SEPTEMBER 2017 PERSONAL TRUST QUARTERLY NEWSLETTER

Photograph courtesy of Daniel Saaiman (www.danielsaaiman.com)

More Questions than Answers

Questions that clients ask

What is a Living Will or Advance

Directive?

Estates – Practical Tips and Guidelines

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Contents

3 Editorial

4 More Questions than Answers

Glenn Moore poses some pertinent questions around issues facing the Mother City.

5 Questions that clients ask Greig Phillips answers some of the questions that

clients frequently ask .

6 Snippets Malibuye Tom advises that a Power of Attorney can

lapse, and he stresses the importance of knowing your Risk Profile.

7 What is a Living Will or Advance Directive?

Renette Hendriks provides information on what is covered by a Living Will.

7 Estates – Practical Tips and Guidelines

Jeanine Koopman gives useful tips on how best to ensure that your affairs are left in order.

8 30 seconds with … Carl Vermeulen

9 Visit to Delville Wood and other First World War Memorials

David Anderson describes his visit to the battlefields.

11 Walking the Camino de Santiago

Andrew Calmeyer recounts how he and his daughter walked the last stage of the pilgrimage.

13 Mandela Day 2017 – Liesbeek River clean-up

Personal Trustis a client-focused Trust and Investment Management company that is dedicated to servicing the individual requirements of its clients – a professional investment service with a personal touch.

We offer a full range of financial services, providing our clients with the convenience and comfort of having their business affairs conducted under one roof.Our services include:

– Investment & Portfolio Management– Retirement Planning– Offshore Financial Services– Tax Services– Money Market– Wills– Estate PlanningPersonal Trust has been in successful operation for more than 35 years, and has offices in Cape Town (Rondebosch and Noordhoek), Somerset West, Knysna, Port Elizabeth and the UK.

For more information, please contact Belinda Danks on 021 689 8975

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Theewaterskloof Photograph courtesy of Daniel Saaiman (www.danielsaaiman.com)

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Politics and Economics! The ‘No Confidence’ motion is over – now, how will the President react? How will his actions affect our currency, our business confidence and our credit rating?

Why are the Ratings Agencies’ evaluations so important? The Agencies – Standard and Poor’s, Fitch and Moody’s, among others – appraise the viability of a country’s economy and, having done so, decide on a classification grade. A country with political stability, steady economic growth, low unemployment and a satisfied workforce will obtain a positive rating. When the opposite applies, obviously the grading will be negative. On this negative side, there comes a time when the agencies conclude that the investment risk is so great that they classify the country with a ‘junk status’ rating. ‘Junk’ is an unfortunate word to use – the dictionary gives the following meaning: ‘rubbish, discarded as useless’. The sacking of Finance Minister Nhlanhla Nene in December 2015 resulted in an agency downgrade; the removal of another Finance Minister, Pravin Gordhan on 31 March this year resulted in a second downgrade. At present we have not reached junk status – i.e. a time when our South African bonds are deemed to be below requisite investment grade quality. However, the next four months of political turmoil ahead of the ANC Presidential election in December do not bode well for the country. In late July the Public Investment Corporation (PIC) warned of the probability of a further sovereign debt downgrade.

Sizwe Nxedlana, First National Bank’s chief economist, writing in his Sunday Times article, ‘Outside View’, reported business confidence in the second quarter had dropped from a value of 40 in the first quarter to 29 in the second quarter. Though he saw increasing political uncertainty as a major factor in the decline, the downturn in manufacturing and new vehicle sales was a major factor in business pessimism.

The release of the new Mining Charter by the Minister of Mineral Reserves, Mosebenzi Zwane, was not well received by those in the mining industry. Under the proposed new charter a minimum 30% BEE holding was to be a requirement for all mining rights; a minimum 50% + 1 black shareholding was the prerequisite for all new prospecting rights; and, most importantly, the right-holder would have to pay 1% of the annual turnover to the 30% BEE holding prior to any distributions to its shareholders. Other regulations, inter alia employment and management criteria, appeared circumscriptive. With the new regulations likely to deter investors, both local and overseas, from investing in the mining industry, implementation of the proposed new Charter was suspended by the Minister on 14 July. Now it’s a case of ‘wait and see’.

