Market report

1 April 2017

What if?

What if I left my money in a money market account? With a return of about 6% return was less CPI and I probably would have to pay tax on the interest as well. I didn’t gain anything.

What if I changed my portfolio to Income funds which are Bonds based? This one is a maybe. But with a return of about 1% more return with CPI and tax eating at it I do not know.

What if I stay put? The capital in my investment survived up to now. CPI was the only deterrence. Those of us who needs income eats into our capital. The return in portfolios like this is normally very quick.

The portfolio managers we used and trust over many years already did not rest in the meantime. They reassessed the content of the portfolio and replaced some shares with ones with a better potential under the current circumstances. For instance, double listed shares have a greater resistance to the exchange rate than other.

I suggest you stay put and ride the uncertainty wave. The fact that the stock exchange lifted its head is a good sign.

Please remember even when a company is downgraded the individual investments and their returns are not touched.

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