Investing Offshore

2019 Investing Offshore - July 2019

2019 July - INVESTING OFFSHORE

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How to decide on a strategic level

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Coronation Insights

Coronation Insights

While it may be best to draw up a comprehensive financial plan with a qualified financial adviser, we can offer the following general guidance: All long-term investors can benefit from portfolio optimisation benefits, with 20% being the minimum suggested strategic international allocation.

  • Pensioners and other investors who need to fund a long-term rand income from their investment portfolios should guard against having too much international exposure, as rand movements can be volatile. Income-funding portfolios should typically not have more than 35% in international equities.
  • Wealthy investors, without immediate income requirements, have more latitude: up to 100% of their investment portfolios can be invested in international assets, depending on their objectives and tolerance for risk.