva encouraged central banks to keep raising rates to fight […]

Global equity and bond markets sold-off sharply in September, largely on the back of aggressive monetary tightening from most major central banks and fears over a slowdown in global economic growth. In the US, a third consecutive 75bp interest rate hike weighed on investor sentiment, as did the prospect of more “pain” to come as […]

Open and transparent discussions between spouses are key to a couple’s financial success. Money in the context of marriage can be notoriously difficult to navigate especially where couples find themselves with widely disparate views regarding personal financial management. While we know that open and transparent discussions between spouses are key to a couple’s financial success, […]

The attached “Decoding the month – September 2022” provides an overview of key events that influenced financial markets over the course of September 2022. Click on the below link: Decoding the Month – September 2022 Insert from Corion Capital

US stock markets are again toying with bear market territory, now off more than 18% from their January peaks. Renewed concerns about still-hawkish central banks and the energy crisis unfolding in Europe have seen the benchmark S&P 500 Index decline 18.2% to date and the Nasdaq slide a hefty 30%. Risk aversion gathered pace in […]

The attached “Decoding the month – August 2022” provides an overview of key events that influenced financial markets over the course of August 2022. Click on the below link: Decoding the Month – August 2022 Insert from Corion Capital

The attached “Decoding the month – July 2022” provides an overview of key events that influenced financial markets over the course of July 2022. Click on the below link: Decoding the Month – July 2022 Insert from Corion Capital

The success of any resilient, all-weather portfolio lies in the waiting. We were all hoping for a bit of a breather going into 2022. But as if the pandemic wasn’t enough for all of us, the year so far has proven to be very eventful. The year started with the Russian-Ukraine conflict, rising interest rates […]

Global equity and bond market returns were broadly negative in June, reflecting growing investor concerns that surging inflation and aggressive monetary tightening by major central banks could tilt the global economy into recession. On top of this, the Russia-Ukraine war showed little sign of abating, contributing to further spikes in energy prices. In the US, […]

The attached “Decoding the month – June 2022” provides an overview of key events that influenced financial markets over the course of June 2022. Click on the below link: Decoding the Month – June 2022 Insert from Corion Capital

Global equity markets were broadly flat in May as the war in Ukraine showed little sign of abating and concerns over slowing growth weighed on markets. Energy and food prices continued to rise, placing upward pressure on global inflation, with central banks adopting more hawkish undertones to their policy-tightening measures.  In the US, the Federal […]

The attached “Decoding the month – May 2022” provides an overview of key events that influenced financial markets over the course of May 2022. Click on the below link: Decoding the Month – May 2022 Insert from Corion Capital

Global equity markets retreated in April over rising concerns of a slowdown in global growth, high inflation and further policy tightening from major central banks. Further pressure came in the form of supply disruptions stemming from the Russia-Ukraine war and increased sanctions imposed on Russia by Western nations. In the US, a contraction in economic […]

The attached “Decoding the month – March 2022” provides an overview of key events that influenced financial markets over the course of March 2022. Click on the below link: Decoding the Month – March 2022 Insert from Corion Capital

The attached “Decoding the month – February 2022” provides an overview of key events that influenced financial markets over the course of February 2022. Click on the below link: Decoding the Month – February 2022 Insert from Corion Capital

The Market Snapshot provides an overview of key events that influenced financial markets over the course of February 2022. Click on the below link: Market Overview – February 2022   Widespread risk aversion dominated global markets in February following Russia’s surprise invasion of the Ukraine. Western countries joined efforts to impose stringent sanctions on the […]

The Market Snapshot provides an overview of key events that influenced financial markets over the course of January 2022. Click on the below link: Market Overview – January 2022 It was a difficult start to 2022 as many global markets experienced pullbacks on the back of concerns over tighter monetary policy and potentially slower growth […]

We often get the question; “Why do some clients achieve better investment returns than others?” While we don’t believe that there is a silver bullet – each of us is unique after all; we do think that the following dos and don’ts shared with us by financial advisors help to explain why some investors do […]

The Market Snapshot provides an overview of key events that influenced financial markets over the course of December 2021. Click on the below link: Market Overview – December 2021 It was a strong close to the end of 2021 as investors shrugged off concerns around the Omicron variant of the Coronavirus and tightening global monetary […]

