Explore the Category

Cabinet reshuffle and what it means for South Africa

31 March 2017 | Economy

At midnight on Thursday President Jacob Zuma announced the details of a widely-anticipated cabinet reshuffle. Zuma made 20 changes to his administration. Without question, though, the most significant – and concerning – is the removal of the respected and regarded Minister of Finance, Pravin Gordhan, and Deputy Minister of Finance, Mcebisi Jonas. Notwithstanding internal opposition from amongst the top six members of the ANC and its alliance partner, the South African Communist Party, eight other cabinet members were also shuffled. Immediate market reaction was palpable, with the rand moving from R12.80 to the US dollar on Thursday evening to trade as high as R13.60 to the US dollar by early Friday morning.

In uncharted territory

31 March 2017 | General

The world is currently in uncharted territory, as many keep highlighting. But this will always be the case as we move forward through time. The fiscal and monetary policy responses to the 2007 to 2008 global financial crisis were on an unprecedented scale – with fiscal stimulus and budget deficits leading to an increase in debt levels worldwide. On the other hand interest rates are still at their lowest levels in history and quantitative easing policies have led to massive expansions of central bank balance sheets. However, there seems to be no comparable response to the “Geopolitical Recession” the world is currently in.

How to build a long-term share portfolio

29 March 2017 | General

To beat inflation, investors should focus on strategies that use dividends as a contributing factor in their share portfolio, to realise long term returns. This is according to Grant Meintjes, Head of Securities at PSG Wealth during a recent investment webinar.

Shifting global dynamics still support the rand

28 March 2017 | General

After a record 63 days without a 1% decline, the benchmark US S&P500 equity index finally hit a wobble last week. After such a long winning stretch, a correction was inevitable. The catalyst appears to have been doubts over President Trump’s ability to deliver on his stated aims of cutting taxes and upgrading infrastructure, following his failure to convince the Republican Party to unite behind healthcare reform (and this is apart from the other controversies swirling around his presidency). Equity markets rallied after his surprise election in November, betting that lower taxes and more spending would boost company profits. The trailing price: earnings ratio on the S&P500 jumped from 19.6 to 22.3, an indication of increased investor optimism.

quick poll

Question

The strongest deterrent against FSP compliance missteps is or should be:

Answer

A criminal conviction Debarment Fine or penalty Any of the above can work

View the Results