Trade report 31/07/2013
South Africa's rand fell against the dollar in early trade on Wednesday, on track to extend three days of losses ahead of domestic trade account data and a Federal Reserve policy review. The rand was at 9.8380/dollar at 0609 GMT, 0.23% weaker than its close in New York on Tuesday. The currency has been under pressure in recent sessions as importers have been selling to settle offshore payments at month end. The USD-ZAR is expected to trade at 9.76-9.9300 today.
In international news, President Barack Obama proposed a "grand bargain for middle-class jobs" on Tuesday that would cut the US corporate tax rate and use billions of dollars in revenues generated by a business tax overhaul to fund projects aimed at creating jobs. The goal, was to break through partisan gridlock in Congress with a formula that satisfies Republicans and Democrats alike.
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Wednesday 31 July 2013
Monday 29 July 2013
Rand softer against the dollar
Trade report 29/07/2013
The rand was softer against the dollar in early Monday trade, retreating a few cents after Reserve Bank data showed growth in credit extension to the private sector slowed again in June. The data backs the case for the Reserve Bank to consider another interest rate cut - rates have been steady since the last reduction in 2012 - to boost consumer demand and spur economic growth. The USD-ZAR is expected to trade at 9.70-9.8500 today.
Growth in credit demand from South Africa's private sector slowed to 8.91 percent year-on-year in June from 9.05 percent in May, central bank data showed on Monday. Expansion in the broadly defined M3 measure of money supply also braked, to 9.18 percent from 9.75 percent. Economists surveyed by Reuters had expected credit growth to slow even more, to 8.75 percent while money supply growth was seen virtually steady at 9.7 percent.
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The rand was softer against the dollar in early Monday trade, retreating a few cents after Reserve Bank data showed growth in credit extension to the private sector slowed again in June. The data backs the case for the Reserve Bank to consider another interest rate cut - rates have been steady since the last reduction in 2012 - to boost consumer demand and spur economic growth. The USD-ZAR is expected to trade at 9.70-9.8500 today.
Growth in credit demand from South Africa's private sector slowed to 8.91 percent year-on-year in June from 9.05 percent in May, central bank data showed on Monday. Expansion in the broadly defined M3 measure of money supply also braked, to 9.18 percent from 9.75 percent. Economists surveyed by Reuters had expected credit growth to slow even more, to 8.75 percent while money supply growth was seen virtually steady at 9.7 percent.
To read the full report, visit the Currency Solutions website. Sending dollars overseas– Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
Friday 26 July 2013
Rand was flat against the dollar
Trade report 04/07/2013
The rand was flat against the dollar on Friday and looked to tread a narrow range in the absence of major market-moving economic data, both locally and abroad. By 08:48, the local currency traded at R9.7245/$, barely changed from its New York close at R9.7300 on Thursday. The USD-ZAR is expected to trade at 9.65-9.8000.
In other local news prices at the factory gate rose much more than expected last month, suggesting that the weaker rand is beginning to increase prices for producers, particularly input costs such as fuel. Better than expected consumer inflation on Wednesday, however, suggests that producers are not passing on the higher prices to consumers, given weak demand and a sluggish economic growth environment.
To read the full report, visit the Currency Solutions website. Sending dollars overseas– Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
The rand was flat against the dollar on Friday and looked to tread a narrow range in the absence of major market-moving economic data, both locally and abroad. By 08:48, the local currency traded at R9.7245/$, barely changed from its New York close at R9.7300 on Thursday. The USD-ZAR is expected to trade at 9.65-9.8000.
In other local news prices at the factory gate rose much more than expected last month, suggesting that the weaker rand is beginning to increase prices for producers, particularly input costs such as fuel. Better than expected consumer inflation on Wednesday, however, suggests that producers are not passing on the higher prices to consumers, given weak demand and a sluggish economic growth environment.
