The rand is on a roll - should you stop, or start, sending money offshore?
People tend to panic when the volatile rand dips and only then start thinking of taking money offshore, says Bruce Whitfield.
Then they take their foot off the brake when it bounces back.
At its peak during the current rally, the currency has hit R14 to the US dollar.
On The Money Show, Warren Ingram (financial adviser at Galileo Capital) has advice about not making investment mistakes with an ingrained mindset around timing.
During a conversation with a foreign exchange company that deals mainly with private investors I said 'You must be absolutely pumping with the rand so strong!'Warren Ingram, Personal financial adviser and executive director - Galileo Capital
They said that in fact half of their trading desk had gone on holiday because the rand is strong and people are not so interested in dealing now!Warren Ingram, Personal financial adviser and executive director - Galileo Capital
RELATED: Rand at its best level in 14 months
If we look at - potentially - a bit of rand weakness in a few days if American inflation becomes an issue and causes world markets to become increasingly afraid, it will cause more people to look at the rand again and say 'I should have done it at 14, but now I'll do it at 15'.Warren Ingram, Personal financial adviser and executive director - Galileo Capital
Investors must keep in mind that the rand is always going to be volatile, says Ingram.
"I'm not saying it's not going to hit 12, but the reality is anything around R14 to R15 is a really good rate for converting rands into dollars and if it's right for you, you should do it!"
For those who need to get their offshore allocation right, it is a great time to send money offshore, don’t keep waiting for things to improve further.Warren Ingram, Personal financial adviser and executive director - Galileo Capital
If you do decide to go offshore, should you place your trust in fund managers?
Listen to Ingram's advice for your level of investment in the audio below:
This article first appeared on CapeTalk : The rand is on a roll - should you stop, or start, sending money offshore?
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