The unresolved European crisis may have markets reeling but it is creating an opportunity for South African investment managers to bulk up on cheap assets in developed markets. In the last few months major South African investment managers have...
The best way for your money to travel
Whenever I land overseas I withdraw some cash at the airport ATM using my credit card. However on my last overseas trip I discovered that my Mastercard was not accepted at the airport’s ATM’s which were all on the Cirrus network. It was a good...
Time to fix your mortgage
Six months ago Barclays Wealth predicted that South African interest rates would increase by 200 basis points by the end of 2012. At that time banks were charging around 115 basis points above their existing rate for clients to fix their mortgage...
Are we shopping ’til we drop?
This week I was in Johannesburg and was amazed at how busy the shops were. I was told, although I have not confirmed this, that when fashion store Zara opened in Sandton City recently it did a turnover of R2 million in one day. Admittedly Sandton...
Credit crunch II – coming to a bank near you?
Jeremy Gardiner, director, Investec Asset Management looks at the risks of another credit crisis and what it means for SA What a difference a year makes. Back in November 2010, South Africans were still basking in the glory of a world-class World...
Why it is not worth paying for a guaranteed return
Nico Coetzee, Executive: Business Development at PPS Investments explains why an investment guarantee is no guarantee at all A guarantee is generally an assurance that sets us at ease when choosing how to spend our money. Most of us won’t mind...
Are you making use of your retrenchment cover?
Many consumers are unaware of the fact that their life cover, short-term insurance and retirement annuities may offer retrenchment cover. Auto & General issued a press release this week reminding customers that they offer a premium waiver for...
Medical aids limit medications to cut costs
In the course of writing the following article for the Mail&Guardian I discovered that medical aids are cutting back on the medications they will pay for as part of their chronic cover. Someone for example who is on Lipitor for hypertension may...
10 ways to avoid financial disaster this festive season
The head of consumer education at one of the banks was blowing off some steam earlier this week as she lamented about how people never plan for the festive season. “This is an annual event, we know we will be spending money, this does not come as a...
14 random things you can get fined for
Did you know that if your car gets stuck you can be fined for obstructing traffic, that having a sticker of another country on your car when crossing the border is illegal and using your fog lights on a clear day will cost you R500? The Automobile...
Previous Articles
Lessons on investing from John Mauldin
After listening to a very entertaining and informative talk by financial expert John Maudlin, who wrote EndGame a book on the global debt spiral, I was struck by how US/Euro centric his observations were. Yes we know the developed world is imploding but far too much...
Why the markets are so volatile
The rout in global financial markets is continuing, characterised by extreme swings of up to 5% in some markets. According to Dr Prieur du Plessis, chairman of the Plexus group and author of the Investment Postcards blog, there are a couple of reasons behind the...
Investors are ignoring value stocks
Geoff Blount, CEO of Cannon Asset Managers, shows that the market has all but abandoned value stocks over the last few years with most investment managers shifting their portfolios to more expensive growth stocks. This will have significant implications for investors...
Why your inflation rate is higher than the official CPI
Whenever the inflation figures are released, consumers must wonder what basket of goods StatsSA could possibly be using because one thing is for sure, our cost of living is going up far quicker than the official 5.3%. As an example, just this week we received notice...
Don’t write-off residential property
The Weekend Argus Personal Finance page carried an article on whether it is better to buy or rent property. This was prompted by research by Henno Vermaak, an analyst at PSG Asset Management, which suggests that you may be better off renting and then investing the...
How do I find the cash to save?
The bottom line is that saving is very difficult – if it was easy our savings rate would be far higher. Every age group has its specific expenses. Someone in their early twenties is most likely paying off student loans, possibly have parents to support and have...
Can you live without debt?
I was recently asked whether or not it was possible for a family of four to live without short-term debt. I think the question needs to be reversed. We need to be asking why we believe we need debt in order to live. According to the Old Mutual Savings Monitor, 65% of...
Did you change your locks?
Today I received a press release from an insurance company which made me realise I have been very lax about my security. The article raised the point that most people do not change their locks when they move into a new home. I just realised I never even thought about...
Financial media vs the financial adviser
Can the financial media replace the financial advisor A recent survey by financial services company acsis looked into the financial security of middle income South Africans. They were specifically interested in how secure people felt around their retirement. The...
Want to sort out savings? Get rid of FICA
hile National Treasury bemoans our low savings rates and looks at ways to encourage savings, it should first look in its own back yard. In South Africa’s desperate attempt not to look “third world”, our financial authorities have burdened the formal financial sector...