Sponsored - 10 mistakes to avoid in your will. Many people think a simple, one-page document is all they need to transfer

ownership of their worldly possessions to their heirs. Some even go so far as

to rely on the pre-printed will forms you can buy at your local stationery

shop.

While there is a strong case to be made for keeping things simple and

uncomplicated, it is possible to oversimplify and in so doing make life a

whole lot more complicated for your heirs.

A well thought out will, drafted by a knowledgeable estate practitioner, can

simplify matters and help save a significant amount in estate and other taxes.

Here are some common pitfalls we see, and how to avoid them:

1) Don't use overly complicated wording

The worst possible thing is when heirs dispute the validity of a will. When

interpreting a will, our courts look at the ordinary meaning of words and

phrases used in the will. Clear, concise language is of the utmost importance

to make sure that there can be no doubt about the true intention of the estate

owner's wishes.

Limit the use of legal terminology to an absolute minimum, and only to

instances in which you or your will drafter have a thorough knowledge of the

practical implications and legal consequences. For qualified, professional

assistance in ensuring that your will accurately reflects your final wishes,

consult a financial adviser who has specialist fiduciary expertise for

guidance.

2) Avoid overly complicated structures

A simple but properly drafted will is usually sufficient to ensure a speedy

and cost-efficient transfer of assets to your heirs. Local and foreign trusts

and companies can also be set up to house assets and make use of the benefits

associated with these structures. Be aware, however, of the associated cost of

maintaining them in foreign jurisdictions - especially where fees are charged

in a foreign currency - as this may quickly negate any savings on estate duty

or tax.

3) Don't become obsessed with tax savings

A mistake we often see in this field is that people become so obsessed with

saving on taxes in their estate plan, that they forget to fully take into

account the practical needs of their heirs.

4) Don't create a burden for your executor or trustees

You don't want to create a burden for your executor or trustees - and

ultimately your family - who have to implement and administer the structures

you set in place. For example, trusts that are set up to last in perpetuity

can be tricky to handle in the face of changing legislation.

5) Allow for flexibility

Think carefully when restricting the movement of assets or the transfer of

wealth that could otherwise have benefited your children and grandchildren.

6) Choose your executor carefully

By choosing the executor of your estate with care, you can achieve substantial

tax savings in the estate administration process. Selling estate assets during

this process can result in a recoupment of tax if the deceased claimed a

depreciation allowance on these assets.

7) Your freedom of testation has limits

Freedom of testation means you can leave your assets to whomever you please,

but you cannot neglect your duties, or the interest of those who depend on

you, when doing so. However, remember that claims for maintenance from

dependents, a surviving spouse or claims in terms of the accrual system

created by the Matrimonial Property Act will take precedence and best be

factored into your will to avoid delays and disputes.

8) Ask your children what they want

Consider existing trusts and other estate planning vehicles that your children

may already have set up. If they prefer to receive any benefit directly,

despite the benefit that a control mechanism can offer, then consider this.

9) Include your will as part of your financial plan

Your will should be included as part of your holistic financial plan and your

financial adviser and estate planners should be aware of each other's work.

This can help to avoid costly mistakes and misunderstandings.

10) Don't put it off

Do not underestimate the impact that an improperly drafted will - or the

absence of a will - can have on your family. There are many horror stories

about the cost of procrastination. Make an appointment with a recognised and

accredited estate practitioner and get it done.

Discovery Bank launches & some good news on Torre. Content hosted by iono.fm

Anthea kicks off this week's business and financial segment of The Money Shot

by responding to a listener's email. Not a great start to the week on company

news, Vodacom (-8%), BTI (-11%), Rebosis (-21%) and Tsogo Sun (-3%). On the

bright side, Discovery Bank launches, while Tencent reports results, and some

good news on Torre.

