Why an Oral Estate Agency Mandate Isn’t Worth the Paper It’s Written On
“A verbal contract isn’t worth the paper it’s written on” (Samuel Goldwyn) Perhaps you are a seller marketing your property through an estate agency, or a buyer asking an agent to find you one, or a landlord employing an agent to let out your property. Whatever the...
Contracting with Trusts – Is a Majority Resolution Valid?
“Externally, trustees cannot disagree. In the external sphere the Trust functions by virtue of its resolutions, which have to be supported by the full complement of the Trust body.” (Extract from judgment below) A recent Supreme Court of Appeal (SCA) judgment provides...
Demystifying Retirement Planning Lingo
We all dream of a happy retirement, but making it a reality requires early planning. A good rule of thumb is to stash away at least 15% of your pay check before taxes right from the start of your career. Depending on your situation, this might involve diving into some...
In the Land of the Will, Clarity is King
“The golden rule for the interpretation of testaments is to ascertain the wishes of the testator from the language used. And when these wishes are ascertained, the court is bound to give effect to them, unless we are prevented by some rule or law from doing so.”...
Investment Jargon 101: Your One-Stop Primer
“An investment in knowledge pays the best interest.” (Benjamin Franklin) A is for Asset Your possessions are known as your assets, while any debts are called liabilities. If your home’s mortgage is fully paid up, your home is an asset, but if you’re still paying off a...
Need to Know: Annualised Returns Versus Internal Rates of Return
“Returns matter a lot. It’s your capital.” (Abigail Johnson) Let’s start at the beginning – Annualised returns The annualised rate of return on investment represents the average yearly return you would have received over a specified period. It expresses an...
Property: Why Do You Need an Occupancy Certificate Before You Buy?
“…there is no obligation on the [seller] to obtain an occupancy certificate and to furnish it to the [buyers]” (Extract from judgment below) Imagine this – you buy your dream home, pay for it, take transfer into your name, and move in. But then disaster strikes. The...
When to Lawyer Up
“The first thing we do is, let’s kill all the lawyers.” (Shakespeare) Shakespeare must have had an unhappy experience or two with the lawyers of his time to have one of his characters utter that threat, but the reality is that every aspect of our lives is touched at...
The Secret to Solving the Financial Rubik’s Cube? Consistency.
All it takes to excel at something – whether it’s mastering the ukulele, poaching the perfect egg or learning to solve the Rubik’s Cube – is consistent practice and dedication. John Maynard Keynes, one of the greatest economists and risk-taking investors around, took...
Zen and the Art of Financial Planning
“A resilient spirit, coupled with financial knowledge, is an unstoppable force.” (Anonymous) There’s more to this material world than meets the eye. As human beings we are all trying to gain self-awareness and instinctively value compassion, empathy, and open...
Unpacking Diversification: What Really Counts?
“Invest for the long haul. Don’t get too greedy and don’t get too scared.” (Shelby M.C. Davis) In 2021, South African investors could have made a return of 36.9% if they’d been invested in the local property index. That same year they could have made 33.1% in rands if...
Market Update: Will They, Won’t They? The Case for Lower Interest Rates Improved in March.
Light at the end of the tunnel for borrowers – and investors The interest rate hikes central banks implemented over the past two years have been so aggressive that economists have consistently warned central bankers against overdoing it and running the risk of driving...