Real Estate Investor Magazine South Africa September 2016 | Page 7

EDITORIAL VIEW

How to Benefit from Glocalisation

G

localisation is the
practice of conducting
business
according
to both local and global
considerations. Brexit has
shown us that glocalisation
must
recognize
positive
benef its for everybody. Most
economists
would
agree
that free trade, movement
of capital and people across
borders is benef icial to all but
it also creates losers if distribution is not fair, just look
at Germany’s performance versus Greece. Brexit also
shows us that Britain was not conf ident of combined
EU benef its and that more responsible politicians are
needed for everyone to benef it.
The yield chasing investor is always challenged
to f ind where they can achieve maximum returns.
The macro economic world has experienced multiple
calamitous events leading to slow global growth and
poor economic conditions. All types of roller coaster
rides affecting the rand leading up to Brexit and now
a possible repeat of Nenegate have taken their toll on
local investors.

W

In December 2015 it started with Nenegate, then
Zuptagate, Nkandla, rating downgrade misses,
European unrest in Turkey, terrorist attacks in France
and Belgium and the repeat of Pravin Gordhan’s war
with the Hawks. The f luctuations mainly had negative
effects on the rand but recently short-term benef its
from Brexit’s uncertainty. The rand’s best result
reached $13,20 to the dollar, which gave some reprieve
to highly indebted SA consumers. There is still talk of
a bubble in China’s stock market and real estate, which
could be the next bad news wave. The point is mayhem
creates opportunity and a change of strategy.
At the latest MSCI conference it is clear that there
is appetite for offshore property investment in the
REITS listed property sector. Investors are looking
for good growth and good assets in hard currency for
best results. Attacq, NEPI, Resilient and Redef ine are
investing in Eastern Europe countries such as Serbia,
Poland, Romania and Croatia. Read about the benef its
of how you can benef it from this in our cover story.
Successful investing

NEALE PETERSEN

FOUNDER & PUBLISHER

Why is Property so Popular?

elcome
to
the
September edition
of the Real Estate
Investor Magazine
The debate on whether
property is a better asset
class than shares is a debate
that will go on for decades.
Property
pundits
would
always say that there is no
safer investment than bricks
and mortar, while share
pundits claim shares have
made more millionaires in a shorter space of time. Both
asset classes are pushed by vested interests in each. The
real question is, which asset class is best for you? Our
cover story aims to assist

Stephen Brookes, CEO of the recently listed Balwin
Properties, is our Master Investor for September.
We talk with Stephen about the formation of Balwin
Properties, the company’s initial success and their longterm goals.
Elsewhere in the magazine we examine the ins and
outs of the recently passed Land Expropriation bill,
investigate the new trends in real estate technology and
explore the various offshore options available to local
investors
Enjoy the read

“Only invest in what you know and at the right price.”

WARREN BUFFETT

DREW HOOK

EDITOR