Thoughts on ABSA's Money Market?

[thestaggy]

I'm interested in investing in said fund and I was wondering if anybody has any insights in to its performance and if they recommend it.

Bonus question; what would you do with a further R30,000?

 

[jman]

Depends what your purpose for the money is. Is it an emergency fund - money market is fine.

Give us more info for the purpose of your funds

 

[envo]

I would avoid ABSA, rather look at Allan Grey balanced fund. Performs way better. However, if you need to be able to access this money at any time, it's not for you. So it's up to you. With a further 30k I'd pump it into the tax-free savings (for the love of God, not ABSA)

 

[thestaggy]

Depends what your purpose for the money is. Is it an emergency fund - money market is fine.

Give us more info for the purpose of your funds

Yeah, I'm looking at a low-risk emergency fund and with the 30k I'm exploring my options, maybe something a little more aggressive.

On the Allan Grey recommendations, how readily are the funds available in terms of transferring from the fund to a bank account or settling a credit card that has been swiped for costly car or home repairs?

 

[Eti1]

Yeah, I'm looking at a low-risk emergency fund and with the 30k I'm exploring my options, maybe something a little more aggressive.

On the Allan Grey recommendations, how readily are the funds available in terms of transferring from the fund to a bank account or settling a credit card that has been swiped for costly car or home repairs?

Max 4 days, but AG usually gets it done in 2.

I use the AG MM fund exactly how you describe. Haven't had a problem.

 

[jman]

Yeah, I'm looking at a low-risk emergency fund and with the 30k I'm exploring my options, maybe something a little more aggressive.

On the Allan Grey recommendations, how readily are the funds available in terms of transferring from the fund to a bank account or settling a credit card that has been swiped for costly car or home repairs?

Sasfin seems to have the best rates for notice products, call accounts, so have a look there for the emergency funds. You want to be at least keeping up with inflation.

With the rest, I'd go with a tax free savings account with EasyEquities, and buy a couple ETF's. Do your research. And make sure you don't need the money for at least 5 years. TFSA should be used as a very long term investment vehicle. It's about time in the market.

Equities, over time will outperform traditional interest bearing accounts

 

[bchip]

Yeah, I'm looking at a low-risk emergency fund and with the 30k I'm exploring my options, maybe something a little more aggressive.

Amazing how many people here are suggesting equities for an emergency fund...
Even the Allan Gray balanced fund is 60% in equities.

If its for an emergency it has to be a vehicle that's 24 hours to 3 months max.
You can only look at some bank with a savings vehicle.
Typically this produces interest (which is taxable from a point) and pays between 6% - 9%