Top up RA now, or wait?

saturnz said:
all the best trying to thread that needle
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I've left it to my brother-in-law who runs an investment firm to figure out. Offshore investments go way over most IT peoples heads (myself included).
 
bchip said:
Not everyone has a choice of which fund to choose, often you dont get a choice.



So a fixed deposit gave 8% returns, 0 fees, -21000 interest exemption so a net return of 7% (after tax)
and the pension gave 3% before tax [in the BEST conditions] and your saying I shouldve stuck with the pension/RA because...
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Lets take R100 000:

You take R100 000 and put it in the bank, the R9000 interest you get is tax free. You now have R109 000.

You take R100 000 and put it in the RA, the growth (capital, dividend, interest) you get in that is tax free, and you get R30 000 back from the income tax you paid and they refunded you and you can put that into the bank and now you have R130 000 and whatever growth.

1585649177045.png

EDIT: And don't come here with your current-corona market performance. Unless you had 0% invested in any shares, anywhere.
 
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bchip said:
10x is very simple...the way they work is that they invest in index funds for you and take a smaller cut
than the rest of the industry. The rest of the industry is more active, with buy/sells and weightings.
10x just invests in passive etfs, so they dont need to hire financial analysts.

So they basically just invest in Stx40 and take a cut for it on a high equity fund.
the market did 13% (incl divs) in that time and they made 12% (before fees) / 11% after fees

View attachment 809677
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They invest in the Top60... with a 6% maximum limit per share that gets rebalanced twice a year or something. If you want to diss something, at least know what you are dissing.
 
SauRoNZA said:
But you said you have a negative growth.

Now you says they made 10.3% after tax.

Which I might add is 8.3% more than you earlier claimed your RA/Pension made for the past few years.

So are you lying to try make a false point? Or confusing yourself?
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What are you talking about??
I showed you I had negative growth with a screen shot proving it.

The 10.3% is the value from Satrix40 JSE Code...
[as in from the screenshots I showed]
 
SauRoNZA said:
I know exactly how it works, and no it’s not just a case of the Top40 like you make it out to be.

It’s broader than that and also individually weighted, which makes a huge difference. It also has international exposure and also property and bonds instead of all just in equity.

So basically it’s nothing like the Top 40.
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supersunbird said:
They invest in the Top60... with a 6% maximum limit per share that gets rebalanced twice a year or something. If you want to diss something, at least know what you are dissing.
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You guys should talk...seems you both "know" how it works and yet have different opinions.


supersunbird said:
Lets take R100 000:

You take R100 000 and put it in the bank, the R9000 interest you get is tax free. You now have R109 000.

You take R100 000 and put it in the RA, the growth (capital, dividend, interest) you get in that is tax free, and you get R30 000 back from the income tax you paid and they refunded you and you can put that into the bank and now you have R130 000 and whatever growth.
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It might be free when its in there, but its not free once it comes out...
Plus you pay fees and have terrible restrictions for mismanaged funds.


supersunbird said:
EDIT: And don't come her with your current-corona market performance. Unless you had 0% invested in any shares, anywhere.
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I've been punting stretched values for some time, everytime I did I was shouted at on this forum, so I stopped.
I dont have any ordinary shares in the market for some time (2015) - I sold out at 45,000 on ALSI.
I used to buy bonds in ZAR that pay 14%, then moved over to bonds that pay 10% in USD and
have now started moving over to European bonds (to hedge the currency risk, but starting to see value there).
If I couldve I wouldve been buying properties in Czech and Croatia, but didnt have the option.
 
bchip said:
It might be free when its in there, but its not free once it comes out...
Plus you pay fees and have terrible restrictions for mismanaged funds.
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Okay I’m officially giving up at “mismanaged”.

There is nothing mismanaged about anything at 10X.

****

Also I said it’s not the Top40 and it’s individually weighted, none of which negates or contradicts what @supersunbird said.
 
bchip said:
It might be free when its in there, but its not free once it comes out...
Plus you pay fees and have terrible restrictions for mismanaged funds.
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I guess you don't see the value of tax deferred accounts then. Also, choosing an RA is a choice you have control over.
 
bchip said:
What are you talking about??
I showed you I had negative growth with a screen shot proving it.

The 10.3% is the value from Satrix40 JSE Code...
[as in from the screenshots I showed]
Click to expand...

Yes and that screenshot could be from an RA invested a week ago.

I don’t believe it’s over 5 years, because your results don’t match mine.

****

So the growth is the current total of the investment after the **** has hit the fan, it's not a case of negative growth overall just a snapshot of the exact current point in time.

If anything they shouldn't be using the word growth for that screen and rather the current balance over the total investment.

ANYTHING else in equities will also look like this now.

More realistically here is my Pension Preservation fund with a complete holistic view and not just a final balance total like your growth figure.

Screenshot 2020-03-31 at 16.00.05.png

That has received no further investment after 2017 so that is all growth. So please tell me again how there has been no growth at 10X if you ignore the last month's market shifts.

These have been the worst years by far, but it's certainly not negative growth like you claim.

Also it's silly to take such a short term view of a Retirement product anyway.
 
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bchip said:
It might be free when its in there, but its not free once it comes out...
Plus you pay fees and have terrible restrictions for mismanaged funds.
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Yes, but years later you have lots of funds that grew untaxed and you have a ton of money (from the tax rebates) in your bank account too. Tax doesn't really concern you anyway, you very willingly paid it all when you took the R100 000 out anyway.
Then switch funds? Use low fee index provider?
 
3WA said:
The rands at an all-time low. You can bet on it getting weaker, or you can bet on it getting stronger. That’s betting, not investing. You may as well play online roulette.
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Lol, can't tell if serious.
 
3WA said:
What will the rand:dollar exchange be on July 31st, within 10% error?
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That's a silly question, nobody knows that, but what is crystal clear is the trend, the fundamentals that drive that trend, and the extreme unlikelihood of that trend reversing any time soon.
 
garp said:
That's a silly question, nobody knows that, but what is crystal clear is the trend, the fundamentals that drive that trend, and the extreme unlikelihood of that trend reversing any time soon.
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Good work, Poindexter.
 
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