A bear market refers to a widespread decline in asset prices of at least 20%.
We've seen stock markets fall 20% and more in recent months. The oil price fell through the floor, and unemployment is soaring.
This is not a fun time to be in, and you might be confused, panicked or just blown away.
The good news is, this is only a phase - and it will also pass. Things will turn around and l... ››› more
When it comes to investing, it pays to realise you're in a long-term game. And because of this, you don't want to be stressing about the markets daily moves. That's why I use a simple technique called rand cost averaging.
To use this technique, all you need to do is invest a set amount of your capital each month. No matter what the markets are doing, you steadily invest the same amount.
Rand ... ››› more
One of the advantages of investing in exchange traded funds (ETFs) and unit trusts is you can opt to invest monthly instead of via a lump sum as you would if you invested in shares.
So why is this an advantage?
Let's take a closer look…
The advantage is rand cost averaging
By regularly investing on a monthly basis into ETFs or unit trusts, you benefit from rand cost averag... ››› more
There are a number of reasons why investors buy physical gold. It can add diversification to your portfolio and it's also a hedge against financial crisis.
The general rule of thumb is to own anything between 5% and 10% of your portfolio in gold. But is this how much you should own?
Read on to find out how much gold you should have in your portfolio…
Working out the best amount of go... ››› more
Investing offshore gives you the opportunity to invest in sectors and companies you don't have access to on the Johannesburg Stock Exchange.
But before you jump into exploring offshore investment opportunities, it's important to keep some key factors in mind to help you find the right investment.
Read on to find out what these factors are…
Explore these aspects before investing offsh... ››› more
If you've got some money in the bank and want to get it working harder for you, fear might be holding you back.
You know your money is safe where it is. If you decide to invest some of it, there's a chance you'll lose some of it, or worst case scenario, all of it.
So what sort of wealth building strategy can you follow that can help lower the risks you take on when you invest?
Read on to ... ››› more
In an ideal world, you could identify when the market was on the rise and put money into the market. But unfortunately it's not as easy as that.
So what can you do to improve your chances of investing at the right time and benefit from rising prices?
Opt for rand cost averaging.
Read on to find out more…
The ins and outs of rand cost averaging
Rand cost averaging is an investme... ››› more
Rand cost averaging (or drip feeding) involves investing a fixed amount of money into the stock market on a monthly basis.
The idea behind rand cost averaging is it benefits those investors who don't have a lump sum to invest by slowly building their holdings.
An additional advantage is you invest regardless of what the stock market is doing. This means you benefit by buying more when prices... ››› more
When it comes to investing on the stock market, there are a number of different strategies you can follow.
One popular way, especially if you don't have a lump sum to invest, is to invest a fixed amount of money on a monthly basis into a savings plan.
This is known as rand cost averaging or drip feeding.
So is it an investment strategy worth following?
The advantages of rand cost av... ››› more
I want to tell you about the day I started believing in the stock market.
I have a friend who I'm lucky to consider one of my mentors; he used to tell me all the same things I'm telling you now. Buy assets, get into the market, save, even just a little bit and invest conservatively.
Those were good tips but I didn't see a reason for it. You can have all benefits to something but until you ha... ››› more
A recent case of a trader at Barclays manipulating the price of gold through the gold price fix highlights the issues in the gold market. With Barclays being guilty of this, it shows there is a high probability that it isn't the only bank of the four in the gold price fix group that's guilty of this. Let's take a closer look at the evidence and what you can do to buy gold when the banks haven't ma... ››› more
The stock market is volatile. Share prices bob up and down from highs to lows. It's this volatility that makes the stock market risky. But it's also this risk you undertake when you invest that has the potential to make you money. So what's the best way to deal with stock market volatility? Read on to find out…
Strategy #1: Time
One of the best ways to cope with volatility is time in the mar... ››› more
So you've decided to invest in unit trusts. That's great. But with the thousands available out there, how do you buy good unit trust? That decision ultimately rests on you, but remembering these five things can help you narrow down your choices…
Successful unit trust investing starts by remembering these five crucial factors
Unit trust investing tip #1: Assess where you are and where you ... ››› more
If you're eager to invest on the stock market, but you just don't have the funds to start, what can you do? Well by sticking to the following three steps you'll be able to do just that and help yourself build wealth. Read on to find out how to invest when you're broke…
If you don’t have a lump sum in the bank that you can invest, it doesn’t mean you can’t invest, Alexander Green in Inves... ››› more
Value averaging is a great strategy. It combines rand cost averaging and rebalancing. But it doesn't work well over time. However, there is a way you can ‘tinker' with the strategy to make it work by using a value path. Read on to find out how to map out a value path to riches…
Value averaging is a strategy that combines the best bits of rand cost averaging with the benefits of rebalancing. ... ››› more
If you want to invest regularly for the long-term, strategies include rand cost averaging and rebalancing. But what if you could merge the best bits of each to give you an even better strategy? Read on to find out more…
Rand cost averaging forces you to invest a constant amount of money on a regular basis.
Rebalancing mean you set out target allocations for different investments in your por... ››› more
One of the most important keys to investment success is also one of the simplest. You need to ensure you make the effort to save and put money away regularly for your future. But what's the best way to go about doing this?
‘Rand cost averaging’ is one of the most popular ways to invest regularly, explains Phil Oakley in MoneyWeek.
This is where you invest a constant amount of money each m... ››› more
A friend of mine used to invest in the stock market.
He told me he lost a chunk of money in the financial crash of 2008 and ever since, has been too scared to climb back in.
And by pulling his money out during this time, he missed out on the massive upswing the market has made since.
But now he's in a bit of a pickle. If he gets back into stocks today, after already missing the great ret... ››› more
You can invest in shares for the long-term in two ways. You can invest one big lump, or on a regular basis drip a series of smaller amounts in - ‘rand cost averaging' (RCA). So which way is best?
Sir John Templeton’s Templeton Growth Fund grew at a staggering 16% a year between 1954 and 1992. He used to argue that “the best time to invest is when you have the money”.
But as fund manag... ››› more
When you make any investment, it's important to weigh up a few key points before you part with your cash. Of course, nothing is a certainty with investing, but by thinking these points through before you commit, you'll be in a much better position to profit…
Any investment decision you make requires a balancing of advantages and disadvantages, judgement on timing and future growth prospects, a... ››› more
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