Author: Hereford Group

As we enter a year that follows hard on a year that many would rather just forget and one which promises a lot of change in the way we do things, one might be forgiven for being a little ambivalent about how they approach goals for the coming year. It is reasonable to ask “what kind of goals mind-set do you have right now?”

We are still facing and fighting a second wave of the virus that took us all by surprise just shortly after we set our goals last year – and look at the storm caused by that! What we need to remember though is that we are better prepared now. We know something about this virus and all over the world vaccines are rolling out. We are no longer not in control or likely to suffer the same kind of consequences that we did in 2020 – so let’s not go into 2021 with a ‘Willy-nilly’ goal-setting attitude.

Certainly, we know from the lessons learned in 2020 that we need to proceed a little more cautiously and many of our articles during the thick of the pandemic and the ensuing market downturn spoke about the types of insurances and other financial protectors that we do need to have in place to ensure that our long term goals are realised – but let’s also not compromise what we still want to aim for.

Here are a few useful tips you can keep in mind as you decide on financial goals for the coming year –and just as importantly – to remain committed to them as 2021 unfolds…

Keep your eyes on the prize

There’s an old saying about keeping your eye firmly fixed on the prize. When you set out to set financial goals this year remember the future you have always envisaged for yourself. Don’t think because you may have just suffered a couple of setbacks that you can’t still achieve that retirement villa in Spain.

Keep visual reminders of the big prize around to see and encourage you all the time. Go to Spain the next time you can afford a good holiday and look at the kind of place you want to buy – and even if you don’t get there now have pictures up wherever you can see them and always remain ‘fixed on the prize!’

Be realistic and build it into the budget

Remember that building wealth is about creating a holistic plan that gets there step by step. Be realistic about what you can spend and save every month, then build your financial wealth plan into your budget. This must be fixed and not negotiable.

Try to extend yourself a little too if you want the big prize. Add some big bonuses you might achieve to the package as you go along.

Setbacks should simply be a change of course

To remain committed to long term financial goals the biggest thing is not to just stop when setbacks occur. These often simply mean a change of course or short term strategy adjustment.

This is where Financial Advisors play such a huge role, as they plan for contingencies when they assist you to structure the initial profile. This was attested to by many Hereford Group clients when the pandemic hit us and those who had taken solid financial advice had found themselves pretty well cushioned to take the blows in the short term and remain on course for the duration.

Choose a Financial partner to assist you

One of the best things you can do when goal setting for any financial future is to enlist the assistance of an experienced, knowledgeable Financial Advisor who can partner you throughout your financial journey.

Talk to us – and whatever 2021 holds, with a Hereford Group Financial Advisor at your side the chances are you will enter it with a positive goals mind set – determined to achieve financial security, independence and yes – that Villa in Spain!

At this time of year, there are forecasts and predictions aplenty for the year to come – obviously some good and some bad. The coronavirus pandemic is still with us and still taking its toll but there are also many positive sentiments around recovery following it and hopefully, vaccines timeously rolled out will help.

The interesting thing to keep in mind, as analysts all make their predictions and forecasts for 2021, is that historically whenever these types of financial downturns have occurred, the eventual outcomes are always the same.
Those with foresight – and with a sound financial basis to their businesses – or in the case of the man in the street, a sound financial plan, always manage to ride the storm (some astute investors even riding the crest of the tidal wave) and can pick themselves up after things recover.

Let’s face it, some came out of the last massive financial downturn better off than before, as they were well advised of what was about to happen, made contingencies and bought in when share prices were at rock bottom.

Some things don’t change

The people that were really hurt were, as always, the poor – or those simply not prepared to be able to sustain a period of loss. So what was is it that those who are at least reasonable earners had failed to do that left them totally battered by the storm – in some cases even unable to recover?

Three sound financial principles

It may sound ridiculous to say there are only 3 solid financial principles on which to build wealth when the world of finance appears to be so complex, but it is true and here they are…

1. Don’t spend more than you earn

Whether you earn R1, 000 a month or you’re a multi Billionaire, if you spend more than you are worth – or you earn – you will always be struggling with finance. Even in the worst circumstances those who prepare for rainy days will usually overcome and win in the end. Ensure you budget correctly and manage it wisely.