Public Protector, Busisiwe Mkhwebane’s instruction to Parliament – to change the constitutional mandate of the Reserve Bank so that its primary role is no longer to protect the value of the currency, but to promote economic growth and protect the socio-economic wellbeing of the citizens – stirred up a hornet’s nest. Reserve Bank Governor Kganyago, Finance Minister Gigaba and National Assembly Speaker, Baleka Mbete, submitted court challenges arguing that the Public Protector had overstepped the scope of her mandate. On 10 July Mkhwebane back-tracked but her initial submission affected the rand negatively. Though the matter appears to have been dealt with for the present, demands by Cosatu and

others for nationalisation of the Reserve Bank keep overseas investors jittery.

Early July’s R2.2 billion bail-out of SAA to settle the airline’s loan from Standard Chartered Bank, this following the request to Treasury in March for a R10 billion recapitalisation, has raised eyebrows. Other SOEs are most probably lining up for their next hand-out. This continuous drain on government resources will be noted by the Ratings Agencies.

I really did not want to mention the three brothers from Saharanpur in India. However, the Bell Pottinger scandal has made it necessary. The London PR firm, or more correctly Victoria Geoghegan who was in charge of the Gupta account, has admitted that the term ‘white monopoly capital’ was crafted in order to stimulate racial division in our country. At the ANC’s NEC conference it was resolved that the word ‘white’ should be removed. However, the damage had been done, and once again the investors outside the country would have taken note of the political ramifications of the incident.

I don’t know about you, the reader, but I, the writer, am tired of the negative – so let’s look at the positive. We must continually remind ourselves that we live in one of the most beautiful places in the world. We have had some good rain – not enough, but rain in, and snow above, the catchment areas has resulted in the storage dams beginning to fill. It’s amazing how easy it is to save water in the home – for example, shower buckets. By which I mean buckets in the shower not showers in a bucket! But it may come to that.

Another plus has been the Monetary Policy Committee’s decision to lower interest rates. It would seem that the Reserve Bank is now less concerned about the inflation outlook.

What else is positive? As in the last two years, South Africa can claim one third of the Tour de France win. Chris Froome was born in Kenya and rides for the British ‘Sky’ team, but he was educated at St John’s College in Johannesburg. We can also claim a quarter of the Fed’s Wimbledon trophy as his mother, Lynette, was born and bred in South Africa. In the IAAF World Championships, Wayde van Niekerk and Caster Semenya kept South Africa’s flag flying high on the track, supported by long jumpers Luvo Manyonga and Ruswahl Samaai. Meanwhile, in Budapest Chad Le Clos regained his 200m butterfly world crown.

I liked this excerpt from Bob Ferguson’s article in 29 May’s Time magazine. “The most aggressive opening in Chess is called the King’s Gambit … It’s audacious … With no preparation, no careful groundwork, White signals his intent to wipe his opponent off the board. But Grand Masters discovered that they could capitalise on weaknesses created by the aggressive opening. President Trump is playing the political version of the King’s Gambit … But his approach leaves vulnerabilities that undermine his attacks.”

A bedtime thought: “It’s not what you gather but what you scatter that defines your life.” (Anon).

Ed.

P.S. My oldest Chess opponent is George at 97, the youngest Quinn aged 6. Do contact me via Personal Trust if you would like a game and are aged between the above parameters!

EDITORIAL

Driving through town the other day the radio news headline was that GDP had contracted by 0.7% in the first quarter and that South Africa was officially in recession for the first time since 2009.

My first reaction was – well, that’s no surprise with consumer and business confidence at multi-year lows as a result of the devastating mismanagement of our economy by the political elite. However, the vision in front of me indicated anything but recession. A major new hotel is just being finished on the corner of Strand and Buitengracht; there is a huge new development just across the road where Endee panel shop used to be when I was growing up; and slightly further on, a gaping hole in the ground near Napier street in the Cape Quarter awaiting a new apartment block. Apparently most of the apartments are sold at prices in excess of R60,000 per m²? Recession? What recession − or is the economy of Cape Town marching to a different beat?