To read the full report, visit the Currency Solutions website. Sending dollars overseas– Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
Thursday 25 July 2013
Rand touches 8-week high
Trade report 04/07/2013
The rand steadied against the dollar on Thursday after touching an 8-week high overnight, with nagging concerns about fractious domestic labour relations likely to cap significant gains. Government bonds yields were higher ahead of producer inflation data expected show acceleration in the June year-on-year number. The USD-ZAR is expected to trade at 9.70-9.8500.
The South African National Roads Agency SOC Ltd (Sanral), which is facing resistance to a toll-fee plan on freeways around Johannesburg and Pretoria, said investors are reluctant to provide more funding as it runs out of cash after delays to the project. “Sanral has almost totally depleted its available cash,” Vusi Mona, general manager of communications for the Pretoria- based state-owned company, said yesterday.
To read the full report, visit the Currency Solutions website. Sending dollars overseas– Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
Tuesday 23 July 2013
Rand set for third day of gains
Trade report 23/07/2013
The rand steadied against the dollar early on Tuesday, keeping a firmer bias on a greenback pressured by soft economic data that suggested the US Federal Reserve may delay its withdrawal of stimulus. The currency is trading within Monday's range and looks set for a third day of gains against the dollar. The USD-ZAR is expected to trade at 9.70-9.8700.
In international news, the queues of unemployed people across Spain, Portugal and Greece will lengthen further, but an end to recession is within sight, according to the latest Reuters poll on some of the eurozone’s most vulnerable economies. Monday’s poll of more than 40 economists, conducted over the past week, followed a meeting of the Group of 20 finance ministers and central bankers at the weekend, who pledged to put growth before austerity to revive the global economy.
To read the full report, visit the Currency Solutions website. Sending dollars overseas– Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
The rand steadied against the dollar early on Tuesday, keeping a firmer bias on a greenback pressured by soft economic data that suggested the US Federal Reserve may delay its withdrawal of stimulus. The currency is trading within Monday's range and looks set for a third day of gains against the dollar. The USD-ZAR is expected to trade at 9.70-9.8700.
In international news, the queues of unemployed people across Spain, Portugal and Greece will lengthen further, but an end to recession is within sight, according to the latest Reuters poll on some of the eurozone’s most vulnerable economies. Monday’s poll of more than 40 economists, conducted over the past week, followed a meeting of the Group of 20 finance ministers and central bankers at the weekend, who pledged to put growth before austerity to revive the global economy.
To read the full report, visit the Currency Solutions website. Sending dollars overseas– Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
Monday 22 July 2013
Rand climbs nearly 1%
Trade report 22/07/2013
The rand climbed nearly 1% against the dollar on Monday, taking its cue from the firming of commodity-linked currencies although the potential for weakness remains due to the threat of mining strikes hanging over the economy. "The rand continues to trade around R9.75 to R10.00 so at least the range seems to be contracting slightly," Standard Bank trader Warrick Butler said in a client note.
In other news South African coal producers have offered workers a 5.6% wage hike, the Solidarity union said on Monday. The offer is below the current inflation rate of about 6%. Coal miners such as Exxaro Resources and Coal of Africa are collectively represented by the industry body, the Chamber of Mines.
To read the full report, visit the Currency Solutions website. Sending dollars overseas– Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
The rand climbed nearly 1% against the dollar on Monday, taking its cue from the firming of commodity-linked currencies although the potential for weakness remains due to the threat of mining strikes hanging over the economy. "The rand continues to trade around R9.75 to R10.00 so at least the range seems to be contracting slightly," Standard Bank trader Warrick Butler said in a client note.
In other news South African coal producers have offered workers a 5.6% wage hike, the Solidarity union said on Monday. The offer is below the current inflation rate of about 6%. Coal miners such as Exxaro Resources and Coal of Africa are collectively represented by the industry body, the Chamber of Mines.
To read the full report, visit the Currency Solutions website. Sending dollars overseas– Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
Thursday 18 July 2013
Rand building momentum
Trade report 18/07/2013
On Wednesday the rand rose for a fourth consecutive day against the dollar, boosted in part by stronger than expected retail sales data for May. Growth in sales quickened more than expected to 6.2 percent year-on-year in May from a revised 2 percent in April, cementing market expectations that the central bank will not cut rates. The USD-ZAR is expected to trade at9.80-9.9500 today.
