Focus On the Long Term
Guillaume Oberholzer
Q1 Y19
But Surely POPI Is Not Applicable To My Small Business?
It most certainly is – no business, no matter the size, is exempt from POPI!
Directors and Officers Liability Insurance (D & O)
Bert Kleinhans
Directors and officers liability insurance in the short term insurance industry, is one of the covers that is most often overlooked and and yet it is certainly one of the most important covers for any business. Its main purpose is to provide financial protection for directors and executives (decision makers) in their personal capacity. Their position puts their personal assets at risk.
Interest Rates – Why Fixed Is Broken
Kobus Lourens
A must-read if you are trying to choose between a fixed or variable interest rate:
New Year With New Opportunities
Guillaume Oberholzer
Q4 Y18
December 2018
Fearful Festive Time In the Markets
Guillaume Oberholzer
2018 will be remembered as an erratic and uncertain investment year both worldwide and in South Africa. Trump's (and other leaders) strategy of self-preservation at all costs, trade wars, Brexit, land expropriation and state capture is but a part of 2018's legacy.
November 2018
Where There Is a Will, There Is a Way
Reghardt Draper
A professionally drafted will is undoubtedly the single most important legal document one can possess. Unfortunately, the value thereof is often overlooked and misconstrued by many. Statistics show that around 86% of South Africans die without leaving a valid will. The risks of not having a properly drafted will is immeasurable and can detrimentally affect your loved ones in so many ways. Taking into account all the potential risks of dying intestate and the vast knowledge and experience required to draft a proper will, paying a professional to draft your will might be a better idea than googling for templates on the internet.
October 2018
My Profit Is Gone!?
Guillaume Oberholzer
Q3 Y18 Feedback
September 2018
Medical Scheme Members
Karin Theron
In the aftermath of health minister Aaron Motsoaledi's proposals to draft a new set of rules for how medical schemes work, everyone is speculating how this change will affect the industry and South African private healthcare. Time will tell.
July 2018
Keep Emotions Out of Investments – Particularly In Uncertain Times
Guillaume Oberholzer
Q2 Y18 Feedback
June 2018
Managing Retirement Risk
Ferdi Jacobs
Not having sufficient capital to provide an individual with a monthly income during retirement is one of the biggest risks for investors around the globe. Some of the main reasons are the following:
May 2018
My Medical Aid: How Does It Work?
Karin Theron
Practical Tips
April 2018
Light in the Tunnel for the Economy?
Guillaume Oberholzer
Q1 Y18 Feedback
What are Unit Trusts?
Alida Roos
Understand the Risk of Your Investment
Planning Your Way to Financial Freedom: The Inevitability of Death and Retirement
Reghardt Draper
When the past is history and the future is uncertain, the present is all you have. In the financial world, nothing is certain, except death and taxes. When a man retires without proper estate- and retirement planning, his wife gets twice the husband, but only half the income. This is unfortunately a sad but true reality for most of us. People may live as much retired from the world as they like, but sooner or later they find themselves being a debtor or creditor to someone. The same can be said about the unexpected death of a breadwinner – without the proper arrangements in place, the remaining family members will eventually be left out in the cold.
March 2018
Short Term Insurance: A Holistic Approach with the Focus on Commercial Insurance
Bert Kleinhans
With the catastrophic events such as the Knysna fires, a tornado, hail and floods in certain provinces, aircraft accidents and high-frequency car accidents that hit the short-term insurance industry in 2017 and even more recently fresh in memory, the importance and necessity of short-term insurance cannot be emphasised enough. Furthermore, we are experiencing severe drought conditions and uncertain economic and political times that force us to proactively manage our insurance risks.
February 2018
Tax Advantages Conferred by Retirement Funds
Alida Roos
The 2017/2018 tax year ends on February 28, 2018. This means that you have only a few days left to contribute to a retirement annuity to qualify for a deduction for the 2017/2018 tax year.
December 2017
Where to Invest for a Better Financial Future?
