Articles tagged as "investor behaviour"
Five lessons for investing in uncertain times
“As humans we are not good at predicting what is next, regardless of what anyone tells us. In the absence of a crystal ball, we can focus on what we can...
Investing for education in an inflationary environment
Parents can expect little relief in 2024, with reports suggesting that fee hikes for South African schools will yet again come in above general inflation,...
Principles for successful investing from the world of sport
Nothing quite unites South Africans like a good sporting event. During the months of July and August, South African sports fans were spoiled for choice as tw...
Risk: An essential ingredient for real long-term returns
When it comes to investing, no investor wants to lose money. In fact, as humans, we have a built-in aversion to loss. Unfortunately, by overly focusing on...
The cost of waiting to save
Whether you want to save for your retirement, a child’s education or an overseas trip, starting now can significantly reduce the cost of reaching your goals....
How staying the course gives you the long-term edge
In a world where instant gratification is king, it can be hard not to get distracted by the lure of short-term gains. But taking a long-term view of your...
Are you making the most of your tax-free investment account?
Tamryn Lamb and Twanji Kalula unpack the pros and cons of using tax-free investment accounts over the long term and explain how they can be used to complemen...
How to pave the way for better decisions
The decisions we make are a function of the environment that we are in, according to behavioural economists. Put in a different environment, or faced with a...
Should rules of thumb be used to plan for retirement?
There are several rules of thumb that are referred to in investing. Many of them have become widely accepted standards for determining how much to save for...
How to avoid being scammed
Phiko Peter discusses popular investment scams and shares some tips on how to protect yourself from becoming a victim.
Could you survive on less than a third of your income in retirement?
Despite taking steps to save, millions of South Africans are at risk of having to make significant lifestyle-related downgrades when they are no longer...
How to apply “cathedral thinking” in your investment approach
The prolonged stress of the pandemic has heightened many investors’ focus on the now, interfering with the ability to make sound decisions that improve the...
Financial advice helps you sail through your investment journey
Have you considered engaging the services of a good, independent financial adviser? Cedrick Pila explains why having a financial adviser is much like going o...
How to do long term
Adopting a long-term mindset sits at the heart of our investment philosophy. But what does it really mean and how can one do this effectively?
How to make investing for retirement feel less like a sacrifice
With all the financial demands of present-day life, it can be difficult to stay focused on investing for our longer-term financial goals. Balancing the...
Overcome impostor syndrome this Women’s Month and own your throne
This pandemic has been a blunt reminder that while we can’t control our environment, there is no time like the present to take control of our journeys, or to...
How to own your throne
In the spirit of paying it forward, six inspiring women from Allan Gray and the financial advice arena, shares insights on how to take ownership of your...
Investment lessons for sharing
Money is a polarising topic, yet it is an important subject that greatly influences all of our lives. Opening up the space for money conversations can...
Levelling up your finances as a young professional
As young people, it is easy to make financial decisions that benefit us in the moment at the expense of our future needs.
How to entrench positive COVID-19-enforced changes
Few have escaped the devastating loss of lives and livelihoods wrought by the COVID-19 pandemic, but many have also made positive changes, particularly to...
Habits that set successful investors apart
When investing, sometimes the best course of action is to do nothing. Having the ability to block out the noise, and look through the cycle, are some of the...
Your questions answered
As you embark on your investing journey, you’re likely to have a number of unanswered questions. In the final instalment of our 6-part Personal investing 101...
Ready, set, invest
Starting a new long-term investment is less daunting when you follow a methodical approach. In the fifth instalment of our 6-part Personal investing 101...
Predicting the unpredictable
“It ain't what you don't know that gets you into trouble. It's what you know for sure that just ain't so.” Mark Twain
Are you sitting on savings you could be investing?
The COVID-19 pandemic has affected people's finances in very different ways. While it has highlighted the need for emergency savings as a buffer against toug...
Investing unpacked
In the first of six webinars in the Personal investing 101 series, Gugulethu Mfuphi chats to Allan Gray’s Faizil Jakoet, Chris Tisdall and Nomi Bodlani about...
Has your risk perception changed as a result of the market crisis?
Historically, deep economic shocks have prompted significant changes in investment and saving behaviour. During times of uncertainty, investors scramble to...
Is your trust in your investment manager well placed?
It has been a volatile six months in the markets, following a five-year period of disappointing equity returns. At times like these, it is understandable for...
