South African investors are in love with equities - we kind of think it’s the only place to be. This fixation cannot last. South African investors need to embrace different asset classes.
While South African equities have underperformed in recent years, especially when compared to US stocks, their performance is actually in line with that of other emerging markets. Much of this has to do with the fact that economic growth in developing countries has struggled to recover since the 2008 crisis.
Emerging market malaise