Streaming issues? Report here
Africa Melane 1500 x 1500 2020 Africa Melane 1500 x 1500 2020
Early Breakfast with Africa Melane
04:00 - 06:00
volume_up
volume_mute

Up Next: Breakfast with Bongani Bingwa
See full line-up
Early Breakfast with Africa Melane
04:00 - 06:00

Personal Finance Feature - Equity fund vs index investing

2 July 2020 8:43 PM

Personal financial adviser Warren Ingram says active fund managers in South Africa have had a terrible time.

If you have looked at your investment statements over the past five years, you have reason to wonder why you pay what you do to people who manage your money when you don't get the returns you might have expected.

Of course, markets do go up and down and the country's politics cannot be ignored but if you pay a large fee to an active manager, you would expect a "superlative return".

Bruce Whitfield on The Money Show speaks to Warren Ingram, personal financial adviser and executive director at Galileo Capital, for more.

Active fund managers in South Africa - big and small- when choosing shares, have had a terrible time, partly because of the economy and partly because of factors like lack of skills. If they were deeply skillful and understood their companies incredibly well, they should have stood on less landmines than they have. Unfortunately the data is not kind to them.

Warren Ingram, Personal financial adviser and executive director - Galileo Capital

There is a company called Standard & Poor's Dow Jones indices. They look and indices around the world, do a lot of research and say: 'Ok, let us look at how fund managers compare to these indices around the world and in different markets.'

Warren Ingram, Personal financial adviser and executive director - Galileo Capital

They're telling us that at the of 2019, 93% of all South African fund managers who manage share portfolios or equity funds cannot beat the top 50 share indices in South Africa.

Warren Ingram, Personal financial adviser and executive director - Galileo Capital

Listen below for the full interview...




2 July 2020 8:43 PM

More from Personal Finance with Warren Ingram

Economy in 2021: 'Expect a better year for South African assets'

15 January 2021 3:02 PM

An economist expects China growth at 9.5%, US money-printing, rising metal prices and trade- and current-account surpluses in SA.

Share this:
Read More arrow_forward

Retirement funds in SA are changing – new laws come into effect on 1 March 2021

15 January 2021 1:23 PM

Bruce Whitfield asks personal finance advisor Warren Ingram to explain in detail the new laws affecting provident funds.

Share this:
Read More arrow_forward

How to buy your very first share – even if you have mere cents to invest

13 January 2021 3:04 PM

You can buy R1 (or even one cent) worth of shares. "The key to getting started is to get started," says Charles Savage.

Share this:
Read More arrow_forward

Buying a new car may be possible – even if you can’t afford the monthly payments

13 January 2021 10:49 AM

Need new wheels? WesBank’s Lebogang Goaaketse discusses a popular method for making repayments more affordable.

Share this:
Read More arrow_forward

Make your retirement savings last longer

13 November 2020 11:34 AM

Personal finance advisor Warren Ingram on ensuring you don’t run out of money before you run out of life.

Share this:
Read More arrow_forward

Yes, money can 'buy' you happiness! But invest in experiences, not things

29 October 2020 8:43 PM

There's also a magic number beyond which more money doesn't equate to more happiness, says personal finance guru Warren Ingram.

Share this:
Read More arrow_forward

'Don't overspend on a car purchase - smaller and cheaper equals better value!'

17 September 2020 9:12 PM

Low interest rates and plenty of deals on offer - personal finance guru Warren Ingram points out the pitfalls on The Money Show.

Share this:
Read More arrow_forward

Stressed out? Playing for time when you have a home loan but no income

2 September 2020 7:12 PM

Warren Ingram explores the options, focusing on case study of guest house owner whose investments equal outstanding bond amount.

Share this:
Read More arrow_forward

Feel you've missed the money boat? Don't fall into the FOMO investment trap!

13 August 2020 8:43 PM

Bruce Whitfield and personal finance expert Warren Ingram get to grips with why perhaps you shouldn't, if you didn't...

Share this:
Read More arrow_forward

What does the contentious Regulation 28 mean for your retirement funds?

30 July 2020 8:23 PM

On The Money Show, finance expert Warren Ingram explains why he believes the pros of the regulation outweigh the cons.

Share this:
Read More arrow_forward