The attached “Decoding the month – December 2021” provides an overview of key events that influenced financial markets over the course of December 2021. Click on the below link: Decoding the Month – December 2021 Insert from Corion Capital

May we take this opportunity to wish you a blessed Christmas and a joyful, prosperous New Year. Thank you for your loyal  support this past year. Please note that our offices will be closing on Wednesday 22 December 2021, and will re-open on Wednesday 5 January 2022. Best wishes from all of us at Sirius  […]

The attached “Decoding the month – November 2021” provides an overview of key events that influenced financial markets over the course of November 2021. Click on the below link: Decoding the Month – November 2021 Insert from Corion Capital

The Market Overview provides an overview of key events that influenced financial markets over the course of October 2021. Click on the below link: Market Overview – October 2021 Video by Prudential Investment Managers

The attached “Decoding the month – October 2021” provides an overview of key events that influenced financial markets over the course of October 2021. Click on the below link: Decoding the Month – October 2021 Insert from Corion Capital

Volatility won’t disappear; it’s about how you manage it. The below is from an interview between Ciaran Ryan and Adriaan Pask, chief investment officer at PSG Wealth. CIARAN RYAN: Volatility is one thing that is certain about markets and is part of every person’s investment journey. While market swings can be uncomfortable, they should not distract […]

The Market Overview provides an overview of key events that influenced financial markets over the course of September 2021. Click on the below link: Market Overview – September 2021 Video by Prudential Investment Managers

The attached “Decoding the month – September 2021” provides an overview of key events that influenced financial markets over the course of September 2021. Click on the below link: Decoding the Month – September 2021 Insert from Corion Capital

The below Market Snapshot provides an overview of key events that influenced financial markets over the course of August 2021. Global equity markets were broadly positive in August, supported by the US Federal Reserve’s dovish stance on the tapering of asset purchases, while downplaying concerns over a potential interest rate increase over the short term. […]

The attached “Decoding the month – August 2021” provides an overview of key events that influenced financial markets over the course of August 2021. Click on the below link: Decoding the Month – August 2021 Insert from Corion Capital

The attached “Decoding the month – July 2021” provides an overview of key events that influenced financial markets over the course of July 2021. Click on the below link:   Decoding the Month – July 2021 Clip by Corion Capital

The below Market Snapshot provides an overview of key events that influenced financial markets over the course of June 2021. Global equity markets were mixed in June, as concerns over rising inflation, tighter monetary policies, and a rise in new Covid-19 infections appeared to be the major drivers behind market sentiment. There was some reprieve […]

Important Information Regarding the POPI Act The new Protection of Personal Information (POPI) Act, designed to protect how companies use, store and process data, came into effect on 1 July 2021. We respect the constitutional right to privacy and are committed to and bound by the terms and provisions of the Protection of Personal Information […]

The attached “Decoding the month – June 2021” provides an overview of key events that influenced financial markets over the course of June 2021. Click on the below link: Decoding the Month – June 2021 Insert from Corion Capital

Understanding the fundamentals creates a solid investment foundation with better investment expectations.   For those familiar with the game of golf, there is a saying “drive for the show and putt for the dough”. That simply means that a putt can either make or break you on a golf course, not necessarily how hard or […]

The attached “Decoding the month – May 2021” provides an overview of key events that influenced financial markets over the course of May 2021. Click on the below link: Decoding the Month – May 2021 Insert from Corion Capital

An overview of key events that influenced financial markets over the course of April 2021. April was another broadly positive month for global equity markets as the widespread rollout of Covid-19 vaccination programmes continued to pick up pace. Contributing to the risk-on sentiment for the month was yet another substantial relief package proposed by President […]

The Market Snapshot provides an overview of key events that influenced financial markets over the course of March 2021. Global equity markets were broadly positive in March as investors welcomed the approval of the Biden administration’s $1.9trn stimulus plan by the US House of Representatives, together with a newly proposed $2.25trn infrastructure plan to run […]

The Market Snapshot provides an overview of key events that influenced financial markets over the course of February 2021. Global equity markets were broadly positive in February amid wide-scale rollouts of Covid-19 vaccines and indications that the global economy was on the path to recovery. The growing likelihood of a massive stimulus package in the […]