Money lessons from the arcade
Throughout Heritage Month, South Africans are encouraged to celebrate their culture and the diversity of their beliefs, histories, and traditions. In the...
How to spring clean your financial habits
Whether you celebrate spring on the first of September or on the 22 nd of the month to coincide with the September Equinox – the official start of the new...
The uncertainty spectrum
Wildfires in Australia, mass protests in the US, a global pandemic. These are just some of the events that have roiled markets this year, leaving investors...
When the reality of saving for retirement sets in
As you approach your peak earning years and start to reap the rewards of the time and effort you have invested in your career, saving for retirement takes on...
What I wish I knew about personal finance and investing when I started working
A first pay cheque tends to mark the start of adulthood and, with a bit of discipline, can mark your first tentative step towards financial independence. Phi...
Investment challenges older investors face
Older investors face a host of challenges entirely different to those faced by their young selves. Sandy McGregor offers a wise perspective for those of this...
What advice would I give to the 30-year-old me?
Your 40s are known to be a challenging decade financially, typically balancing the demands of lifestyle costs, children and their education, ageing parents a...
Personal finance mistakes to avoid in your 20s
Nomi Bodlani reflects on common personal finance and investment mistakes investors tend to make in their 20s. If you can avoid these, you can better position...
The framing fallacy
We humans are fallible creatures who suffer from several cognitive biases. Using the COVID-19 pandemic as an example, Rory Kutisker-Jacobson highlights how...
Do you have an emergency fund?
By proactively building emergency reserves, you will be able to respond to life’s crises without compromising your financial standing, or taking on expensive...
Take charge of your finances during COVID-19
As we think about the day-to-day impact of the COVID-19 pandemic on our families, friends, colleagues and communities, it’s easy to lose sight of our long-te...
Part 3: How to be a resilient investor
To be a successful investor, you need to understand what you are getting yourself into upfront, make sure you are comfortable, and then buckle in for the rid...
Part 5: Why every investor needs an independent adviser right now
Investors are panicked and who can blame them? The market volatility has persuaded some to run for the hills and never look back, while others may be tempted...
Part 2: How to recalibrate your budget in the wake of COVID-19
As we all long for the life we had before COVID-19, are there any adjustments from the life that’s been thrust upon us that should be incorporated? Tamryn La...
Part 1: Staying future focused amid a global pandemic
As world leaders grapple with the broader challenges brought on by the COVID-19 pandemic, it has become apparent that the socioeconomic consequences will...
Look after your financial health during COVID-19
With the COVID-19 pandemic spreading across the globe, remaining healthy is naturally top of mind. While we are all prioritising the health and wellbeing of...
Optimism in a time of distress
As we pull together as a nation struggling to come to terms with the health and financial crises we face, is there any room at all for optimism? Lise-Mari...
Avoid "hot thinking" when it comes to your investments
The markets have plunged in the face of COVID-19. The temptation to disinvest and wait on the sidelines for things to improve is real. But is this a form of...
Managing your portfolio through COVID-19
In just a matter of weeks our world has changed dramatically. In an attempt to make sense of it all, we look for information that will provide us with a sens...
How to cope with the trauma of the COVID-19 crisis
And so the three-week lockdown is underway. While it feels like surely this must be a bad dream from which we will soon awake, it is our new reality.
Beware of recency bias when making investment decisions
Over the past year, we have seen local investments streaming towards bonds and cash – the top-performing asset classes for most of 2019. Are investors chasin...
Make the most of your tax benefits
The South African Revenue Service (SARS) has put several tax incentives in place to encourage us to save more for our retirement and other long-term goals. Y...
The top four mistakes to avoid when saving for education
As parents, we all want the best for our children, and this often includes being able to give them the best education that we can afford. In the journey to...
Avoid being scammed this festive season
Aware that most of us are less vigilant as we ease into the festive season, scammers will be pulling out all the stops to line their pockets with our...
How to implement your New Year’s resolutions
As the end of the year approaches, it is a good time to reflect on resolutions committed to in earnest back in January and take stock before the resolution...
Are you financially resilient?
Most of us know what it means to build resilience in the context of health and wellness: eat healthily, exercise regularly, get enough sleep and manage stres...
Seek financial advice to help you meet your financial goals
The spotlight falls on the importance of having a financial plan during Financial Planning Week, taking place from 7 to 11 October 2019. With this in mind,...
Avoid common behavioural biases when investing
Poker is known as a wicked environment: a setting that is dynamic and uncertain; where things are hidden, and you don’t always have all the information on...