2. Save and start investing early

This obviously leads to saving – a habit that has to begin from the day you start earning, but even if you didn’t it is never too late. It is doubtful that anyone earning a reasonable income can’t replace some aspect of their budget with some money to save or invest.

3. Have a solid financial plan

Regarding making investments, this is where you need to talk to a professional Financial Advisor. Remember they don’t judge you on how much you earn. Whatever amount it is they will work with you on making those astute investments that will be the beginning of a sound financial future.

If you enlist sound financial advice, it is the ‘cushion’ that prevents you becoming one of the casualties of market downturns. With the help of Hereford Group, regardless of forecasts and predictions for 2021 and whether you are a less than average earner or a wealthy business owner, through saving, investing and having a solid financial plan you can build a sound financial future.

Contact us to review your unique financial requirements. You’ll find out that although we are always in the know and aware of all forecasts and predictions, we base our client’s futures on age-old sound financial principles!

Life is filled with risk. From the moment we first open our eyes to the moment we finally close them when we have run our race, we face risk every day. Unfortunately even the good times, those times we most look forward to, carry some risk and vacations are one of them.

The fact that a vacation away usually involves not being home to protect what’s ours, travel risks and being in unfamiliar surroundings all play a part in this. We at Hereford Group are about building wealth for people and ensuring that those who avoid risk enjoy their golden years, but a wealth portfolio is also about assisting you to be prepared for and be protected against the unexpected.

Here are a few tips, or simply reminders to help you to tip the scales in your favour this annual vacation…

Be prepared

Before you go

Ensure you either have a house sitter or inform your security company and your neighbours when you’ll be away. Ask whoever is still around to empty bins and remove the post left lying around – or any other signs that you are away. Leave some outside lights on and ensure everything is locked and secured.
Prepare for the road by ensuring your vehicle is roadworthy and properly prepared for a long trip. Have a safety check done and check tyres (as well as the spare tyre) and your fuel gauge to avoid unnecessary breakdowns.

On the road

This is probably the highest risk time for you and your family’s well-being. Unfortunately, we are reminded every year that the road death toll over peak holiday seasons is extensive and we definitely don’t want you to become yet another of those shocking statistics as you ‘ride into the danger zone!’

Remember once again it’s about being prepared. Having ensured the safety of your vehicle, get sufficient sleep before embarking on the journey and plan your trip to include regular breaks – no more than 2 hours without stopping if driving is not shared.
No doubt you have heard all this before but please, don’t even think of drinking and driving throughout the vacation and remember impatience and speed are the other big killers. Make up your mind before you go that you are in no hurry. Remember as a parent you are responsible for the lives of precious cargo.

At your destination

Remember when in a strange place you become a target for those in the know. Wear minimal jewellery and carry minimal cash when you go out. Also, keep items locked in the boot of the car.

Get advice from locals or your hotel concierge as to where it is safe to go and when out avoid quiet streets or being alone. Remain vigilant at all times.

Be protected

Visit your Hereford Group Financial Advisor to ensure you are up to speed in all forms of necessary protection for your household and assets, you and of course your family. Make sure your household and vehicle insurances are up to date to protect your assets, but more importantly protect you and your family with life cover in case the worst should happen – and income and disability protection in case of an accident that leaves you unable to work for some time.

At Hereford Group we are only too happy to assist you with any necessary preparation and protection that you need to have in place. At the end of the day we, as much as you, want you and your family safe so we can continue to assist you to build your wealth and live that full, rewarding life that you so richly deserve.
Have a terrific vacation and a blessed, peaceful holiday season!

Can you remember your New Year’s resolution last year for 2020? No doubt it was positive and you envisaged growth and prosperity. People were even saying “2020 – the year of plenty!” Well, that it was, but plenty of what we least expected!

By February, with our plans well underway, we had all heard rumours about a few lives being lost to some peculiar virus in China – an incurable one it seemed which scared us a little – but none of us suspected what was to come in the next few months.

Well, no need to re-enact it all. Suffice to say, businesses, jobs, fortunes and worst of all many lives were lost before we could even comprehend what had actually happened. COVID-19 had released its fury and had the entire globe in its steely grip in the blink of an eye.

