Robert Cowen Investments was started in 1982 by Robert Cowen in order to manage private client assets, and is now positioned as a niche investment house, specializing in family wealth management. Robert Cowen Investments prides itself on being able to provide a comprehensive investment, administration and accounting service with a great deal of emphasis on personal service.
In September, the portfolios took a downward squiggle on what we hope will be a long upward move. In this month we saw a bit of a bounce in the rand and a little pressure on off- shore investments. South Africa is at an interesting crossroad – do things improve from here, despite the pressure of the Trade War? Or dothings remain poor with the risk of a down grade?
See the latest RCI Newsletter to read further.
The RCI Flexible Fund closed September at 380.28c, down 4.61% while the JSE Allshare was down 5%. Our two biggest holdings, Naspers and British American Tobacco remained under pressure due to the strong rand and international markets.
RCI BCI Worldwide Flex closed September at 124.06c, down 4.05% for the month. This was largely due to a 3.7% strengthening in the rand for the month but it is still up for the year.
The primary areas for investment were equities, bonds and cash in the South African markets. Our focus was to invest in shares listed on the Johannesburg Stock Exchange unless clients had a need for income. Equities have been the only asset class to outperform inflation on a long-term basis.
Individuals have been allowed to send ever increasing capital sums offshore in the form of exchange control allowances, and portfolio managers have been able to send 30% of assets under management offshore in the form of asset swaps. This has enabled the South African investing public to participate not only in South African investments but also in investments of a global nature.
Depending on the individual’s circumstances, we recommend that an appropriate amount be transferred offshore and that the client keeps what is required locally to fund the individual’s chosen lifestyle, subject to exchange control regulations in force.