Article by Corion Capital  

The Market Overview provides an overview of key events that influenced financial markets over the course of January 2021. Click on the below link: Market Snapshot – January 2021 Video and below article by Prudential Investment Managers Global risk improved somewhat in January on the back of upwardly revised global growth projections and the prospect […]

The Market Overview provides an overview of key events that influenced financial markets over the course of December 2020. Click on the below link: Market Snapshot – December 2020 Video by Prudential Investment Managers   The year ended on a buoyant note in December, as investors shrugged off the rising “second wave” of Coronavirus infections […]

The Market Snapshot provides an overview of key events that influenced financial markets over the course of November 2020. Click on the below link: Market Snapshot – November 2020 Video by Prudential Investment Managers

Being fit, healthy and free from ailments may give one a false sense of security when it comes to planning for the future. If you’re fortunate enough to enjoy good health as you enter retirement, longevity is a factor that will affect almost every aspect of your retirement planning. Being fit, healthy and free from […]

The Market Snapshot provides an overview of key events that influenced financial markets over the course of October 2020. Global equity markets were broadly negative in October, as governments across the UK and Europe imposed new national lockdown restrictions in a bid to combat a second wave of Covid-19 infections. Other factors weighing on investor sentiment included […]

Click on the below link: Market Snapshot – September 2020 Video by Prudential Investment Managers

Click on the below link: Market Snapshot – August 2020 Video by Prudential Investment Managers

Global equity markets were broadly positive in August, largely on the back of advancements in the development of a Covid-19 vaccine, the broad-based resumption of global economic activity and growth, and the announcement of a new approach to average-inflation targeting by the US Federal Reserve. In South Africa, the easing of lockdown restrictions and the […]

Click on the below link: Market Snapshot – July 2020 Video by Prudential Investment Managers

Click on the below link: Market Snapshot – June 2020 Video by Prudential Investment Managers        

Click on the below link: Market Snapshot – May 2020 Video by Prudential Investment Managers  

Prudential Investment Managers have put together some interesting articles on their Website. They are well researched on various topics and worth reading. Link to Prudential website

Markets rallied in April as global central banks continued their unprecedented expansion of monetary stimulus to mitigate the economic impact of the COVID-19 pandemic. Sentiment was largely on the ascendency as more countries announced plans to gradually ease lockdown restrictions. The IMF warned that the global economy is set to contract by 3% this year, the steepest decline […]

A good read compiled by Nedbank Investments especially applicable during this lock down period about managing your emotions and staying invested. Continue reading    

To help with the dissemination of information around Covid-19,  and further to the Directives under Regulation 10(8) of the Disaster Management Act 57 of 2002, issued by the Minister of Communications and Digital Technologies, we have added a link to the South African government Corona Virus website for your information. SA Corona Virus website  

Watching the value of your investment tumble over the course of just few days can be a painful experience. The global market crash that we’re experiencing has been unlike anything most seasoned investors have seen before, in its speed and severity. So if you’re new to investing, you certainly wouldn’t have seen an equity sell-off […]

The widespread impact of the COVID-19 pandemic dominated global markets in March. Almost all asset classes sold-off during the month, as negative investor sentiment was amplified by uncertainty over the extent and severity of the virus and its impact on economic growth. The IMF warned of a coming global recession worse than that of the […]

In six short weeks Covid, initially a regional epidemic confined largely to the Hubei district in China, has become a global pandemic. The brutal, and in this case ruthless, power of exponential growth has been on display for all to see. At the time of writing it is present in 155 countries, with 198 000 […]

The rate at which the COVID-19 virus has spread globally has left many investors feeling understandably nervous. Equities have fallen dramatically since the start of the outbreak, with the FTSE/JSE ALSI falling 33% in the past 30 days (as at 19 March 2020). Bonds haven’t fared much better either, with the yield on the SA […]

Listed assets around the world sold off aggressively over the past three weeks as it became clear that the nCoV-2019 virus has been exported around the world, dashing hopes of quick containment as was the case in previous coronavirus outbreaks (SARS in 2003 and MERS in 2012). The scale of the sell-off is historic and […]