Follow @AntheaCartesian

Follow @CliffCentral

...back to Podcast by CliffCentral

The Week Ahead of 20 November 2018. Global growth ex-US definitely appears to be slowing, with Japan recording a

reduction in third quarter economic growth and Chinese consumer spending and

real estate activity cooling noticeably. Trade talks between the US and China

are showing nascent signs of improvement and it seems possible that the two

sides may reach some sort of agreement at the G20 meeting at the end of this

month. US economic growth, led by robust consumer demand, shows few if any

signs of abating.

Bloomberg reports that the rise in interest rates catalyzed by faster growth

induced by US tax cuts may cause the US credit bubble to pop, according to

hedge fund manager Paul Tudor Jones of Tudor Investment Corporation. "We're

going to stress test our whole corporate credit market for the first time,"

Jones said last week at the Greenwich Economic Forum. "From a markets

perspective, it's going to be interesting. There probably will be some really

scary moments in corporate credit." Jones said zero and negative interest

rates have fuelled excess lending, placing markets in a dangerous condition.

He said today's levels of leverage could be systemically threatening even if

policy makers respond appropriately. Concerns about earnings peaking, trade

wars, oil prices and rising rates have been knocking credit markets, with

global high yield bonds suffering their worst Oct since 2008 and continuing to

sell off this month. Investment grade U.S. corporate debt is posting its worst

year-to-date performance in a decade, falling about 4% through Nov 15,

according to the Bloomberg Barclays index.

In the equity space, share buybacks continued to gain momentum as companies

came out of closed periods. For the third quarter as a whole, it appears

likely that share buybacks will set another record level of around $200

billion. This should help to underpin the US equity market.

Embattled British PM Theresa May endured one of her worst weeks in office last

week, as she doggedly attempted to gain support for her Brexit proposal. A

number of her cabinet colleagues resigned in protest, including the relatively

newly-appointed Brexit Secretary, Dominic Raab. Meanwhile the chairman of the

European Research Group within the Conservative Party, Jacob Rees-Mogg, openly

declared that May should step down as PM and that a new contest for the

Conservative Party leadership should begin.

The next few weeks are likely to be very testing for May as she attempts to

avert a motion of no-confidence in her and as she also tries to steer her

Brexit deal through the British parliament. To stage a motion of no-

confidence, the leader of the 1922 Committee of Conservative back-benchers in

parliament requires 15% of all Conservative MPs to submit letters expressing

their wish for such a vote to take place. That translates into 48 letters.

During the course of next week it may became clearer whether or not those 48

letters have indeed been submitted.

Getting her deal ratified by parliament, on or around 12 Dec, is far from

certain. Conservative rebels are likely to vote against it, as are the

majority of Labour MPs. And her partners in the fragile alliance that gives

her a working majority in parliament, the Democratic Unionist Part of Northern

Ireland, appear to be against it.

The JSE All Share Index fell by 2.2% last week to close on Fri 16 Nov at

52096. Year to date, the Alsi is down 12.4% and from its all time high on 25

Jan this year, it is down 15.6%.

JSE listed company results out this week;

19 November 2018

Netcare - Final

Astral Foods - Final

Invicta - Interim

Pioneer Foods - Final

Economic and related events this week;

20 November 2018

SA Leading Indicator Sep

21 November 2018

SA CPI Oct

22 November 2018

SA Repo rate announcement. Expect no change

Follow @Comrade_Skhokho

Astral benefits from higher prices and lower feed costs. After a strong year, the poultry producer says its near-term prospects can be

regarded as a mixed bag of negative and positive factors.

Astral Foods has reported vastly improved full-year results after a confluence

of actors worked in its favour. Higher selling prices for its chickens,

stronger volumes and lower feed raw material costs helped the poultry producer

almost double headline earnings for the year to end-September.

