My 2 Cents

Fundsmith: Portfolio changes

Article from Citywire Star fund manager Terry Smith has sold his stake in Reckitt Benckiser (RB), ending his backing for the consumer goods giant he has held for more than a decade. Citywire AA-rated Smith sold the shares, a feature of the original Fundsmith Equity portfolio when the fund launched in 2010, last month. Changes…
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Do we invest in South Africa now?

Topical in the current investment environment is whether the JSE overs an opportunity to invest. In this video Greg Potgieter discusses whether holding companies like Naspers and Remgro offer value.

Adapting asset allocation to changing scenarios in SA!

Anchor Capital’s Nolan Wapenaar thinks that prudent allocation must take into account a range of possible outcomes for South Africa. by PATRICK CAIRNS (www.citywire.co.za) Posted 15 OCTOBER, 2020 AT 03:30 One of the key considerations in any asset allocation decision at the moment is the state of South Africa’s economy and government finances. The risk…
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Managing Investment Trends

We spend most of our time on thinking about the current market trends and how it will influence our clients portfolios. How to adapt their asset allocation to take into account the changes in investment trends. Below is a summary of the current trends that we find interesting and that may influence client portfolios. Developed…
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Fundsmith: ‘Quality will out’

In the article below, published by Citywire.co.za, AA-rated veteran fund manager Terry Smith weighs in on the growth versus value debate. See the video comments from Terry Smith here. As the US equity market has surged after the coronavirus crash, more and more attention has been placed on the valuations of the big growth stocks…
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How much should you have offshore?

Warren Ingram is a Director of Galileo Capital, hosts the HonestMoney Podcast and wrote the article below. Although different to our view it is important to listen and understand opposing views. We would have liked if he addressed whether South Africa has structurally changed which in my view is the most important question to address…
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Average Asset Class Returns: End June 2020 (Smartiebox)

The table below illustrates the asset class for each year to the end of June and the longer term returns on the right of the table. Note the struggling SA (South Africa) equities and SA Real Estate (properties).

36ONE Hedge Fund 101

We have been using hedge funds in client portfolio’s since our RMB days. Unfortunately taughted to be for the sophisticated and ultra rich investor many investors have missed out on the added diversification that hedge funds brings to a portfolio. We are partial to hedge funds that protect capital. This means gaining less if the…
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South Africa – long-term investment destination or trading opportunity?

The Northstar Asset Management article penned by Adrian Clayton (Managing Director and CIO) and Rachel Finlayson (Analyst) puts the JSE’s struggles into perspective. You can read it in conjunction with this article “How bad has the JSE been?“. In this article we explore whether serious investors should consider South Africa and the JSE a viable…
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How bad has the JSE been?

We have been through a bad patch in local equities. Multiple reasons are offered why and I would like to focus on: all emerging markets have struggled! To be honest only the US market and their IT stocks have performed well! I asked Peter Little, fund manager at Anchor Capital, to assist with comparison of…
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