Alida Roos
Inflation remains the biggest threat to investors, diluting money's purchasing power.
November 2017
The Value that CFP® Accreditation Provides Clients
Susan Conradie
Most of us are under the impression that all financial advisors are certified. Although virtually anyone may use the title "Financial Adviser", only those who comply with the Financial Planning Institute (FPI) strict requirements may call themselves a Certified Financial Planner (CFP®).
October 2017
Stay Calm in Unsure Times
Guillaume Oberholzer
Q3Y17 Report
September 2017
What are the Consequences of the Increase in the Dividends Tax Rate for Shareholders of Private Companies?
In Pravin Gordhan's 2017 budget speech he announced that the rate for dividends tax will increase from 15% to 20%, effective from 22 February 2017. This is a 33% increase in the dividends tax rate. What are the consequences of this rate increase for shareholders of private companies that live out of their companies' profits?
August 2017
At What Age Can I Retire?
Ferdi Jacobs
This is a question being asked by many individuals of which the general answer is 65. Why age 65?
July 2017
Q2Y17 Report
Guillaume Oberholzer
In the previous report there was still some doubt about the French election and the US and North-Korea's threats against each other.
June 2017
The Dawn of the Independent Trustee
Reghardt Draper
Sweeping new changes to the administration of trusts have been announced by the Chief Master of the High Courts by way of a directive number 2 of 2017, issued in March this year. Paramount to these, are the changes relating to the appointment of independent trustees.
May 2017
Q1Y17 Feedback
Guillaume Oberholzer
The biggest event for every investor in South Africa this quarter was surely the downgrading of South Africa's credit to "Junk Status". This is the result of unwelcome cabinet changes, political uncertainty and uncertainty with regards to economic policy in South Africa.
April 2017
Medical Aids – Consider All Your Options
Karin Theron
Get the right medical scheme that suits your circumstances.
March 2017
Compulsory Fidelity Insurance for Community Schemes
Bert Kleinhans
New legislation applicable to all community schemes came into effect on 7 October 2016. It requires among other things compulsory fidelity insurance for all schemes regardless whether it is a residential, commercial or industrial complex. Community schemes include among others the following: time shares, home owner schemes, property schemes, as well as any other scheme where communal use of properties is in operation.
February 2017
We Look Back on 2016 and Prepare for 2017!
Guillaume Oberholzer
Feedback on Q4Y16
The Value of a Company's Brand
A company's brand is based on more than just a company's logo and other design elements. It consists of a collection of marketing and communication methods that enable a company to distinguish themselves from others and to make a lasting impression on customers and the public.
November 2016
Testament – How Appropriate is Yours?
Francois Snyman
A will is a legal document and probably one of the most important documents that a person will prepare during his/her lifetime. It is essential that the person who has the will compiled take great care and consideration in the preparation of the will. Please answer the following questions to determine if your will is in good order:
July 2016
Trust Administration
Reghardt Draper
There is no denying the fact that the setting up of a trust, whether it simply holds a barren wasteland or an intricate portfolio of business assets, still remains one of the best tools when it comes to the protection of assets. Be that as it may, many people choose to set up a trust without truly realising the duties and legal responsibilities that emanate from such a decision.
June 2016
Employee Benefits are Good for Workers and Profits
Eben Jacobs
Many employers land up with employee benefits that their staff sometimes fail to appreciate. The main reason is that the employees do not really understand the benefits.
May 2016
Changes to Income Tax Legislation Affecting Retirement Funds
Eben Jacobs
Statements that members will not be able to access their pension and provident fund benefits on resignation are incorrect. There is nothing in the current legislation that restricts a member's access to his resignation benefit in a pension and provident fund upon resignation. Such a member will still have full access to his benefit when he withdraws from the fund. The following points will aid in dispelling the myths and false statements:
April 2016
What Advantages are there in Using a Property Manager?