The US central bank is still planning to scale back its bond buying programme later this year said Federal Reserve Chairman Ben Bernanke on Wednesday, but he left open the option that the plan could change should the economic outlook shift. "Our asset purchases depend on economic and financial developments, but they are by no means on a preset course," said Mr. Bernanke in remarks prepared for delivery to the House of Representatives Financial Services Committee.
To read the full report, visit the Currency Solutions website. Sending dollars overseas– Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
On Wednesday the rand rose for a fourth consecutive day against the dollar, boosted in part by stronger than expected retail sales data for May. Growth in sales quickened more than expected to 6.2 percent year-on-year in May from a revised 2 percent in April, cementing market expectations that the central bank will not cut rates. The USD-ZAR is expected to trade at9.80-9.9500 today.
The US central bank is still planning to scale back its bond buying programme later this year said Federal Reserve Chairman Ben Bernanke on Wednesday, but he left open the option that the plan could change should the economic outlook shift. "Our asset purchases depend on economic and financial developments, but they are by no means on a preset course," said Mr. Bernanke in remarks prepared for delivery to the House of Representatives Financial Services Committee.
To read the full report, visit the Currency Solutions website. Sending dollars overseas– Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
Wednesday 17 July 2013
Rand mostly flat
Trade report 04/07/2013
The rand closed at R9.8750 in New York on Tuesday and in early Wednesday trade hovered at the same levels. Retail sales data due out at 13:00 are likely to cement market expectations that the South African Reserve Bank (Sarb) will keep interest rates at 40-year lows this week, as it balances the need to rein in inflation with that of supporting an ailing economy. The USD-ZAR is expected to trade at 9.75-9.9000.
In international news according to the Organisation for Economic Co-operation and Development (OECD) unemployment in developed countries will remain high especially under low skilled and young people. Over the next 18 months the jobless rates would fall only slightly, from 8% of the workforce in May to 7.8% at the end of next year, leaving 48 million people out of work in its 34 member countries.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
The rand closed at R9.8750 in New York on Tuesday and in early Wednesday trade hovered at the same levels. Retail sales data due out at 13:00 are likely to cement market expectations that the South African Reserve Bank (Sarb) will keep interest rates at 40-year lows this week, as it balances the need to rein in inflation with that of supporting an ailing economy. The USD-ZAR is expected to trade at 9.75-9.9000.
In international news according to the Organisation for Economic Co-operation and Development (OECD) unemployment in developed countries will remain high especially under low skilled and young people. Over the next 18 months the jobless rates would fall only slightly, from 8% of the workforce in May to 7.8% at the end of next year, leaving 48 million people out of work in its 34 member countries.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
Tuesday 16 July 2013
Sending money overseas
Sending money overseas needn’t be complicated. Our team at Currency Solutions will help you through the process, clarifying the various allowances and legislation required to transfer money for tuition, mortgage payments, holidays or offshore investments.
At Currency Solutions we do not only facilitate large transactions, but can also help with smaller transactions. We have the services available to meet your needs whether you need to make a once off payment or require regular transfers to a bank abroad.
Sending money with Currency Solutions is easy, secure and you can have the peace of mind that your money is safe. Opening an account with Currency Solutions is free and you will benefit from:
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- An experienced foreign exchange team focused on customer service.
Let one of our professional consultants assist you, whether you are transferring funds out of South Africa or transferring money into South Africa – our team is at hand to guide you step-by-step through the process and to ensure you get the best exchange rates in the marketplace.
At Currency Solutions we do not only facilitate large transactions, but can also help with smaller transactions. We have the services available to meet your needs whether you need to make a once off payment or require regular transfers to a bank abroad.
Sending money with Currency Solutions is easy, secure and you can have the peace of mind that your money is safe. Opening an account with Currency Solutions is free and you will benefit from:
- Our ability to facilitate and securing great rates.
