Anchor fixed income
- 1. ANCHOR FIXED INCOME NOLAN WAPENAAR
- 2. TURN OF THE YEAR • Steinhoff; • ANC Conference; • Echo Polska; • Capitec; • PSG; • Resilient; • Nepi; • US Bond sell off Fixed Income Risk management did well. No catastrophic impacts
- 4. LOCAL IS LEKKER -1 -0.5 0 0.5 1 1.5 2 2.5 3 3.5 4 SA GDP Since 2008 Crisis
- 5. LOCAL IS LEKKER -1 0 1 2 3 4 5 6 7 8 CZECH Turkey Hungary MALAYSIA South Korea Poland MOROCCO Thailand INDIA China Chile Colombia SOUTH AFRICA PERU Russia Brazil SA vs Other EM Real Yields -1 -0.5 0 0.5 1 1.5 2 2.5 3 3.5 4 SA GDP Since 2008 Crisis
- 6. INFLATION SHOULD NOT WORRY SARB -1 1 3 5 7 9 11 13 South African – Consumer Prices Inflation
- 7. INFLATION SHOULD NOT WORRY SARB 0 1 2 3 4 5 6 7 8 9 Contribution to SA HCPI Indices for Jan 2018 Non-inflationary Source: Anchor Capital Inflationary
- 8. WHERE WILL THE MONEY BE MADE IN FIXED INCOME? Q1 & Q2 of 2018 • Position for interest rate cuts and be patient. • There is still good value in SA bonds. • It will be volatile through political and external jitters. Be patient.
- 9. KEY RISK FACTORS LOCALLY
- 10. OFFSHORE BONDS ARE FAIR
- 11. Q & A
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