Where to invest?

[kwagga]

hi john. i'm always interested in TA. many thanks. [email protected]

[Mr_S]

Am i right to say that if you are between the ages of 20 and 35 or so, it is ok to have 100% of your money invested in stocks? personally im looking at high risk at the moment so bonds etc wouldnt really give me that? i have also been looking at some high risk mutual funds but eish...lol

[#3]

Not me, havent got the balls for 100% stocks. I keep 50% in ABSA Ivestment Advantage, 50% in stocks.

[louisg]

Before. So after inflation one has less than one started with, assuming one is liable for income tax. First R21k interest is free for persons below 65.(>65 = R30k).

[louisg]

Hi Barry. "Dividends on shares kept for five years or longer are tax free". But aren't all dividend payments tax free, irrespective of how long one remains a shareholder?

[kwagga]

Yes, as far as I know all divi's are tax free.

[#7]

Dividents are completely tax free, the divident tax is paid by the company itself. as I understand it.

[DEP]

Diversify: 30% Satrix Rafi/Div; 30% Property Unit trust; 20% Offshore Money market Unit Trust; 20% own selection of shares (keeps you busy). Reinvest all you dividend...

[barry_1]

Hi,I stand corrected.I think i was muddled with the capital last night,if shares are kept for five years or longer then there is no need to include them in your tax as income.Of course there is stilll capital gains tax to be paid

[GL]

Interesting. I own two of those and the rest are on my watchlist. What criteria did you use to put that list together.

[Blik]

Use the Share Filter to run a couple of queries. Sample query could be to filter out all shares with a PE of below 10, a DY of above 5, and ROCE of around 20, and see what you get. Once you have the list of filtered companies then do some research on them - look for the ability to generate cash over the term that you want to invest. There are lots of good companies that have been negativly hit by the recession that should recover. Like John said, people will drink and smoke for a while still. Have a look at Distell or KWV, maybe Altron, maybe Afrox for a niche share. Maybe diversify your portfolio into one stock from each major sector, Banks, Resources, IT that sort of thing. Nothing will benefit you more than putting in some graft to decide whether a share is good or not. Just some ideas.

[louisg]

That's changed to 3 years now. Hold for >3 years and one is liable for CGT not income tax.

[louisg]

Hi DoubleH. Wherever you decide to invest your capital, you may want to consider investing your capital over a period of time instead of in one lump sum. OMO

[bangbul]

Secondry tax on dividends might be stated in future. Not sure how this will work, but i think you'll taxed normal private rate minus company tax rate.

[#15]

LouisG, i would like to unpack that strategy a bit further with you, perhaps in a separate thread - long term investing in stages is a new one that I am not familiar with

[louisg]

Hi skaaptjop. I'm suggesting that one should perhaps phase in one's capital over a 6-12 month period rather than all in one lump sum. Makes sense to me. It's my preferred option.