Newsletter: Foster Wealth News | Dec 2017 | 5 August 2020

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Dear Clients

As a tumultuous year draws to an end, it is a time for reflection and an opportunity to wish all our Christian clients a happy and blessed Christmas and a happy and healthy new year.
This will be our last newsletter for the year, however, if something substantial emanates from the ANC elective conference, which is due to be held from the 16-19 December, we intend to issue a newsflash.

Our country and our financial wellbeing is standing on the edge of a precipice and in an ever-changing business environment with increased uncertainty and tension, we deem it appropriate for all of us to reflect on what’s made 2017 a tumultuous year and update you on how your investments have been positioned. We will also update you on changes to the monthly statements and welcome back our tax services.

Tax Services

After many requests from clients, we have decided to resume our tax services. The biggest challenge in providing tax services in the current political situation is dealing with SARS. To be fair to those clients who have relatively basic tax returns and are either not subjected to audits or who are subjected to the basic audit process we have adjusted our charges accordingly. The base cost set out below will include submission of the tax return and uploading supporting documents, should you be audited. However, in the cases where clients are audited more than once, an additional cost of R500 will be billed.

• Base cost: R1 200 ex VAT (non-provisional tax payer)

• Base cost: R1 500 ex VAT (provisional tax payer)

• Visit to the SARS branch: R700 p/hr, with the average time being 1 – 2 hours

We are also able to complete Annual Financial Statements

• Trust Annual Financial Statements and tax return: R5 000 ex VAT

• Small Business Annual Financial Statements and tax returns: R5 000 ex VAT

Steinhoff

The recent news regarding Steinhoff is extremely disappointing, to say the least. Although we do not have all the facts yet, it is sad to think such an influential business leader like Dr Christo Wiesse could have missed or worse, been part of fraudulent accounting practises. However, we have to do our best to take emotion out of the investment process. It is examples like Steinhoff, that illustrate the importance of diversifying effectively. Our investment solutions, use a number of different asset managers, some of which had zero Steinhoff shares, and they in turn invest across different asset classes.

Our blogs

Impact Investing: making a difference while making money

“It is rarely the application of government programs that create true, lasting change in the world. It is the entrepreneurs working out of garages in Silicon Valley and shacks with dirt floors in India that end up changing the world for the better.” ~ James Sorenson

Bitcoin: boom, bubble or bust?

"It is time to realize that they (cryptocurrencies) are the real barbarians at the gate."

Andrew Sheng, chief adviser to the China Banking Regulatory Commission.

The world is changing faster than we can think. Disruption is constantly chipping away at conventional systems and driving change at a dizzy speed. Begun in 2009, Bitcoin was initially taken up by an elite few with the technical skills to dive and dabble in something so fundamentally disruptive, that it has taken several years for the penny to drop on the wider public. After a somewhat bumpy ride, the price of Bitcoin has risen from 0.0001 USD in 2009 to 1 000 USD in 2013, to over 4,000 USD per BTC as of August 2017.