It’s not yet over either. As we reach the end of the year many top companies are predicting poor first quarters in 2021, as the UK and European countries besieged by the second wave of this scourge have gone into lock-down again.

…but there’s light

Human beings, being the resilient creature that we are and wired with an invincible survival extinct, will always overcome however and we are now beginning to see the light. In South Africa in particular, having dealt well with the pandemic, and providing we don’t write it off too soon, are already taking positive steps towards regrowth.
The USA elections have been the first of the silver lining behind 2020’s dark cloud as the Democratic candidate, Joe Biden, was elected the 46th president of the United States of America in November. The markets seem to be positive about a Democratic win due to their support of a large rescue package for the States, as well as a more internationally friendly trade outlook, especially with China.

According to Bloomberg “the FTSE/JSE Africa All Shares Index rose as much as 1.4% to the highest intraday level since 27 August and was up more than a 1% in mid-morning trade on the day after the announcement of the win. Positive sentiment helped boost 101 of the 141 listed companies.” Finally something positive – something to build on.

As President Ramaphosa spoke on the 11th of November about where we were going with the pandemic, the tone was fittingly serious, as we do have a long way to go to defeat this virus, but the message was positive. The overriding theme was about moving forward with an eye to economic recovery. This superseded all other concerns and there’s no doubt that the country as a whole echoed this sentiment.

Will you benefit?

So the first question is “How can you best benefit from this long-awaited positive upturn?” and more importantly “Will your 2020 New Year’s resolution prepare you for 2021?”
New Year’s resolutions are pretty fruitless (as 2020 should have taught us) unless we have a solid wealth profile that covers all the bases. We simply never know what the New Year will bring.

Wealth planning is not a one day game. It is about being prepared for and protected against the unexpected and then positively building towards a long term future. Many of our Hereford Group Financial Advisors, because of this holistic wealth planning approach, received accolades during and post-pandemic as they saved many clients from suffering as badly as others.

Strike your balance

Life is filled with risk and we all view and approach it differently. Some may lean more towards profits and others more to protection because they are more risk-averse. We at Hereford Group have for 25 years been correctly advising clients because we are aware that everyone and every business is different.

At the end of the day, when you make your New Year’s resolutions, you will call the shots, but talk to one of our experienced, knowledgeable Financial Advisors to ensure that if 2021 has more storms in store you won’t be sinking – and if there’s a fair wind blowing you will be sailing full speed ahead!

May 2021 be exactly what you wish for! Happy New Year.

Quite a lot has been about ‘Movember’ and we ourselves have done so in the past. It is always worth talking about, however, because it is a fine initiative and its rate of growth certainly has been a phenomenal story.

This article, however, takes a slightly different slant on the subject and we look at the significance of observing our health as a crucial part of our ultimate wealth planning. After all, health and your finances, whether you care to admit it or not, are inextricably linked.

What’s ‘Mo’ all about?

For those whose heads may have been buried in the sand in the past few years and are wondering why we keep spelling November with an ‘M’ – a brief re-cap. ‘Mo’vember is held in November of every year because this happened to be the month when a group of Aussies took a bar bet to see who would grow the best moustache within a certain period.

More joined in the following year and – and it was then decided that the bets (now becoming a significant amount) could raise funds for a worthy cause. The Prostate Cancer Foundation of Australian was the first recipient of funds raised for prostate cancer and as the initiatives grew and started to take off globally the funds raised began to include other men’s health issues like testicular cancer and men’s suicide.

Health and wealth are inextricably linked

In 1860 Ralph Waldo Emerson the American Author and philosopher said: “The first wealth is health.” Financial motivation guru Anthony Robbins whose books have sold millions said: “The higher your energy level, the more efficient your body, the better you feel and the more you will use your talent to produce outstanding results.”

If the COVID-19 pandemic should have taught us anything it is that life is unpredictable and tenuous. As far too many found out, we need to always be looking to protection to have preservation and ultimately be able to enjoy the wealth we are planning and building.

Movember is not designed simply to support those who have fallen victim to men’s health issues, but to be a constant reminder that our health is precious and that we need to preserve it for our sakes, our family and yes, ultimately our financial wellness too!

