Tag - Financial Services Board

The high cost of insuring your loan

Despite an investigation into the rates charged by credit providers for insurance, borrowers are still paying high rates for their credit insurance. If you were stuck for cash and needed to borrow R5 000 which you would pay back over just four months, how much do you think you would pay for that loan? Well if you are a high-risk client (ie, a low...

The death of the independent adviser

Despite assurances to the contrary, the recommendations contained in the Retail Distribution Review (RDR) released by the Financial Services Board will make it more challenging for a financial adviser to operate as an independent. As the recommendations stand, many so-called independent practitioners may need to rebrand themselves as multi-tied...

What should you look for when selecting an asset manager?

Patrick Barker, Private Client Portfolio Manager at Cannon Asset Managers, looks at key factors to consider when selecting an investment manager. Dealing with other people’s money carries a fiduciary duty and responsibility. When making decisions regarding fund managers in whom to place your trust, it is important to assess them carefully and with...

The importance of having an emergency fund

An emergency fund is your most important savings priority. Thanks to a collision with an uninsured driver and vet bills due to a dog with a penchant for swallowing bouncing balls, our household was faced with thousands of rands worth of unexpected expenses within one month. Without our emergency fund we would have had no choice but to go into...

Unclaimed benefits: do you know where your money is?

More than three million South Africans are owed more than R45 billion in unpaid benefits from retirement funds they have left already, according to unclaimedbenefits.co.za. In many cases when leaving a company, employees may not be aware of funds that have accrued to them. Even if you did receive a payout when you left a fund due to resignation or...

Adviser dupes client into overpaying on commission

Make sure you read your investment contract to ensure it’s what you signed up for. Do you know how much you are paying for your investment policy? Could you state exactly how much of your monthly contribution is paid in commission or product fees? The truth is few people really understand what they are invested in, let alone how much they are...