Novare

About Novare

Founded in 2000, Novare is one of South Africa’s leading independent financial services groups. We initially began on our journey as an independent advisory business offering tailored financial advice.

Expect elevated levels of financial market volatility in 2015

Financial market volatility, which has increased over the last few months from unusually low levels, should remain elevated during 2015 as macro-economic inflection points are reached.

Global equities a better option than the still expensive JSE

The recent correction in global equity markets removed a lot of the froth evident in valuation levels a few months ago and, looking ahead, global equities are likely to be supported by continued accommodative monetary policies and low bond yields.

SA hedge fund assets rise 27% to reach an all-time high

Larger hedge fund managers attracted the bulk of net cash inflows.

Fear of rising global interest rates could prompt equities shake-out

Unusually low levels of volatility in asset prices over the last few months are not expected to continue and investors should brace themselves for more volatility, especially if US economic data continue to improve and investors reassess interest rate expectations.

Equities to benefit as developed markets lead the recovery in global growth

Global equities are likely to benefit most as the theme of resynchronised global growth continues playing out over the coming year, with developed economies accelerating gradually and emerging markets bottoming out.

Despite high valuations, global equities remain the asset class of choice

With South African equities trading at a hefty valuation of more than 18.5 times historical earnings, investors should continue to look offshore where prices are more attractive, and to improve diversification and take advantage of potential currency weakness.

Novare bearish on the outlook for domestic equities

Equity market investment returns over the past year have been strong, but the outlook for the coming 12 months is for much more muted returns and investors will struggle to outperform inflation.

Consolidation seen in SA hedge fund industry

Current funds have R72 billion in available capacity.

Funds of hedge funds take the legwork and risk out of investing in hedge funds

A good fund of hedge funds should represent less risk than the sum of its parts, the individual hedge funds that are its building blocks.

Large allocation to offshore investments warranted, says Novare

The main risk for global financial markets over the next few years is how ultra-accommodative monetary policy, unprecedented in size, is unwound.