Mitigating biases: stick to a sound investment plan. Avoiding volatile investments can produce a potential return and may save a significant amount on one’s wealth at retirement Many investors make decisions based on emotional biases that undermine the chance of meeting their investment goals. This is the second in a two-part series considering the risks […]

Investment decisions can easily be driven by emotions and chance. Time in the market, rather than timing the market, is far more valuable to investors Since investors rarely behave according to financial and economic theory, behavioural finance has grown over the past twenty years. Most investors know that emotion affects the way in which investment […]

South African citizens will soon be able to move up to R10 million out of South Africa without the intense scrutiny of the South African Revenue Service (Sars), under a new plan announced by finance minister Tito Mboweni as part of the 2020 Budget. South Africans could previously easily move money out of the country […]

You’ll be paying less income tax in 2020. Rather than announcing a VAT hike, Finance Minister Tito Mboweni said taxpayers were in for some income tax relief in the 2020/2021 financial year. Calculate your personal income tax here and see the saving for 2020  Tax calculator

Are you a South African citizen with interests offshore? Perhaps you have a home in Spain? Or a business in Italy? Offshore assets make wills more complicated. This situation calls for careful estate planning with the right people on-the-ground. This Wills Week, David Thomson, CFP Senior Legal Planner at Sanlam Trust, gives insights into estate […]

Having debt can keep you awake at night, regardless of whether it’s the good or bad kind. Although learning about money and financial responsibility is a life-long process, there are some things we may wish we had known sooner. The bank is not your dad: Borrowing money from mom or dad is very different from borrowing […]

Question:- Because the performance of South African equities has been so poor in the past three years, I’ve been putting my savings into cash investments to avoid losses. Should I leave it there? I’m saving for longer-term goals like my children’s university costs and retirement.  Answer:- You may be pleased with your decision to have […]

If one is planning to move abroad, there are serious financial considerations to take into account if one wants to avoid nasty surprises later, cautions Theunis Ehlers, a director at Citadel Fiduciary. Residency “Residency for tax purposes and residency for exchange control purposes are two different matters,” explains Ehlers. “Changing tax residency is based on […]

An excellent youtube clip of equity returns relative to inflation. Clip by Corion Capital

A key question is whether an investment in cash is going to help you achieve your long-term objective. Equities have been under pressure for a while, which has skewed the traditional risk-return dynamic in asset classes. Typically, cash is on the conservative end, with lower risk, but also lower return prospects, while assets such as […]

The financial aspects of our lives can be vast and overwhelming, so it’s easy to understand why it causes confusion, or perhaps anxiety and distress. The task of managing your personal wealth can be broken down into many little pieces, and key among them, whether you’re an experienced investor or just starting out, is to […]

Research shows that parents’ attitudes to finances play a big role in determining how a child will grow up to manage money, so it’s wise to get savvy about the subliminal signals you might be sending. Here are five must-dos for involving your kids in money matters: Start by getting them to understand the concept […]

Most parents want to leave their children a  legacy, but what if you could leave your children a secure retirement? A retirement that they never have to save a cent towards and that is completely tax free? According to Nic Andrew, executive head of investments at Nedgroup Investments, this is exactly what would happen if […]

In these uncertain times, investors are faced with a very important decision – whether to stay invested in the markets and bear the brunt of the tough economic climate, or rather to switch to cash? Below, we highlight some of the main reasons to stay invested in the markets as well as some of the […]

When you retire as a member of a pension fund, two-thirds of your savings must be used to buy a compulsory annuity that provides you with an income. You can choose between a living annuity and a life annuity. A life annuity is an insurance-based product that provides a guaranteed income for life. A living […]

These days when I phone my mother just to check in, she always tells me that growing old isn’t easy. Between medical expenses and day-to-day living, their wallets pretty much stay empty. I know for a fact that my mother isn’t the only one who feels this way. Most people facing retirement soon, or who […]

You can’t fix a slump – stay with it – because feeling a tad disillusioned by your investment portfolio is a sign of the times. For the best part of five years, investors could be excused for thinking they’ve been hitting the replay button on a bad repeat of bleak market conditions. While global markets […]

There is no doubt that one of our most important responsibilities as parents is to ensure our children have a healthy relationship with money. Why, then, are most of us doing such a bad job – and what can we do to turn it around? Here’s what a couple of top financial planning experts advise. […]

