Events that have occurred in government recently have sent shivers down the spine of many South Africans.
President Jacob Zuma’s decision to reshuffle his Cabinet has been met with major disappointment from opposition parties and senior members inside the ANC. Our local currency has been affected and the South African economy was officially downgraded to junk status by two ratings agencies.
But what does that mean for us, the citizens of the country?
Firstly, you could decide to join the calls of protestors nationwide. Or you could sign one of the many petitions making rounds on social media. However, no matter what action you decide to take, bear in mind that you need to remain focused on achieving your financial goals, growing and protecting your wealth.
At Liberty, we believe the most important thing you should do right now is remain calm. Yes, your investments are facing political and economic challenges, but now isn’t the time to make sudden changes to them.
It will take some time for the financial markets to feel the full impact of the political changes. This means that any hasty investment decisions now – without a clear understanding of what’s to come – could increase the risks to your investment portfolio.
Yes, we must prepare for uncertainty, but we also need to make careful, strategic and well-planned moves to weather the impending storm. It’s important to remain calm and stay invested.
Liberty is confident that our innovative investment product range is well prepared for unexpected political events. If you’ve worked closely with your financial adviser to set specific financial goals and are following an investment strategy, consult him or her before you make any key changes to your plans.
If you don’t have a financial adviser and need to ensure that your investments are sound, then call one today. Together, you can develop the most appropriate financial plan designed to cater for your personal financial situation, while still considering the current political and economic environment. To speak to a recommended Liberty financial adviser, click here.
It’s also a good idea to learn as much as possible about the current economic outlook. To hear what our experts have to say about the future of South Africa and what we can expect, click here.