Market returns are good enough
It’s been a strong start to the year for most markets. Despite all the uncertainty in the world, markets have performed well over the past 12 months. First, let’s take a look at the rand. I really like the chart below from Anchor Capital, which provides a longer-term perspective on the currency’s behaviour. […]
How to Build a Portfolio
When people think about building an investment portfolio, they often jump straight to picking funds or stocks. But that’s the last step—not the first. A well-constructed portfolio starts with understanding you—your life, your family circumstances, and where you want to be in five, ten, or even thirty years. Without this foundation, any investment recommendation is just […]
Is the US in a Bubble
The chart below shows the performance of the Magnificent 7 stocks in 2023 and 2024—Google, Amazon, Tesla, Nvidia, Facebook, Apple, and Microsoft. These companies have been the primary drivers of market gains over the past two years. These stocks have significantly outperformed the global index, as represented by the MSCI ACWI and the ACWI Equal-Weighted indexes. The […]
The Ninety One Outlook for 2025
A few days ago, I attended the Ninety One Taking Stock webinar. Ninety One is one of South Africa’s largest asset managers, and their flagship funds have performed well over the past decade. I always enjoy their presentations as they offer insights from highly resourced asset managers. These webinars provide a view into their thinking—what we’ve […]
Don’t Be a Closet Indexer
When it comes to investing, many active funds claim to offer the edge of professional management, but a surprising number are little more than glorified index funds. These so-called “closet indexers” mirror the performance of a benchmark while charging the high fees of active management, leaving investors with the worst of both worlds—passive returns at […]
Put These Charts on Your Wall
Keeping a few charts that showcase extreme market behaviors on your wall can serve as a valuable reminder: in markets, nothing is ever guaranteed. There’s no such thing as “can’t,” “won’t,” or “has to” when it comes to price movements. The market operates on its own terms, often defying expectations. It reflects the real-time […]
Don’t invest in a Ponzi Scheme
Mistakes are an inevitable part of investing. The key is to learn from them and avoid making the same missteps again. However, some errors—like falling victim to fraud, scams, or Ponzi schemes—can be catastrophic, leaving no path for recovery and wiping out a lifetime of savings. Jason Zweig recently shared a tragic example: investors who […]
The Trump Trade
As the year winds down, many of us are looking forward to the holidays and tying up loose ends. It’s been a fantastic year in the markets, with portfolios hitting all-time highs. The US election is over and there’s at least a sense of relative calm. The chart below shows the return of the […]
Bitcoin
For years, clients have asked me about Bitcoin and cryptocurrencies. My response is always the same – under FAIS legislation, I am not licensed to give advice on this asset class. I can only give advice for products which I am licensed for. Obtaining these licenses is no small task. It involves specialized education, hands-on product […]
Should I set up a TFSA for my children?
Tax-Free Savings Accounts (TFSA) were introduced in South Africa in 2015 as a tax-free savings and investment option designed to encourage long-term savings. Under current rules, you can contribute up to R36,000 per year with a lifetime limit of R500,000. This means it would take almost 14 years of maximum annual contributions to reach that […]
