As Portfolio Manager at PSG Wealth Old Oak and with over 20 years’ experience in the investment industry, Schalk has consistently delivered solid returns to his clients and has certainly become one of South Africa’s most well-known strategists. He started his career in 1994 at the stockbroking company, Huysamer Stals (later ABN Amro). He joined SMK Securities in 1997, (later became BoE Personal Stockbrokers) and was later appointed as director and branch manager. In 2001 he co-founded Contego Asset Management and managed the company as CEO up to March 2014, after which he joined PSG Wealth Old Oak. Schalk has also become a regular household name with investors, with his reports being published in many of the national press. He completed his MBA in 2008.
Markets & Equities

Buy and hold, or actively manage as times change?

I have always been fascinated by the concept of human perception, especially when it comes to the selective decision-making process of what to remember and what not. As a young man, I fell in love with the Alfa GT Junior sportscar. To me, there was no car more beautiful than that little red monster. It […]

Financial Planning

What to do in times of misfortune

In 1964, a 22-year old Muhammad Ali (known then as Cassius Clay) shocked the world when he became the world heavyweight boxing champion by defeating Sonny Liston. Two years later, Ali made headlines again, but this time for his refusal to take part in compulsory military duty, mainly due to his religious beliefs and also […]

Economy

The Beta answer to questions about the market

What a year it’s been so far. After the FTSE/JSE All Share Index ended 2019 with more than 12% positive growth, and the MSCI All Country World Index with a whopping 27% growth in US dollar-terms, general consensus forecasts for 2020 were definitely optimistic in nature. Sobering were the events that followed when our local […]

Markets & Equities

The opportunities that tomorrow brings

Some of the greatest success stories all have one thing in common, and that is that hardship isn’t used as an excuse, but as motivation – the motivation not to focus so much on current circumstances, but rather on the opportunities that tomorrow may bring. Famous sports stars like Mohammed Ali (boxing), Nikki Lauda (Formula […]

Markets & Equities

How high volatility can offer investors good opportunities to buy

As I was writing this, we were just entering the month of March, following a February filled with so much negativity that I’m sure we would all just like to forget it as soon as possible. They say that it is always darkest before the dawn, and although this may not be the answer that […]

Markets & Equities

Investment opportunities in local banks

In their book, The Enigma of Reason, Hugo Mercier and Dan Sperber writes: “Two major features of the production of reasons: it is biased – people overwhelmingly find reasons that support their previous beliefs – and it is lazy–people do not carefully scrutinize their own reasons. Combined, these two traits spell disaster for the lone […]

Markets & Equities

Are there opportunities hiding in local listed property shares?

I have made reference to the phrase, “swimming upstream” before, and mentioned how it always reminds me of the joke about the man who was travelling on the N1-highway when he got a phone call from his panicked wife. She had heard on the radio that on the same highway, a vehicle was travelling in […]

Markets & Equities

Positioning in 2020

For the first January in years, the Western Cape is not facing another day zero to prepare for, and this whole drought situation also taught me one of my greatest life lessons. Like most Capetonians, I followed the standard water storage route by installing both a rain water tank and a grey water tank. Trying […]

Markets & Equities

Low volatility does not necessarily mean less growth

Investors who have followed my reports over the years, would know that I like to use well-known sayings to either point out or describe a variety of terms or market movements. But there is one saying that regularly makes its appearance in the investment world: “High risk, high reward.” Without wanting to offend thrill seekers, […]

Markets & Equities

Mid-Caps – Is it time to go big?

With the Rugby World Cup (RWC) behind us, we can proudly say that we are the world champions. Not only did we win the final against England, we just about destroyed them in dominating fashion. What makes this achievement even greater, is the fact that in March last year (2018), there was absolutely no excitement […]

Markets & Equities

The S&P500 party is just getting started

We have all been invited to a function, party, wedding or braai that we just didn’t look forward to, only to be surprised with a very pleasant event. Before you knew it, you were socialising like pro, and by the time midnight struck, you were the one proudly showing off your best dance moves to […]

Markets & Equities

When last year’s winners keep up momentum

A few of you might point out that my message this week directly contradicts what I said a few weeks ago. “Don’t bet on last year’s star performers” was right there in the title in September after all, and I pointed out that betting on last year’s winning shares may not always be the best […]

Financial Planning

Five achievable investment ideas to help grow your personal wealth

I recently got home from work, only to find my eldest daughter in tears.  Upon enquiry as to why she was so sad, she told me that she had a massive university assignment due and that this particular assignment was so huge, that with the time she had left and the quantity of work that […]

Economy Markets & Equities

The relationship between JSE earnings and SA GDP Growth

We live in an era dominated by superheroes, and when I say this, I’m not referring to the real brave man climbing up the side of some building to rescue a child that’s hanging by a nail. No, I’m talking about comic book characters that usually find themselves on the big screen in a wonderfully […]

Financial Planning Markets & Equities

Sometimes doing nothing is the best thing to do

Until fairly recently, my youngest daughter competed in the South African XC mountain bike race series. For those of you who are not too familiar with the sport, the easiest way to describe this particular type of race, would be to refer to it as a mountain bike race that takes place on a track […]

Financial Planning

High costs attached to retirement annuities are a myth

I recently co-consulted a client with another adviser with the aim of addressing the client’s retirement needs. The adviser recommended that the client invests in a retirement annuity (RA). Without a moment’s hesitation, the client said, “I’m not interested. I invested in a retirement annuity 30 years ago and it hasn’t grown in value since. […]

Markets & Equities

Fear and greed in one index

Click here to see this most recent updated version of the Fear & Greed South Africa Index. Warren Buffet remains one of the most famous investors out there, so it’s no coincidence that his sayings are equally famous. One of my favourite Warren Buffett sayings has to do with two key emotions in the investment […]

Markets & Equities

How well have the different factor investors done so far in 2018?

At the time of writing, the Springboks were getting ready for their first test match against one of the northern hemisphere’s teams: England. As they were announcing the South African team, I couldn’t help but think that this actually presented the perfect opportunity to explain how factor investments work. Although Faf de Klerk may be […]

Markets & Equities

Stats and themes

Flying back home recently from OR Tambo international airport, I couldn’t help but notice that by putting some distance between myself and the earth below, we get to see things from a completely different perspective. On the ground, everything seems to be moving constantly, but as the airplane goes higher and higher, the movement and […]