- Lower transactions fees.
- Personalised process, from sign-up to completing the transaction.
- We deal with SARS and the SA Reserve Bank to make sure every transfer is compliant with exchange control requirements.
- An experienced foreign exchange team focused on customer service.
Let one of our professional consultants assist you, whether you are transferring funds out of South Africa or transferring money into South Africa – our team is at hand to guide you step-by-step through the process and to ensure you get the best exchange rates in the marketplace.
Rand firmer to the dollar
Trade report 16/07/2013
The rand looked steady and set for a firmer session with emerging markets supported by views that the US Federal Reserve will maintain monetary easing. The rand has managed to open below the psychologically key R10 level for two sessions, signaling some strength in the currency. Developments in the mining industry still continue to be a big concern as wage negotiations are now underway. The USD-ZAR is expected to trade at 9.80-9.9500.
The SA Institute of Race Relations (Sairr) said on Monday that the National Development Plan (NDP) is trying to do too much and its costly ambitions are not talked over. "It reads as if various government departments have provided wish-lists without much attempt to pull them all together, but one thing the NDP does not do is put a price tag on all the wish lists it incorporates and endorses." Sairr said in the July edition its monthly magazine.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
The rand looked steady and set for a firmer session with emerging markets supported by views that the US Federal Reserve will maintain monetary easing. The rand has managed to open below the psychologically key R10 level for two sessions, signaling some strength in the currency. Developments in the mining industry still continue to be a big concern as wage negotiations are now underway. The USD-ZAR is expected to trade at 9.80-9.9500.
The SA Institute of Race Relations (Sairr) said on Monday that the National Development Plan (NDP) is trying to do too much and its costly ambitions are not talked over. "It reads as if various government departments have provided wish-lists without much attempt to pull them all together, but one thing the NDP does not do is put a price tag on all the wish lists it incorporates and endorses." Sairr said in the July edition its monthly magazine.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
Monday 15 July 2013
Rand was flat against the dollar
Trade report 15/07/2013
The rand was flat against the dollar on Monday and is likely to trade range bound this week ahead of a central bank interest rate decision on Thursday. The South African Reserve Bank is expected to keep its repo rate unchanged at 5% at the end of its policy meeting on July 18 and the rand is likely to hold steady amid cautious trading in the next few days. The USD-ZAR is expected to trade at 9.10-10.0500.
In international news hopes of a sustainable recovery in the UK economy were boosted as the number of companies close to insolvency dropped significantly in the second quarter. According to restructuring specialists Begbies Traynor, this is the third quarter in a row that the number of companies close to insolvency has fallen. Bergies went further to say number of companies showing critical signs of financial distress fell 39 per cent from June 2012 to June this year.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
The rand was flat against the dollar on Monday and is likely to trade range bound this week ahead of a central bank interest rate decision on Thursday. The South African Reserve Bank is expected to keep its repo rate unchanged at 5% at the end of its policy meeting on July 18 and the rand is likely to hold steady amid cautious trading in the next few days. The USD-ZAR is expected to trade at 9.10-10.0500.
In international news hopes of a sustainable recovery in the UK economy were boosted as the number of companies close to insolvency dropped significantly in the second quarter. According to restructuring specialists Begbies Traynor, this is the third quarter in a row that the number of companies close to insolvency has fallen. Bergies went further to say number of companies showing critical signs of financial distress fell 39 per cent from June 2012 to June this year.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
Friday 12 July 2013
Rand weakens slightly
Trade report 12/07/2013
The rand weakened slightly against the dollar in early Friday morning trade and the rand was unable to hold on to Thursday’s level below R9.90 to the dollar. "We failed to hold below R9.90, so guys are testing the top of the R10.05 to R9.95 range this morning. As there are no data due, we should have a quiet day as it has been a long week," a local trader said. The USD-ZAR is expected to trade at 9.92-10.0500.