How to bring conversations about saving out of the closet
Talking about finances at work can seem like a taboo subject, especially given that conversations about salaries, bonuses or saving for retirement usually ta...
How poker taught me to make better decisions
Psychologist, bestselling author and professional poker player, Maria Konnikova, recently inspired delegates at the Allan Gray Investment Summit 2019 to make...
Should you take investment advice from family and friends?
Your friends and family may offer you financial advice with good intentions, but you should be wary of basing your investment decisions purely on stories...
Can you save more?
Whether you are just doing a regular check up on your long-term investments or evaluating your monthly savings plan, it is a good idea to review your financi...
Retirement planning in reality
To truly break the cycle of poverty and start creating generational wealth, young working professionals need to prioritise saving for retirement. Leaveil Des...
How to get into the habit of saving this Savings Month
If you have tried to kick the sugar habit and eat only healthy food, or give up cigarettes and replace the habit with going to the gym, you can probably atte...
Steps to improve your investment decision making
Deterred by the large number of investment options available, many would-be investors fail to make the most important decision: the decision to start. Becomi...
PART 5: The role of financial advice in your investment success
You wouldn’t gamble with your health by not seeing a professional, why do it with your financial future? Consult an independent financial adviser to help you...
Ready… set… invest
Investing is not a complicated activity only for rich people. It’s a great way to create financial security and everyone – even you – should get started,...
If it sounds too good to be true, it probably is
Over the last two decades advances in digital technology have changed the way we shop, bank and manage our investments. In the spirit of empowering millennia...
The ultimate human race
As investors there is a lot we can learn from marathon runners that can assist us with our own “ultimate human race” – the challenge of retiring financially...
Grow your wealth by attending the Allan Gray Investment Summit
After successfully bringing together renowned investment experts from all over the globe for two consecutive years to sold-out audiences, the Allan Gray...
Investors need to block out 'noise' ahead of elections
It is understandable for investors to feel jittery in the run-up to the national elections, but giving too much air time to market noise is never a good idea...
Have you chosen the right unit trust?
It’s a good idea to review your investments about once a year to make sure that things are on track. But what if they aren’t? How can you tell if “this, too,...
How you can influence your investment outcomes
After an undeniably tough 2018, the local market staged a turnaround during the first quarter. But the atmosphere in the country is blowing hot and cold: As...
The trouble with switching
During periods of underperformance, even the most experienced investors get tempted to switch funds in search of better returns. However, switching funds in...
Give your finances a fresh start
The first few weeks of a new year can feel like a clean slate: Past imperfections are relegated to history and you can redefine what you want to achieve in t...
The rules for making good investment decisions
People are prone to making predictions about everything from the weather to the economy. However, relying on predictions when investing can thwart your...
How to approach your finances this festive season
In the hive of festive activity, it’s easy to forget your financial goals and spend more than you planned. Next thing you know, it’s the New Year and the lon...
Give yourself the gift of balance this festive season
The festive season is upon us and as much as we all relish letting go, balancing spending and other indulgences with a bit of discipline can go some way to...
Make sure divorce doesn't cost your savings
Going through a divorce can be extremely tough emotionally, but it can take a huge toll on your finances as well.
How to prevent a financial day zero
Over the past year, Western Cape residents have had to envisage a future without running water and adapt their lifestyles accordingly. They have rallied...
Get advice to be more money savvy
Reports show that as a millennial investor you have a savvy attitude towards cash and you want to be in-the-know about how to grow your money. The value of...
How to select a unit trust that’s right for you
There are over 1 500 unit trusts available in South Africa – what criteria should you apply to select one (or more) that best suits your needs and...
How to thrive in choppy markets
This year has been characterised by increased volatility and concern about the global risks – from trade disputes to inflation. After a strong start to the...
Employer-assisted savings can help fix SA's dire savings rate
July is National Savings Month in South Africa. Is there more you can be doing as an employer to help your employees save towards their future financial...
True rewards take time
Allan Gray’s advertising strategy has always been built around the characteristics of the firm and continues to tap into human truths that connect with our...
How to become the next Sylvia Bloom
A recent New York Times article took many investors by surprise: A frugal legal secretary, who worked at the same firm for 67 years until she retired at the...
Investment Summit brings together 10 of world’s top investment experts
The Allan Gray Investment Summit will bring together over 3000 investors who will gather to listen to investment experts from around the world. From where t...
