investing in 2019
Looking for opportunities beyond equities
The bond market, credit, listed property and private equity have possibilities, writes Pedro van Gaalen
With robust returns hard to come by over the past five years and lowered real-return expectations for the next five, Iain Anderson, head of investments at Sygnia Asset Management, believes investors will increasingly need to look to nontraditional asset classes such as credit to deliver inflation-beating returns with low levels of volatility. "We believe this asset class could continue to provide good risk-adjusted returns in 2019. We feel the credit sector would be resilient in the face of an uncertain election result. But we are also acutely aware of the large flows of capital that are coming into the sector and reducing spreads."
Despite the prevailing challenges, Hywel George, director of investments at Old Mutual Investment Group, believes that 2019 may be a more prosperous year than investors expect. "It will take time to rebuild the economic damage caused in recent years, but clearer strategic direction from government after the elections should help stabilise the count...
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.