The markets have been gyrating like a Moroccan belly dancer in the casbah. It feels like we are going in circles but we have to admit that this is not unexpected. Three things are causing this volatility: the unpredictability of the outcome of the US election now that Biden is no longer in the picture; the extent of the cut in the interest rates later this month; and the question about whether the US will go into a recession or not. We should not be too worried about these events, however. The performance we have seen in the markets year to date is very satisfactory and even if there is no more upside from here your investments will be fine.
Another significant event in our financial market was the launch of the Two-Pot Retirement System on 1 September. This enables you to access a small portion of your retirement savings for emergencies before you retire. The bulk of your savings will remain “preserved”, meaning you will have to keep the majority of your retirement savings invested until you retire. We have provided you with all the details on our website and social media platforms so please go take a look.
Stepping away from belly dancers and two pots: do you agree that things have changed a bit in SA lately? The newfound positivity in our country turned out to endure. The GNU is doing their thing; the Springboks are dominating the rugby world; and loadshedding has been dropped from our daily vocabulary. The weather is putting a damper on our optimism, though. Winter refuses to let go. Just the other day we had snow on Table Mountain – and even the Dolomites in Italy is seeing heavy snowfall, blanketing what should be beautiful meadows in a balmy 20 degrees.