After an undeniably tough 2018, the local market staged a turnaround during the first quarter. But the atmosphere in the country is blowing hot and cold: As the general election approaches, and the Eskom crisis rages on, there is an undercurrent of uncertainty and markets are hypersensitive to the mood. Investors are understandably feeling anxious. […]

During periods of underperformance, even the most experienced investors get tempted to switch funds in search of better returns. However, switching funds in response to short-term market conditions can jinx your investment success over the long term. After a flat few years, 2018 was particularly difficult for local investors, with the FTSE/JSE All Share Index […]

The biggest risk to investors : their own capitulation especially as harsh market reality leads to investor fatigue The last five years on the JSE have been incredibly hard. Investors in the local market have received returns only barely above inflation. As the graph below shows, this is one of the worst five-year periods on […]

2018 saw South African investors endure their fifth year of equity returns of close to zero, driven largely by an exodus of investors out of emerging markets. The last month of 2018 saw this nervousness spread to developed markets on the back of fears around the China-US trade war, mounting concern around the US Government […]

We have just lived through close to the worst 4-year period on the JSE in the past 25 years – with a compound return of only 4.5% p.a. At a time of sustained very poor investment returns, some history lessons are needed to keep the faith. Asset classes behave differently over time and riskier assets […]

Feeling slightly jaded or disillusioned by your investment portfolio? You’re not alone. For the best part of five years, investors could be excused for thinking that they’ve been trapped in a Groundhog Day of horrible market conditions. While global markets have rallied, especially in the US, South African investors have sadly missed out. After prolonged […]

Let’s start with a simple question: What does it mean to build wealth? The fantasy scenario may vary from person to person, but we all share the same minimum expectation: we want our savings to grow over time and outpace inflation. In recent years, many of us have only just managed to achieve this basic […]

Investing in South Africa (SA) has resulted in a fair share of disappointments over the past few years. These days, however, what you don’t invest in has almost become more important than where you have chosen to invest. Few, if any, investment practitioners have been able to dodge Steinhoff, Resilient, MTN and other companies that […]

‘Stay the course’ is a phrase that has its origins in nautical metaphor and has been popularised by world leaders primarily in the context of war or battle. According to Stewart Alsop’s 1973 memoirs of a conversation with Winston Churchill, the British Prime Minister contemplated towards the end of World War II: “America, it is […]

We might be able to do a mean spreadsheet, but that does not mean we are definitely going to make you money right now. That’s because the market does not know about our spreadsheets and often the value that we calculate for a company is very different from where a share trades – at least […]

The ‘50/30/20 Rule’ is a financial model which splits your budget into three groupings, and if applied correctly, really can lead to financial freedom. The credit for this model goes to Elizabeth Warren and her daughter Amelia Warren-Tyagi who penned ‘All Your Worth’ back in 2005. This powerful little book outlines a money management model […]

Every investor would have heard of equity and listed property referred to as ‘risk assets’. They would also have seen a graph which shows the relative risk of different asset classes, with cash at the bottom as the ‘lowest risk’ and equity at the top as ‘highest risk’. Intuitively, this also makes sense. Cash in […]

The last six months have been a rollercoaster ride for global and local equity markets After a good November, the local market was shaken by Steinhoff’s accounting scandal early December 2017. This was followed by numerous reports by Viceroy Research causing several shares to significantly drop in value. Luckily this was followed by positive news […]

“Money doesn’t grow on trees.” How often did you hear this or similar sentiments as a child when you wanted a treat or a shiny new toy? As a parent, how many times have you responded with this very phrase to your own child? Although such phrases are well known, they are not effective tools […]

By now, you’ve likely come across the growing minimalist movement in some form, whether you’ve binge-watched “Tiny House Hunters” or found yourself curiously thumbing through “The Life Changing Magic of Tidying Up.” The purported benefits? Owning less and living a simpler life, the theory goes, translates to a happier, less-stressful existence. The below article was […]

You are not your spending thoughts. Spending without thinking about the long-term consequences is a problem. And by the long term, I mean just 30 days from now when the credit-card statement arrives. Some people label this type of spending “impulsive.” Others use the word “urge” to describe the feeling that comes just before they […]

