Why diversification still matters (especially when gold is in the headlines)
- Gold prices have risen sharply recently, and when one asset performs well it’s tempting to move more money into it. The problem is that by the time something makes headlines, much of the upside has often already happened. Chasing what’s “hot” can expose investors to unnecessary risk if prices pull back.
- Different asset classes perform well at different times. Shares, property, bonds, cash and commodities each have their own cycles. Diversification spreads your money across these areas so that if one underperforms, others can help cushion the impact. The goal isn’t to be perfect every year – it’s to be more consistent over time.
- Gold can play a role in a portfolio, especially during uncertain markets, but it works best as a portion of a broader strategy. A diversified approach keeps emotions in check, reduces risk, and helps ensure your investment plan stays aligned to your long-term goals – not short-term market noise.
Some quick stats on recent movements on the current trendy investments:
- Gold dropped over 12% on Friday, 30 January 2026
- Silver dropped over 30% on the 30th of January 2026.
- Bitcoin is currently in a massive downturn, with prices down more than 40% since October 2025.
Great article about the AI trend and if that might be a bubble – click here to read the article.
Last chance for your tax deductions!
Remember, this is your last chance to top up your RA or tax-free savings investment for this tax year.
You have until 28 February 2026 to take full advantage of your tax rebates.
An easy example: if you contribute R20 000 and you are in the 31% PAYE bracket, you will receive R6 200 from SARS whilst still having the full amount invested for retirement.
Also, donations to charitable organisations (registered and able to issue you an 18A certificate) can be fully utilised. For example, if you donate R10 000 and are in the 31% tax bracket, you reduce your taxable income by R3 100.
Get in touch if you would like to get your tax savings in!