Is it possible that tourism, one of the major growth drivers in the Western Cape, is growing to such an extent that the micro economy of Cape Town is operating in a bubble? Well, I consulted another bubble, the tech sector, for some help. Surprisingly, it is not possible to find the growth rate of the Western Cape on the internet other than some very dated figures quoted by Helen Zille. The contribution of tourism is also very difficult to fathom with lots of disjointed and dated statistics. The best I was able to do was ascertain that the number of passengers arriving in Cape Town on international flights increased by 28.9% in December 2016 and by 31.1% in January 2017.

The growing economy of Cape Town brings with it some challenges. Traffic is an obvious and irritating one; we are now the most congested city in South Africa and apparently the 48th most congested city in the world. At least we can see that the City is trying to tackle this with the MyCiti bus service alleviating congestion to some extent on the Western seaboard. In my search on the internet, I discovered that the Transport Minister intends transferring control over Metrorail’s passenger rail services to the Cape Town City Council. According to the article, the City will complete a study on the rail services by November 2017. We live in hope; it may be the best decision made by Prasa in 20 years.

The success of the Cape Town economic climate has attracted a significant influx of new residents. The last census was completed in 2011 but statistics available at that time indicated a population increase of 45% between 1996 and 2011. Some recent estimates put the population of Cape Town at 4.3 million with further rapid growth since 2011.

A throw-away statistic I picked up while researching the water crisis was that, since 1995, the population has grown by 55% while dam storage levels have increased by 15%, with just the Berg River dam adding to capacity.

It’s become clear that water is one of the biggest impediments

to Cape Town’s growth and could have a devastating impact on tourism. Not being able to shower after a day on the beach or hiking in the mountains – well, maybe somewhere else next year.

Looking at water consumption in Cape Town, the biggest consumers are industry followed by agriculture and then households. One of the big consumers is Koeberg which uses 1,300 kilolitres of fresh water per day. Eskom has decided to install a groundwater desalination plant at Koeberg to reduce consumption of municipal water.

This is the only reference one can find to any form of concrete water reduction by major consumers. All other references are to the City looking for ideas of how to implement reverse osmosis; meanwhile, we are halfway through winter and the dams are less than 30% full.

What to do? Well, in our house my wife, a water warrior, has installed a grey water system and we now have four storage tanks with a capacity of 10,000 litres. Amazingly these were filled in just one weekend of rain.

I have so many questions about our water crisis:

• Why does the City Council not insist that, with all new building plans passed, there must be provision made for storage tanks and grey water systems?

• When will we see some progress with desalination?

• Where can we store the storm water run-off during the rainy season that apparently is a number of times greater than our dam capacity?

• Watering of gardens is surely a thing of the past. What indigenous plants should we consider? Fake grass? Not in my house!

• Boreholes: should they be allowed, and how do they impact the moisture in the soil of the surrounding neighbours?

• The springs in Oranjezicht and Newlands that run all year round; why is the City not tapping into this water source?

• The Table Mountain aquifer − can it be harvested and what are the ecological consequences?

• What price will we be paying for clean drinkable tap water in a few years’ time?

And there are so many more interesting questions we Capetonians could be asking about our beautiful city and I have so few answers. We have so many talented, skilled and highly qualified clients, architects, engineers, geologists, town planners, horticulturalists. Please join the conversation, drop us an e-mail and we’ll consider publishing your thoughts in the next issue.

Emails can be sent to lwasmuth@ptrust.co.za

More Questionsthan Answers

Glenn Moore, Director and Fund Manager, poses some pertinent questions around issues facing the Mother City.

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Q What exactly is Gross Domestic Product? How are figures calculated? What affects GDP? In what way does it affect me?

A It is the total value of goods produced and services provided in a country during one year. GDP = private consumption + gross investment + government investment + government spending + (exports - imports).

Put simply, there are three ways of thinking about the total GDP of a country: 1) the total value of the goods and services produced within the borders of a country, 2) the total income earned within the borders of a country by its productive means and 3) the total value of expenditure by households, government, businesses and foreigners on goods and services produced within a country. GDP is typically expressed in either nominal or real terms. Nominal GDP is measured using current prices, whereas Real GDP is the value of GDP adjusting for inflation.