What’s the plan?

Regular testing – From a health point of view, from the age of 40 and over, ensure you have regular medicals and get tested if any signs of prostate appear in your blood tests. Prevention is always the best form of protection – and this extends into your long term financial plans too…

Health cover – The right health cover will ensure you are protected against any unforeseen events and that you get to see the right doctor or specialist promptly. You won’t have to travel far or have to wait for a long time to receive the appropriate treatments.

Dread disease cover – This is important. As dread diseases are no longer necessarily a death sentence – recovery is good, but treatment is costly. – Lump-sum cover of medical costs is a great help, as not all specialist fall under medical aid approved rates.

Income protection – Protecting your monthly income has become essential in a time when we are dealing with such radical fluctuations in economies and, as the pandemic illustrated, sometimes entirely unexpected health issued too.

Life Cover – An unfortunate reality is that some of us succumb to dread diseases and we are never sure if or when it might happen. To protect our families and their long term financial wellness, life cover is essential but is paid only on death.

A tribute to the ‘Mo’ growers

Hereford Group pays tribute to all who are growing moustaches this month in support of these important men’s health issues. We hope this article has been helpful to remind us all that whatever we are faced with we are all unique and we will all have different outcomes, but one thing is common for all of us, the better we protect ourselves the more likely we are to preserve ourselves – and our wealth.
We can only remind you to look out for your health, but we can guarantee your financial wellness – if you trust us to do so. Contact a Financial Advisor for a no-obligation consultation today – and hey – keep growing those ‘Mo’s!

The terms ‘short-sighted’ and ‘long term vision’ are heard every day in financial circles. Recent events, however, have given them somewhat more significance and brought them sharply into focus.

The COVID-19 pandemic is still very much with us but already we are analysing what lessons we need to have learned from it. It has made us more aware than ever before of how the unexpected can always be expected. Things not only might happen but invariably do. It would be naïve, frankly, to think otherwise.
So many businesses and individuals sadly suffered the consequence of simply not being prepared when COVID-19 suddenly paralysed the nation and turned the global economy on its head.

There is an old saying that “success is when preparation meets opportunity.” This is very true in the normal course of events, but has a hollow ring when the reality of the situation goes no further than “survival is when preparation meets upheaval!” There is one common word though in both those statements – preparation…

In upheaval – preparation is protection

There are times though that preparation is simply protection from upheaval. As every businessman knows – ebbs and tides are the day-to-day but assuring you stay afloat in a storm means having the resources to survive when it hits.

We often curse the need to spend part of our hard-earned cash on short term insurances – and a lot of people don’t – but realistically short term cover is long term vision. Once again we have to refer to the pandemic to illustrate that there is nothing that will put a bigger dent in your long term wealth plans than suffering a major short term set back!

How many people had to go running to Financial Advisors to cash in valuable assets simply through ill-prepared short term vision? Financial Advisors hate to say “I told you so,” but you can bet there were many who advised short term cover as part of a healthy holistic portfolio but were ignored.
Simply put – lack of short term cover often compromised long term wealth – so cover in the short term is actually being long-sighted – ignoring this is simply being very ‘short-sighted!’

Short term cover solutions – with long term aspirations

Remember that in this context we are not talking about only the ‘short term’ insurance for the home and motor vehicles – it is any insurance that protects one against potentially sudden disruptions.
These certainly include household fire and theft and vehicle theft cover, but road accident cover like health cover, disability and income protection all come into this. Even pre-COVID, over a million road accidents were reported in South Africa every year with, on average, over 40 people a day being fatally injured and at least 20 being left permanently disabled!

We are all unique and special – but not invincible

We started this article discussing common phrases and the most dangerous one is “It can never happen to me.” Can you name one person you know over 30 who has never been seriously ill, in a car accident or suffered some financial setback as a result of an unexpected turn of events?

We are all unique and special and Hereford Group has become a household name over the last 25 years because we understand that. Every life and every need may be different, but one thing is common – an effective long wealth portfolio should always include short term protection.

There are many ways to do this and be achieved within your budgetary constraints. Talk to a Financial Advisor today to ensure that your long term vision is fully understood, protected, ultimately realised and even surpassed. Stay positive – and stay safe!

