The markets since May and during the first part of June have been marked by grim deterioration driven almost entirely by local political factors, particularly the proposed changes to the Mining Charter. Therefore, during June, we cut the net exposure of all our funds down to 60%. During July, for our Robert Falcon Scott fund, we moved away from leveraged products (CFDs) and into equities. Along with less risk, the reduced gearing also translated into lower costs.
A review of the Emperor Asset Management Aconcagua growth investment bundle, touching on topics such as volatility, investment risk and investment goals that can be linked to a growth portfolio.
Listening time: 12 minutes
Global and local political risk remained high in May, which was reflected in a generally subdued stock market. All investors are by now well aware of the volatile and unstable domestic environment which resulted in the ratings downgrade, and the expected but unwelcome news that the country has fallen into recession.