Regulation 28 is not the problem, investor behaviours are
It’s textbook stuff that diversification is an essential element of investing that is likely to improve the risk-adjusted return
22 June 2019 - 10:48
There’s a narrative on the go that retirement fund members are being done in by Regulation 28, because it condemns them to low returns.
Regulation 28 limits the extent to which retirement funds may invest in individual assets and asset classes. Although the aim is to protect members from poorly diversified portfolios, some commentators maintain that the category limit on “equities” (75%) and foreign investments (30%) actually prejudices them...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.