Why SA's Rich Are Quietly Moving Billions Abroad—And What It Means For You
While most South Africans are trying to keep their financial heads above water, something quieter—but incredibly telling—is happening behind the scenes: the country’s wealthiest individuals and families are quietly shifting billions of rands out of the country.
It's not panic. It’s preparation.
This is not just about fear of a collapsing rand or worsening infrastructure. It’s about strategy—future-proofing wealth in a time when traditional investing simply doesn’t work the way it used to.
According to Westbrooke Alternative Asset Management, South African high-net-worth individuals are increasingly turning to offshore opportunities, especially in the UK, where their money finds hard currency returns, inflation protection, and something we all crave right now—stability.
The WDO UK Fund, a collaboration between Westbrooke and Rand Merchant Bank (RMB), raised a staggering £155 million (R3.8 billion) for hybrid capital investments in the UK’s lower-middle market. Yes, R3.8 billion of South African money is already abroad and working in environments that offer less risk and better returns.
Why not keep it here?
The answer lies in a hard truth: South Africa's economic landscape is not offering the safety net it once did.
The usual 60/40 portfolio split (60% stocks, 40% bonds) is outdated in today’s climate. Inflation over 2.5% makes both asset classes behave the same way—meaning when markets drop, everything falls, leaving your wealth exposed.
Dino Zuccollo, Head of Investor Solutions at Westbrooke, said it best: “Both asset classes tend to move in the same direction, undermining the protection diversification is supposed to offer.”
With South Africa constantly rattled by rolling blackouts, political shifts, rising inflation, and local instability, even long-time investors are now rethinking where their future lies. Global conflicts and trade disruptions only worsen this anxiety.
This is why investors are shifting—not fleeing, but strategically diversifying.
Many are drawn to hybrid capital, a newer, smarter asset class that combines the protection of debt with the return potential of equity. It's less volatile, offers regular interest-linked income, and protects against inflation. No wonder the UK-based fund returned an 8% dividend and 15% annual return in its first year.
In fact, Westbrooke has facilitated nearly £750 million worth of deals in the UK since 2017. South African investors are no longer hesitant—they’re proactive.
Even South African companies are jumping ship—strategically, of course.
Invicta Holdings, chaired by billionaire Christo Wiese, recently announced plans to generate half of its earnings outside the country within two years. Why? Because earnings made in South Africa are increasingly vulnerable to infrastructure decay, electricity crises, and regulatory red tape.
Wiese was blunt: “Geographic diversification and the pursuit of sustainable earnings remain core pillars of our long-term strategy.”
And this isn’t a billionaire’s game only.
Economist Dawie Roodt, chief economist at the Efficient Group, recommends that everyday investors start thinking globally. His advice?
Don’t put all your eggs in the JSE basket. Invest in rand hedge stocks—companies listed locally but earning globally, such as Naspers, Prosus, Anglo American, and Richemont.
He also suggests precious metals like gold, silver, and platinum as strong hedges against the rand’s ongoing slide.
What does this mean for ordinary South Africans?
The actions of the wealthy usually tell a story long before the average person feels the impact. When they start shifting their money, they’re not reacting—they're preparing.
You may not have millions to move, but you do have choices.
This could be your time to explore basic offshore investment options, investigate hybrid capital opportunities, or even just understand your pension’s exposure to local risk. Learn about rand hedge stocks. Watch gold and platinum. Read more about alternative investment platforms.
Because doing nothing right now? That might be the riskiest move of all.
📌 Poll: Would you move your savings offshore if you had the chance?
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Yes, definitely
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Maybe, if I understood it better
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No, I still trust local investments
Drop your answer in the comment section and let us know what you think! Your voice matters.
Read also:
Why Young South Africans Are Fleeing the Job Market
How Load Shedding is Quietly Destroying Local Businesses
Tags: #SouthAfricaEconomy #OffshoreInvesting #WealthManagement #RandVsDollar #HybridCapital #Westbrooke #InvestmentTrends #EconomicShift
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Rich South Africans are quietly moving their money offshore to safer markets. Find out why—and what you can do to protect your own future in a volatile local economy.
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