As South Africa observes Money Smart Week, from 26 August to 1 September, the focus on financial literacy and smart money management is more crucial than ever. In today’s evolving world, understanding how to make sound decisions when transacting (sending and receiving money), as well as saving and investing carefully, is essential for securing a solid and sustainable future. This also extends to being educated around the benefits of online transacting and the risks involved.
This moment serves as a national call to action for both individuals and businesses to enhance their knowledge and take proactive steps toward financial wellbeing and best practice. Industry professionals aim to provide valuable insights that empower South Africans to navigate the complexities of finance and achieve their financial objectives.
10X investments – A more informed relationship with advisors and providers
The vast majority of South Africans cannot and will not be able to afford to retire comfortably. As our 10X Retirement Reality Report for 2023/2024 reveals, just six percent of the population is on course to retire comfortably.
Tobie van Heerden, CEO of 10X Investments says: “While there’s no doubt that wide scale improvements in tackling joblessness and poverty are key to bringing that number up, democratising the retirement investment space could make a significant difference too. Every working South African should at least be able to retire at the level of comfort they’ve achieved through their working lives.”
According to van Heerden, wealth tech allows for a much more flexible and agile relationship with their advisors. “The same, broadly speaking, is true for providers. Being able to instantly compare how much different providers charge in fees, for example, can go a long way to ensuring that you’re getting the most out of your retirement investment products,” says van Heerden.
Technology has also helped improve the products that providers can offer. Artificial Intelligence , for example, means that retirement product providers can pick up market signals far quicker than they’d be able to manually.
“It’s additionally allowed them to offer products that are much more appealing to their customers. Easy-to-use retirement calculators, for example, can be much more accessible than trying to follow an advisor’s calculations in person. Similarly, comparison tools can make it easier for someone to tell whether they’re getting the best possible returns from their current provider or should consider switching,” adds van Heerden.
Onafriq – Empowering financial literacy and security
Mobile money has exploded across African economies, becoming a powerful enabler of financial inclusion by bringing previously unbanked populations into the financial system. However, as the demand for digital financial services grows, so does the need for robust security measures. Cyber threats are evolving alongside the digital economy, making it essential for consumers to stay vigilant and informed.
Making sound decisions when transacting, whether sending or receiving money, is paramount. Onafriq prioritises cybersecurity as a cornerstone of its operations, ensuring that users are protected from fraud and cyber threats. Partnering with ThetaRay, a leader in AI-powered transaction monitoring, exemplifies Onafriq’s commitment to safeguarding customers’ financial activities.
“At Onafriq, we are at the forefront of this financial revolution, empowering millions of Africans through strategic partnerships that facilitate fast, affordable, transparent, and secure transactions,” says Omotayo Ogunlade, Chief Technology Officer at Onafriq. “Our partnerships with ThetaRay ensures that we not only provide innovative financial solutions that suit varying customer needs, but also smartly protect our users from cyber threats, fostering true financial inclusion.”
But it doesn’t stop there. True inclusion also means providing customers with multiple options, to best suit their needs. Changing customer needs have meant that virtual and physical card requirements have continued to evolve. The introduction of prepaid cards has provided a secure and flexible solution in this regard for millions whose money is stored in alternative stores of value like mobile wallets. Through Onafriq’s partnership with VGS, who specialise in securely collecting and storing payment card information for clients, and Apata, a provider of highly configurable 3D Secure ACS technology, customers and businesses alike can transact with confidence and flexibility.
Blink by MiWay – Have a plan in place
Having savings for a rainy day is so important, and as we race towards the end of the year, we can often feel stressed out.The important thing is to prioritise your affairs in order to help you to the end of the year. Having a set plan in place can make a huge difference in managing your finances and achieving your goals for the rest of the year.
“Being organised can help you beat a slump,” says Keletso Mpisane, Head of Blink by MiWay. By re-evaluating your goals and finances and adjusting so that they are still attainable and feasible for the rest of the year, you’ll feel more prepared for the months to come’’
Break up your tasks into smaller and more manageable chunks, prioritise them, make a to-do list, reflect, and plan. By doing this, your goals can become realistic again and might just give you the boost you need to tackle the rest of the year with vigour and renewed effort.
Zoho – Smart tools for SMMEs and freelancers
Even if a person does have a formal tertiary qualification in their core skills, it’s also important to keep up with new skills. These can help for potential new business owners and those just starting their freelancing journeys. Whether it’s business basics such as pricing, invoicing and taxes, marketing, or negotiation, all are important skills that can be picked up or enhanced online.
Andrew Bourne, Regional Manager, Africa at Zoho says that “this is equally valid for the tools that freelancers require to do their jobs effectively.”
While a few years ago, the software that many freelancers needed required expensive purchases or subscriptions. Today, a plethora of free and affordable versions of these tools are available to freelancers around the globe. “Zoho, for example, has free versions of many of their productivity suite products, making them ideal for freelancers. And for those who need more advanced features, the company has localised prices. This mitigates currency fluctuations and adds certainty to a freelancer’s monthly budget,” ends Bourne.
Future Forex – Here’s how to take the pain out of your international money transfers
While it’s understandable that customers tend to use their banks for their international money transfer needs – they’re what they use for almost all other transactions, after all – there’s no doubt that they can be better served by alternative options that are filling the void between banks and customers, saving customers time and money in doing so. But what should they look for when choosing an alternative?
Future Forex CEO, Harry Scherzer advises that both individuals and businesses should identify an international money transfer provider that prides itself on righting everything that the banks do wrong. This means the provider should take a customer-first approach which blends automation, hands-on expertise and transparency. Not only do banks heavily fall short when it comes to customer service, but clients are also charged far more than they realise for these transactions.
“From an automation perspective, customers should be able to fill in simple, easy-to-use forms online, with their details automatically appearing on the provider’s system. That should speed up transactions and reduce the risk of errors,” says Scherzer.
“Beyond that, those wanting to make international money transfers should look for a provider that prioritises in-house expertise, assigning each client a dedicated Account Manager who fully understands their client’s specific circumstances. This expertise should also be available across whichever channel the customer is most comfortable using at any time.”
From ensuring secure transactions in the digital era to planning for a comfortable retirement and managing day-to-day finances, the journey toward financial stability is multifaceted. By embracing these insights and resources, individuals and businesses alike can better navigate financial challenges and set themselves up for a more secure, smart and prosperous future.