Navigating the Storm

by | Dec 1, 2018

Picture this: it is the late 1800’s. You are the captain of a sailboat travelling along the trade routes of India, when the skies start changing and the winds start picking up. You know the challenge you are about to face: navigating in a storm. As the waves bash against the ship and the flashes of lightning strike around you, do you panic, or do you trust the crewman around you as the captain of the vessel?

Many vessels had succumbed to the perilous seas during these periods. Especially as these storms would generally appear out of nowhere, catching many off guard. Therefore the captains of these vessels began assessing crew members, making certain that they are hiring experienced and calm crew members they can trust. In these storms, the first people the captain would look to is his crewmembers to get them safely to their destination.

You are the captain of your own ship, and it is your responsibility to make sure you hire the correct crewmembers to keep you and your assets safe. Hiring the correct Wealth Managers may seem like an impossibility with the markets currently, but its not about looking at the markets but at the quality of the Wealth Manager. Many people claim to be financial planners but are essentially just sales-people, not always giving the correct advice in order to grow their own financial status, and thus in turn, sinking your ship. In times of the stormy markets you want to have smart, calm and level-headed Wealth Managers that can guide you safely through the storm and to your destination. That’s where there are 4 vital characteristics to look for in a Wealth Manager – integrity, honesty, dedicated and putting the client first. With a Wealth Manager with these characteristics you will be able to navigate safely through the storm.

We have recently seen a very stormy month for the South African market as illustrated by the graph below, and many ships have begun to sink due to the lack of experienced individuals. Despite the disappointing month and predictions upcoming, we remain positive on an increase in the market, as predictions are not always correct as indicated by the graph below.

JSE graph since 07/11/2017

Graph of the global market despite predictions being made by some of the most intelligent and influential investors in the world.

We firmly believe that you cannot time the market, and that these storms come very unexpectedly, but what we do maintain that conditions will surely always improve. Here at RWM we strive in our values of honesty, integrity and putting the clients first. We believe that if our clients succeed, then we succeed too. In conclusion, make sure to hire the correct crew to navigate your ship and don’t be deterred by the stormy weather, there is safety just on the outside.

“Financial planning is about more than just good advice or investment returns. Its about providing guidance that you can trust.”