On Thursday the National Union of Metalworkers of SA (NUMSA) asked for the Nkandla report to be declassified. Irvin Jim, Numsa general secretary told reporters: "It's shocking that we are told it is classified.It must be declassified because we need to know who is right and who is wrong." It is believed that the report will shed light on how exactly the money was spent on refurbishing President Jacob Zuma's private home at Nkandla in KwaZulu-Natal.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
Thursday 11 July 2013
Rand reached strongest level in a week
Trade report 11/07/2013
In early Thursday trade the rand reached its strongest level in more than a week, prompted by comments from the US Federal Reserve which dented expectations it could soon pull back on its asset purchases. Manufacturing output data due to be released at 13:00 could however weaken the rand if it shows a sharp slowdown from previous months. The USD-ZAR is expected to trade at 9.80-10.0000.
For the first time in six months, employment number or the month of June increased marginally, boosted by a turnaround in formal sector jobs. The formal sector 2587 jobs were created and in the 9890 jobs were created in the informal sector in June. The main drivers for new job creation in June were agency work, the government sector and highly skilled professionals. According to Adcorp, an employment services company says temporary work has remained stable during recent months, but permanent work has declined by 1.8% over the past year.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
In early Thursday trade the rand reached its strongest level in more than a week, prompted by comments from the US Federal Reserve which dented expectations it could soon pull back on its asset purchases. Manufacturing output data due to be released at 13:00 could however weaken the rand if it shows a sharp slowdown from previous months. The USD-ZAR is expected to trade at 9.80-10.0000.
For the first time in six months, employment number or the month of June increased marginally, boosted by a turnaround in formal sector jobs. The formal sector 2587 jobs were created and in the 9890 jobs were created in the informal sector in June. The main drivers for new job creation in June were agency work, the government sector and highly skilled professionals. According to Adcorp, an employment services company says temporary work has remained stable during recent months, but permanent work has declined by 1.8% over the past year.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
Wednesday 10 July 2013
Rand firmed beyond the R10 per dollar
Trade report 10/07/2013
The rand firmed beyond the R10 per dollar level in early trade on Wednesday despite a weak euro.
Dealers say minutes of the Fed's monetary policy committee meeting and Chairman Ben Bernanke's speech in the evening could see recent rand gains reversed as expectations are for the Fed to withdrawing its stimulus program. The USD-ZAR is expected to trade at 9.95-10.1000.
In International news the International Monetary Fund (IMF) said on Tuesday that economic growth will struggle worldwide as US expansion weakens, China’s growth is stagnant and the recession in Europe deepens. "Downside risks to global growth prospects still dominate," the IMF said in an update to its World Economic Outlook. The IMF also trimmed its global growth from its 3.3% prediction in April to 3.1%.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
The rand firmed beyond the R10 per dollar level in early trade on Wednesday despite a weak euro.
Dealers say minutes of the Fed's monetary policy committee meeting and Chairman Ben Bernanke's speech in the evening could see recent rand gains reversed as expectations are for the Fed to withdrawing its stimulus program. The USD-ZAR is expected to trade at 9.95-10.1000.
In International news the International Monetary Fund (IMF) said on Tuesday that economic growth will struggle worldwide as US expansion weakens, China’s growth is stagnant and the recession in Europe deepens. "Downside risks to global growth prospects still dominate," the IMF said in an update to its World Economic Outlook. The IMF also trimmed its global growth from its 3.3% prediction in April to 3.1%.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
Tuesday 9 July 2013
Firmer rand due to strong euro
Trade report 09/07/2013
A strong euro is the main reason for the firmer rand in early Tuesday trade. The Eurozone is South Africa’s biggest trading partner and because of this the rand often tracks the euro. At 8am the rand was bid at R10.1287 to the dollar from Monday’s close of R10.1499 and Friday’s close of R10.1900. The USD-ZAR is expected to trade at 10.08-10.2000.
