Investment

For the South African investor there are many obvious benefits to investing offshore, with Rand hedge and reducing geopolitical risk, being the most often touted.

South African investors are facing a real dilemma: Where do I invest for returns that can at least beat cash over the medium term? The graph below serves to illustrate the matter at hand. Over the last 3 years, cash has given a return marginally over 7% per annum.

On Saturday 5th May 2018 Berkshire Hathaway held its annual AGM meeting. During the course of this day long event, most of the time is spent by Warren Buffet and his long-time colleague Charlie Munger fielding questions from shareholders.

World equity markets have recently experienced unprecedented volatility, and the JSE has been no exception. On the 6th April 2017 the JSE All Share value was at 52,853, on 6th April 2018 it was at 55,761. This reflects a 12 month return of 5,5% when cash would have given you at or around 7%. The chart below tracks the JSE All Share index over the last 12 months.