Investment options

[Fingerlessliz]

I resigned and opted to have my pension paid out. I don't want to put it back into another pension fund. So I'm looking for alternatives in how to invest it. There are so many options available out there it gets overwhelming! So I thought I'd see what MBB has to say.

 

[ImagineFZS]

SA Retail Bonds are offering 10.50% but you would need to lock up your money for 5 years.
- https://ratecompare.co.za/latest-rankings

If you don't want to lock up your money, have a look at unit trusts. You can even take them offshore and in another currency.
- Link

I am not a financial advisor.

 

[XPD]

Tricky question as depends on your appetite for risk, time horizon, objectives for use of the money, amounts needed, financial services eco system you in, tax etc etc etc etc.

Too late now but tax on early withdrawal of pension is horrendous especially when you reinvesting as you could have transferred to a preservation fund tax free with your choice of investment type (subject to some limitations) and would have been allowed 1 withdrawal, subject to tax, if you need cash.

 

[SafariTin]

SA Retail Bonds are offering 10.50% but you would need to lock up your money for 5 years.
- https://ratecompare.co.za/latest-rankings

If you don't want to lock up your money, have a look at unit trusts. You can even take them offshore and in another currency.
- Link

I am not a financial advisor.

I would not have suggested Unit Trusts - if OP is looking for a bundled product with diversification, I would have rather recommended ETF's. Generally, the same principle with lower fees (there may be a few exceptions).

But XPD stated it well - we need more info in order to give better comments.

I resigned and opted to have my pension paid out. I don't want to put it back into another pension fund. So I'm looking for alternatives in how to invest it. There are so many options available out there it gets overwhelming! So I thought I'd see what MBB has to say.

Have a listen to the Fat Wallet Podcast. They stopped producing new episodes, but the available ones have a lot of great content and it is South African based, so relevant.

 

[Snyper564]

I resigned and opted to have my pension paid out. I don't want to put it back into another pension fund. So I'm looking for alternatives in how to invest it. There are so many options available out there it gets overwhelming! So I thought I'd see what MBB has to say.

first port of call do you have any debt - if yes settle that first

if no then you have to be very careful how old are you anything risky as an older age just just a big no as well as you dont have time to make up any significant losses.

you typically want low risk good returns

 

[koffiejunkie]

I resigned and opted to have my pension paid out. I don't want to put it back into another pension fund. So I'm looking for alternatives in how to invest it. There are so many options available out there it gets overwhelming! So I thought I'd see what MBB has to say.

What is your goal? Save for retirement but not in a retirement vehicle?
When do you want to access the money?
What's your risk appetite?