Astral's feed division posted a 16.7% rise in operating profit to 457 rand

million. It said contributions from its operations in the rest of Africa also

continued to improve, with operating profit increasing by 18.5% to 32 rand

million. Despite an increase in working capital and higher capital

expenditure, it still had surplus cash of 789 rand million at the end of the

period, putting it in a favourable position to fund its final dividend and

part of its capacity expansion capital programme over the next three years. It

plans to spend 1.1 rand billion to expand its production capacity by an estimated

20% from current levels.

Overall revenue rose 4.5% to 13 rand billion in the year to end-September and

profit before interest and tax improved by 79% to 1.94 rand billion. Headline

earnings per share jumped 94% to 3,712c and it's declared a final dividend of

1,050c, taking its total dividend for the year 94% higher to 2,050c. Its net

asset value per share increased by 23% over the year to 96.06 rand.

The group said while imports from the European Union fell over the period due

to the outbreak of highly pathogenic bird flu, there was a swing in imports

towards Brazil and the US. It said the local poultry industry hasn't seen any

incidents of bird flu since May and it experienced no loss due to the disease

during the period under review.

For the period ahead, it said a rise in raw material prices would impacts feed

costs, while the negative impact of high fuel prices on consumer disposable

income would put pressure on selling prices. While the proposed minimum wage

legislation would increase poultry production costs, it said it could

positively support higher levels of consumer discretionary spend.

Astral's view on the near-term prospects can be regarded as a mixed bag of

both negative and positive factors, which could potentially have an influence

on its business performance," the poultry producer said.

Its shares slipped 5.7% to 185.64 rand yesterday.

#AstralFoods reports record earnings for the year ended 30 Sept 2018.

Revenue up 5% to R13.0bn, operating profit up 79% to R1.9bn, cash operating

profit up 50% to R2.2bn and HEPS up 94% to 3712c. Total dividend is 2050c, a

94% increase. pic.twitter.com/qGHA51IosT

-- KRIS (@KeyterRech) November 19, 2018

BAT drags on Reinet. The investment group says it continues to take comfort in the tobacco giant's

underlying financial results despite a slide in its share price this year.

British American Tobacco has had a torrid time of late, which reflects in its

share price. So Reinet, which counts BAT as the largest part of its investment

portfolio and net asset value (NAV), has felt the aftershock.

Releasing interims results on Friday, the investment group reported a 5.6%

decline in its NAV to "4.8 billion for the six months to end-September, from

"5.13 billion in March. That's as BAT's shares declined to 35.85, from 41.31

six months earlier, valuing Reinet's stake at "2.74 billion. Following the

slide in BAT's share price, it now makes up 56.6% of Reinet's NAV from 62.4%

in September.

BAT's share price tumbled 11.3% to a four-year low on the JSE last Monday,

with news that the US may ban menthol cigarettes in a move that could affect

as much as a quarter of its profit.

The tobacco industry is currently impacted by the US Food and Drug

Administration's continued regulation efforts and the transformation

strategies of industry players seeking to enhance their new generation

products," the company said. "Reinet continues to take comfort from the

underlying financial results, strong dividends and future prospects of BAT,

including the investment in Reynolds American Inc., decreased US tax rates and

increased focus on next-generation products."

The slide in BAT's share price this year was cushioned by an increase in the

value of some of its other investments, as well as dividends. The value of its

holding in specialist UK insurer Pension Insurance Corporation rose by 9% to

"1.43 billion, while its investment on private equity and related partnerships

declined by 1.1% to "728 million, and its holding in Trilantic Capital

Partners various funds increased by 7.8% to "194 million. It received

dividends of "37 million from BAT for the period and paid its down dividends

of some "35 million or "0.18 per share.

Commitments totalling "107 million in respect of new and existing investments

were made, and a total of "146 million funded during the period.

Its shares closed 6.7% lower at 206.19 rand on Friday, taking its losses for the

year to 24.8%. BAT has declined 41.3% year to date.

