Every investor has their own approach to putting together a portfolio. What you choose to invest in really depends on your own needs, risk appetite and time horizon, among other things.
The ability to apply a DIY approach to investing means that every person is empowered to find a style and strategy that meets them where they’re at. For some people this means regularly readjusting their portfolio and checking in to see what market opportunities may exist on a day-to-day basis. For others, it may make sense to take a more passive approach and to allow someone else to make the decisions of what to buy and when to adjust their holdings. A lot of people find that they fall somewhere in between the two. EasyEquities allows you the ability to combine both techniques; empowering you to choose the managed products and fund houses that manage them.
No matter where you find yourself, you are likely to, at some point, consider including managed products as part of your overall investment strategy.
The benefits of having a portion of your portfolio managed
- Time and effort:
Having a reputable asset or fund manager provide you with a tried and tested strategy means you can be way more hands off, while still having the power of choosing which funds, and how much of them, are suited to your needs. Someone else is evaluating the market, making adjustments to your holdings and rebalancing constituents on your behalf which means less time and homework is needed from you.
- Diversification:
A managed investment portfolio will typically invest in a variety of different assets, such as stocks, bonds, and cash. This diversification can help to reduce your risk by spreading your money across different asset classes and companies.
- Learning from the best
If you’re new to investing, observing the strategy and investment choices made by a manager could go a long way in helping you upskill yourself on how you may want to manage your own portfolio.
Types of managed products
- Unit Trusts: A unit trust is a pooled fund, which means that it allows a group of investors to combine their cash and invest it. Think of it like going in on a group gift. The fund is run by a fund manager, whose aim is to grow the overall value. EasyEquities’ unit trust selection includes the top reputable investment funds in our country like Allan Gray, Ninety One, M&G, Coronation, Discovery and more. These are household brands with tried and tested portfolios available to you to invest in with any amount you like.
Read more about what a unit trust is here. You can also view and compare by theme, strategy or look at which are the top performing unit trusts by using our EasyWealth platform.
- Exchange Traded Funds (ETFs): These are a collection of different stocks (and sometimes other investment categories) that track an index or theme and can be bought in one transaction. Local and international ETFs are available on EasyEquities including those from major providers like Satrix, Sygnia, FNB and ABSA in South Africa and Vanguard and Blackrock’s iShares in the US.
Read more about what an ETF is here. You can also view and compare local ETFs by theme and strategy or look at which are the top performing by using our EasyETFs platform.
- Bundles: A bundle is a bespoke portfolio put together by an asset manager, who receives a fee in return. Read more about what a bundle is here. You can also view and compare by theme and strategy or look at which are the top performing bundles by using our EasyWealth platform.
Auto-investing
When you have a regular investment plan, it is easier to stay on track with your wealth building aspirations. You don't have to think about it every month, and you won't be tempted to spend your money on other things.
If you are looking to take a more passive approach to investing in your portfolio, you can set up a recurring investment which will allow you to auto invest into any stock or managed product from your free cash or directly from your bank account.
Setting up a recurring investment also forms part of the criteria for the EasyEquities loyalty programme, Thrive, allowing you to earn discounted brokerage on your investments.
Any opinions, news, research, reports, analyses, prices, or other information contained within this research is provided by an employee of EasyEquities an authorised FSP (FSP no 22588) as general market commentary and does not constitute investment advice for the purposes of the Financial Advisory and Intermediary Services Act, 2002. First World Trader (Pty) Ltd t/a EasyEquities (“EasyEquities”) does not warrant the correctness, accuracy, timeliness, reliability or completeness of any information (i) contained within this research and (ii) received from third party data providers. You must rely solely upon your own judgment in all aspects of your investment and/or trading decisions and all investments and/or trades are made at your own risk. EasyEquities (including any of their employees) will not accept any liability for any direct or indirect loss or damage, including without limitation, any loss of profit, which may arise directly or indirectly from use of or reliance on the market commentary. The content contained within is subject to change at any time without notice.