According to officials €3bn will be released to Greece, European ministers decided in a meeting in Brussels on Monday. The decision seeks to restore some financial calm to Greece and prevent another debt-crisis showdown at least until after German elections in September. The first €2.5bn will be paid to Greece later this month and the remaining €0.5bn in October.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
A strong euro is the main reason for the firmer rand in early Tuesday trade. The Eurozone is South Africa’s biggest trading partner and because of this the rand often tracks the euro. At 8am the rand was bid at R10.1287 to the dollar from Monday’s close of R10.1499 and Friday’s close of R10.1900. The USD-ZAR is expected to trade at 10.08-10.2000.
According to officials €3bn will be released to Greece, European ministers decided in a meeting in Brussels on Monday. The decision seeks to restore some financial calm to Greece and prevent another debt-crisis showdown at least until after German elections in September. The first €2.5bn will be paid to Greece later this month and the remaining €0.5bn in October.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
Monday 8 July 2013
Investing offshore
Offshore investing is making investments in a country other than the investor’s country of residence, targeting benefits offered to investors by firms and governments across the globe. The challenge for an investor is to identify offshore investments that minimize risk exposure, realize high returns and reduce tax obligations in a legal manner.
In South Africa offshore investments above the 1 million rand discretionary allowance mark have to be legally recorded or he/she may face stiff fines or possible jail time from concealing these investments from the South African taxing authority SARS.
How does Offshore Investing Work?
With the help of certified professional financial entities like bankers, portfolio managers and finance brokers one can invest offshore. There is a series of different offshore investment options, including bond, equity and money market assets.
Many high net worth individuals set up offshore accounts. Typically this is done in order to save on taxes. There are quite a few countries that are famous tax havens, such as the Bahamas, the Cayman Islands, Switzerland, the Isle of Man and Bermuda. These tax havens have become popular offshore investment destinations.
It I important to note that there may be stringent and costly requirements for opening an offshore account. This may include a minimum amount to be maintained in the account, fees and owning property in the destination country.
Benefits of Offshore Investing
There are numerous benefits to investing offshore, these benefits include:
• The diversification of one’s investment portfolio.
• The privatization of several sectors in developing countries can be worthwhile offshore investment opportunities.
• Offshore investing may help in reducing taxes.
• Some of the offshore investment destinations guarantee confidentiality and in doing so protect their wealth and property from domestic issues and seizures.
Downsides of Offshore Investing
The downside of offshore investing is:
• Many tax agencies are tightening tax laws in their respective nations.
• Opening an offshore account can be expensive and may include high legal fees, registration fee and minimum balance to be maintained.
Sources:
http://www.investorwords.com/8657/offshore_investment.html#ixzz2WZTIPjOs
http://www.economywatch.com/investment/offshore-investing.html
In South Africa offshore investments above the 1 million rand discretionary allowance mark have to be legally recorded or he/she may face stiff fines or possible jail time from concealing these investments from the South African taxing authority SARS.
How does Offshore Investing Work?
With the help of certified professional financial entities like bankers, portfolio managers and finance brokers one can invest offshore. There is a series of different offshore investment options, including bond, equity and money market assets.
Many high net worth individuals set up offshore accounts. Typically this is done in order to save on taxes. There are quite a few countries that are famous tax havens, such as the Bahamas, the Cayman Islands, Switzerland, the Isle of Man and Bermuda. These tax havens have become popular offshore investment destinations.
It I important to note that there may be stringent and costly requirements for opening an offshore account. This may include a minimum amount to be maintained in the account, fees and owning property in the destination country.
Benefits of Offshore Investing
There are numerous benefits to investing offshore, these benefits include:
• The diversification of one’s investment portfolio.
• The privatization of several sectors in developing countries can be worthwhile offshore investment opportunities.
• Offshore investing may help in reducing taxes.
• Some of the offshore investment destinations guarantee confidentiality and in doing so protect their wealth and property from domestic issues and seizures.
Downsides of Offshore Investing
The downside of offshore investing is:
• Many tax agencies are tightening tax laws in their respective nations.
• Opening an offshore account can be expensive and may include high legal fees, registration fee and minimum balance to be maintained.