Although local political events do affect the rand, as we have seen recently, it’s the global factors that have a longer-term influence. Amid much fanfare, the rand broke through to R12 to the US dollar for the first time since May 2015. At first glance it appears to be a continuation of the “Ramaphosa rally” […]

When you find yourself in an uncomfortable or strange situation, they often say that you feel “like a fish out of water”. For an average of 40 to 45 years, you “swim with the school”, whether it is as part of a particular company, or a group of friends or your family. You will earn […]

That is the question The Money Show’s Bruce Whitfield asked Galileo Capital Financial Advisor Warren Ingram, regular guest of the weekly personal finance feature. Not having a tax efficient retirement strategy. Solution: You require a combination of retirement funds (and other funds, e.g. unit trusts and living annuities). Continue contributing to a retirement annuity and […]

Living annuities have some awesome advantages, but also some important risks, warns Liberty’s Henk Apello. When investing in a living annuity, you must almost plan as if you are going to live forever. Many South Africans worry about having enough money at retirement and, even if they have saved their entire working life, they may […]

If you haven’t made your will yet, get it done now.  Why is that so important and how should you go about it? To answer that let’s debunk a few of the more pervasive myths and misconceptions around those questions – “I’m too young to need a will” Of course the older you get, the […]

In a bid to protect themselves against geopolitical and currency risks, many South Africans have been investing a growing part of their wealth offshore. Due to the different laws applicable, estate planning across multiple jurisdictions is a complicated exercise and it is advisable to seek specialist advice for each country. If an individual has a […]

To mark Women’s Day, Personal Finance approached four of South Africa’s leading women in the asset management industry, asking them about their own investments and what investment lessons they had learnt the hard way that they could pass on to you. READ MORE

In times of stress, the human impulse is to take action. When the economy and investment returns start to sink, this instinct could drive investors to do something – anything – just for the sake of taking action. This is precisely the wrong reaction in challenging times. There are many knee-jerk short-term responses, all of […]

Contrary to what you may believe, many people don’t retire with the lifestyle that they thought they would. This is because they often come up with a shortfall or gap in their pension savings. This could be due to a myriad of reasons, including: not saving enough, drawing on pensions before retirement, fees taking out […]

South Africans are riddled with debt and one of the reasons they struggle to maintain a savings culture is because of impulsive buying behaviour, according to debt experts. Other factors contributing to a poor savings habit are economic issues, bad financial decisions and a lack of discipline when it comes to saving. With July marking […]

The excitement around bitcoin and other cryptocurrencies is a scammers paradise. If you have heard of bitcoin and Ethereum you are also likely to be aware that these cryptocurrencies have been reaching   record highs. Since the start of the year, the value of a single bitcoin has risen from $968 to a peak of over […]

If we consider that only 6% of retirees are financially comfortable, 94% of retirees are either financially dependent on the State or on family members and a vast number of South Africans emigrate leaving their parents behind, then we are faced with the stark realisation that Financial Planning should be done for the elderly and […]

Many people who have a basic hospital plan and gap cover on top of that think they are completely covered. Not so fast. Gap cover is designed to pay the ‘gap’ or shortfall between what your medical scheme pays, and what a private doctor charges. If your medical scheme tariff or a specialist visit is […]

I’ve worked at Personal Finance for nine years, in two stints: my first was on my return to South Africa in 2001, after a couple of years working abroad. I landed a job at Personal Finance as a sub-editor and quickly realised that I was profoundly financially illiterate. I had just turned 30, and although […]

I have been working for Personal Finance, first as a sub-editor and now as a writer, since October 2008, or just over eight years. In that time, an important thing (and there have been many, many others) I have learnt has been the value of unit trusts as an investment vehicle. Unit trust funds fall […]

When I joined Personal Finance over 16 years ago, I knew next to nothing about finance and investments. Bruce Cameron, the editor at the time, did not see this as counting against me. Personal Finances aims to explain finance in plain language to the lay person. My job, as a sub-editor, was to ensure that […]

Working overseas more than two decades ago, I had an opportunity to accumulate my first real savings. I didn’t know how to invest those savings or how to obtain advice to do so. Old Mutual was a brand I knew from home, so I visited one of their advisers in Hong Kong, worrying about what […]