Research shows that GDP is impacted by a range of factors including prevailing interest rates, global economic conditions, business and investor confidence, political stability and the strength of public institutions.

From the perspective of an investor, long to medium term trends in GDP are closely linked to the performance and risk of bond and equity markets. A sharp deterioration in GDP growth is typically associated with a deterioration of corporate earnings growth and risk premium of bonds, resulting in a decline in asset prices.

Q What is the difference between the long-standing National Development Plan and the new Radical Economic Transformation?

A The National Development Plan (NDP) has been in implementation since 2013. The NDP aims to eliminate poverty and reduce inequality by 2030. According to the plan, South Africa can realise these goals by drawing on the energies of its people; growing, building capabilities, enhancing the capacity of the state, and promoting leadership and partnerships throughout society.

Radical Economic Transformation (RET) means changing the composition of output that the economy is producing and ownership and control patterns – who owns the entities that are making most

of the production in the economy, and who manages, who makes decisions about investment patterns, employment patterns, pay in the labour market?

Commentators have generally noted that the long-standing National Development Plan was intended to achieve economic equality and redistribution through policy aimed at stimulating growth. The new Radical Economic Transformation agenda appears to try to achieve growth through redistribution. However, one needs to keep in mind that government is yet to provide clarity on the mechanisms that they intend to use to implement RET to the country in a practical sense.

Q I understand that the PPI (Producer Price Index) is an inflation indicator with statistics released monthly. How are these calculated? In what way do they affect me and what should I learn from them?

A PPI is calculated from a market basket of goods and services essential in the production process. From a business perspective, PPI inflation is an important measure of the change in the cost of production.

From a consumer perspective, increases in production costs are typically passed on to consumers. As a result, PPI is typically a good leading indicator of CPI inflation. There is a direct relationship between a rise in PPI and a rise in CPI inflation. Having a good understanding of PPI inflation will allow one to better predict CPI inflation and the likely response of the monetary policy (i.e. interest rate changes by the SARB).

Q Like many others, I am concerned regarding talk in some quarters of the nationalisation of the Reserve Bank? I do not think it will happen but, should it do so, how would I be affected as both a local and overseas investor?

A In discussing the nationalisation of the SARB it is important to note that the independence of the SARB, not the ownership, is what is important for the continuation of prudent monetary policy. The independence of the SARB is enshrined in the South African constitution. The ownership structure of the SARB is such that it does not impact the bank’s overall operational mandate.

Many central banks around the world are publicly owned (e.g. the Bank of England). If the SARB is nationalised, all that it would mean is that profits of the SARB are paid to the government. However, if the SARB loses its independence it is likely that the populist policy, of cutting interest rates in the pursuit of job creation and growth, will result in an increase in inflation expectations, pushing up long-term bond yield and negatively impacting both growth and job creation.

Q Should government organisations and business corporations in South Africa be concerned regarding the possibility of cyber-

attacks similar to those that occurred recently in the Ukraine and Russia? Could a company such as Personal Trust be cyber-attacked?

A Due to the advanced technological age in which we all currently live, all organisations and business corporations, irrespective of whether they are government or privately owned, have some degree of cyber-security risk. It is thus crucial to ensure that the necessary protection and security measures are put in place and to be as proactive as possible.

Personal Trust takes any risk of a cyber-attack very seriously. We therefore ensure that we use the latest security systems that Microsoft has to offer. As and when new security updates become available from Microsoft we are notified and we update all of our systems without delay.

We also have an annual ‘hacking audit’, carried out by an independent cyber-security firm. Any improvements they may suggest are then reported back to us and are implemented appropriately.

All of our staff emails are highly monitored and any suspicious or malicious emails we may receive are thoroughly analysed and examined by the IT department.

All staff also attend two compulsory cyber-security training sessions per year, to ensure that all employees are made aware of the latest hacking trends. These sessions are presented by an industry expert.