Sources:
http://www.investorwords.com/8657/offshore_investment.html#ixzz2WZTIPjOs
http://www.economywatch.com/investment/offshore-investing.html
Fresh two-week low
Trade report 08/07/2013
The rand reached a fresh 2-week low against the dollar in early Monday morning trade with the possibility of losing even further ground against the dollar as newly released US job data that has boosted chances the United States will soon pull back on its bond-buying program. The USD_ZAR is expected to trade at 10.15-10.3000.
In local news, Tuesday will mark the start of wage talks in the gold sector. Employers are keen to put a stop to the wildcat strikes that have plagued the mining industry over the last 18 months. Whilst the industry is facing its toughest times yet unions are demanding wage increases of 100%. The Chamber of Mines says that even though gold was at a record R509,783/kg in the fourth quarter of last year, 40% of the sector is either loss-making or marginal.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
The rand reached a fresh 2-week low against the dollar in early Monday morning trade with the possibility of losing even further ground against the dollar as newly released US job data that has boosted chances the United States will soon pull back on its bond-buying program. The USD_ZAR is expected to trade at 10.15-10.3000.
In local news, Tuesday will mark the start of wage talks in the gold sector. Employers are keen to put a stop to the wildcat strikes that have plagued the mining industry over the last 18 months. Whilst the industry is facing its toughest times yet unions are demanding wage increases of 100%. The Chamber of Mines says that even though gold was at a record R509,783/kg in the fourth quarter of last year, 40% of the sector is either loss-making or marginal.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange rate. To know more about how we can help you Contact Us.
Thursday 4 July 2013
No strong ZAR direction
Trade report 04/07/2013
There is no apparent reason to expect any strong directional movement in the ZAR for the day ahead. The ECB meeting held later this afternoon could generate some volatility, but the main focus point will remain on the US non-farm payrolls that are due for release tomorrow. The USD-ZAR is expected to hold to a range of 10.02-10.1500 for most of today.
In international news on Wednesday Portugal’s bonds plummeted, pushing 10-year yields above 8% for the first time since November 2012. The sudden bond weakness was a reaction on the resignation of two ministers that raised concerns of derailment of the government’s attempts to implement austerity measures.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange Cape Town. To know more about how we can help you Contact Us.
There is no apparent reason to expect any strong directional movement in the ZAR for the day ahead. The ECB meeting held later this afternoon could generate some volatility, but the main focus point will remain on the US non-farm payrolls that are due for release tomorrow. The USD-ZAR is expected to hold to a range of 10.02-10.1500 for most of today.
In international news on Wednesday Portugal’s bonds plummeted, pushing 10-year yields above 8% for the first time since November 2012. The sudden bond weakness was a reaction on the resignation of two ministers that raised concerns of derailment of the government’s attempts to implement austerity measures.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange Cape Town. To know more about how we can help you Contact Us.
Wednesday 3 July 2013
ZAR weakens on stronger USD
Trade report 03/07/2013
The USD-ZAR failed to continue on its downside break like many in the market were hoping. The USD strengthened overnight which can be attributed to a number of factors: firstky the expectation of strong US payroll numbers and the US markets closing early today. It is significant to note that the AUD is at its weakest level since September 2010 and falling. As the AUD is the barometer for other commodity currencies its weak value combined with the strong USD has proven to such pressure for the ZAR. The USD-ZAR is expected to trade at 9.95-10.1000 today.
In international news International Monetary Fund (IMF) have given Greece three days to reassure the rest of Europe that it could deliver on conditions of its international bailout in order to receive the next installment of aid, said Eurozone officials on Tuesday. A senior Eurozone official involved in the negotiations said that lenders were unhappy with the progress Greece has made to restore its economy.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange Cape Town. To know more about how we can help you Contact Us.
The USD-ZAR failed to continue on its downside break like many in the market were hoping. The USD strengthened overnight which can be attributed to a number of factors: firstky the expectation of strong US payroll numbers and the US markets closing early today. It is significant to note that the AUD is at its weakest level since September 2010 and falling. As the AUD is the barometer for other commodity currencies its weak value combined with the strong USD has proven to such pressure for the ZAR. The USD-ZAR is expected to trade at 9.95-10.1000 today.
