A second investment question

Candystore

Candystore

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I have a smallish amount - around R300 000 - that is currently with Sanlam Collective Investments and I add to the investment on a monthly basis. Can I move it elsewhere to get better returns? It is a contingency fund, so I need to have it available to me at short notice.
 
Candystore said:
I have a smallish amount - around R300 000 - that is currently with Sanlam Collective Investments and I add to the investment on a monthly basis. Can I move it elsewhere to get better returns? It is a contingency fund, so I need to have it available to me at short notice.
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Maybe you get 10% in returns now, so even if we recommend a 9% thing, it will not be as good, so tell us what the returns currently are?
 
What are the fees, what's the money for, do you have an emergency fund? Have you maxed out your TFSA (in equities)? Too many variables here
 
jman said:
What are the fees, what's the money for, do you have an emergency fund? Have you maxed out your TFSA (in equities)? Too many variables here
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Hi

Did you read my OP? I mentioned that it is a contingency fund.

I have a seperate TFSA and other funds are earmarked to go there - to the max.
 
Candystore said:
Hi

Did you read my OP? I mentioned that it is a contingency fund.

I have a seperate TFSA and other funds are earmarked to go there - to the max.
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I did. But that doesn't really tell me what the intention is for the money.. If you need money quickly, then it shouldn't be in an investment scheme (i.e. equities), because of the volatile nature of them. If it's an emergency fund, rather keep it in an interest bearing cash account.
 
jman said:
I did. But that doesn't really tell me what the intention is for the money.. If you need money quickly, then it shouldn't be in an investment scheme (i.e. equities), because of the volatile nature of them. If it's an emergency fund, rather keep it in an interest bearing cash account.
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And the answer to the best of your last bit is? One can have money in an "investment schemes" money market which is not volatile.
 
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Well, you can keep the money in equities if you want, but you risk having it down instead of up when you have to withdraw.

I keep something similar in Alan Gray stable fund but it hasn't done great, even though I haven't had to withdraw.

A bond fund might do okay. But for emergencies I'd just put it in money market.

Note that 300k is hovering dangerously close to the amount you'd need to exceed your interest exemption and have to start paying taxes.
 
How bout a low cost ETF like the SATRIXIND. This ETF was the best performing SA ETF for many, many years and is back in a confirmed uptrend. I expect it to get back to it's normal 32% pa returns plus dividends.
 
marco said:
How bout a low cost ETF like the SATRIXIND. This ETF was the best performing SA ETF for many, many years and is back in a confirmed uptrend. I expect it to get back to it's normal 32% pa returns plus dividends.
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Why not Coro? :rolleyes:

It's for short term savings, not for volatile things.
 
supersunbird said:
Why not Coro? :rolleyes:

It's for short term savings, not for volatile things.
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Do you mean CML or Coronation Fund Managers? I will post a new thread on that soon. Short term investing should be in a Fixed deposit account regardless of the small tax on interest. STXIND is safe enough for short to medium term.
 
marco said:
Do you mean CML or Coronation Fund Managers? I will post a new thread on that soon. Short term investing should be in a Fixed deposit account regardless of the small tax on interest. STXIND is safe enough for short to medium term.
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And short term savings which needs to be quickly accessible?

From the OP:
It is a contingency fund, so I need to have it available to me at short notice.
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And suggesting an equity fund for someone needing no volatility? Man, you're crazy! And offering incorrect and bad advice.
 
I don't know about short term: I'm still crying about my STXIND and have been for over a year. I've made a loss. STXIND should be a long term thing.
 
sandwitch said:
I don't know about short term: I'm still crying about my STXIND and have been for over a year. I've made a loss. STXIND should be a long term thing.
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If you had not been sleeping then you would have noticed that even the ALSI was in a downtrend for some time and only recovered at the beginning of the year. The gain of 10% for this year so far is not to be scoffed at. All stocks are cyclical but some not as much as others.
 
marco said:
If you had not been sleeping then you would have noticed that even the ALSI was in a downtrend for some time and only recovered at the beginning of the year. The gain of 10% for this year so far is not to be scoffed at. All stocks are cyclical but some not as much as others.
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Sleeping? I'm a noob at investing so I took advice from an online forum from someone who was very confident *hinthintnudgenudge* the downswing was just supposed to be temporary. It wasn't. The OP needs to know that while there's a chance they can make a profit there's also a chance they won't. And while I'm OK with waiting for the market to improve, if it doesn't the OP might not be so happy with waiting.
 
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