Investing half a million.

Tander said:
This does sound promising. I wonder how safe the investment is?
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Stay away from microlender investment. There are big changes happening, garnish orders are becoming impossible to give, so collections are taking a noise dive, the credit amnesty last year has caused new amounts of debt, now there is a new insurance restriction that is going to be implemented this year. Also a lot of microlenders do not enforce proper affordability checks and lend beyond the clients means.

So in other words. No. Bad idea.
 
Tander said:
Hey all,






Edit: She would like to also know if its possible to pay a lump sum into an RA and receive money from it every month.

Appreciate any thoughts,
Thanks. :)
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Contact Allan Gray or Coronation for a living annuity. She can do it herself. No need for a "Financial Adviser" to take a cut towards his new BMW.
 
If a family member already has a portfolio with someone like Allan Gray, it might be worth just adding this money to their portfolio to avoid additional admin fees.

Just an idea I had. I don't know if this is viable.
 
Last edited:
bromster said:
If a family member already has a portfolio with someone like Allan Gray, it might be worth just adding this money to their portfolio to avoid additional admin fees.

Just an idea I had. I don't know if this if viable.
Click to expand...


Will not make any difference financially if it is a new investment or an added investment.
 
There is no benefit in putting after tax lumpsum into a RA close to retirement. She can either use the money to invest directly (she doesn't need to take a living annuity, no benefit in that, just invest directly), she can also to take a life annuity (a type of insurance) to get a monthly pension. One can even do a mix of the above.

More explanations here:
http://www.moneyweb.co.za/moneyweb-wealth-building/understanding-retirement-returns

An important question is her current age and state of health and history of family longevity.
 
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