Many parents find it very difficult to talk to their children about money. Either the topic is seen as too sensitive or they just feel that they don’t know enough to give good advice. However, the worst lesson that any parent could ever give a child about money is not talking about it. Children learn […]

A perfect storm is defined as a rare combination of circumstances which aggravates a situation drastically. Well I think that end 2015 / 2016 was a perfect storm for South Africa. We had, especially at the start of the year, a very rare combination of events for South Africa, all unfortunately bad. When you get […]

Last month the Davis Tax Committee (DTC) issued an update on its tax recommendations especially around so-called “death taxes”. Some of the key recommendations are to remove estate duty, donations tax and capital gains tax exemptions between spouses yet substantially increase the value of an estate before estate duty is payable. The implications for estate […]

Accessing credit is pretty easy for South Africans and as a result many of us fall into a ‘debt trap’. But do you know how much it really costs to buy on credit? Taking both interest and fees into account, you are paying a lot more than the original price tag. Sanlam has put together […]

We share Personal Finance’s article on medical saver plans Is it really worth it to choose a more expensive medical aid option that offers a medical saving account as opposed to just getting a hospital plan? Shouldn’t I rather put money aside each month to cover my daily medical expenses as they arise? This is […]

It is difficult to be a fence sitter when it comes to investing and wealth creation. Either you are a saver, and are providing for your needs, both present and future, from the sweat of your current labour, or you are a borrower, borrowing from your future to fund your current lifestyle. Sadly, most of […]

The Bank of England has announced a Post-Brexit stimulus package: • As widely expected, the Bank of England announced a large monetary stimulus package, in the aftermath of the UK’s vote to leave the European Union. The total package included a cut in the key policy interest by 25 basis points to 0.25% – a […]

Kevin Lings, STANLIB’s Chief Economist explains the Brexit and elaborates on the various economic implications resulting from this decision. This is an excellent summary of the implications of Brexit. “Download”

But you’ve got to have the risk appetite and timeframe to endure short-term volatility’ Nadir Thokan – investment strategist – 27four Investment Managers. Nadir discusses multi-management which in essence, instead of going out directly into the market and buying securities we invest in underlying fund managers. So what our time, day in and day out, […]

South Africa has a good news story to tell, despite all the negative economic indicators from growth to high inflation. Even a downgrade will not impact this good news story, but the politicians and even government departments do very little to sell it. This may be an even-bigger risk. Statistics SA’s annual General Household Survey […]

One should always celebrate the good news. And the Moody’s note which left South Africa’s credit rating unchanged over the weekend was one such point. The Investor Service did however assign a negative outlook, which should keep government on its toes, as the country shows slight improvement but isn’t out of shark infested waters just […]

John Demartini, human behavioural expert, once wrote that the difference between people who have created wealth and those who haven’t was what they did with their money. That may seem like a very obvious statement, but what Demartini was saying is that wealth creation starts with a certain attitude and an understanding of how money […]

The current uneasiness in markets seems to suggest that volatility may shortly rear its ugly head yet again – more often than we have grown accustomed to over recent years. On this basis, I thought it an appropriate time to address the fact that even caution can be an investment risk, no matter how counter-intuitive that may seem. Whilst […]

Towards the end of last year PSG Asset Management sent out an article entitled “2015: Reflections on a challenging investment environment”. At the time, they listed a few key observations about investing during times of uncertainty. These were: • Uncertainty brings opportunity. • Diversification is the only free lunch. • Successful investing takes patience. If […]

In grade eight accounting, we were told that an asset is something that you own, and a liability is something that you owe. But it did neglect one crucial factor: that an asset is also something that can generate cash flow. And merely owning something doesn’t necessarily mean that it’s making you any money. For […]

The current investment environment is extremely tricky. High levels of volatility, the likelihood that the US Fed will start raising rates and economic stagnation in large parts of the world makes it very difficult for investors to know where to put their money. It is also largely assumed that equity markets are no longer offering […]

The US Federal Reserve takes centre stage in the coming week, eclipsing industry data from China, another grim inflation reading from the Eurozone and rate decisions in Japan and Switzerland. Guessing whether the Fed hikes rates on Thursday or opts for a later date, perhaps December, is something of a futile exercise because even the […]

