Economic and Market Overview – December 2022
An Economic and Market overview of November 2022 from Analytics Consulting.
NEWSROOM
What is This Volatility Risk People are Always Talking About?
Perhaps the most common way to measure investment risk is to use volatility. When markets are talked about as being volatile, it’s usually shorthand for saying that risk is high, or that investors are unusually nervous.
But what exactly is volatility, what does it measure, and why is it seen as the same thing as risk? Is it always the most useful way to think about how risky an investment is?
In this article, we look to answer these questions. And to provide some insight into why, despite being a useful tool, volatility shouldn’t be the only way anyone ever thinks about risk.
Three Books for the Holidays
Whether you’re looking for Christmas presents or just something for yourself over the festive season break, a good book is always worthwhile.
There are many good books about personal finance that have been written over the years. Some have become incredibly popular and made their authors remarkably – although not always healthily – famous.
In this article we look at three books that aren’t as well known … But that still contain some very useful insights for anybody who has an interest in improving their financial wellbeing and the financial wellbeing of their families.
Economic and Market Overview – November 2022
An Economic and Market overview from Analytics Consulting.
Why do we Even Have Bull and Bear Markets?
Anyone keeping an eye on the stock market will know that 2022 has been very different to 2021.
Higher wages risk prolonging the fight against the inflation
Over the past 18 months, the cost of living has surged globally, with world inflation rising sharply from an average of less than 2% in 2020 to over 9% currently. This increase in inflation is evident within both developed as well as emerging markets, and in some countries, inflation is the highest it has been in four decades.
Economic and Market Overview – October 2022
An Economic and Market overview from Analytics Consulting.
Why Timing Might be Everything in Retirement – Especially in a Bear Market
We spend our working lives making sure that we save enough for our retirement. But if we’re unlucky enough to retire just before a market crash, this can throw our planning into disarray.
That is because a big drop in our retirement capital in the first few years of retirement will have a lasting impact. In investment terms, this is called “sequence of return risk” – the risk that bad returns at the wrong time can be especially painful.
Loss Aversion and Lifestyle Creep – How Behaviour Influences Saving
The biggest obstacle to growing your wealth has nothing to do with the stock market – it has to do with you. More specifically, the choices you make about your lifestyle and your saving habits.
Achieving financial freedom is a personal journey that involves lots of little behavioural changes over time.
These small changes can make all the difference in the long run.
Economic and Market Overview – September 2022
An Economic and Market overview from Analytics Consulting.
The “Two Bucket” Retirement Savings System: What is it and Why is it Important?
The government has said that it is going ahead with plans to introduce a ‘two bucket’ retirement savings system. The intention is to increase the amounts that South Africans are preserving.
But what does retirement preservation mean? And why it is something that the government is so concerned about that it feels it is necessary to change legislation?
In this article we explore the importance of preserving retirement savings, and why it has become such a necessary issue to address in South Africa. We also look at what the two-bucket system means in practical terms for investors
Women’s Month: Three Ways You Can Improve Your Money Health
More and more people are becoming aware of the importance of financial wellbeing. Just like it’s necessary to look after your physical health, it is critical to be proactive about taking care of your financial health as well.
In Women’s Month, it’s worth considering why this is a particularly important topic for women. Often, they find it harder to take care of their financial wellbeing because of the different demands on their money and their time.
In this article we look at what makes financial wellbeing for women so important and examine three ways they can move towards a healthier relationship with their money.
A Simple “50-15-5” Budget Hack for Women (and Men!)
Many people find budgeting a turn-off. They don’t want to keep track of every rand they spend. They find it limiting, and an administrative hassle.
For those women who already shoulder most of the responsibility for running a household, this can be particularly true. They don’t want to add anything extra to the long list of things they already need to take care of.
Having a simple approach to running a ‘spending plan’ rather than a strict budget can therefore be quite liberating for many people. Read on to discover a simple approach to getting this right.
Chrome Wealth’s Annual Investment and Financial Planning Update June 2022
Chrome Wealth’s Andrew Bradley and Analytics Consulting, who assist Chrome Wealth on investment strategies, present their analysis of the current investment climate as well as their recommendations for the coming year.
Economic and Market Overview – July 2022
An Economic and Market overview from Analytics Consulting.
Centric Wealth Advisory cleans up again at the Intellidex Top Private Banks & Wealth Managers Awards 2022
Centric Wealth Advisory were big winners once again in the 11th annual Intellidex South African Top Private Banks and Wealth Managers Awards for 2022.
Why Inflation is the Most Important Investment Benchmark
Inflation is “enemy number one” for every investor. A lot of the time we don’t notice it, but over the years it has a huge impact on the value of our money.
Is Your Business Good Retirement Capital?
If you’re an entrepreneur, you’re likely to be an optimistic risk taker and may believe that the proceeds from the sale of your business will suffice as retirement capital.
The harsh reality is that not all businesses have a happy ending.
Although drive, motivation and a propensity for risk are great for growing a business, they don’t always translate into sound retirement planning.
Diversifying your assets is a great way of insuring against the possible decline of your business, or the inability to sell it when you need to.
How Relevant Is The 4% Rule of Thumb These Days?
Generations of financial planners have advised their clients to use the 4% rule when planning retirement withdrawals. But is it still relevant today?
This article explains that, while the 4% rule can be a good way to think about how much you will need to save for retirement, it can never replace a proper financial plan.
Like most rules of thumb it’s not completely worthless – but it’s also not the answer to a happy and prosperous retirement. Planning your retirement is probably the biggest financial decision you’ll ever have to make so please do consult a qualified financial planner.