Dawie Van Rensburg
A good property manager can add definite value to your property investment. Many property investors understand the value that a property manager can add and uses property managers. Here's a few examples of how a property manager earns his management fee:
March 2016
Be Prepared for Lower Return on Investment
Kobus Lourens
I find it ironic that we as investors all have the same ideals when we discuss our financial matters specifically return on investments. Usually we want to chase maximum risk investments resulting in the highest possible returns and no loss in capital. We all know that this kind of scenario is wishful thinking and does not exist in any asset class. During the December holiday I found it insightful to hear in a discussion how upset an investor was because his pension fund showed a mere 9% return in 2015. The question is: do we as investors have reason to be upset about a 9% return? According to Sanlam Investments, the return on SA shares for the past 5 years were the following:
February 2016
Traveler Insurance — Worldwide
Bert Kleinhans
Traveler insurance might not be the best-known short-term insurance products in South Africa, but it is extremely important for any prospective traveler who does not have adequate medical coverage. Travelers to foreign countries annually increases; especially more young people find their way overseas. No matter where you travel, travel involves costs and risks that can suddenly affect your financial situation. The situation is exacerbated by the weak rand that is negatively affected by the foreign exchange rate.
October 2015
Review of Medical Aid Plans - 2015
Karin Theron
Are you on the right medical scheme?
August 2015
Suggestions regarding changes for Trusts and Estate Tax
Kobus Lourens
On July 13th 2015 the Davis Committee published their report regarding changes to estate tax. It is important to take into consideration that this report is only suggestions and not yet legislation. The report is currently available for public inspection and changes as well as suggestions and counter-suggestions are welcomed from the public. If the proposals are accepted by the National Treasury, the legislation will be implemented by March 1, 2016.
July 2015
Kobus Lourens
Inflation is a word that the general public knows all too well. In short inflation can be defined as the relationship between the buying power of money and the goods and services this money is able to purchase. For example: Imagine that you can buy 50 apples with R100.00 in 2014. Now say that you can only buy 25 apples with the same R100.00 in 2020. This reduction in the buying power of your R100.00 is known as inflation.
June 2015
Short-term insurance: Why claims are denied
Bert Kleinhans
You are 25 years old and earning your own income. You buy your first car. Your first thought is to insure it and choose to obtain quotations from insurers for your car, household and some personal belongings that you wish to specify. With great disillusionment you discover how expensive short-term insurance can be for someone your age. Well aware of the risk, with regards to accidents and crime in our country, you have little choice but to accept the premium and arrange for the insurance policy. A month later, one of your biggest fears are realised when your house is nearly left empty after a break in. You, however, feel satisfied that you have at least arranged insurance and paid the premium. The claim is submitted to the insurer for payment. Again you are shocked after the claim pay-out is denied due to incomprehensible reasons.
May 2015
The future of retirement reform in South Africa
Ferdi Jacobs
Many years have passed since the introduction of retirement reform in South Africa. Too many South Africans reach retirement age without sufficient capital to provide them with a monthly income during retirement. They live in poverty during retirement and are dependent on relatives to support them financially and/or rely on state pension. The objective of the retirement reform process is to encourage South Africans to save enough for retirement in order for them to retire comfortably.
April 2015
Brick and Mortar remains a good investment
Kobus Lourens
Property, as an asset class, has given South Africans solid returns on the long term. It is also seen as the asset class used by most millionaires globally as the building block of their investment portfolios.
March 2015
Introducing the Tax-free savings account
Guillaume Oberholzer
On 25 February 2015, the government introduced the long-awaited tax-free savings account (TFSA) effective from 1 March 2015.
January 2015
Investing in a Retirement annuity is a must
Kobus Lourens
Making sure their clients don't suffer any financial damage, is the best service a financial advisor can offer its clients. Financial damage is a controversial concept and certainly differs from one person to another. For example, an older person wants to ensure that his/her capital is protected whereas a younger person would prefer higher growth even if there is a higher risk that capital can yield a loss.