End of week 16Nov18. FTSE/JSE Allshare Top5 oversold/overbought according to

14day $RSI indicator as follow:

Omnia 12

Rebosis 14

Reinet 21

BATS 21

Richemont 27

Altron A 80 (had some legs recently)

Datatec 71

Implats 71

Metair 70

Distell 67

Top5 last week as well

-- Schalk Louw (@SchalkLouw) November 17, 2018

Sibanye sparkles on dividend prospects as metals rise. As palladium rose to a record high, the company said it planned to resume

dividends in 2020.

Shares in Sibanye-Stillwater rose as much as 9.6% in heavy trade on Friday

after the price of palladium hit a record high and the company said it planned

to resume dividends within 18 months.

CEO Neal Froneman told Bloomberg that the group would start paying dividends

again once it had paid down its debt and would also consider buying more gold

assets in South Africa. The company halted dividend payments last year due

after a spate of acquisitions pushed debt higher.

Gold rose 1% on Friday and palladium hit a record level of $1,185.40. Gold was

boosted by dollar weakness after a US Federal Reserve said interest rates were

close to estimates of neutral, easing concerns about rapid interest rate

hikes. Concerns about the deficit of palladium in the market boosted the

metal, according to Reuters.

Sibanye-Stilwater is SA's biggest gold producer and the third largest producer

of palladium and platinum. More than three-quarters of its US production of

platinum group metals is palladium.

In July, the company entered a streaming agreement with Wheaton Precious

Metals which commits it to deliver a percentage of the gold and palladium it

produces in the US. It's already received the first upfront payment of $500

million. It said the deal would result in a big reduction in its leverage and

reduce financing costs.

Its shares closed 7.9% firmer on Friday at 9.24 rand.

Sibanye CEO sees dividends resumed by 2020 after paying down debt

-- Bull Street (@bullstreetco) November 16, 2018

Nintendo Bets New Hex-Nut Pokémon Will Boost Switch Sales. Let's Go Pikachu and Let's Go Eevee went on sale Friday globally, the first

titles from the popular series for Nintendo's newest console. Armed with

richer graphics, the games are designed to appeal to the 850 million fans who

have played Pokmon Go. Only those who buy the new Let's Go games can sync

their smartphones and Switch consoles through a bluetooth connection. Doing so

lets users transfer pocket monsters between the mobile app and Switch games,

and also unlock Meltan, the new character. Nintendo is aiming to boost Switch

sales during an otherwise lackluster year for software releases. Analysts

point to 2016 when Pokemon Go's debut reignited interest in buying 3DS

consoles to play more games in the series. They estimate Meltan can help sell

7.5 million units of the new titles by March, according to four analyst

projections compiled by Bloomberg. Meltan was trending among Pokemon social

media users within hours of the game's release. By comparison, the Pokmon

series have sold 101 million titles on Nintendo devices since 2004, second

only to the Super Mario franchise with 121 million, according to Nintendo's

data. "Pokmon Go had a significant positive impact on 3DS hardware and Pokmon

software sales, so I think the potential is there for a similar impact on

Switch," said Piers Harding-Rolls, head of games research at IHS Markit.

"Nintendo believes this will make a great gifting product over the holiday

sales season and is a key reason it hasn't dropped its Switch full year

shipment forecast." Nintendo needs to win the support of more gamers like

Christina Grybel, a lifelong Pokmon player in the U.S. who plans to buy a

Switch to collect the new pocket monster. "The main reason to get the Let's Go

game is for Meltan," she said in an interview. At the same time, the move to

link the new Switch game titles to Pokemon Go has alienated some members of

the Pokmon community, who say Meltan's introduction is a cheap move aimed at

fans who like to collect every available pocket monster. That, they say,

forces gamers to spend at least $360 to buy a Switch and a Let's Go game. As a

result, some say that Nintendo is making it very difficult for fans to achieve

the motto of the series, "Gotta Catch 'Em All." "Some people will never be

able to finish their collections in Pokmon Go, which is sad and against what

Pokmon stands for," said Lisa Zahn, a lifelong Pokmon gamer from Germany.

