If there’s one graph all South Africans and expats understand, it’s the one showing the decline of the value of the rand (ZAR) against the pound (GBP) during 2013. The currency has undergone a year-on-year depreciation of 24.3%, effectively reducing a R100,000 investment to R76,000 in today’s money.
Their ZAR’s 12-month performance is nothing to write home about. Or is it?
One of the major reasons for this continued decline is the increase in foreign capital outflow from South Africa. According to JSE Ltd. data, last Wednesday alone, foreign investors sold a net R677-million of South African bonds, a fifth straight day of sales – year-to-date outflow of R3.44-billion.
Thousands of South Africans living or working in the UK have billions of rands invested in retirement funds in South Africa.
Given the ticking of your retirement planning clock, relative to a weakening currency, January is a good time to ‘take stock’ of what to do with left behind retirement annuities, preservation funds and other retirement assets and investments.
Foreign investors can’t stomach negative growth. Why should a retirement investor?
cashkows.com is a trusted South African financial services’ company who has assisted thousands of clients to transfer retirement funds from South Africa..
Why not ask one of our qualified advisors to help you take stock of your ‘left behind’ investments?
Looking at the graph – you can be worse off by doing nothing …