Articles of Interest
Where are global rates likely to settle from here?
Now that global rate cuts are on the horizon, what will this mean for yield-hungry investors? With global interest rates close to 17-year
April 8, 2024
Now that global rate cuts are on the horizon, what will this mean for yield-hungry investors? With global interest rates close to 17-year
Investors underestimate for how long they will be invested. If you consider someone entering the workforce today, it is reasonable to assume that they have a 70-to 75-year investment time horizon, consisting of 40 plus years’ investing for retirement and 30 years’ living off their accumulated investments in retirement
Please note that, effective 1st April 2023, the Trust Property Control Act of 1988, (which regulates and administers trusts), was amended by the Anti-Money
WRITTEN BY JP LANDMAN (POLITICAL ANALYST) About the author: JP Landman is an independent political and economic analyst who consults to Nedgroup Private Wealth
There has been much speculation for some time that South Africa could be downgraded by Moody’s to sub-investment grade or “junk” and this has now at long last occurred as at the end of March. The Moody’s rating has been notable in that it is the only one of the three major ratings agencies that had not yet downgraded SA’s foreign rating.
Gone are the days when the effects of Brexit and load-shedding made for the most prominent watercooler conversations. Welcome the COVID-19 media era, where ‘watercooler conversations’ happen online, and crisis and fear-gripping headlines are the new order of the day. Indeed, we live in remarkable times where a new chapter in history is unfolding before our eyes, bringing with it a unique set of challenges.
On Thursday the 19th of March, the governor of the South African Reserve Bank (SARB), Lesetja Kganyago, announced a reduction in South Africa’s repo rate by 1% from a level of 6.25% to 5.25%. The repo rate is the interest rate at which the central bank lends to other commercial banks. This significant move from the central bank followed the cut of 0.25% towards the beginning of 2020 and is the first time that the bank has reduced interest rates at consecutive meetings since 2011.
Changing the Constitution to allow for expropriation without compensation has certainly ignited South African politics for 2020. It is worthwhile cutting through the noise.
Just do something’ is the cry now rising from all over South Africa, a plea to the president and government in general to take some action to break the logjam in which the country finds itself. Confidence is low, growth sluggish, and emigration high. It is useful to replay what has been done.
The end of the calendar year often leads to reflection on how one’s investments have performed. Many savers are questioning the wisdom of investing in South African equities after a lean period, especially relative to what must currently feel like the safe haven of cash.