Investment views

Cordatus Capital Quarterly 06.2017An update on markets, our current thinking, the risks we expect to impact on performance & the actions that we undertake "behind the scenes" on an on-going basis.... DOWNLOAD PDF

Cordatus Capital Quarterly 03.2017An update on market returns, calculating the impact of rand-hedge shares on portfolios, explaining the annual distribution on Cordatus funds & what we have being doing across portfolios during the past quarter.... DOWNLOAD PDF

Cordatus Capital Quarterly 12.2016Welcome to 2017! In this new format, which will be produced quarterly, we detail the positioning across the funds we manage, we expand on our views as to what to expect in 2017 and explain any changes in asset allocation. ... DOWNLOAD PDF

Private Wealth View - August 2016The monthly update on markets, returns and positioning... DOWNLOAD PDF

Private Wealth View - July 2016Updating market performance, SA economics and Cordatus performance... DOWNLOAD PDF

Private Wealth View - May 2016With the US Fed causing markets to re-price rate hike risks, SA 10 year yields rose by 41bp and bond outflows totalled R10.5bn during the month. We do not expect that SA foreign debt will be downgraded to junk status just yet, which will leave the market in animated suspension for the rest of the year.... DOWNLOAD PDF

Private Wealth View - April 2016A quick look at markets and how our portfolios are positioned. ... DOWNLOAD PDF

Private Wealth View - February 2016The Cordatus market update & charts that interest us... DOWNLOAD PDF

Private Wealth View - January 2016From launching new funds to tax free savings accounts. This month we look at the markets, returns and so much more.... DOWNLOAD PDF

Private Wealth View - November 2015Updated market and fund returns. New procedures for converting foreign currency when bringing investment proceeds back into SA. Update on retirement reforms to take place from 1 March 2016. ... DOWNLOAD PDF

Cordatus news

What to do with your Preference Share proceedsSince their introduction in around 2004, preference shares (“prefs”) have provided investors with high-yielding equity (even though they look and act like debt) instruments linked to the prime interest rate, which is currently 10.5%. This has been a very attractive option relative to cash and bonds for income seeking investors, but the environment is changing thanks to legislation (called “Basel”) around the capital structure of banking institutions. ... DOWNLOAD PDF

What to do with SAB?The deal between SABMiller Plc (“SAB”) and Anheuser-Busch InBev NV (“Anheuser”) looks to be progressing smoothly, with any regulatory and or local employment issues seemingly being accommodated and dealt with swiftly. So what to do with the SAB shares that you own in your share portfolios?... DOWNLOAD PDF

Kids and their moneyAs your parents, Mom and I have started these TFSA’s because it is tax efficient to move money out of our estate and into yours while we are still alive, instead of you only getting this money when we are no longer here (if there is anything left). Starting to invest when you are young gives you a massive financial advantage in life, no matter the amount actually involved. I want to tell you a story about two children (you know me, there is always a lesson!), not much different than yourselves.... DOWNLOAD PDF

Retirement Reforms 01 March 2016 Q&AA comprehensive guide to the retirement reforms taking place from 01 March 2016 in the form of a Q&A published by National Treasury. Worth the read.... DOWNLOAD PDF

China devalues its currencyThe attached Morningstar Research paper on the reasons behind & possible consequences of, the RMB devaluation, is well worth the read.... DOWNLOAD PDF

Benchmarking children & funds!Over the past few years Cordatus has been dismayed and disappointed by the increase in the number of SA unit trust managers, across various sub-sectors within the industry, adopting the “sector average” as a preferred benchmark and even worse, a hurdle rate for calculating performance fees. We believe this to be seriously flawed when evaluating fund performance and find that using widely understood real world scenarios to understand a complex scenario, instructive.... DOWNLOAD PDF

The Cordatus Tax-Free Savings Account. What you need to know.In an attempt to boost the nation’s savings, National Treasury has introduced TFSA legislation, effective 1 March 2015. While it is not designed to replace the current exemptions individual tax payers receive on interest and capital gains, it does have its uses. This is how it works and why you should consider it. ... DOWNLOAD PDF

Berkshire Hathaway Inc - Letter to shareholders50-years of sensible and effective investing explained in great detail and with great humility. The latest letter to shareholders from Warren Buffet & Charlie Munger can be read here. We recommend that you do, as we try to emulate so many of these behavioural biases here at Cordatus.... DOWNLOAD PDF

Is there an "oxymoron" within your investment portfolio?This letter was written for a specific dividend-seeking income investor, in response to a request for an independent review of a much wider portfolio which utilises Funds and direct instruments. We feel however that it deserves a wider audience. It is that important.... DOWNLOAD PDF

Risk/Return_PWM Income FOF_31.01.2015This document provides risk & return statistics since inception of the Prescient Wealth Management (“PWM”) Income FoF against popular retail offerings in the same ASISA category (South Africa / Multi-Asset / Income).... DOWNLOAD PDF