INSIGHTS

API Third Quarter Summary 2020

LOCAL MARKETS IN A NUTSHELL The South African stock market was up over the quarter led predominantly by resource stocks. The JSE All Share Total Return Index gained 1.75% over the quarter. Chart: Performance of the FTSE/JSE All Share Index over the past ten years (2009/07/01 – 2020/09/30) Source: Trading economics The third quarter of…

2020-09-21 Moneyweb Readers Questions

I am 58 years old and in good health. I have a provident fund of close to R6.6 million. I am planning to leave my current job and want to buy a well-established guest house in Graskop for R3 million using money from my provident fund. The guest house has had an average turnover of…

2020-07-30 Moneyweb Readers Question

I have R3 000 000 invested in SA at 8%/p.a. I am afraid that with the country’s financial problems, the rand may weaken over the next 5/10 years. Will it be advisable to rather invest in a dollar or pound sterling investment in a bank overseas and safeguard the value of my money (in rand…

2020-07-23 Readers Question – WHAT IF YOU HAD SOLD IN FEAR?

WHAT IF YOU HAD SOLD IN FEAR? Following the sharp and distressing fall on the JSE in the first quarter of 2020, investors where asking themselves whether they should sell their investments and go to cash or other safe haven assets. The risk at this point is making a financial decision based on our cognitive…

API Second Quarter Summary 2020

LOCAL MARKETS IN A NUTSHELL The South African stock market participated in the global rally over the quarter, posting its best quarterly performance since the Dot-com Bubble burst in 2001. The JSE All Share Total Return Index gained 23.2% over the quarter. Chart: Performance of the FTSE/JSE All Share Index over the past ten years…

API First Quarter Summary 2020

LOCAL MARKETS IN A NUTSHELL Local equity markets had a very poor performance in the first quarter of 2020, in response to the Coronavirus pandemic. The JSE All Share Total Return Index fell by 21.4% over the quarter. Chart: Performance of the FTSE/JSE All Share Index over the past ten years (2009/01/01 – 2020/03/31) Source:…

Is putting my pension in a money maximiser account best?

Holding your pension fund in cash for an indefinite period could lead to longevity risk in your investment capital. I went on an early pension. I put my pension in a money maximiser account at my bank; it is not a lot of money. Is this the right thing to do? Your question is very…

Budget Speech Summary

The much-awaited 2020 budget speech was arguably one of the most important budget speeches in South Africa’s recent history. Much can be said about the woes that the country faces both economically and socially after almost a decade of maladministration, corruption, state capture and poor leadership. In light of our well-known challenges, the budget speech…

How is the Coronavirus affecting my investments?

The idea of a global epidemic is worrying enough, and we now know that it has hit our shores. But what about your investments? Global markets have fallen in value in anticipation of “what the virus could mean for the global economy”. As an experienced investor will know this reactive stance which is driven by…

Should I keep my life savings in my bond?

The question of paying off debt or contributing to retirement savings is something many South Africans wonder about. Jesse Morgans / 4 February 2020 I have invested my life savings into my home loan over the last two years and am depositing on average an additional R10 000 into my bond over and above my…