The Greek debt drama continued to present unexpected twists and turns, after negotiations on structural reforms failed to reach agreement. The Greek Prime Minister Tsprias called a referendum to be held on 5 July on the creditors latest proposals, with the hope that a ‘no vote’ result would empower his bargaining position and receive greater […]

The party continues into 2015 The first quarter of 2015 was once again dominated by strong returns in the equity markets, both locally and globally. Locally the FTSE/JSE All Share Index delivered stellar returns of 5.9%, while the MSCI World Index returned 2.3% in US dollars. For the past few years, local and global equities […]

Estimating how much capital is enough to see you through retirement is an inexact science, because you cannot predict either inflation or investment returns. Along with how long you are going to live, which is the third great unknown, these two factors will determine how well you can live during retirement. How to invest your […]

Inflation is the stealthy killer that reduces the purchasing power of your funds over the long term. We often consider the volatility of markets to be a risk to our investments. The economy and markets are unpredictable indeed however one risk that is predictable is inflation. Inflation is the stealthy killer that reduces the purchasing […]

Saving is rather like trying to lose weight; it takes effort and willpower, and is entirely up to you.  People often ask me how much of their annual income they should save.  I tell them 30%, and then they will be fine in those latter years and will have a little extra for unexpected expenses. […]

When it comes to financial markets, the only certainties are both risk and uncertainty itself. This time of the year provides the perfect opportunity to get your investment house in order, which for South Africans also includes assessing how best to use the R1m allowance without tax clearance. By executing good financial housekeeping at the […]

2015 is around the corner. The start of a year should ignite refreshing ideas and commitment to goals and challenges for the year ahead…. This generally entails the next 12 months and what one would like to achieve from a health, work or social perspective. More often than not, however, our financial goals go unnoticed, […]

Five Signs that it’s time to move down the property ladder….. We usually think of people moving up the property ladder – from their first small flat to a town-house and then to a family home. And with the growing trend to multigenerational living and the need for extra space to accommodate adult children or […]

If you are going overseas on holiday or business the Bidvest Bank   World Currency Card™   might be just what you are looking for. Their global travel card is South Africa’s first pre-loaded travel card that comes with automatic Visa Platinum status. You get world-class benefits like dining deals, special shopping privileges, extended warranty, and purchase […]

The images that dominate the press today are disturbing. These include President Jacob Zuma, Oscar Pistorius, Gaza, the Ukraine, and others. There are two concerning images that cannot be ignored in the context of financial planning.  And any financial plan must contain carefully considered measures to counteract the consequences. Growth rates Accelerated growth rates of […]

The list of reasons for not saving are endless. Most of us realise we need to save but face the dilemma of the here and now: current living costs and monthly pressures on the family budget. But it should be no excuse. People blame small salaries, tax, cost of living expenses, debt and even their […]

Most of us are less conscientious about our financial affairs than we should be and the question whether we’ve saved or invested enough usually crops up only when we’re confronted by a major life event – buying our first car or house, our wedding day, a big birthday, a divorce, a family emergency, an illness […]

Many investors lack the time, knowledge and experience to invest successfully, often encountering difficulties that could have been avoided had they taken advice from an Independent Financial Adviser (IFA) at the outset and continued to listen to their counsel over time. Independent financial advisors play an important role in helping you make decisions that are […]

It all feels rather odd. Emerging markets sold off for almost 10 months from late May 2013 on concerns that global liquidity would recede as the US Federal Reserve ends quantitative easing and moves to eventually hike interest rates. Therefore it is surprising that despite comments by Fed governor Janet Yellen two weeks ago that […]

Despite debt drama, US still outshines Europe If Wall Street’s record high is a signpost, the US economy has every chance of pulling further ahead of a stuttering Europe despite new battles to come in Washington over the government’s budget and debt ceiling. The last-gasp pact to avert an unprecedented US default has raised hopes […]

Prudence doesn’t pay and cash is not king … take those two messages to heart and investor-savers may emerge from 2013 with their wealth intact despite market conditions that remain extremely challenging. This market insight comes from numerous fund manager that are concerned that retirees are losing out to low interest rates, rising inflation and […]

Most people go through life reacting to their financial needs rather than planning for them. This means they are always playing catch-up and in most instances find that they have to go into debt just to get by. By having a financial plan that adapts with your needs you will remain in control of your […]