Investing strategy.

BBSA said:
Are people still cool with keeping their money in the S&P 500 even with Trump's trade war going on?
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Don't hold SPY, but have global ETFs.

In my discrectionary, I sold about a month back (VT, VTI). Holding cash. Will buy back in slowly.

In my TFSA, just continued to hold (GLOBAL, STXWDM, FNBEQF) . I don't ever deviate there. "Time in the market", etc etc.
 
My wife is going to open an offshore endowment now and was advised to use the following funds

50% Nedgroup Investments Core Global Fund
25% Foord International Fund
25% Ninety One Global Strategic Managed Fund

Isnt this a tricky time as shares are falling and our exchange is spiking. Its hard to time it that you buy right, before we hit R20/$

It is a 5 year plan so should I stop trying to be clever and just get it done?
 
yogidabear said:
My wife is going to open an offshore endowment now and was advised to use the following funds

50% Nedgroup Investments Core Global Fund
25% Foord International Fund
25% Ninety One Global Strategic Managed Fund

Isnt this a tricky time as shares are falling and our exchange is spiking. Its hard to time it that you buy right, before we hit R20/$

It is a 5 year plan so should I stop trying to be clever and just get it done?
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If you are going with three funds doing the same thing, then you are most likely better off in investing in an etf or index fund that tracks the benchmark those funds are managed against.

The reason you pick a managed fund and pay higher fees is because you think it will beat the market by a substantial margin. 1 in 20 funds manage to do that.
When you pick three you have almost no chance of beating the market.

So rather go lower fees and get the market return
 
BBSA said:
Where are we currently on this cycle?

View attachment 1810869
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If you are familiar with market history and know that it goes up and down over time, and you have experienced it a few times then you don’t worry much about it.
Especially if you’re only planning on using the money in decades to come.

If you know little about investing you panic and sell. And lose. Hopefully you learn next time.
 
Conack said:
Anything local seems loco to me.
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JSE

10 years

93% increase
+- 6.8% anually

5 Years

43% Incease
7.4% anually

1 Year

12% over the current year (Was something like 30%) before correction

You definately need local exposure but the % of your portfolio is up to you.
 
zerocool2009 said:
Sasol is starting to look better and better .... (to buy into)
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Hmmm, I think you are on to something here.

Are we expecting any global oil shenanigans thanks to Trump? Would it impact Sasol?

The last time Sasol tanked was when the oil price went negative in April 2020, right? Or am I conflating issues?

WTI just fell off a cliff:

1744093922945.png
 
Smiggles said:
I will tell you the secret to getting rich on Wall Street. You try to be greedy when others are fearful. And you try to be fearful when others are greedy. - Warren Buffett
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Yes, of course, but it doesn't mean you should buy now. People were greedy for more than a decade and fearful for a week. It is important to look at the full cycle.
 
Dylan_G said:
Hmmm, I think you are on to something here.

Are we expecting any global oil shenanigans thanks to Trump? Would it impact Sasol?

The last time Sasol tanked was when the oil price went negative in April 2020, right? Or am I conflating issues?

WTI just fell off a cliff:

View attachment 1810895
Click to expand...
It could go much lower if the world enters a deep recession, which is now possible due to Trump's reckless trade wars.
 
yogidabear said:
My wife is going to open an offshore endowment now and was advised to use the following funds

50% Nedgroup Investments Core Global Fund
25% Foord International Fund
25% Ninety One Global Strategic Managed Fund

Isnt this a tricky time as shares are falling and our exchange is spiking. Its hard to time it that you buy right, before we hit R20/$

It is a 5 year plan so should I stop trying to be clever and just get it done?
Click to expand...
Advised by who? Looking at those funds' past performance, they consistently underperformed the market, especially the Foord one (15 out of the past 20 years!). Not to mention their fees are obviously much higher than buying a low-cost ETF (1% vs as low as 0.03%).

I see absolutely zero need for this and would just keep it simple with a low-cost S&P500 or world ETF, and there are plenty of them out there to choose from. There is pretty much no active manager anywhere who can beat the market consistently.
 
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Bill Clitnon said:
Advised by who? Looking at those funds' past performance, they consistently underperformed the market, especially the Foord one (15 out of the past 20 years!). Not to mention their fees are obviously much higher than buying a low-cost ETF (1% vs as low as 0.03%).

I see absolutely zero need for this and would just keep it simple with a low-cost S&P500 or world ETF, and there are plenty of them out there to choose from. There is pretty much no active manager anywhere who can beat the market consistently.
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Registered CFP from a financial planning firm. So I paid for that advice :) Its funds to go in a offshore endowment with Allan Grey

By all means any recommendations on better would be greatly appreciated. Was hoping the R/$ would come right before I convert but not sure that will happen any time soon, if ever

This is a list of funds to choose from https://www.allangray.co.za/globala...owment/Files/offshore endowment fund list.pdf
 
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Dylan_G said:
Hmmm, I think you are on to something here.

Are we expecting any global oil shenanigans thanks to Trump? Would it impact Sasol?

The last time Sasol tanked was when the oil price went negative in April 2020, right? Or am I conflating issues?

WTI just fell off a cliff:

View attachment 1810895
Click to expand...
Last time it was due to the **** up of the USA project
 
Bill Clitnon said:
Advised by who? Looking at those funds' past performance, they consistently underperformed the market, especially the Foord one (15 out of the past 20 years!). Not to mention their fees are obviously much higher than buying a low-cost ETF (1% vs as low as 0.03%).

I see absolutely zero need for this and would just keep it simple with a low-cost S&P500 or world ETF, and there are plenty of them out there to choose from. There is pretty much no active manager anywhere who can beat the market consistently.
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I believe the benefit is that you pay 12% CGT vs 18% and other taxes are managed in the fund. It benefits individuals who pay more than 30% tax ( please correct me if I am wrong on this). It's also easier sending your money to Allan Gray compare to IB.

I'm hearing alot about these endowment/ sinking funds as of recent. Wonder what else is shared during these wealth management meetings...
 
naasier said:
I believe the benefit is that you pay 12% CGT vs 18% and other taxes are managed in the fund. It benefits individuals who pay more than 30% tax ( please correct me if I am wrong on this). It's also easier sending your money to Allan Gray compare to IB.

I'm hearing alot about these endowment/ sinking funds as of recent. Wonder what else is shared during these wealth management meetings...
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The endowment is a product. The product can hold funds. Make sure you know which tax benefits apply to the product or the fund.

Allan gray offer the Satrix MSCI world index fund on their platform. I have some of that in my RA there.
Not sure if their endowment has that fund available, but I would go with that one alone if I wanted long term international exposure.

Also make sure that the 30% benefit is actually going to be useful to you before you tie up your money.
An endowment is useful though. If you die your spouse can get the money quickly.
 
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