Other veteran players are also threatening to boycott purchases because they

say core features such as battles have been over-simplified to appeal to

smartphone gamers. Lackluster reviews aren't helping, with the new titles

receiving some of the lowest scores in the series. Nintendo declined to

comment. Pokemon Co. acknowledged that the Let's Go games and a Switch are

needed to obtain Meltan, but a company spokesman said even those without

Nintendo's console can do so during a promotional event this winter. Details

will be announced at a later date, he said. DM

Group Five gets no relief from the courts. The High Court of Johannesburg said it was unable to interdict the

construction group's Ghanaian client from demanding penalties for project

delays.

Group Five has lost its court bid to halt the owners of the Kpone oil and gas

power plant in Ghana from demanding payment of the maximum penalty allowed for

continuous delays to the project. Cenpower, which commissioned Group Five to

build the plant is demanding $62.7 million from two of the bank guarantee

providers for the project.

The High Court of Johannesburg dismissed an application to interdict Cenpower

from demanding payment on the bonds, saying that the legal requirements in

terms of the bonds had to be separated from Group Five's contract to build the

plant. Group Five said it's failure to complete the project by last month, the

latest deadline, was due to contaminated fuel supplied by Cenpower. The plant

was supposed to be commissioned last year.

Other problems hindering the project included a change in Ghanaian law

affecting the clearing of goods arriving at the country's port and also due to

setbacks in seawater tunnelling. In the year to end-June, the engineering,

construction and infrastructure group recognised a loss of 1.3 rand billion on its

Kpone contract, resulting in an operating loss for the period. The Kpone

delays have also affected Group Five's cash position.

Group Five has also turned to arbiters for relief. It said it had made a

submission to the International Chamber of Commerce in Paris for claims

against the client and that it had been advised that its claims have merit.

In terms of the contract process, the group will continue to progress its

contractual rights and entitlements through the alternative dispute resolution

procedures, which includes the recovery of the payment of delay damages in

terms of the guarantees," Group Five said.

The company said a liquidity plan disclosed in its year-end results included

the impact of any potential delay-damages payment by Cenpower on the bank

guarantees in issue.

Its shares sank 30% to 70c on Friday. They've declined 95% this year.

May's Brexit Bombardment Wins Her Sympathy From Fatigued Public. Of the 20 or so people sharing their views in two Brexit-backing towns on the

outskirts of London, the vast majority thought May should be cut some slack.

They said the saga of leaving the European Union has become so protracted and

all-consuming that they just want it done. The common refrain was that May has

"the worst job in politics." Others said ministers should show some mettle

rather than quit. Those who voted to remain in the EU said she should call

another referendum, something she's ruled out. A few on both sides of the

Brexit argument wanted her to resign over her handling of the talks. One

retired woman said her Conservative Party should stand by her because nobody

else had her determination. "I thought that she was remarkably resilient and

persistent and tried her best to get something out of it, but she was on a

hiding to nothing from the start," said Martin Berry, a pensioner in

Sevenoaks, a Conservative stronghold 23 miles southeast of the U.K. capital.

