The race to move assets out of SA
BUSINESS/NEWS /
I have said it before on this site and have repeatedly told both family & friends to get any spare change they have out the country while its still worth something.
I have even advised family to re-finance properties and take the equity out and move it overseas. I suggest you spread any investment in foreign currency between 3-5 SAFE currencies.
2016 will see the South African rand go to levels we have never seen of or thought possible.
2016 in my mind, based on world events, based on Sieners visions is going to bring closure to many of his visions.
“The exceptional rand weakness has made retail investors very nervous,” Rhynhardt Roodt, an analyst at Investec Asset Management, which oversees about $105 billion, said by phone from Cape Town. These investors, “who did not have a lot of their capital offshore two or three years ago, are starting to do it now. You could argue that the horse has bolted.”
Fitch Ratings on December 4 cut South Africa’s credit rating one level to BBB-, the lowest investment grade, and in line with the assessment of Standard & Poor’s, which lowered its outlook to negative from stable on the same day. The country’s growth potential has deteriorated further, Fitch said, which also cited the government’s decision not to tighten fiscal policy in the face of weakening revenue and rising debt levels. Flexibility around the budget might reduce because of risks associated with funding needs of state-owned companies, S&P said.
Combine all this with food shortages, disinvestment, no jobs, a Hitler like Malema shouting and blaming everything on whites, Zumas gang continuing to steal at a faster rate and we have a recipe for the perfect storm.
All their plans have been planned years ago. This is all part of the plan and why Malema was in the UK and why the Chinese president was in SA.
When we look back it will make perfect sense how they did it, even testing out the power shortages making and creating systematic blackouts.
How is it possible that just 4 months back there were blackouts in JHB and now, not a single blackout? Either you have a shortage of electricity or you dont!
The nationalization Siener spoke about will be brought in via students protesting the fees, blade Nizimande recently said that it was because of the rich that students could not have free education.
In other words, lets decode what “rich means” forget the ANCs million rand houses, the rich in their mind are the whites.
So for those who caught and could read between blades lines of “free education” now we know that the free education will eventually bring in complete nationalization.
Because if they give free to one sector, they will have to give free to another sector but whats throwing the spanner in the works right now are these downgrades.
The downgrades are going to force the ANC to raid our pension funds to make up for the shortfall of cash they need to pay their social workers, the new black middle class paid courtesy of the whites in South Africa via their tax money and then who cant even run a simple clinic properly.
And like they hired those social workers with our tax money, so they will pay them with our pension funds when they begin running out of money.
The first thing you will see are teachers & nurses not getting paid. Many of them will have to wait weeks for their pay in the coming months. This will send a flood of new supporters through to the EFF.
There is going to be huge debate in 2016 about nationalization and I think we will see it go from debate, through to nationalization. This will start and has already started with free education.
Education is more expense because the rand has already lost most of its value, so things keep getting more expense and to think South africa is now a net importer of food, then our food that we import is going to cost us even more.
For the first time since whites ruled this country, you will find blacks starving all courtesy of the blacks running this country and the world will continue to keep silent about it and continue with “how terrible apartheid was”.
https://sienervanrensburgpredictions.wordpress.com
The race to move assets out of SA:
Johannesburg - South African investors are moving their money out of the country at the fastest pace ever.
Portfolio investment abroad jumped to the biggest quarterly outflow on record, the South African Reserve Bank said on Tuesday in its third-quarter report. Investors more than doubled the amount sent overseas to R24.2 billion ($1.66 billion) in the period from 10 billion rand in the previous three months, the central bank said.
“The exceptional rand weakness has made retail investors very nervous,” Rhynhardt Roodt, an analyst at Investec Asset Management, which oversees about $105 billion, said by phone from Cape Town. These investors, “who did not have a lot of their capital offshore two or three years ago, are starting to do it now. You could argue that the horse has bolted.”
The rand fell to a fresh all-time low against the dollar Tuesday, under pressure from a possible interest rate increase in the U.S. next week, credit rating downgrades and a worsening trade outlook. A China-led commodity rout this year could leave the economy growing at the slowest pace since 2009, according to central bank forecasts. The country narrowly avoided a recession during the third quarter, posting annualized expansion of 0.7 percent.
Pessimism about the nation’s political and economic environment and the rand’s decline has created a negative feedback loop, Jean-Pierre du Plessis, fixed interest strategist at Prescient Investment Management in Cape Town, said by e-mail.
“The rand’s declines in 2001 and 2008 were more to do with a global crisis when in fact South Africa’s economic position was much stronger,” Du Plessis said. “Now, the country has become more vulnerable, as evidenced by the recent ratings movements, while dollar strength and weaknesses in emerging and commodity-producing countries like South Africa are also responsible.”
Deteriorating potential
Fitch Ratings on December 4 cut South Africa’s credit rating one level to BBB-, the lowest investment grade, and in line with the assessment of Standard & Poor’s, which lowered its outlook to negative from stable on the same day. The country’s growth potential has deteriorated further, Fitch said, which also cited the government’s decision not to tighten fiscal policy in the face of weakening revenue and rising debt levels. Flexibility around the budget might reduce because of risks associated with funding needs of state-owned companies, S&P said.
Foreign investors purchased domestic equity and debt valued at R11.8 billion during the third quarter, compared with 54.8 billion rand in the previous three months, the central bank said.
The country’s investors purchased foreign equity and debt securities in almost equal amounts during the third quarter, the central bank said. The repatriation of the domestic financial industry’s foreign-currency deposits held with offshore banks as well as the redemption of loans extended to non-residents accounted for most of the swing in investments by local institutions to an inflow of 38.8 billion rand during the quarter from a 20 billion rand outflow in the previous period, the bank said.
“Investors increased their hard-currency exposure because of expected credit downgrades, weak local economic outlook and a probable US interest rate hike this month,” Hubert Steenkamp, money manager at Johannesburg-based Tower Capital Management, said by e-mail. The company has about $170 million invested. http://sbeta.iol.co.za/business/news/the-race-to-move-assets-out-of-sa-1957326
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