Q I was chatting recently to a friend, who regards himself as something of a financial whizz-kid, and he mentioned Crypto-currencies (Bitcoin). Could you explain what they are and whether one should consider investing in them?

A Crypto-currencies are a peer-to-peer version of electronic cash that allows online payment to be sent directly from one party to another without the need to go through a financial intermediary. These currencies are typically governed by an underlying Blockchain type technology, which provides a decentralised database that stores a registry of assets and transactions across a peer-to-peer network, creating an irrevocable and auditable transaction history.

Some key properties of crypto-currencies (Bitcoin) are:

· Like the internet, no single entity controls Bitcoin/crypto-currencies.

· Pseudonymous − so no need to expose personal information when purchasing with cash or transacting.

· There are no financial intermediaries needed for a transaction.

· They are portable as they are digital, so can be taken anywhere.

· They are scaleable as they are divisible down to eight decimal places allowing them to grow in value while still accommodating micro-transactions.

· Limited supply (commodity-like characteristics).

· They are borderless so can be transferred to anywhere in the world with relative ease.

· Can be used to exchange/purchase goods provided the supplier/seller accepts crypto-currency as a payment method.

· They are an alternative store of wealth.

· Censorship resistant − no one can prevent you from interacting with the Bitcoin network and no one can censor, block or alter transactions they disagree with.

· Only the person who owns the address where the crypto-currency resides has the authority to move them.

Cypto-currencies, with Bitcoin being the most popular, have received increased interest since the global financial crisis and have seen exponential price growth. However, they should be approached with caution as their price has seen a lot of volatility recently.

If you have a question that you would like answered, please send it to Lynne Wasmuth lwasmuth@ptrust.co.za and we will publish it, together with the answer, in next quarter’s newsletter.

Questionsthat clients ask

Greig Phillips, Junior Trust Officer, answers some of the questions that are frequently asked.

" A Power of Attorney can lapse: Our law requires that a curator must be appointed by a court to manage the financial affairs of a person who is unable to do so himself due to diminished mental capacity; for example, the elderly who are dementia or Alzheimer’s patients. The curator bonis remains accountable to the Master of the High Court in the exercise of his duties throughout the duration of the curatorship.

" With effect from 1 March 2019, South African tax residents will be subject to tax on foreign employment income earned in respect of services rendered outside of South Africa, but may receive relief for foreign taxes as a rebate. For example, if an individual falls within the 45% personal income tax bracket, and if he/she pays 25% tax in the foreign country, he/she will have to pay the 20% difference to the SA Revenue Service. This will apply only to citizens employed abroad who have not formally emigrated. An option for those who have not emigrated would be to establish a tax treaty residency in the foreign country.

" Re-investing dividends and the power of compounding: An investment of R100 in 1967 would be worth approximately R 296,000 today if you had reinvested dividends.

" The importance of knowing your risk profile: Just as it is important to review your medical aid, Will, life policies, etc., it is equally important to make sure that your risk profile is also reviewed when reviewing your investments. Factors such as age, a change in circumstances, income needs etc. play an important role in the asset allocation of your portfolio.

SNIPPETSMalibuye Tom, Trust Officer, advises that a Power of Attorney can lapse, and that knowing your risk profile is important.

7 PERSONAL OPINIONS SEPTEMBER 2017

Renette Hendriks, Associate Director in charge of our Fiduciary Department, provides information on what is covered by a Living Will.

What is a Living Will or Advance Directive?

Estates – Practical Tips and Guidelines

A Living Will, or a so-called Advance Directive, is a personal document in which your wishes are recorded with specific reference to medical care, refusal of life support or any other medical intervention should you find yourself in a medical state from which you are unlikely to recover. It is important to note that, since the controversial End of Life Decisions Act of 1999 was never passed in South Africa, Euthanasia remains unlawful. It is further important to note that a Living Will is not akin to an Enduring Power of Attorney appointing a person to act on your behalf in the case of incapacity, which is not recognised under South African Law; or a Will dealing with your wishes around the distribution of your assets. The Living Will Society of South Africa defines a Living Will by stating that its main function is to aid in the “refusal of artificial life support when dying”. The Living Will thus “speaks” on your behalf in instances where you are unable to do so yourself.There are no prescribed requirements pertaining to the drafting or execution of a Living Will but, according to the Living Will Society, the following four conditions must be met for a Living Will to be ethically valid: · The patient issuing the directives must be aged 18 or over

· The patient must have the mental capacity to make his/her own medical decisions at the time of issuing the directives

· The patient may only refuse consent to treatment if he/she has been fully informed about their condition and proposed treatment

· It must be clear that the patient has not changed his or her mind after issuing the directive.

