SA households lost nearly half a trillion rand in 2018 - survey

In 2018, about 6.3% of households’ real net wealth was wiped out, according to the Momentum/Unisa South African Household Index.

Momentum researcher and economist Johann van Tonder explains the results and how to protect your net wealth.

He attributes the loss to two factors. Firstly, an increase of R21.2 billion in the real value of household liabilities and secondly, a sharp reduction of R428.6 billion in the real value of assets, mostly consisting of the value of retirement savings.

Read: How to protect your money if Moody’s downgrades us to junk on Friday

A large portion of the losses can't be attributed to what happened in South Africa. A lot of it has to do with what happened in the US and China - the trade war between the two countries.

Johann van Tonder, Researcher and economist - Momentum

That just shows you how vulnerable our economy is to what is happening in the rest of the world.

Johann van Tonder, Researcher and economist - Momentum

If you do have savings in your pension fund that can assist you when you have an emergency; that will increase your net wealth.

Johann van Tonder, Researcher and economist - Momentum

To hear more analysis and advice, take a listen to the rest of the conversation below:


This article first appeared on CapeTalk : SA households lost nearly half a trillion rand in 2018 - survey


Recommended

by NEWSROOM AI
Read More
'The accumulation of money cannot be the goal in and of itself'

'The accumulation of money cannot be the goal in and of itself'

Wealthwoke's Elian Wiener shares his life's journey with money and rediscovering that true wealth goes beyond money.

How to create wealth with a small business

How to create wealth with a small business

A business can be built to either make money or create wealth, or both, says small business guru Pavlo Phitidis.

How to have more money, meaning and happiness in life

How to have more money, meaning and happiness in life

Paul Theron, MD at Vestact, reviews “The Geometry of Wealth: How to Shape a Life of Money and Meaning” by Brian Portnoy.

What would happen if Government just gave everyone free money?

What would happen if Government just gave everyone free money?

Finland has ended a trial to see what impact a basic income would have on unemployment - this is what it found.

'We emphatically reject the approach to Black Economic Empowerment' says the DA

'We emphatically reject the approach to Black Economic Empowerment' says the DA

The party says they will approach BEE by codifying specific metrics which will help signify successful redress.

Why you should read the Bill and Melinda Gates Foundation annual letter

Why you should read the Bill and Melinda Gates Foundation annual letter

For the last decade, the letter has tracked how the world has been improving.

Business doesn't buy into transformation says Business Leadership SA

Business doesn't buy into transformation says Business Leadership SA

Eusebius McKaiser discusses how the country can achieve greater levels of justice and equality within the South African economy. 

3 risks to your retirement savings (and how to mitigate each of them)

3 risks to your retirement savings (and how to mitigate each of them)

Only 5% of South African retirement fund members will retire comfortably. Bruce Whitfield interviews advisor Warren Ingram.

How the world’s richest people made their breathtaking fortunes

How the world’s richest people made their breathtaking fortunes

(A hint: for most, it wasn't in tech.) Bruce Whitfield interviews Warren Ingram, Galileo Capital Personal Financial Advisor.

How to retire while you’re still young(ish)

How to retire while you’re still young(ish)

If you do things differently, it’s possible stop working far earlier than you ever thought possible, says Warren Ingram.

Popular articles
[VIDEOS AND PHOTOS] SANDF troops finally roll into the Cape Flats

[VIDEOS AND PHOTOS] SANDF troops finally roll into the Cape Flats

Residents were out on the streets to watch the troops arriving in Manenberg and Hanover Park on Thursday afternoon.

[WATCH] Tour de France rider smashes into spectator's cellphone

[WATCH] Tour de France rider smashes into spectator's cellphone

Cycling journalist Mikkel Conde tweeted the clip warning spectators to stop leaning over the barriers with their phones.

You made a huge mistake downloading FaceApp if your privacy is important to you

You made a huge mistake downloading FaceApp if your privacy is important to you

Washington Post technology columnist Geoffrey A. Fowler did a forensic analysis of the Russia-based app. Check it out.

Woolworths (at R40 a cup!) makes the best takeaway hot chocolate in South Africa

Woolworths (at R40 a cup!) makes the best takeaway hot chocolate in South Africa

Seattle Coffee Company has the worst takeaway hot chocolate in the country, according to, uhm, "research" by Chaos Theory.

Old Mutual and Trevor Manuel are victimising Peter Moyo - Advocate Dali Mpofu

Old Mutual and Trevor Manuel are victimising Peter Moyo - Advocate Dali Mpofu

The Money Show's Bruce Whitfield interviews TJ Strydom, a journalist at Business Day and author of Christo Wiese’s biography.

[WATCH] Woman stealing back her stolen car has social media talking

[WATCH] Woman stealing back her stolen car has social media talking

Khabazela shares tweets and Facebook posts that have gone viral.

How to buy a new car even if you don’t really have enough money for it

How to buy a new car even if you don’t really have enough money for it

South Africans are increasingly buying cars they can’t afford using balloon payments, says consumer journalist Wendy Knowler.

The rand isn't weak. It's the dollar that's strong. But it won't stay that way

The rand isn't weak. It's the dollar that's strong. But it won't stay that way

The rand is trading at fair value. It’s the US dollar that's overvalued. Bruce Whitfield interviews George Glynos (ETM Analytics).

[2018] Jesse Clegg (son of Johnny) opens up about money and growing up on tour

[2018] Jesse Clegg (son of Johnny) opens up about money and growing up on tour

[From the archives] Jesse Clegg talks about his famous father and attitude to money (hopes and fears, successes and failures...).