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Because the gatekeepers to financial services in South Africa, including consultants and independent financial advisers, find it difficult to explain to investors and trustees the methods employed by hedge funds to extract alpha from markets, these funds are often excluded when constructing portfolios.
An increasing number of South Africans are sending substantial amounts of money offshore each year due to frequent travel, a greater appetite for offshore investing, business interests abroad and a growing trend to educating their children there. The UK has proven to be the popular choice due largely to the similar time zones and legal systems and also the shared language. Opening a UK bank account has however been a longwinded and complicated process for South Africans, as it is for most overseas investors.
In response to an upsurge in customer complaints and enquiries regarding the marketing methods and claims made by companies/agents that these software programs are required in order to invest on the Johannesburg Stock Exchange (“JSE”), the JSE would like to remind the public that:
Last week has been fairly quiet on world markets which is probably a good thing after several weeks of volatility.
The strongest deterrent against FSP compliance missteps is or should be: