Top tips for buying an investment property

It’s important when buying an investment property to do your homework so that your property becomes an asset rather than a liability. While astute investors can make good money, there are significant holding costs and initial fees, and a property is not as liquid as other investments. An interesting article in City Press reviews the considerations that savvy investors should take into account. It is important to be aware that even in high growth areas like the Western Cape, property does not always outperform shares and, over the past decade, residential property has actually underperformed the JSE. Contrary to what […]

Why make a will this National Wills Week?

National Wills Week is from 11th to 15th September 2017 and is a time when participating attorneys in South Africa will draft new, basic wills free of charge. To make the most of this time of year, simply make an appointment with a participating attorney before or during National Wills Week. However, if your circumstances are not simple enough to take advantage of a free basic will, it’s still worth making the effort at this time of year to draw up a will that suits your circumstances. You never know what the future holds, so it’s best to face this […]

5 ways to spring clean your finances

The temperature is starting to climb and it’s almost safe to leave your scarf at home. Spring is in the air and, as flowers bloom and citizens emerge from hibernation, it’s the perfect time to start afresh with some spring cleaning. Once you’re done dusting the shelves, take a look at your finances and see where they could do with a polish too. This summary of a five-step guide that was published on Clark will help you to clean your financial cobwebs to start the spring season with vigour. 1. Evaluate your financial situation First things first — you can’t […]

How do commodities affect investments?

An article published on Maya on Money about the 10 key themes investors must not ignore in 2017 inspired thought about a word that gets used a lot in the world of investments — commodities. The key takeaway from this should be that commodities traditionally move in opposition to stocks, so they can be a good way to diversify an investment portfolio — either for the long-term, or during unusually volatile periods. Let’s take this opportunity to review what a commodity is and how they affect investments. What is a commodity? A commodity is a marketable good or service that […]

Careers and Industries for the Future

When you were younger, did you have any idea what you wanted to do when you grew up? Perhaps you now have children who at some point will need to consider their options and will need guidance, or perhaps you are at a stage in your life when you’re considering a change in career yourself. You may simply be interested in developing your understanding of which way the world is heading. Whatever your incentive, an article that we found in a recent issue of HSBC’s magazine, Liquid, gives a good insight into five growing industries that could provide a successful […]

Asset allocations in a post-downgrade world

Before we chat about the current asset allocation environment, let’s quickly roughly describe the term for those of us who may be unsure of what this means. Asset allocations broadly refer to the actual investment options – ie. when you invest money, it needs to go somewhere, and some of these options are called asset allocations. Since South Africa was relegated to ‘junk status’ by two credit ratings agencies, investors have witnessed some currency depreciation, a shaken local equity market and a jump in bond yields. However, the aftermath hasn’t been quite as apocalyptic as some may have feared. This […]

Different money personalities

Dealing with money matters can feel like negotiating a minefield for many couples, which is highlighted in this article by Maya on Money. Money has been cited to be the biggest reason for divorce, and differing attitudes towards money in any relationship can cause friction. So let’s take a look at some basic ‘money personalities’ and you can decide with which you most identify. This may not only help you to manage your relationships, but also how to go about managing your wealth creation. 1. The Spendthrift A spendthrift tends to be extravagant and spontaneous with regards to money matters. […]

Should we trust in trusts?

We live in uncertain times, so it is natural for many parents to want their children to have financial security, without money worries on top of everything else. Many parents also wish to build their wealth to such an extent that it will be passed down for generations to come, and a recent article published in Maya on Money examines the use of trusts to create intergenerational wealth and ensure a financial legacy. No matter how much money you wish to leave for your offspring, here are eight basic points to consider if you’re thinking about setting up a trust. […]

5 key financial terms explained

Do you nod along blankly when someone talks about unit trusts, or do your eyes glaze when you hear the word ‘annuity’? Do you wish investment terms weren’t so complicated or full of abbreviations? It’s easy to get confounded by the use of financial jargon if you haven’t been trained in the financial services industry or been exposed to the world of investments before. But don’t let that put you off. It’s just a question of learning the language, as you would try to speak German if you went to Berlin. No one is born with an innate knowledge of […]

Don’t cancel your life cover

Many South Africans are currently feeling the financial pinch and, as belts tighten, it’s natural for households to review where they can cut back on expenses. It may be tempting during such times to send life cover payments to the bottom of the priority list, but this could have dire financial consequences for your loved ones. It’s a question of weighing up what is worse – the current burden of paying your monthly premiums or the potential effect on your family if they were to lose your income entirely in the event of a disaster. Actuarial modelling indicates that about […]