Eight Principles of Investing
"We have always said that while we cannot predict the future, we have learned a lot
from the past. It is important to stay calm rather than act impulsively or
reactively - only then can you build a sound investment strategy. Your
investment goals will still be achievable, despite the ups and downs of the
markets.
"Our principles of investing are tried and trusted. They will help you to work
towards your investment goals and your future plans. You can be sure that Old
Mutual will always be there to offer any support, guidance or advice you may
need along the way."
- Johannes!Gawaxab, MD Old Mutual, Africa Operations.
The Principles
- A sound financial plan: should include
determining your goals, current financial position, planning horizon and risk
profile.
- A diversified portfolio: a sound
financial plan contains a balanced portfolio of investments, including shares,
bonds, cash and property, in local and international markets.
- A holistic approach: don't focus on the
performance of one element of your portfolio but consider its performance in its
entirety.
- Time in the market: taking a longer-term
view is bound to yield greater returns that trying to time the markets.
- Outpacing inflation: over the long term,
cash is unlikely to deliver inflation-beating returns.
- Regular contributions: by investing on a
regular basis over the longer-term, you generally enjoy the best returns.
- Financial partner: Old Mutual has the
tools, experience and people to help structure your investments to match your
needs and goals.
- A unique solution: the right solution for
your neighbour might not be the right one for you
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