If there ever was a time for capital protection, this is it!

by , 22 September 2017
If there ever was a time for capital protection, this is it!
As it stands, we are at the tail end of an eight-year bull market and, by most estimates, markets in the developed world are massively overpriced versus historical levels.

When we have seen such conditions in the past, global markets almost always fell dramatically within a year or two.

Adding to this risk is the fact that the US Fed, the European Central Bank and a number of other central banks are looking to return to a normal interest rate environment. Ask any analyst and they will tell you that low interest rates have been one of the major reasons for the current bull market.

And of course, there is Trump. The markets have reacted very positively to his election. His non-conventional approach to the presidency is likely to introduce a bit of chaos into global affairs for at least the next 4 years.

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You could be one step ahead of the average investor every time you make a decision
 
Look around you. Taxes are rising, independent, unbiased financial advice is disappearing, and mis-sold pensions and equities are taking their toll on people’s savings. In any given year, less than 20% of the more than 800 unit trusts in South Africa beat the market for their investors. So much for the abilities of ‘experts’.
 
Now more than ever, due to the current economic landscape, it’s only those with access to specialised knowledge and expertise who will really prosper in 2016 and in years to come…
 
 
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If ever there was a time to buy a little insurance for your portfolio it is right now!

 
So, let’s imagine you could create an investment portfolio with:
  • Offshore exposure with no Rand or South African risk.
  • Massive diversification! A portfolio exposed to virtually every major equity market in the world from the US to Asia.
  • Total capital protection. Your money is guaranteed in dollars.
  • Geared upside. You can get up to 2X market return.
  • Taxes only applied to capital gains when you take your money out.
  • All returns are after fees.
In exchange, your maximum upside is the long-term average of the stock market.
 
Sounds too good to be true right?
 
Well, whenever you need capital protection you have to give up something. In this case, you will have to cap your investment return at 50% over a five-year period. This translates to just under 8.5% per year compounded.
 
You might be thinking, “But wait Viv, why are you telling me this! That’s crazy… I can do better in the bank!”
 
But remember, “this return is in US Dollars”. In Rand terms, this cap is about 15% a year.
 
That is quite close to the average return on the JSE in recent times. So, unless you expect markets to give above average returns over the next few years, with no downside risk, this cap really doesn’t affect you!
 
 
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Sit back, relax and earn up to 32 extra salaries a year
 
Sounds impossible right? Well, I can assure you not only is it possible- you can start doing exactly that today!
 
How? By spending 10 minutes a week using a proven trading strategy that’s given 909 South Africans an extra income every month.
 
It’s THAT easy! No hassle, ZERO skill. Just a few minutes of your time and a tested method.  
 
 
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Outperform every other regular market

 
Add to that the fact that the 2x gearing means that if markets are positive, but don’t quite make it as high as historical averages, you will actually outperform every other regular market investor.
 
This is the beauty of structured products. If you’re keen to hear more about the amazing ways to invest in structured product, go and sign up for the South African Investor and read my column this month. I give a detailed analysis of how structured products work and how they can form part of your explosive wealth building plan!
 
Either that or pop me an email on support@randswiss.com, let me know you’re a MoneyMorning reader, and I’ll be happy to send you more information.

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