News & Insights

Below is a collection of the latest news & insights published either by the team here at New Road Capital or alternatively issued by one of our various partner fund managers whose offerings form part of our solutions.

The rand is 60 years old today.

Here is how much South Africans paid for coffee, bread, and beer in 1961.

The Covid-19 Vaccination Race.

As a result of early efforts to secure vaccine candidates, some governments are already racing ahead in their efforts to start mass vaccination against Covid-19.

Five key charts for investing in 2021

As investors consider their positioning for 2021, we have selected five key charts to bring them up to speed on the current investment environment.

Myth-Busting: Low Rates Don’t Justify High Valuations

The narrative in the investment world is that current low interest rates justify high equity valuations. The attached article by Nicolas Rabener from FactorResearch suggests that this may not always be the case. With equity markets at high valuations, low interest rates may not be sufficient to keep them at elevated levels indefinitely.

Long-dated SA bonds are ‘giving investors a gift’.

Three local fixed income managers examine the risks and opportunities in the local government bond market.

The Periodic Table of Commodity Returns.

Which commodity had the best returns in 2020? From gold to oil, we show how commodity price performance stacks up over the last decade. 

Reserve Bank has room for stimulus if another virus wave comes​

The SA Reserve Bank has room to provide stimulus in the event of a third wave of coronavirus infections, according to governor Lesetja Kganyago.

Short Term Yields Now Offer Much Lower Returns

Short term yields are not offering investors the same investment opportunities as they used to. See the chart attached for a more detailed analysis. 

Fund of Funds: A dynamic and holistic portfolio solution

The financial markets are continuously changing and with this your optimal portfolio asset allocation changes over time. Fund of funds can be a great tool to provide investors and advisers with a dynamic and holistic solution to portfolio management.

Annual Letter to Our Partners & Investors

2020 was a challenging year for many. At New Road Capital, we were able to turn those challenges into opportunities. 2021 will no doubt be an interesting year. Read through our annual investor letter which summarises the passed year, and looks at what could potentially be in store for the year ahead.

Just thinking long term is not enough

The markets aren't stagnant, why should your portfolio be? Long-term investing doesn't necessarily mean leaving your money untouched. Portfolio rebalancing is an integral part of the long-term investment process. What are some other misconceptions about long-term investing that you've come across?

Are parents spending less time with their kids?

In many countries the amount of time parents spend with their kids has been increasing over the last 50 years. This is true despite large changes in family structure over this time, such as a rise in single-parenting and a large increase in the share of women working outside the home. Looking carefully at the time parents spend with their kids and the forces that shape this time helps us understand an important aspect of family life and childhood development.

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