He voted to stay in the EU. It's just a snapshot of the reaction to another 24

hours in the torturous world of Brexit, but the sympathy for May shows how

efforts to undermine her risk needling a fatigued public that still might have

to vote again this year depending on how the politics plays out. May, 62, is

fighting to keep her job against an emboldened opposition and a group of

rebels within her own ranks. The morning after the cabinet backed her Brexit

agreement, ministers began to resign within hours of each other, including her

secretary in charge of negotiations with the EU. Following months of veiled

threats, Brexit hard liners then began seeking a vote of no-confidence in the

prime minister to avoid what they see as a betrayal of what leaving the EU

should mean. The phalanx of lawmakers who want to defy Brexit, meanwhile, sees

opposition to the deal as a way of forcing a second referendum or a general

election, stretching the political process and the endgame further into the

future. In a more upbeat statement later on Thursday, May said she was

standing firm and vowed to see Brexit through. Read More: Is May's Time Now

Finally Up? "She has gone through hell and back," said Bernard Chapman, 83,

the owner of a flower shop on the main thoroughfare in Harlow, about 20 miles

north of where May was being quizzed for more than two hours in the House of

Commons. "I feel desperately sorry for Theresa May because she is trying so

hard, and you don't mind being stabbed in the back by the opposition, but not

when you are stabbed in the back by your own people." Indeed, the British like

nothing more than rooting for the underdog. As May was buffeted between

European summits and plots to undermine her at home, polls showed the public's

confidence in her ability to deliver a good Brexit deal also took a battering.

But, at least anecdotally, she won respect for trying to do an impossible job.

That thankless task resulted in her agreeing a Brexit deal that keeps Britain

attached to the EU for the foreseeable future and it's one that now might

spell the end of her. "I don't like her to be fair, but I feel like she is

under a lot of pressure so she shouldn't be hated on as much as she is," said

Lucy Rowe, 17, a politics student in Harlow, a new town developed after World

War II to house displaced Londoners and where an emphatic 68 percent of people

voted for Brexit. Rowe would have voted to stay in the EU had she been old

enough. The deal "is the best deal she could have gotten, but I still don't

think that we should leave," she said. Ever since May replaced David Cameron

in the wake of the 2016 referendum, she has lurched from crisis to crisis.

Some were of her own making, like calling an election that cost her

Conservatives a parliamentary majority. Others were simply a misreading of how

the European side would react. Alastair Young, a "leave" voter in the affluent

commuter town of Sevenoaks, said the problem is that there's a shortage of

capable politicians and that May was "out of her depth." But the ministers who

quit should have stayed to sort out her mess, he said. "It's highly unlikely

that anyone can read a 500-page document within a few hours and give a proper

opinion." DM

Novus impacted by new Media24 contract. The print and packaging group has had to adjust after Media-24 renegotiated a

printing agreement on less favourable terms.

Novus Holdings has taken a big hit after Media24 renegotiated a printing

agreement on less favourable terms than before, resulting in less printing

work and reduced prices. The print and packaging group says this has led to a

14.1% decline in print revenue to 1.83 rand billion for the six months to end-

September, with operating profit down 38% to 212 rand million.

The group says its newspaper and magazine categories were affected by the

changed contract, exacerbated by consumers buying fewer magazines. Revenue

from its books and directories category was also lower after it held over a

portion of a workbook tender for the Department of Basic Education (DBE) for

the second half of the year. Last year, it printed the full DBE volumes in the

first half of the year. On the plus side, retail inserts and catalogue work,

which contributes just over a quarter of group revenue, increased by 5.5%

year-on-year. It credits internal organic growth, with existing customers

increasing their print volumes and marketing spend to counter declining

consumer spending.

Revenue generated by the group's packaging division increased significantly

following its acquisition of ITB Plastics a year ago, compensating for the

decline in the Print division but at lower margins. Tissue sales were also up

strongly, with the division close to break-even after measures were

implemented to reduce losses. While the group's preferred option for the

Tissue operation would be an exit on beneficial terms, it said it remained

committed to ensuring that its profitability continued to improve.

Group revenue rose marginally to 2.3 rand billion in the six months to end-

September. Operating profit dropped 31.4% to 228 rand million and headline

earnings per share fell 31.2% to 49.4c. Free cash flow improved by 162 rand

million to an outflow of 45 rand million from an outflow of 207 rand million in the

year-earlier period.

The first half of the year has witnessed the stabilisation of the print

segment with new bases having been set," Novus said. "The ITB Plastics

acquisition has been bedded down satisfactorily, however, the current results

have been below expectation."

Its shares closed unchanged at 4.36 rand on Friday.