Throughout the last few months, as we collectively struggled through the COVID-19 pandemic, other critical illnesses like cancers and heart issues pretty much took a back seat.

As we are now phasing out of the grip of COVID-19 (but still very much aware of its presence) we can once again turn our attention to something that is of great importance -dread diseases in general – their prevention and financial cover for them.

One thing the pandemic should have taught all of us is that life is tenuous and both looking after ourselves and insuring we are not caught financially off guard if we become victims of a dread disease does matter.

Breast cancer – awareness and prevention

In October of every year, it is National Breast Cancer Awareness month and we are rightfully reminded that breast cancer is still a scourge amongst our female population. Sadly, in many cases it may have been prevented had the victims made some better choices, or taken the correct preventative measures.
If one is made aware of the symptoms through early detection it can lead to an earlier diagnosis which invariably leads to a better treatment outcome. Regular screening therefore is said to be the most important method of prevention for breast cancer and should be done regularly.
Regularly checking one’s breasts for lumps and reporting any lumps to your medical practitioner is important at all ages and Mammograms are recommended for women even from age 40, but definitely from age 50 up to around age 74.

Lifestyle factors

Lifestyle plays a role in the prevention of cancers too. Obesity for example can be a factor so regular exercise and a healthy diet will help, as will the moderation of alcohol. No more than one or 2 drinks a day are recommended and no binge drinking.

Not only breast cancer

According to statistics from the National Cancer Registry (NCR) 2016, women are also affected by cervical, colorectal, uterine and lung cancer, but breast and cervical cancer are the most prevalent.

Approximately 19.4 million women aged 15 years and older live at-risk of being diagnosed with breast cancer and figures from a few years ago show that deaths from breast cancer and cancers of the female genital tract, accounted for 0.7% and 1% of all deaths in South Africa – a pretty alarming figure.

Some good news

The good news though is that with the advances in medicine there are also more survivors of breast and other cancers as time goes on. You still would not, however, want to be caught with any of the dread diseases without financial protection as the cost of treatment is prohibitive.

Apart from the obvious essential of having medical aid to cover the treatment of any dread disease, there are various options available to protect both your income, if you are unable to work, and your family if you don’t make it through.

These are dread disease cover, income protection, disability cover and of course life cover – an absolute essential if you have a family who would not be able to support themselves.

Whereas life cover used to be considered more appropriate in days gone by because so many people succumbed to dread diseases, dread disease cover, a lump sum paid out on the diagnosis of a dread disease, has now become very much more popular, because it is no longer considered to be a death sentence, but treatment costs can still be crippling.

Talk to the experts

If you have any confusion however about which of these best suit your needs simply speak to the people that are famous for being different through understanding that everyone is unique and different. Hereford Group financial Advisors are passionate about not just knowing their products, but listening to you and advising on your specific needs.

Contact us so that we can ensure you have a holistic plan that covers all eventualities and builds wealth for you and your family’s future. Especially to our ladies – be proactive and be safe!

As we welcome with open arms a spring that follows a difficult period for all, one cannot help but think of the words from the Beatles song “here comes the sun.’ It went something like ‘Little Darling, it’s been a long cold lonely winter…’

These words ring true to many who have experienced loneliness, hardship and of course huge financial difficulties resulting from a pandemic we are still fighting and might be for some time to come. Eventually though, the ice slowly melts – spring arrives and ‘here comes the sun!’

A new phase of hope

There is now light at the end of the tunnel. In August our number of cases started diminishing and we confidently moved, as a more unified nation, into phase 2 of the national lockdown – finally many were back at work and the wheels of industry once again began to turn.
Certainly, many have had to do damage control, just like the Farmer who may have suffered crop damage trough the ravages of a particularly harsh season, but where there is hope and the new beginnings that spring always promises, there is always a way forward.

