The term banking crisis is often overused. Certainly, there are times when it's appropriate, like during the 2008 Global Financial Crisis, however it's usually just a term used to describe a rather minor disruption to the normal functioning of a country's banking sector. Well, that's not the case with China currently.
The country is in the midst of a true banking crisis. How bad is it? Well, th... ››› more
Since Joe Biden won the US presidential elections, there's been good news flooding both local and global markets.
Look at the JSE…
In the last month alone, it's rallied over 11% erasing the 2020 losses for the year…
We have an excellent chance of finishing off positive in 2020, despite all we've been through!
And that's just the JSE…
We also saw France up 21%, Italy up o... ››› more
March 2020, will be known as one of the most brutal months that the JSE and the equity markets have ever seen.
On 12 March, the index fell 9.51% and a further 11.98% on 16 March - two of the biggest daily drops since the 2008 Financial Crash.
CEO - JSE, Leila Fourie, said in an interview about the value drop and trade volumes:
“Over the past few weeks on average we've been processing... ››› more
By now, I assume, most investors would agree, having all your money invested in SA is a bad idea.
Our low growth, unstable politics and a volatile currency are important considerations. However, the most important reason to invest offshore, is the local investment universe is simply too small. At less than 0.6% of global GDP, South Africa is simply too small to provide you with enough opportun... ››› more
It's all over the news…
“Why SA is on the verge of an IMF bailout” - Business Live
“Is an IMF bailout for SA imminent” - News 24
“Does SA need help from the IMF?” - eNCA
Prominent billionaire and business man, Johann Rupert has even suggested this. According to a Business Live report Rupert said an IMF bailout is “a serious possibility”, while Paul Harris, one of ... ››› more
South Africans are at the edge of their seats, with what's going on this year.
From the ongoing US-China trade war, never ending Brexit decision, South Africa going back into the dark ages, the spreading rumours that the US is about to enter a recession this year - and this is just the tip of the iceberg for 2019.
The worst is yet to come. And it all starts, and ends, with the rand.
To... ››› more
Around decades ago, offshore investing was only available to ultra-high net worth investors; but we've come a long way since then.
Now you can invest in markets across America, Asia, Africa…you name it.
And this makes the idea of offshore investing not only interesting, but downright exciting too.
However, just as there are endless opportunities out there for you to choose from, ther... ››› more
Did you know in 2000, just 4% of China's urban population was considered middle class?
Did you know by 2012, that number soared to 68%?
To put that into perspective…
In 2000, around 5 million people in China were consider middle class.
More than a decade later, around 230 million people in China are now considered middle class.
But here's where it gets even more interesting…... ››› more
With a booming population and an ever growing investment market, China overtook the US as the world's largest recipient of foreign capital investments. Official statistics from China's Ministry of Commerce (MOFCOM) show foreign direct investment (FDI) into China reaching $35.4 billion in the first quarter of 2016. That's a 4.5% increase from the same period in 2015. The US economy fell from its po... ››› more
In the year 1900 Africa was the world's most sparsely populated continent.
Today, it boasts a seventh of the world's total population.
While most people have only been pre-occupied with Africa's failure to develop like Western and many eastern countries have done, they've missed what is happening on the continent.
Over 800 million people have been added to Africa's population in the pa... ››› more
Bitcoin is getting a lot of airtime in the mainstream media lately.
Last week Francois Joubert discussed it when he warned you about your investments in MMM Global and MMM Global's ‘Bitcoin Republic'.
Then, Carte Blanche spoke about it on Sunday night.
So it would be a flaw on my side if I didn't do my research into the cryptocurrency (a digital currency that's beyond government re... ››› more
Yesterday, the South African Chamber of Commerce and Industry (SACCI) revealed that business confidence in the country hit a 22 year low last month.
So what's causing business confidence to continue to fall?
Let's take a closer look…
Business confidence plunged to 81.6
Last month, business confidence sunk to hit “its lowest level since the end of apartheid,” reports Fin24. Thi... ››› more
You've no doubt heard the term ‘tax haven' before.
So what exactly are tax havens? Who are these tax havens for? And what countries fall into the tax haven category?
Let's take a closer look…
What are tax havens?
Tax havens are countries which have favourable legislation in a bid to attract foreign investment and business.
A tax haven doesn’t necessarily impose no taxes at... ››› more
As a South African, we're tired of waking up every day and reading the comedy politicians spew out. In some way it's very entertaining. But in another way, it's very worrying that these are the people that lead our country on a daily basis.
It's extremely worrying that we have government officials who have no clue what they're doing.
Yet we still have people standing up and delivering the... ››› more
Yesterday, police in Durban locked down the city centre as a barrage of xenophobic attacks took place on foreign-owned businesses. The city has been dealing with the attacks since last week.
The rise of xenophobic incidences is not good news for South Africa. It could have a big impact on foreign investment in the country.
Let's take a closer look…
Yesterday saw xenophobic violence e... ››› more
Unemployment is one of South Africa's most pressing challenges. Not only is it sitting "pretty" at 25.4%, there's absolutely no sign that it'll improve anytime soon.
So you'd think the proposal for a national minimum wage (NMW) would be the answer.
But it isn't!
A NMW won't only result in higher levels of unemployment, but will create a chain-reaction, that'll take our economy deeper in... ››› more
Investing offshore can benefit your portfolio.
It can be a good way to diversify your investment portfolio. And it gives you the chance to get into some potentially lucrative investments you may not have access to in your home market.
But it comes with a downside. It exposes you to considerable exchange rate risk.
So what exactly is this exchange rate risk and what does it mean for your i... ››› more
In a world full of geopolitical tensions, it can be a hard task finding somewhere offshore to invest that looks promising.
There's the situation between Russia and Ukraine, fighting between Israel and Hamas, and the Ebola virus hitting parts of Africa hard.
So if you want to invest offshore in a market that's looking good for future gains, what are your options?
What about the Philippines... ››› more
Last week, Anglo American, the parent company of Anglo American Platinum (Amplats), revealed its plans to sell off some of its platinum operations.
This follows the company incurring massive losses following a five-month long strike that crippled production.
Yesterday, the African National Congress (ANC) said they'd prefer a local buyer for the operations.
Let's take a closer look at what... ››› more
South Africa is heading down a dangerous path.
One described as rampant and uncontrolled unionism that if not halted, will become unaffordable.
For five months, Amcu lead crippling strikes in the platinum sector. A strike that won workers about R36,000 over three years, but cost them R52,000 in lost wages.
Then as soon as the platinum strike ended, NUMSA announced it would strike. And alr... ››› more
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