Tag - exchange traded funds

The myth behind active management

Research continues to show that active management is not delivering on its promise. If you want to invest in the JSE via an investment fund, you have two main options: you can invest with an active fund-management company, usually in the form of a unit trust, or you can invest in what is commonly known as a passive fund – these are usually...

Low-cost investing with Satrix

Satrix has released a new range of funds which has reduced the cost of investing Since Sanlam bought out Satrix two years ago it has been implementing some interesting changes which have improved the offering to investors wanting to access low-cost passive index funds. Satrix built its brand by offering exchange-traded funds (ETFs) which allow...

The cost advantages of index tracking funds

by Mike Brown, Managing Director, etfSA.co.za Warren Buffett, the world’s most famous investor, made the following observation in his letter to Berkshire Hathaway shareholders in February this year. In his instruction to the Trustee of the Warren Buffett estate, he has the following advice: “Put 10% of the cash in short-term Government bonds and...

New Retirement Annuity product still too costly

The launch of Itransact, a new index tracking retirement annuity, highlights the growth in passive investing but the costs are still too high. This week Itransact launched the first retirement annuity to invest in exchange traded funds (ETFs). Exchange Traded Funds and index tracking are finally gaining popularity in South Africa as investors...