A Medical Practitioner will regard a Living Will as a patient’s wish, but will still have to rely on his/her professional judgment to decide on the applicability thereof to a particular situation. A Living Will can thus not be used to force a Medical Practitioner to withhold medical treatment where he/she feels that such treatment is necessary and in the best interest of the patient. It is important to discuss your wishes with your next of kin and your Medical Practitioner and to provide them with copies of your Living Will for record purposes. Your Trust Officer will be able to assist and guide you in drafting this important document if you wish to do so, and will also keep a copy on record once executed.

It is never easy dealing with the loss of a loved one, but it helps to make the load lighter by having your affairs in order. After many years in the Fiduciary Industry the best advice I can offer is the following:

Prepare a file or folder of all your important documents. These will include all assets and liabilities in your name as well as personal documents. They will include:

Your original Last Will and Testament: If your Will is with Personal Trust, then keep a copy in this file.

Your original Title Deeds to your property: If your property is still bonded, keep a copy of your Title Deeds in this file as well as the corresponding bond account details. If your Title Deeds are held at the bank, make a note of this.

Original Motor Vehicle Registration papers: If the motor vehicle is financed, the Financial Institution concerned will hold the original Title. It is important to retrieve this document once the vehicle finance has been repaid.

Other documents to keep:· Original Time Share Certificates· Original Share Certificate (if still in this

format)· Identity Documents for you and your

spouse· Original Marriage Certificate· Original Antenuptial Contract· Divorce Orders and annexures· Death Certificate of your predeceased

spouse· Copy of the Liquidation and Distribution

of your predeceased spouse’s Estate or the Estate reference number

· Contact details of beneficiaries· Copies of bank statements and portfolio

valuations· Details of current debit orders· Details of your current Pension· Details of your current Medical Aid· Details of your current short term

insurance· Details of your long term insurance

policies including funeral policies· Details of your last income tax return

Keep your Last Will and Testament simple, where possible. You may want to prepare a Letter of Wishes to give your family direction in disposing of your movable assets such as jewellery, paintings and household effects.

It may be useful to discuss your funeral options with your family or next of kin beforehand. This will assist them with choosing funeral undertakers, flower arrangements, hymn sheets and memorial services, to name a few.

Make a list of your passwords used when accessing the internet or your cell phone.

Make sure that your family or next of kin are aware of where your Personal File is kept. This will assist them in collating the necessary documents to report your Estate to your Executor.

At Personal Trust we have compiled a ‘Personal Register’ for your convenience, where you can insert all the relevant information. Please contact your Trust Officer should you wish to have a copy of this.

Jeanine Koopman, Manager in the Estates department, provides useful tips on how best to ensure that your affairs are left in order.

