News
Coronavirus special: counting the cost and looking ahead
As far as equity markets are concerned, the development of the coronavirus crisis has been as rapid as it has been unprecedented.
Read MoreA cacophony of noise
We remain in a relative news vacuum, but reporting season is slowly getting underway, starting with US banks this week. These companies reported making loan loss provisions (money set aside as an allowance for potentially unpaid debts) but were held up by increased trading revenue due to activity in the fixed income market as investors snapped up bargains.
Read MoreSanlam’s Fourie: Why I’m happy to underperform when the market recovers
There is a strong chance that beaten-up sectors such as energy and financials will lead the eventual recovery from the coronavirus crash, according to Sanlam’s Pieter Fourie – but the manager said this is not enough to convince him to buy into these areas of the market.
Read MorePushed towards Risk
Earlier this week European leaders crossed the Rubicon and agreed an unprecedented economic programme. The EU have agreed a deal on a €750bn recovery fund to address Covid-19 damage; importantly, all raised by issuing EU common bonds for the first time. The issuance of these bonds will enhance the trading bloc’s financial autonomy from the US, furthering its potential role as a reserve currency.
Read MoreA V-shaped recovery is the norm, not the exception
There is heightened uncertainty around the impact that Covid-19 (worsened by the recent Moody’s downgrade on SA government bonds) is currently having on markets and explains the dramatic volatility in markets in recent weeks.
Read MoreA picture is worth a thousand words
The spectacular photos that Paul Choy has captured thus far, as part of his Walk Mauritius journey, truly tell amazing tales of the beautiful contry of Mauritius and its people.
Read MoreWhy now is not the time to change your investment strategy
According to reports, investors have withdrawn 3% of their equity investments so far this year, which is twice the amount withdrawn at the height of the 2008 financial crisis. When negative sentiment is abundant and investment risks are at large, the temptation is to cut and run for the shelter of ‘safer’ assets. But by the time these risks hit the headlines, markets have already adjusted, and to make significant investment changes only serves to lock in losses rather than avoid them.
Read MoreThe quality versus value debate
An impeachment enquiry has formally begun in the US, with President Trump accused of seeking foreign help to smear the reputation of Democratic candidate Joe Biden. The controversy revolves around a phone call whereby Trump is heard trying to convince Ukrainian president Volodymyr Zelensky to investigate claims of corruption involving Joe Biden’s son.
Read MoreOvercoming a slowing global economy
With the threat of a global recession hanging over equity markets, and many bond yields in negative territory, we find ourselves faced with something of a conundrum. While we want to shelter portfolios from potential volatility, safer assets are offering very low returns and are at risk should inflation begin to rise.
Read MoreSouth Africa’s Sanlam Takes Over Soras Insurance Company
Sanlam has officially taken over 100% of Rwanda’s insurance company (Soras) making Rwanda the 40th country in its global expansion drive.
The full merge was announced this Wednesday in Kigali by both officials of Soras and Sanlam following Sanlam’s entry into Rwanda in 2014,