ETF Archives - Page 12 of 17

ETF: Should I consolidate my ETF portfolio?

Kristia van Heerden 16 May 2018ETF Blog, Latest

So, you went a little overboard with the new ETF listings. Currently your portfolio has a tiny bit of exposure to 30 ETFs. You’ve officially earned your rookie investor badge. Well done! Now that you’re All Grown Up, you are ready to be more strategic with your ETF investments. Should you consolidate your thousands of ...

ETF: Six questions to answer before buying an ETF

Kristia van Heerden 2 May 2018ETF Blog, Latest

A strong investment strategy is a critical part of any attempt at successful investing. When you have a record of why you chose a certain type of investment, you are better equipped to handle the inevitable curveballs the market will throw at you. Without an investment strategy, you might be tempted to jump ship at ...

ETF: How ETF weighting is like a fruit salad

Kristia van Heerden 18 April 2018ETF Blog, Latest

ETFs are like a fruit salad. When you buy a fruit salad, you get nice variety of complementary fruit for one price in one transaction. It’s great, because you can eat all of your favourite fruit without having to buy a packet of each. Sometimes fruit salads are seasonal. Sometimes they are themed, like a ...

ETF: Capital gains vs reinvested dividends

Kristia van Heerden 4 April 2018ETF Blog, Latest

A few weeks ago we started wondering if we were being taxed twice on total return ETFs. To recap, a total return ETF reinvests the dividends or interest payments on your behalf. This saves you the hassle (such as it may be) and fees of reinvesting dividends. It’s especially useful if you were going to ...

ETF: Value ETFs unpacked

Kristia van Heerden 28 March 2018ETF Blog, Latest

Effective 1 March 2023, this ETF is now Satrix Value Equity ETF (JSE code: STXVEQ) Fans of Warren Buffett are most likely also fans of value investing. The concept is extremely popular due to its intuitive nature. First, you find a good company whose share price is below what the company is really worth. You ...

ETF: Total return ETFs explained

Kristia van Heerden 21 March 2018ETF Blog, Latest

Note: New legislation regarding the availability of total return ETFs is expected in the first half of 2023 In this week’s Fat Wallet Show, we talk about the tax implications of investing in a total return ETF. In this article we’ll flesh out the discussion. We’ll explain what a total return ETF is, who might ...

The Fat Wallet Show with Kristia van Heerden

Podcast: Figuring out investment fees

Kristia van Heerden 19 March 2018Latest, The Fat Wallet

A few weeks ago I attended a 10X event in Johannesburg. Being a low-cost retirement annuity (RA) provider, obviously much of the discussion centred around fees. Steven Nathan, who runs 10X, did an analysis of a statement sent by an old-school retirement product provider. He used the real example to illustrate how impossible it can ...

ETF: When companies fall out of the index

Kristia van Heerden 14 March 2018ETF Blog, Latest

An ETF is made up of investments in a number of different companies. Many investors worry about the impact of the performance of a single share on the performance of the ETF. This is especially of concern in an ETF weighted by market capitalisation, where bigger companies have a bigger impact on the price movement ...

ETF: Stanlib lists tech ETF

Kristia van Heerden 7 March 2018ETF Blog, Latest

With the local ETF space becoming more competitive, investors are starting to benefit from a growing number of niche ETF products. We can already buy ETFs based on the quality of the constituents or the momentum of the share price. Soon we’ll be able to buy companies whose share prices are considered cheap in the ...

ETF: How local is your Top40?

Kristia van Heerden 28 February 2018ETF Blog, Latest

Geographical earnings is an important consideration when putting together an ETF portfolio. Avoiding over-exposure to a particular region protects your portfolio from geopolitical instability. Local pension and retirement annuities (RAs) have to be Regulation 28 compliant. Until a week ago, 75% of these funds had to be invested locally. Add an ordinary Top 40 ETF ...