Investments South Africa
Sanlam Investment Management
Investments, Financial Planning, Financial Advice
For valuing assets, we use a fair value framework based on long-term historical asset returns. Opportunities arise when current prices differ from these long-term fair values. The assumption that assets revert to their long-term average real returns is fundamental to our approach. For example, we would assume that a company’s return on equity will return to its long-run average over time.
Our approach works particularly well for assets with future cash flow streams. Valuing currencies and commodities are more difficult as economic factors, such as supply and demand, come into play.
As we are valuation-based investors, we are convinced that by sticking to our guns in the long-term and riding out volatile and uncertain periods when market prices move out of alignment with reality, we will be able to deliver consistent, compelling long-term investment performance for our clients.
, Financial Planning
, Investment Planning
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