30 Seconds with ...

Carl VermeulenHow long have you been with Personal Trust and what made you apply to join the company?I joined Personal Trust on 15 September 2016 so I have been almost a year with the company.I have a passion for the industry and also for working closely with and guiding older folk with financial decisions that are beneficial to their well-being. Working for a company that has the same approach of building relationships with clients and potential clients, which ultimately falls in line with the essence of my work ethic, has been nothing short of amazing.What was your first impression of the company?My first impression was one of friendliness and kindness from both Mark Gibbs and Keith Andrews. These Directors are both people-orientated directors who show their commitment to clients through their nature. Since my very first contact with them and my interview, I have always felt as if I am part of a team − sharing a vision of excellence for the Port Elizabeth branch.What department do you work in and what is your role in Personal Trust?I am based in the Port Elizabeth office as a Trust Officer and Office Manager. My role includes the creation of new business in Port Elizabeth and the surrounding areas of the Eastern Cape. This includes involvement in the Bowling Clubs and maintaining existing clients’ needs through regular contact and annual reviews. My ultimate goal is to grow our presence in the Eastern Cape.Tell us about yourselfI am a very proud father of two children who continue to make me feel great about being entrusted with the gift of fatherhood. My daughter, Carla, is a 23 year old Honours graduate who is currently teaching Grade 2 and is a school counsellor. My son, Roche, is a 21 year old Conditioning coach and plays rugby for TUKS. We are hoping he will soon grab a coveted spot as a professional rugby player. They are my pride and joy along with my wife, Yolande, a beautiful career woman and life partner, whom I married on 16 December 2015. Needless to say, my family is very important to me and contribute towards my success and who I am as an individual.What are your interests – music, art, books, films, gardening, sport?I have many interests, ranging from music to historical war facts. The type of music I listen to is anything from classical to hard rock, excluding jazz – depending on my mood, of course. I enjoy broadening my knowledge of World War II and the Border war through reading articles and watching documentaries etc. I am an avid bowler and enjoy sport in general, watching and playing when I find the time. In one sentence how would you describe yourself?It will have to be a very long sentence but I will give it a shot. A passionate, militaristic, goal-driven individual who enjoys interacting with people of all races, colours, and backgrounds − with a level of respect that is drawn from my love for my job and for my fellow beings. My job is an extension of who I am.

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Visit to Delville Wood and otherFirst World War Memorials

At the end of April this year my wife Eve and I, accompanied by our son Victor, spent three days visiting First World War cemeteries, memorials and museums. One needs ten days, if not a fortnight, to comprehensively explore the many battle sites in Belgium and Northern France. We visited four and even those four visits were far more cursory than we would have wished.

From Calais, having ‘chunnelled’ from England, we headed straight for Ypres and the Menin Gate. Of all the towns on what was known as the Western Front, Ypres probably suffered the most. The Ypres Salient was a great arc of defensive lines with the town the centre point. It was the scene of five major conflicts – the First Battle of Ypres (1914), the Second (1915, when the German army first used chlorine gas as a weapon), the Third (1917 – Passchendaele, fought in a sea of mud and resulting in over half a million British and German casualties), the Fourth and Fifth in the last year of the war. By the end of the war Ypres, like many towns and villages along the front, had been obliterated.

Today the town, re-built using the original stone, stands as a monument to man’s courage, tenacity and resilience. From the huge town square, with its Cloth Hall and St Martin’s Cathedral, a road leads to the Menin Gate. The 18th century Antwerp Gate in this location disappeared around 1853, but it was along this road passing through the town’s ramparts that British and Commonwealth troops left for the front during four long years.

The Menin Gate is a memorial to the 54,896 of those British and Commonwealth soldiers killed before 15 August 1917 on the Ypres front and with no known grave. The Gate, designed by Sir Reginald Blomfield and inaugurated in 1927, stands astride the road, connected on either side to the town’s medieval fortifications.

The Anzac Day memorial services had been held two weeks before our visit and thus the stairs and ledges of the monument were covered with wreaths and floral crosses. At 8.00 p.m. every

night the Last Post is sounded but unfortunately we were not able to stay for this, having to leave for Arras and our accommodation.

Next we went to Delville Wood cemetery and memorial at Longueval.

The Battle of the Somme commenced on 1 July 1916 and lasted for four months. 410 international memorials and Commonwealth cemeteries remind us of the scale of the slaughter.

On 15 July 1916 the 1st South African Infantry Brigade, consisting of 121 officers and 3,032 men, was given the order to capture Delville Wood ‘at all costs’. For five nights and six days the Brigade fought against units of the 4th German Army Corps, at times having to resort to hand to hand combat. When the Force was finally relieved, the major part of the wood having been taken, only 142 men came out unscathed, 780 being able to attend a subsequent roll-call.

The Commonwealth War Graves Commission official booklet on the Somme states: “Delville Wood represents the national symbol for bravery and sacrifice as the 1st South African Infantry Brigade accomplished one of the finest feats of arms of the First World War.” A little known fact is that 25,090 black South Africans served in the South African Native Labour Contingent, often being involved in the forward areas, while 3,482 served in the Cape Auxiliary Horse Transport engaged at the Channel ports offloading munitions and supplies.

