Dear Clients, Colleagues, and Stakeholders,

I trust this edition of the Warwick Wealth Matters finds you and your families well. August has been another month of progress and achievement across the Company and it is always a privilege to share these updates with you. Our success remains rooted in the trust you place in us and the dedication of our exceptional team.

Growth and Team News

Warwick has once again gone from strength to strength this past month, as we continue to grow strategically across South Africa.

We are proud to welcome the following new colleagues to the Warwick family:

• Anrico Blignaut – Wealth Specialist, Melrose Arch (Gauteng)
• Florian Nita, Nicole January, and Celeste Vermaak – Client Administration Team, Constantia Head Office (Western Cape)

These professional staff additions bolster our capacity and position us well for future expansion. We also extend our congratulations to Mathew Pellatt, who has been promoted to Head of Funds within Orion Wealth Managers. Mathew will officially join our Head Office team on 1 October, and we look forward to the expertise and leadership he will bring to this role.

Market Perspective

Looking back at August, markets continued to deliver positive news:

• SA Equities rallied strongly with 3.5% growth, driven largely by resource counters.
• Global Equities also moved upwards, albeit more modestly, with a 0.7% gain.

At Warwick, through our investment specialist partner Orion Investment Managers, we have continued to maintain an offshore overweight position within client portfolios. While global equities have underperformed local equities on a relative basis in recent months, we firmly believe that diversification remains essential.

This is a principle we have emphasised before, but it is so crucial that it bears repeating. Even if offshore allocations feel uncomfortable in the short term, they remain vital for long-term success. Below are five key reasons why we continue to hold this stance:

1. Small Local Market
   • SA is less than 0.5% of world GDP and 0.6% of global stock markets.
   • 99% of opportunities lie offshore.
2. Rand Hedge
   • The rand is among the world’s most volatile currencies.
   • Offshore assets protect purchasing power.
3. Sector Access
   • SA markets are concentrated in mining, banking, and a handful of industrials.
   • Offshore markets provide access to technology, healthcare, consumer brands, and luxury goods.
4. Risk Diversification
   • SA carries unique risks: policy uncertainty, load shedding, and fiscal strain.
   • Offshore reduces the “all eggs in one basket” exposure.
5. Balance Home Bias
   • Most South Africans are already heavily exposed locally through property and pensions.
   • Offshore allocations help balance portfolios and align with global lifestyle and spending needs.

As always, if you would like to discuss your portfolio, estate planning, or any aspect of your wealth management journey, please do not hesitate to contact your Warwick Wealth Specialist, Planner, or Advisor.

Onwards and upwards,