In this episode, Warren Ingram and Rupert Hare, Head of Multi-Asset at Prescient, discuss the significance of balanced funds in investment portfolios, particularly for retirement planning. They explore the structure of balanced funds, emphasizing their role in providing diversification across various asset classes. The discussion also covers the importance of understanding market volatility, the long-term focus required for successful investing, and the tax implications associated with balanced funds.

Takeaways

• Balanced funds are essential for most investors' portfolios.
• They provide diversification across various asset classes.
• Investors should expect market volatility with balanced funds.
• Long-term focus is crucial for successful investing.
• Tax efficiency is a significant advantage of balanced funds.
• Understanding the risk-return profile is vital for investors.
• Fees can significantly impact investment returns over time.
• Diversification helps mitigate risks associated with market fluctuations.
• Investors should not panic during short-term market downturns.
• A balanced approach is key to achieving retirement goals.

Get more insight on how Prescient Investment Management can help you here.

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In this episode Warren Ingram answers your questions around investing, the importance of financial milestones, the strategic use of tax-free savings accounts and the significance of planning for children's education. Warren also delves into investment strategies, including risk tolerance, asset allocation, the advantages of global diversification and highlights the balance between index investing and active management.


Takeaways

• Paying off your bond is a significant milestone.
• Keeping your bond open can serve as an emergency fund.
• Maximizing tax-free savings is a smart financial strategy.
• Investing for children's education should be a long-term goal.
• Consider contributing to children's tax-free savings accounts.
• Investing 100% in shares can lead to long-term growth.
• Understanding risk tolerance is crucial for investment success.
• Global diversification is important for a balanced portfolio.
• Blending index investing with active management can optimize returns.
• Choosing investments with low fees is essential for maximizing growth.

Get more insight on how Prescient Investment Management can help you here.

Send us a text

Have a question for Warren? Don't forget to voice note your questions through our WhatsApp chat on (+27)79 807 8162 and you could be featured in one of our episodes. Follow us on Twitter, LinkedIn and subscribe to our YouTube channel for more Financial Freedom content: @HonestMoneyPod

In today's podcast, Warren Ingram answers your questions around importance of diversification in investing, particularly for young investors looking to build a global portfolio. Warren outlines strategies for offshore investment, including the use of feeder funds and the implications of currency exchange and capital gains tax. Warren also emphasizes the need for a balanced approach to investing, combining different vehicles such as unit trusts and exchange-traded funds, while also considering tax efficiency and growth potential.


Takeaways

• Diversification is crucial for long-term investment success.
• Investing a portion of your money overseas is essential.
• Feeder funds can simplify the process of offshore investing.
• Understanding tax implications is key to effective investing.
• Investing in index funds can reduce risk and increase returns.
• Start with foundational investments before considering individual shares.
• Monitor currency impacts on your investments.
• Utilize tax-free allowances to maximize growth.
• Plan your investments to minimize capital gains tax exposure.
• Maintain a balance between local and global investments.

Get more insight on how Prescient Investment Management can help you here.

Send us a text

Have a question for Warren? Don't forget to voice note your questions through our WhatsApp chat on (+27)79 807 8162 and you could be featured in one of our episodes. Follow us on Twitter, LinkedIn and subscribe to our YouTube channel for more Financial Freedom content: @HonestMoneyPod