The Personal Finance series with Warren Ingram, Evergreen Content

How to best invest a lump sum

The Money Show’s Bruce Whitfield received the following question from a listener:

--

“Over the past few years my wife and I have accumulated a seven digit sum of cash which is currently sitting in a seven-day call account with a bank.

“The problem I have with this is that the interest earned on the sum of money is greater than the allowable interest exemption offered by Sars on a yearly basis.

“We’re, therefore, getting taxed at 41% of the additional interest earned over the Sars exemption.

“The problem we face is that there are so many different investment vehicles offered by so many different companies.

“It is very daunting for us.

“Please, can you ask Warren Ingram to explain the possible investment vehicles which would yield the best, tax efficient return at the lowest cost?”

--

For Ingram’s answer, listen to the audio below (and/or scroll down for quotes from it).

He should split the money between himself and his wife to pay less tax.

Warren Ingram, Galileo Capital Financial Advisor

He should invest at least 30% or 40% in growth assets. That’s property, listed property and shares.

Warren Ingram, Galileo Capital Financial Advisor

I suggest a moderate or conservative or stable fund.

Warren Ingram, Galileo Capital Financial Advisor

Shares are by far the most tax efficient investment.

Warren Ingram, Galileo Capital Financial Advisor

Click here (then“like” the page) to follow Bruce on Facebook.

Enter your email address in the form below to receive a newsletter containing the most-read articles of the week from Bruce Whitfield’s The Money Show every Friday morning in your inbox.

Subscribe to our Business Wrap Newsletter

Article brought to us by Old Mutual.


This article first appeared on CapeTalk : How to best invest a lump sum


Recommended

by NEWSROOM AI
Read More
Earn a low income? Here’s how to invest for your children’s future…

Earn a low income? Here’s how to invest for your children’s future…

Education is, more often than not, key to a good life. But how do you provide when you earn peanuts?

Is supersaver Julia still investing 33% of her income (despite having a baby)?

Is supersaver Julia still investing 33% of her income (despite having a baby)?

She returns to The Money Show one year (and A LOT of water under the bridge!) later to report back.

How to invest an extra R1000 (or so) per month

How to invest an extra R1000 (or so) per month

Have some spare cash to save and invest, but not sure how? Galileo Capital Financial Advisor Warren Ingram presents your options…

How I manage to invest a third of my income (despite earning peanuts)

How I manage to invest a third of my income (despite earning peanuts)

I earn peanuts, yet I’m slowly (but surely!) on my way towards never having to work for money ever again in my life.

10 reasons why this is BY FAR the best way to save for retirement

10 reasons why this is BY FAR the best way to save for retirement

Is there a single best way to build your wealth so you can retire with dignity? Yes, there is, despite costs and limitations.

How to protect your wealth when the JSE is falling

How to protect your wealth when the JSE is falling

How to protect your wealth should the JSE start to weaken...

Popular articles
[WATCH] Kettle VS Cattle for lobola

[WATCH] Kettle VS Cattle for lobola

Khabazela shares the Facebook , Twitter, and YouTube videos that have social media in a frenzy on What's gone Viral.

Radio powerhouse joins 702

Radio powerhouse joins 702

Richard Nwamba will host a new African music show between 16h00 and 18h00 every Saturday.

Why the PAC wants South Africa renamed Azania

Why the PAC wants South Africa renamed Azania

Pan Africanist Congress's Narius Moloto explains why it supports the name Azania, a word which he says has Arabic origins.

Is the lovable Winnie The Pooh a boy or girl?

Is the lovable Winnie The Pooh a boy or girl?

A trending Twitter debate has left social media users arguing over whether Winnie the Pooh is a girl or boy.

UPDATE: Chilling WhatsApp from Marli van Breda's ex-boyfriend read out in court

UPDATE: Chilling WhatsApp from Marli van Breda's ex-boyfriend read out in court

Marli van Breda's ex took the stand in the trial of triple murder accused Henri van Breda.

3 easy questions could bag you R2000!

3 easy questions could bag you R2000!

WIN R2000! But only if you can prove you're a whiz of the MTN Biz Quiz by answering the following three questions...

Blesserfinder: Matching you with a sugar daddy near you

Blesserfinder: Matching you with a sugar daddy near you

Is social trend Blesserfinder, where girls are allegedly matching up with rich 'benefactors' in exchange for sex, a real thing?