“The secret of Big Macs is that they’re not very good, but every one is not very good in exactly the same way.” (Joel Spolsky) The concept is straightforward: in theory, the same things should cost the same globally. The Big Mac is a great product to compare because it’s sold in over 100 countries…
“German Re-engineering” The last quarter has seen a number of significant economic events and market shifts, ranging from the US Fed’s decision not to raise interest rates, through to concerns regarding China’s growth rates and the resultant emerging market equity woes. The European economy (and all the issues surrounding Greece and their debt) has been…
Volatility and Investor Behaviour South African investors have been hit from all sides by extreme levels of market volatility this year. This continued in August with volatility in most Global equity markets, including the South African JSE All Share Index which fell almost 10% before recovering to end the month only 3.6% down. One can…
Portfolio Review: The poor performance of the first quarter of 2015 continued into the second quarter, with the portfolio lagging the benchmark All Share Index’s return by around 6%. While the overall market was more subdued over the quarter, the best performing shares were still the most highly rated stocks, albeit different shares from the…
The latest GrayIssue from Allan Gray talks about ensuring that you regularly consider your investment goals and whether these are aligned with your choice of investment product and your investment return expectations. Are your investment goals, products and expectations suitably aligned? – Jeanette Marais Our investment goals depend on our personal priorities in life and…
Read The 10-Year Investment Roller Coaster – FINWEEK 22.05.14 for Stuart’s thoughts on which 10 shares he believes will outperform over the next 10-year rolling period.
Nedgroup Investments explains how the 2014 budget affects you: Pravin Gordhan’s 2014 budget speech didn’t deliver many surprises, but there are a few changes and proposals that may affect you. This article outlines the most significant changes put forward. Income tax There is a general reduction in income tax payable, but the impact of the…
Dear Investor Please note the following points when considering whether or not to invest: • It is highly probable that the expectation of a sudden spike in interest rates is overdone and as a result property stocks may recover and certain cash flush retailers may continue to climb • The stock market cannot be grouped…
“The stock market is designed to transfer money from the active to the patient.” – Warren Buffett The Value of Compounding Compounding, in the words of Piet Viljoen, a prominent South African fund manager, is your only friend in the market. Compounding is one of the few factors over which you have influence and which…