Economic and Market Overview – December 2022
An Economic and Market overview of November 2022 from Analytics Consulting.
What is This Volatility Risk People are Always Talking About?
Perhaps the most common way to measure investment risk is to use volatility. When markets are talked about as being volatile, it’s usually shorthand for saying that risk is high, or that investors are unusually nervous.
But what exactly is volatility, what does it measure, and why is it seen as the same thing as risk? Is it always the most useful way to think about how risky an investment is?
In this article, we look to answer these questions. And to provide some insight into why, despite being a useful tool, volatility shouldn’t be the only way anyone ever thinks about risk.
Three Books for the Holidays
Whether you’re looking for Christmas presents or just something for yourself over the festive season break, a good book is always worthwhile.
There are many good books about personal finance that have been written over the years. Some have become incredibly popular and made their authors remarkably – although not always healthily – famous.
In this article we look at three books that aren’t as well known … But that still contain some very useful insights for anybody who has an interest in improving their financial wellbeing and the financial wellbeing of their families.
Economic and Market Overview – November 2022
An Economic and Market overview from Analytics Consulting.
Why do we Even Have Bull and Bear Markets?
Anyone keeping an eye on the stock market will know that 2022 has been very different to 2021.
Higher wages risk prolonging the fight against the inflation
Over the past 18 months, the cost of living has surged globally, with world inflation rising sharply from an average of less than 2% in 2020 to over 9% currently. This increase in inflation is evident within both developed as well as emerging markets, and in some countries, inflation is the highest it has been in four decades.
Economic and Market Overview – October 2022
An Economic and Market overview from Analytics Consulting.
Why Timing Might be Everything in Retirement – Especially in a Bear Market
We spend our working lives making sure that we save enough for our retirement. But if we’re unlucky enough to retire just before a market crash, this can throw our planning into disarray.
That is because a big drop in our retirement capital in the first few years of retirement will have a lasting impact. In investment terms, this is called “sequence of return risk” – the risk that bad returns at the wrong time can be especially painful.
Loss Aversion and Lifestyle Creep – How Behaviour Influences Saving
The biggest obstacle to growing your wealth has nothing to do with the stock market – it has to do with you. More specifically, the choices you make about your lifestyle and your saving habits.
Achieving financial freedom is a personal journey that involves lots of little behavioural changes over time.
These small changes can make all the difference in the long run.
Economic and Market Overview – September 2022
An Economic and Market overview from Analytics Consulting.
The “Two Bucket” Retirement Savings System: What is it and Why is it Important?
The government has said that it is going ahead with plans to introduce a ‘two bucket’ retirement savings system. The intention is to increase the amounts that South Africans are preserving.
But what does retirement preservation mean? And why it is something that the government is so concerned about that it feels it is necessary to change legislation?
In this article we explore the importance of preserving retirement savings, and why it has become such a necessary issue to address in South Africa. We also look at what the two-bucket system means in practical terms for investors
Women’s Month: Three Ways You Can Improve Your Money Health
More and more people are becoming aware of the importance of financial wellbeing. Just like it’s necessary to look after your physical health, it is critical to be proactive about taking care of your financial health as well.
In Women’s Month, it’s worth considering why this is a particularly important topic for women. Often, they find it harder to take care of their financial wellbeing because of the different demands on their money and their time.
In this article we look at what makes financial wellbeing for women so important and examine three ways they can move towards a healthier relationship with their money.
A Simple “50-15-5” Budget Hack for Women (and Men!)
Many people find budgeting a turn-off. They don’t want to keep track of every rand they spend. They find it limiting, and an administrative hassle.
For those women who already shoulder most of the responsibility for running a household, this can be particularly true. They don’t want to add anything extra to the long list of things they already need to take care of.
Having a simple approach to running a ‘spending plan’ rather than a strict budget can therefore be quite liberating for many people. Read on to discover a simple approach to getting this right.
Chrome Wealth’s Annual Investment and Financial Planning Update June 2022
Chrome Wealth’s Andrew Bradley and Analytics Consulting, who assist Chrome Wealth on investment strategies, present their analysis of the current investment climate as well as their recommendations for the coming year.
Economic and Market Overview – July 2022
An Economic and Market overview from Analytics Consulting.
Centric Wealth Advisory cleans up again at the Intellidex Top Private Banks & Wealth Managers Awards 2022
Centric Wealth Advisory were big winners once again in the 11th annual Intellidex South African Top Private Banks and Wealth Managers Awards for 2022.
Why Inflation is the Most Important Investment Benchmark
Inflation is “enemy number one” for every investor. A lot of the time we don’t notice it, but over the years it has a huge impact on the value of our money.
Is Your Business Good Retirement Capital?
If you’re an entrepreneur, you’re likely to be an optimistic risk taker and may believe that the proceeds from the sale of your business will suffice as retirement capital.
The harsh reality is that not all businesses have a happy ending.
Although drive, motivation and a propensity for risk are great for growing a business, they don’t always translate into sound retirement planning.
Diversifying your assets is a great way of insuring against the possible decline of your business, or the inability to sell it when you need to.
How Relevant Is The 4% Rule of Thumb These Days?
Generations of financial planners have advised their clients to use the 4% rule when planning retirement withdrawals. But is it still relevant today?
This article explains that, while the 4% rule can be a good way to think about how much you will need to save for retirement, it can never replace a proper financial plan.
Like most rules of thumb it’s not completely worthless – but it’s also not the answer to a happy and prosperous retirement. Planning your retirement is probably the biggest financial decision you’ll ever have to make so please do consult a qualified financial planner.