Introducing ‘Father’s share’, our new TV advert
We are excited to announce the launch of our new television advert, developed in partnership with King James the Second and Plank Productions, directed by Pe...
Finding opportunity in the volatility
The first quarter proved to be a difficult one with the Allan Gray Equity, Balanced and Stable Funds all delivering negative returns. The most significant...
Don't let good news headlines thwart your savings plans
Positive sentiment in the country is being fuelled by a change in political leadership, the stronger rand, a higher-than-expected GDP growth rate and a more...
Cashing in on your tax refund
Between April 2017 and February 2018, the South African Revenue Service (SARS) paid out more than R205 billion to taxpayers. If you are lucky enough to have...
Study reveals reliance on recent performance in picking unit trusts
Shaheed Mohamed surveyed more than 400 financial advisers in South Africa to identify attributes that financial advisers in South Africa consider when...
How to make better investment decisions in 2018
Investment experts, economists and industries are more prone to making predictions during the New Year, given the renewed sense of focus and excited...
How to prevent a financial hangover this festive season
If the festive season sends you into a panic and sees you mentally tallying up added expenses, such as gifts, getaways and groceries, you may need a financia...
How to tame temptations
A survey conducted by the University of Pennsylvania a few years ago asked respondents to rank their strengths in 24 different skills. Self-control ended up ...
PART 8: The role of financial advice in your investment success
You wouldn’t gamble with your health by not seeing a professional, why do it with your financial future? Consult an independent financial adviser to help you...
The value of bitcoin
The total market value of all bitcoins is US$80bn, which is more than the value of Richemont and triple the value of Anglo American. It is the topic on which...
Bad predictions and good decisions
“Most of us view the world as more benign than it really is, our own attributes as more favourable than they truly are, and the goals we adopt as more...
The four fundamental skills of all investing
We are excited to introduce guest contributor Morgan Housel, a partner at the Collaborative Fund (US), and an expert in behavioural finance and investing...
PART 7: How to make money from investing - your role
Take control of your emotions! Your behaviour is the wildcard when it comes to making money from investing...
Is now the time to invest?
Is it time to put your money under the mattress or is it time to invest? Watch this 7-min clip with Andrew Lapping, our chief investment officer, and Todd...
Should you see a financial adviser?
With World Financial Planning Day happening on 4 October, there is no better time to get your financial house in order. If you have never sought the help of ...
Investment success: Don’t be your own worst enemy
The biggest risk which investors face is themselves, because the mistakes they commonly make are based on their own behaviour and personal biases, warns Morg...
Investment Summit to give an inside view from fund management houses
Allan Gray is bringing a group of international and local investment houses together to debate investment insights in a new one-day event, aimed at helping...
Are you on track to achieve your 2017 financial goals?
With 2017 in full swing, make sure you stick to your new year’s resolutions when it comes to your personal finances with the below five-point checklist...
Junk status: Diversification is key to protect against market shocks
The best thing you can do during periods of heightened uncertainty is to stick to your investment plan...
When is a debit order the better option?
When you think about starting a new investment there are two ways to approach it: either you invest in one go with a lump sum or you do recurring investments...
How to recognise a Ponzi scheme
How can you tell the difference between a great potential investment and a great sales pitch? Bold promises of lofty returns are made to unsuspecting victims...
The role you play in your investment success
How can you make sure you get the best value out of your investment? Listen to this 12-minute interview on PowerFM Business with Andile Khumalo, where Thandi...
The role of financial advice in your investment success
You wouldn’t gamble with your health by not seeing a professional, why do it with your financial future? Consult an independent financial adviser to help you...
Primed for the windfall
Between stimulus and response, there is a space. In that space is our power to choose our response. In our response lies our growth and our freedom. - Viktor...
Five reasons to invest part of your bonus
It has been a difficult year financially worldwide, with political and economic uncertainty dominating global news headlines. In this context, not every...
How to be a better long-term investor
Is your behaviour standing in the way of your investment success? Shaheed Mohamed helps us become more aware of common biases so that we can adjust our...
Should you invest offshore at R15/US$?
It is exceptionally difficult to decide when is the best time to invest offshore based on news headlines. If you want to get more for what you pay, investing...
Broaden your horizons with offshore investments
It is natural to feel uneasy about your finances during times of uncertainty. However, one should be wary of making decisions based on short-term events. The...
How to save for a comfortable retirement
How much is enough to save for a comfortable retirement? Wanita Isaacs unpacks the concepts of ‘enough’ and ‘comfortable’ in the context of this distant,...
