Path through 2016
First, you need to be keenly aware that the economy is likely to dip in the year ahead. Job losses might occur and wage increases are unlikely to beat inflation. Dave Mohr, chief investment strategist at Old Mutual Wealth, says in the face of such an outlook, you should budget carefully, cut out unnecessary spending and look at postponing big-ticket purchases.
“It would be wise to build up an emergency fund for unforeseen expenditures and potential loss of income. Consumers must also budget to keep up with policy payments and continue with savings plans. The long-term costs of failing to do so will be severe,” he warns.
Rising interest rates
To go offshore, or not