One foot in front of the other

These words of our inspirational former President and global icon Nelson Mandela ring very true now – “I am fundamentally an optimist. Whether that comes from nature or nurture I cannot say. Part of being an optimist is keeping one’s head pointed towards the sun, one’s feet moving forward…”
J.P. Morgan – an icon of the financial world said – “The first step towards getting somewhere is to decide you’re not going to stay where you are.” Just as the Farmer needs to plant in spring to ensure his future, every individual, business and organisation in this country now need to take the bull by the horns, welcome this time of new beginnings and begin to plant and plan for a better future.
Assessing the damage done is astute and necessary, but with if we don’t start moving forward, one foot in front of the other this pandemic will have beaten us and we will simply stagnate until we face the next long lonely winter.

Plant the seed and plan to succeed

Many things may have changed as a result of the last few months, but your long term wealth planning does not need to come to a halt because of it. Quite to the contrary, now more than ever is the time to adjust and plant the seeds that will yield future growth.
Your Financial Advisor can assist you with altering your portfolio to simply steady the ship in the short term, whilst still planning for positive outcomes in your retirement years.

Retirement Annuities are a good example of saving in the now and planning for the long term. As you save you lower your tax burden and these investments have been known to yield impressive returns as well.

25 years of weathering the storm

As a financial entity that have weathered many a storm but are still leaders in a highly competitive industry, Hereford Group could have saved many people at least some of the hardships they may recently have had to endure.

Astute financial planning that covers all eventualities and still yields a great crop when the seasons turn, can best be achieved by allowing one of our Financial Planners the opportunity to assess your unique requirements and situation.

Contact us today to assist you to plant the seeds that could turn this long cold lonely winter to ‘walking on sunshine’ for you, your family and your business in the years to come. Stay positive and stay safe!

Some believe it is a whimsical idea to talk about the ‘Rainbow nation.’ Certainly, in every society, there are issues around cultural diversity and history shows that we will always be learning and growing to try to achieve this in the true sense of the word.
One cannot deny however that in this great country we are certainly making the effort and out Heritage day celebrations every 24th of September, bear testament to that. It is a day that we celebrate the diversity of our cultures and why should we not?
Is it not exactly this diversity that makes us a country with such a powerful melting pot of strengths, ideas and creative input that we ultimately produce the finest formula for success?

Each culture is an irreplaceable cog in a wheel that simply can’t turn without our diverse range of skills and attributes. We are all a significant part of a magnificent whole and that is what makes up this great rainbow nation.

An interesting history

The 24th of Sept has changed over the decades. It was originally Shaka’s Day’, a day which commemorated the legendary King Shaka Zulu. For various political reasons, it was eventually decided to name this date ‘Heritage day’ – a day all our cultures and creeds could come together and celebrate our diverse cultural heritage.
In 1996, in an address to mark the day the State President Nelson Mandela said, “When our first democratically-elected government decided to make Heritage Day one of our national days, we did so because we knew that our rich and varied cultural heritage has a profound power to help build our new nation.”
It was this ‘power of all people to build a new nation’ that got us to thinking of the great strength that can be found in versatility and diversity.

An interesting comparison

As financiers at heart, we cannot help but liken this great melting pot of cultures and the strength derived from our diversity and skills with a well-balanced wealth portfolio. A successful country consists of three essential elements – its people, a constitution to protect its people and building its wealth to sustain it and its future.

The people

We see the people likened to you and your family. You need to invest in your family and their future. Life insurance, Educational planning and Estate planning are all factors that show your family you care for them and give you the peace of mind of knowing your people will be looked after when you are gone.

The constitution

This is the protection portion of your profile. After the huge knock that many took from the pandemic, we have learned that income protection and disability insurance can guard your income – and standard short term insurances like household and medical aid protect you and your people from the unexpected.

The wealth builders

Future planning for retirement and making investments to build your wealth is essential for you to have a balanced wealth portfolio that will see you still eating steak in your golden years. Just like every country needs to invest in the future to build its wealth and assets – so should you.

Astute financial advice – The crucial ingredient

Wealth creation and preservation are a skill like any other profession and it takes years of experience and expertise to understand the intricacies of the financial world. Our Financial Advisors are amply qualified to offer the best solutions for your unique requirements.
For 25 years Hereford Group has been different because we understand that you are different. Let us take our differences and combine them to make the finest formula for success – a balanced comprehensive wealth plan that ensures there will always be a pot of gold at the end of your rainbow! Stay positive – and stay safe!