Investments

PPS Investment Perspectives – Economic performance in Q3 2023

Inflation expectations and the effect on interest rates remained the major theme as it has been for the last few quarters.

Like clients in a candy store; choosing from 1805 CIS funds

Helping your clients to choose the most suitable Collective Investments Schemes (CIS) unit trusts for their discretionary investment or living annuity portfolios is a bit like guiding a youngster through Cleveland’s Sweetie Candy Company, which Google reckons is the world’s largest candy store by floor size. Like kids in a candy store, their eyes-wide-open, overpowered clients risk falling victim to decision paralysis as they take in the 1805 CIS unit trusts on offer to local investors, midyear 2023. And that’s before you give them sight of the 643 foreign currency denominated funds and 219 hedge funds stacked up in the back room.

Fund managers still courting SA Inc

Active fund managers love the mechanistic selling that has affected South African equity prices of late because it allows them to do what they do best: identify opportunities to generate alpha for their investors. “Any forced or mechanistic selling creates mispricing which is something that active managers love; forced sellers do not care what price they sell at, whereas active managers fundamentally care about price,” said Neville Chester, a portfolio manager at Coronation Fund Managers.

Will the dollar remain the global reserve currency?