A trust is a legal entity which controls assets on behalf its beneficiaries. It is managed by trustees in terms of a trust deed which details how the assets should be distributed. It helps some but not everyone. Here are 3 reasons why a trust is not that beneficial...
If less than 10% of South Africans at 65 end up with sufficient capital to retire, then retirement is an illusion for the remaining for most of us. So what are the options? Depend on your familyThe problem is that families are under financial pressure to make ends...
Financial Independence is achieved when your investments reach a point where they can generate sufficient income for you to live off for the rest of your life. It puts you in a space where you don’t need to earn an income any more. It empowers to financial support...
What are they? You get to invest for as little as a few hundred rand into a large investment pool which is managed by a fund manager according to a specific objective. The investment is priced in units (hence the name) based on the value of the fund. There are around...
The lock down will give us plenty of time to explore the internet for useful websites which will give you some practical financial insights. Here are some sites that I have compiled to help you while away the hours. Investment Planning ...
Government has been on point dealing with the Corona Virus pandemic. They have rallied effectively mobilising South Africans to prepare for the onslaught of this crisis. Social distancing is the plan. Relief on the way ...
Work off your debt The more interest you pay the less you have to save and the more opportunity you lose to compounding your wealth into the future. Money lenders make money out of debt through interest and time.The longer interest is paid over time the more the...
The year was eventful to say the least testing the South African economy to its absolute limits. Reflecting on the past 12 months the main issues which stand out in my mind are somewhat interrelated: Here is a thread: Avoiding the downgrade Moody’s was the last of the...
The amazing performance of Bitcoin since 2010 has left many investors wishing they had got involved and others wondering if they should. The cyber currency has been nothing short of amazing as $1000 dollars invested in 2010 would have returned $90 million in 2017. At...
There are 3 factors which determine value of an investment.Time investedAmount investedReturn received Women are on the back foot with all three. TimeWomen live longerIn the 1800’s women lived to age 33 and men to 31.Today women live to 83 years and men to 79 years....
South Africans are really feeling the heat of the ailing economy. Rising fuel, electricity, rates, taxes, water….all impact on the cost of living. It easy to sit back and blame the economy, bury your head in the sand hoping that things will sort themselves out. Time...
July is National Savings Month. An initiative brought about by The South African Savings Institute -SASI, creating awareness over the importance of saving for all of us. The starting point is to create a contingency fund for emergencies. This fund makes provisions...
We go back a long way Dad! The role in the family has always clearly been that of protector and provider. We have evolved from the cavemen, to the hunter, to the farmer, to the businessman we have progressed through life and still have the basic role to play...
SARS presented its plan this week for the forthcoming tax season. Interestingly, the dates for submission have been changed from the normal deadlines. Filing season opens for submissions on the 1st August. If you file online then you can do so from the 1st July....
A tax free savings account (TFSA) and a retirement annuity (RA) are excellent investments as they offer returns which are not taxed. This vastly improves the performance of the investment over time. Understanding the differences between the two will help to make a...
Mother’s Day is a very important day for most. Mothers are undoubtedly the most important asset in the family. Mothers provide, nurture and support with endless commitment giving their all even when they don’t have much left. How do you put a value on them when they...
This has been a strategy applied by investors in the stock market over the years. It is a classic market adage which is also known as the Halloween Theory as the time to re-enter the market is after Halloween. (End of October). The saying dates back to old England...
Towards your retirement years, you may consider giving up your home and moving into a retirement village. it is a huge life changing event and needs careful consideration. Purchase optionsA life rights scheme allows you full use of a property in a village development...
The debate around active and passive performance still rages on with equity fund managers aiming to outperform the indices of certain markets and very few consistently achieving this over time. Active fund managers charge a higher fee aiming to beat an index which is...
Retirement annuity contributions ...