Are you ready to invest but not sure where to start? In recent years, financial markets have experienced increased volatility due to factors like geopolitical tensions, global economic uncertainties, and unexpected events like the COVID-19 pandemic.
As the high cost of living continues to rise, it’s becoming ever more difficult to save and put money away. That makes investing all the more important so that you can make your money work for you. The key to successful saving is consistency and discipline. Even starting with small amounts can lead to significant savings over time. As you see your investment grow, it can motivate you to save even more and make it easier to reach larger financial goals in the future.
Because traditional investments like stocks and bonds are susceptible to global and local events, people everywhere are seeking alternative investments as a way to hedge against inflation and earn higher returns.
Invest in cattle
Cattle hold cultural and social significance in many communities and are considered important assets that can appreciate in value over time. As they grow, they can be used for various purposes, such as meat production and dairy farming. While cattle prices can fluctuate, the demand for cattle products tends to remain relatively stable, as people continue to consume beef and other cattle-related products.
SV Capital’s cattle investment fund has delivered average returns of 14.07% per annum, net of fees, since its launch. What’s really smart about cattle investment, is that you simply invest, and the experts take care of the rest.
“Cattle have long been a symbol of wealth in this country,” says Tloubatla. “In addition to being a source of food, they also fulfil a variety of socio-cultural roles. Our approach is to provide investment options that are connected to tangible assets – like livestock – that are valued, recognised, and understood by our investors, so we can help them create financial security for themselves and their families.”
Invest in small amounts
Allowing individuals to invest relatively small amounts of money makes it easy for them to start. This is especially important for people who have no experience in investing. By consistently contributing small amounts over time, their investments can grow through the power of compounding and can lead to significant long-term gains.
As an investor, you contribute to a collective herd of cattle that will be expertly managed on our partner farmer’s feedlot. We participate in buying and selling cattle that are kept until they reach the desired weight range when they are sold to an abattoir at prevailing market prices. The cows are insured so your investment is protected. Once your investment matures, your money plus the profits are paid to your account.
Investing in cattle means participating in South Africa’s agricultural sector, with the livestock industry serving as its backbone. Unlike the stock exchange which is driven by sentiment, the demand for beef is consistent and your investment is unlikely to drop significantly in value, as borne out by the returns.
Allied to cattle investment is SV Capital’s iLobola Fund, targeted at individuals who want to save towards customary iLobola, also knowns as a dowry. A minimum investment of R15,000 is required, over a period of 18 months. It’s a simple product that yields attractive returns averaging 16.23%.
SV Capital knows how important it is to protect clients’ hard-earned money. The fund’s track record proves that investments are safe. The company’s portfolio is more than R100 million and over R15 million has been paid out to investors. It is also regulated by the Financial Services Conduct Authority (FSCA) which is mandated to enhance the efficiency and integrity of financial markets.