In international news International Monetary Fund (IMF) have given Greece three days to reassure the rest of Europe that it could deliver on conditions of its international bailout in order to receive the next installment of aid, said Eurozone officials on Tuesday. A senior Eurozone official involved in the negotiations said that lenders were unhappy with the progress Greece has made to restore its economy.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange Cape Town. To know more about how we can help you Contact Us.
Tuesday 2 July 2013
Rand helped by overseas developments
Trade report 04/06/2013
Helped in large by developments overseas the ZAR performed better than expected yesterday. The USD withdrew slightly, platinum and gold prices rallied throughout the day and for the most part emerging market currencies like the rand were able to hold their own. The USD-ZAR is expected to trade at 9.900-10.0500 today.
On Monday US President Barack Obama tried to comfort European allies who were affronted by reports of US spying, but implied that all the world’s top intelligence services were involved in finding out the thinking of not only opponents, but also allies. Following a report in a German magazine that Washington is spying on European countries, the European Union is demanding an explanation and saying that if true, such surveillance was appalling.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange Cape Town. To know more about how we can help you Contact Us.
Helped in large by developments overseas the ZAR performed better than expected yesterday. The USD withdrew slightly, platinum and gold prices rallied throughout the day and for the most part emerging market currencies like the rand were able to hold their own. The USD-ZAR is expected to trade at 9.900-10.0500 today.
On Monday US President Barack Obama tried to comfort European allies who were affronted by reports of US spying, but implied that all the world’s top intelligence services were involved in finding out the thinking of not only opponents, but also allies. Following a report in a German magazine that Washington is spying on European countries, the European Union is demanding an explanation and saying that if true, such surveillance was appalling.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange Cape Town. To know more about how we can help you Contact Us.
Monday 1 July 2013
Rand steady against the dollar
Trade report 04/06/2013
In early Monday morning trade the rand was steady against the dollar, trading stronger than R10/$, the key psychological level. The stronger rand is due to the easing of investor fears about an early withdrawal of US stimulus. "Dollar/rand (is) pushing at the key R9.83/85 support level. A break would open up scope for a proper rand recovery but if the level holds, we could be trapped in a range for a while," said Rand Merchant Bank in a note to clients. The USD-ZAR is expected to trade at 9.84-10.0000.
In other local news South African Revenue Service customs and excise data on the country’s trade with non-Southern African Customs Union trading partners on Friday showed the trade deficit narrowed from R15bn in April to R11bn in May. A BDlive poll of economists surveyed had forecast a deficit of R11.3bn. Their forecasts ranged between a deficits of R9bn and R12bn. "This is an improvement, but still quite large," said Colen Garrow, Meganomics economist.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange Cape Town. To know more about how we can help you Contact Us.
In early Monday morning trade the rand was steady against the dollar, trading stronger than R10/$, the key psychological level. The stronger rand is due to the easing of investor fears about an early withdrawal of US stimulus. "Dollar/rand (is) pushing at the key R9.83/85 support level. A break would open up scope for a proper rand recovery but if the level holds, we could be trapped in a range for a while," said Rand Merchant Bank in a note to clients. The USD-ZAR is expected to trade at 9.84-10.0000.
In other local news South African Revenue Service customs and excise data on the country’s trade with non-Southern African Customs Union trading partners on Friday showed the trade deficit narrowed from R15bn in April to R11bn in May. A BDlive poll of economists surveyed had forecast a deficit of R11.3bn. Their forecasts ranged between a deficits of R9bn and R12bn. "This is an improvement, but still quite large," said Colen Garrow, Meganomics economist.
To read the full report, visit the Currency Solutions website. Foreign exchange South Africa – Let one of our professional consultants at assist you in securing the best foreign exchange Cape Town. To know more about how we can help you Contact Us.
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