The pitfalls of investing, and the role of financial advice
Many investors lack the time, knowledge and experience to invest successfully, often encountering difficulties that could have been avoided had they taken...
Tales of rice and rewards
We often talk about the value of time in investing, but it is difficult to really get to grips with the rewards that can be reaped through compound growth:...
Are we snookering ourselves with confirmation bias?
We have written regularly about investor behaviour, noting how emotions can be our worst enemy. Driven by fear and greed, many investors buy high and sell lo...
Tomorrow versus today
Despite all of the economic doom and gloom in our newspapers, South Africans are buying a lot of new cars...
Your role in your investment success
For some time now we have been saying that across asset classes, prices are high. Many of you may be wondering whether or not you should be making changes to...
Are your investment goals, products and expectations suitably aligned?
Our investment goals depend on our personal priorities in life and there is no generic set of goals that applies to everyone, and no set timeline for achievi...
Thinking long term
We encourage people to invest for the long term. But how long is long term and what does this mean for investment decision-making? Wanita Isaacs offers some...
What is switching?
We often caution investors against 'switching' at the wrong moments. But what exactly is switching and how do you know whether or not it is an opportune time...
What are the merits of good independent advice?
Many investors lack the time, knowledge and experience to invest successfully, often encountering difficulties that could have been avoided had they taken...
Time to review your equity exposure?
Adapted from the Chief Investment Officer’s comments, which will appear in the Allan Gray Unit Trust Annual Report, 2013. We aim to grow our clients’ wealth...
What compounding can do for you
'Compound interest is the eighth wonder of the world. Those who understand it, earn it... those who don't, pay it.' – Albert Einstein Compounding is when the...
Do you need a financial check-up?
The end of the year is a good time to review your financial well-being and put some new year’s resolutions in place that aim for better saving and spending...
July is Savings month - a good time to reassess your spending decisions
When deciding what to do with disposable income, South Africans spend money far more easily than we save. This is reflected in South Africa’s very low saving...
Not the time to relax risk appetite
In his 1988 annual letter to shareholders, Warren Buffett wrote: ‘We have no idea how long the excesses will last, nor do we know what will change the...
Making sense of unit trust categories and intentions
We aim to ensure that our range of funds offers enough choice to meet your needs but remains manageable, without being confusing or creating too much overlap...
The nature of contrarian investing
The average investor cannot avoid being bullish at market tops and bearish at bottoms. This produces periods of speculation and panic within the normal up an...
Make financial planning a priority in 2013
Research from the US1 shows that financial planning is a critical factor separating those who are on track to meet their financial goals and those who are...
Make sustainability a priority when planning your retirement income
Over the last 20 years pension funds have increasingly passed the responsibility for generating income after retirement on to retirees and insurers, rather...
Investing for education
As Wanita Isaacs joins the ranks of parents investigating ways to afford the best possible education for their children, she learns that, although long-term...
A balancing act
We have written at length about the perils of switching and trying to time the market, noting how investor behaviour plays an important role in investor...
Logic fails to prevail in investment decision making
Most of us make the same mistake with our money over and over again: we buy high out of greed and sell low out of fear, despite knowing on an intellectual...
Delayed gratification is priceless
Acknowledging your future financial needs and making concrete plans to meet these is a discipline that will benefit you and your family enormously. It is the...
Use your head not your heart and think long term
A key step when planning your investment is choosing the right unit trust based on your risk profile and priorities and then staying invested to reap the...
It is worthwhile starting to save early - a little can go a long way
You can substantially improve your financial situation if you start saving sooner rather than later and you will be a step closer to being financially...
Do the more restrictive individual investment limits on RAs outweigh their tax benefits?
Previously, retirement funds were considered an obvious choice for many investors due to the tax benefits they afforded. However, changes to Regulation 28 of...
What we know for sure
At Allan Gray we prefer not to opine over reasons for short-term movements in stock markets and share prices and we shy away from predicting changes in the...
Questions for personal investing
Rob Formby suggests five questions you may want to ask regarding your personal investments. Every person's situation is unique, so the list is not exhaustive...
The role of financial advice in helping you become a better long-term investor
In the Quarterly Commentary 3 of 2008, Richard Carter explained the difference between fund and investor returns. He outlined both our role at Allan Gray and...
The cost of too much choice
People are attracted to choice, but that does not mean that having more choice will lead to better decisions, or a better decision-making process. Research h...
