TFSA Advice Required

[ima_be_thatguy]

Hi All
Been a while,
Next year im going to finally start investing in a tax free savings account,
Ive Opted for:

Absa newfunds Mappi Growth (50%)
which has 75 % in equity, the rest in bonds and cash, which i think is nice exposure.

Coreshares Proptrax ETF (25%)
DBXWD (25%)

Im planning to invest the full R30000 for the year.
Any thoughts on the above? Is it better to invest the full amount in the Mappi Growth ETF instead?

Any insights would be greatly appreciated

 

[Thor]

Personally I would make DbxWD the bigger exposure. The world (US) is a better investment than SA inc

 

[supersunbird]

Half DBXWD and then the rest either all local equity or 30/20 local equity/local property.

If you have retirement savings you already only have 25% max in international in those savings.

 

[Hamster]

I'd swap out the MAPPSG with NFEMOM since I'd don't like the underlying NFSWIX it makes use of.

As for weightings, well depends on what you think the Rand will do. If you reckon it's going to tank, more DBXWD.

Personally:
PTXTEN 15% (or wait, the new CoreShares ETFs might be added come March). But property I'd keep at 15%

DBXWD: 35% (same deal as above)

NFEMOM: 50% (another option is DIVTRX)

 

[bchip]

I would be careful taking any advise when the right questions havent been asked,
like what kind of saving is this, what length are you looking at, do you have debt?

If you have debt there is no TFSA that will outperform paying the debt off first.

After that you can consider ideas like this
http://myshares.co.za/wp/2016/02/21/make-million-r-30000-per-year/

depending if its for retirement, for kids or for (eg) buying a house in 5 years.

 

[Hamster]

I would be careful taking any advise when the right questions havent been asked,
like what kind of saving is this, what length are you looking at, do you have debt?

If you have debt there is no TFSA that will outperform paying the debt off first.

After that you can consider ideas like this
http://myshares.co.za/wp/2016/02/21/make-million-r-30000-per-year/

depending if its for retirement, for kids or for (eg) buying a house in 5 years.

^ this. We all have our opinnions and it should be taken with a pinch of salt since non of us are CFPs.

TFSA should be seen as part of your retirement savings plan. You shouldn't need to touch it untill very late in life. The general rules are:

1. Pay off debt
2. Get insurance (income protectors etc)
3. Build up an emergency fund (money you can access easily enolugh that can sustain you for 5+ months).
4. Invest.....and at this point you should go talk with a financial planner (even just for advise). RA, TFSA, Regular Investments (unit trusts, ETFs), Property etc.

Personally I wouldn't pay money for somebody to manage my TFSA, but the rest is worth it. One way you could sort out your weightings is to go look at the fact sheets of unit trusts you like etc and reproduce it.

 

[ima_be_thatguy]

I would be careful taking any advise when the right questions havent been asked,
like what kind of saving is this, what length are you looking at, do you have debt?

If you have debt there is no TFSA that will outperform paying the debt off first.

After that you can consider ideas like this
http://myshares.co.za/wp/2016/02/21/make-million-r-30000-per-year/

depending if its for retirement, for kids or for (eg) buying a house in 5 years.

hey, my current debt is all but paid off. the tfsa would be invested for retirement alongside my current RA. The investec deposit account looks enticing but doesnt allow for much flexibility, and thats assuming i will have 30000 to invest at the start of every tax year. what if i dont?

Are you perhaps invested in the deposit account?