Michelle Ross has always understood the value of investing in her future as soon as possible. The 24-year-old industrial designer from Cape Town is off to a good start. She’s already using her EasyEquities Tax Free Savings account and has become a fan of Exchange Traded Funds. But like so many of our EasyVestors, Michelle started investing in companies she already knew a bit about.
“It is really important to be in the share market as this is the best way to save for your future, by potentially gaining a higher return. Bank interest rates are nowhere near enough to keep up with true inflation. It really is a smart move to invest, not only in South African shares but offshore too. My mom has always taught me to never put all your eggs in one basket and to make your money work for you.”
When she started her investing journey just over a year ago, one of the first shares she bought was Capitec. Having recently made the move to bank with Capitec, Michelle was a customer that believed in the company so much, she wanted to be a shareholder too. “When I first started investing, I chose to buy shares in Capitec,” she remembers. “I truly felt, and still feel, that Capitec is ahead of the game. Capitec being a relatively new bank has made incredible growth in such a short time and as a customer I know firsthand how innovative the bank is - from customer service to their app which gives you easy access to do it all yourself.”
So when the EasyEquities widget made its debut on the new Capitec App, Michelle was thrilled. “I love how I can see and control my money all in one place!”
Using the widget gives you access to a South African account (ZAR), a Tax Free Savings Account (TFSA) as well as an account to invest in American stocks (USD). Michelle is taking advantage of the tax saving benefits in her TFSA and getting offshore exposure from a US Exchange Traded Fund. “I have shares in the S&P500 but through a South African portfolio. Having money tucked away in other currencies also balances your risk. When the dollar goes down due to market forces or political pressure it has the opportunities to make gains again quickly, as they have one of the strongest economies in the world.”
If you’re keen to know more about the EasyEquities widget on the Capitec app, check out our FAQs and look out for the hashtag #NewCapitecApp on social media.
The contents of this blog post are for information purposes to help our users make better investment decisions. The user sharing their story is a genuine opinion and actual experience of the investor – not financial advice. Michelle Ross doesn’t have any financial interest or relationship to us other than being a client.