Streaming issues? Report here
Pippa Hudson 2019 1500 BW 2
Lunch with Pippa Hudson
13:00 - 15:00
volume_up
volume_mute

Up Next: Afternoon Drive with John Maytham
See full line-up
Lunch with Pippa Hudson
13:00 - 15:00
Home
arrow_forward
Business
arrow_forward
Opinion
arrow_forward
Lifestyle

Can’t or won’t emigrate? Stay in SA while your money makes money abroad

10 February 2020 10:11 AM
Tags:
Personal finance
Foreign currency
investing
pension fund
Refilwe Moloto
Diversification
retirement annuity
Coronation Fund Managers
how to invest offshore
investing offshore
offshore investing
Pieter Koekemoer
rand-denominated
Refilwe Moloto and Pieter Koekemoer (Head of Personal Investments at Coronation Fund Managers) discuss offshore investing.

South Africa's share of the world's Gross Domestic Product is around 0.4%.

Ever heard the saying, “Don’t put all your eggs in one basket?”

Well, if you’re only invested in South Africa, you’re putting all your eggs in the tiniest of baskets – and the basket is looking a bit worse for wear!

Offshore investing shouldn’t be a kneejerk fear response – it should be done to diversify across geographies and asset classes (i.e. to put your eggs in many baskets of different shapes and sizes).

The best thing to do in investments is to ensure that you appropriately structure your portfolio between a combination of both local and offshore assets. It’s not about all or nothing. To then allow your investment to benefit from growth over the long term, consider investing it with the experts [who are] able to decide on the appropriate allocation of assets on your behalf.

Refilwe Moloto, presenter - CapeTalk

3 ways to invest offshore:

In a pension fund or retirement annuity – Up to 30% of your retirement portfolio can be invested in offshore assets. In addition to that, about 60% of South African listed companies earn their income abroad, meaning the typical pension portfolio has about a 50% offshore exposure.

Rand-denominated unit trusts with exposure to offshore assets – There’s no limit on the amount you may invest.

Direct offshore investment in foreign currency denominated unit trust fund – You may need a Sars clearance if your investment exceeds R1 million.

Refilwe Moloto interviewed Pieter Koekemoer (Head of Personal Investments at Coronation Fund Managers) about offshore investing.

[Why is offshore investing important?] Diversification and access to more opportunities. You’re better able to withstand risk and over time, hopefully, earn a better return…

Pieter Koekemoer, Head of Personal Investments - Coronation Fund Managers

You want to own a well-considered portfolio… it’s probably better to invest in a broader, constantly monitored portfolio. It makes it a bit easier to stay the course and get the benefits of compound growth…

Pieter Koekemoer, Head of Personal Investments - Coronation Fund Managers

Rand-denominated offshore funds are quite accessible. You can start with a monthly investment of R500 or a once-off investment for as little as R5000.

Pieter Koekemoer, Head of Personal Investments - Coronation Fund Managers

For considerably more detail:

Offshore in Context - In partnership with Coronation Fund Managers is a three-part podcast series hosted by Moloto which explores the world of offshore investments with Koekemoer. By the end of the series, investors can expect to understand all there is to know about the basics of investing outside of South Africa.

Subscribe to our Business Wrap Newsletter


10 February 2020 10:11 AM
Tags:
Personal finance
Foreign currency
investing
pension fund
Refilwe Moloto
Diversification
retirement annuity
Coronation Fund Managers
how to invest offshore
investing offshore
offshore investing
Pieter Koekemoer
rand-denominated

More from MyMoney Online

help-drowningjpg

Drowning in debt? Two legal ways of clawing your way out of bondage…

18 February 2020 2:35 PM

South Africans are getting deeper into debt. Ismail Lagardien interviews Sylvia Walker, a financial planner.

Share this:
Read More arrow_forward

broken-heart-broke-money-coins-finances-love-relationship-divorce-break-up-123rf

How much should couples know about each others' money?

14 February 2020 2:35 PM

For most people, it's not easy to talk about money with a partner. Financial planner Sylvia Walker has advice.

Share this:
Read More arrow_forward

household-bills-debt-expenses-money-finances-black-young-couple-worried-123rf

South Africa’s middleclass is drowning in debt and getting poorer and poorer

10 February 2020 1:49 PM

The weak economy is "pushing people back into poverty from the middleclass", according to Debt Rescue CEO Neil Roets.

Share this:
Read More arrow_forward

house-mortgage-bond-home-rent-family-123rf

Get a risk-free, tax-free return of 10% on a fully accessible investment

10 February 2020 12:53 PM

Personal finance expert Paul Theron (CFP) discusses saving in an “access bond” and why it’s a near no-brainer.

Share this:
Read More arrow_forward

doctorjpg

Your expensive medical aid is woefully inadequate, but cheap gap cover helps

21 January 2020 1:16 PM

Despite the huge expense, few medical aids cover members in full when they're hospitalised, leaving them with massive shortfalls.

Share this:
Read More arrow_forward

Woman piggy bank

Budgeting for people who can’t or won’t ever budget

13 January 2020 2:38 PM

Not the budgeting type? Certified Financial Planner Paul Roelofse explains the “30/30/40” budgeting without budgeting hack.

Share this:
Read More arrow_forward

money

How to draw up a 'personal balance sheet' to determine your 'net worth'

6 January 2020 2:23 PM

How much are you worth? Paul Roelofse, a Certified Financial Planner, gives a template for you to copy and adjust.

Share this:
Read More arrow_forward

mtn-sim-reusablejpg

Why Anchor Capital is buying MTN, Sibanye and Transaction Capital

9 December 2019 7:34 PM

The Money Show’s Bruce Whitfield asks Peter Armitage (CEO at Anchor Capital) for his stock picks of the week.

Share this:
Read More arrow_forward

Airport departure

Considering emigration? Financial planner discusses the affordability of leaving

6 December 2019 11:04 AM

Can you afford to leave South Africa? Certified Financial Planner (CFP) Barry O'Mahony on what to consider before deciding.

Share this:
Read More arrow_forward

shoprite-cleanjpg

Why FNB is buying Shoprite, Sasol and Equites

26 November 2019 12:48 PM

Edgar Mafoko (Portfolio Manager at FNB Wealth and Investments) shares his stock picks of the week on The Money Show.

Share this:
Read More arrow_forward