Hating on unit trusts
- SPIVA results for South Africa are out and they track how many active managers fail to beat the An index is a tool we can use to measure movement over time. In the stock market, we use indices to track the performance of a selection of listed companies. This could include all the companies listed on the market, or all the companies in a certain sector. In inflation, we use an index to track the price of certain More. Truth is that even over 1 year most do NOT beat the index. In short, buy passive or lose money? The PDF of the report is here.
- Standard & Poor has downgraded SA’s expected GDP for 2016 from 1.6% to 0.8% further cementing the likelihood of a downgrade to junk from the rating agency.
- African Bank has relaunched, but this is not the one you have shares in. The suspended ABIL sold off good An asset is something you own that will earn you money in the future. In the real world assets are your brain, buildings and businesses. In the world of finance, assets are shares, bonds, cash, gold and other financial instruments and investments. Different types of assets (different asset classes) behave differently in different market conditions. This is discussed in more and is left with a giant pile of debt and those left holding ABIL when it was suspended in August 2014 hold worthless shares.
- The Satrix Resi (JSE code: STXRES) is our focus ETF this week.
- We published our bubble graphic of Top40 individual stock returns for Q1 2016.
Helena Conradie CEO Satrix
Satrix is best known for their Exchange Traded Funds (ETFs) but have in recent years also moved into index tracking unit trusts. The question is why and if unit trusts are still the evil rip off they were back in the day? It is still a case of watch the fees and know what’s inside?
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- clintvanhere via Twitter
- If you withdraw from Tax Free Savings Account. A fully tax-free investment account is limited (as at 2021) to R36,000 a year and R500,000 lifetime limit. Only certain ETFs are eligible for this product. These posts are a good place to start: Video: Everything ETFs and tax-free OUTstanding money: Saving tax free Wealthy Maths: The impact of tax-free investing Podcast: Your first tax-free investment More, what are the effects on your annual & lifetime limits?
- Can I trade your lazy system in a tax free savings account ?
- After attending your seminar for beginners, I invested in ETFs. However yesterday, I watched your video explaining the benefits of TFSA and I need to know if I made a mistake opening an non TFSA account? Should I close that account and open a TFSA, or keep both? I don’t want to incur extra costs.
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