Archive for Feb 2020

Coronavirus – Update

We don’t yet know how dangerous the new coronavirus disease (COVID-19) that was first reported in Wuhan, China, on 31 December 2019 is, and we won’t know until more data becomes available. What we do know is that the probability of dying if infected by the virus is significantly higher for vulnerable members of the…

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#Budget2020: Budget Highlights

The 2020 South African Budget delivered by Treasury yesterday is focussed on doing the right things: Directly addressing the elevated civil service wage bill by cutting it, rather than increasing taxes. Rebalancing expenditure towards capital from consumption; and Being mindful of negatively impacting economic growth amid its fiscal consolidation efforts.   Budget Framework The main…

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Time to hold your breath…it’s Budget week

Hold on to your seats and your wallets – it’s Budget week and whichever way one looks at it, it’s bound to be something of a roller-coaster week, particularly for the rand. Markets and investors are losing faith in the reform narrative and promises of President Cyril Ramaphosa’s government, whether justified or not. Having been…

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Week in Review: China Cuts Benchmark Lending Rates

Renewed fears of the global economic impact caused by the coronavirus outbreak was central to markets this week. Apple announced that it would be lowering its revenue guidance on lower demand for its products in China amid temporary retail store closures, which added to worries about the fallout from a slowdown in China’s economic growth.…

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Week in Review: President Ramaphosa delivers SONA 2020

Global attention remained on the coronavirus outbreak as the number of confirmed cases rose and China’s factories try to reopen. Equities were mostly stronger for a second straight week while bond yields stayed unchanged, a sign that investors are cautiously optimistic. In the U.S., Federal Reserve (Fed) Chair, Jerome Powell’s commentary took centre stage, where…

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Death, Tax and more Tax

Unfortunately for South Africans, after death and taxes a third certainty affecting us is our ever-increasing tax rates. With the budget speech around the corner, tax increases are again front of mind. It is no wonder then that our investment decisions are so often driven by an overwhelming desire to save taxes. Enter Section 12J…

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