Shortly after the war, Delville Wood and its immediate surrounds was purchased by the government of the Union of South Africa for the purpose of building a war memorial to the fallen. The memorial, designed by Sir Herbert Baker, was unveiled in October

1926. At the unveiling Sir Percy Fitzpatrick spoke of Delville Wood as follows: “So glorious was their stand, so grievous was their loss, that no place could be more appropriate than this hallowed spot. This battlefield is indeed the true cemetery.” Another little known fact is that Sir Percy was the instigator of the custom of observing a two minute silence to commemorate the fallen.

The Delville Wood South African National War Memorial is reached by a narrow road leading from the village of Longueval. On our arrival we were immediately aware of the sense of peace and tranquillity that pervades the site. First we visited the cemetery where we found the gravestone of Victor Anderson, Eve’s uncle, who died on the first day of the battle. (An explanation: Eve was an Anderson before she married me!).

Then we crossed the road to walk towards the Memorial. One walks along an expanse of grass, some 300 metres in length, flanked on either side by rows of Oaks, germinated from

David Anderson, Personal Trust client and co-editor of Personal Opinions, describes his visit to the battlefields. acorns from trees at Franschhoek. Beyond the oaks, on either

side and surrounding the memorial, lies the wood replanted with trees of the region and including a single Hornbeam tree, the only survivor of the 1916 battle.

The Memorial itself is striking in its simplicity. Semi-circular flint and stone walls flank the central arch, over the dome of which stands a bronze sculpture of a horse with the twin Roman gods, Castor and Pollux. The twins’ ceremonial parade took place on 15 July 498 B.C., the day and month on which the 1st S.A. Brigade was given its orders to take Delville Wood. The twins’ grasping of hands represents unity between the South African races, forged by the experience of war.

From the memorial one is led along a flagged stone walkway to the Commemorative Museum opened in 1986. It is built as a reduced scale replica of Cape Town’s Castle, and reflects South Africa’s contribution to the Free World in the two World Wars and the Korean War.

One section of the museum is dedicated to the 616 men of the S.A.M.L.C who were drowned when the troopship SS Mendi, transporting them to France via England, sank in the English Channel on 21 February 1917.

In contemplative mood, we finally left Delville Wood and headed to Thiepval.

Thiepval was one of the villages held by the German forces and against which the British troops, many of them inexperienced soldiers, commenced their infantry attack. This first day of the Battle of the Somme, 1 July 1916, is known as “the worst day in British history.” By the end of the day 20,000 men had perished.

The Thiepval Memorial, designed by Sir Edwin Lutyens and completed in 1932, is the largest Commonwealth war memorial in the world, with 72,205 names of British and South African soldiers who were declared missing in the Somme area of conflict

inscribed in their memory. The graves of 300 French and 300 Commonwealth soldiers are situated in the cemetery in front of the memorial. Thiepval is a more popular visiting spot than Delville Wood and thus there is a sense of bustle rather than of tranquillity. That having been said, we were left on our own for some twenty minutes and were thus able to appreciate the grandeur of the monument – and to reflect upon the futility of war and the misery that it causes.

Back in Arras, we discovered yet another little known fact. Arras, like Ypres and Thiepval, was pivotally involved in the Western Front battles and 80% of the town was destroyed by German shellfire. In November 1916 the British started preparing for a Spring 1917 offensive. In a stroke of genius, they decided to utilise New Zealand tunnellers to connect the town’s limestone extraction tunnels and create an underground barracks for some 24,000 soldiers. Working 20 metres below the town’s southern suburbs, 450 sappers created a 20 kilometre network which they named the Wellington Tunnels. They then dug a staircase to just below ground level and immediately in front of the German fortifications.

The Battle of Arras, launched on 9 April 1917 at 05.30 hours, has gone down in history as the greatest surprise attack of the First World War. At that hour, after living underground for eight days, the 24,000 men, made up of British, Canadians, New Zealanders, Australians, Indians and South Africans erupted from the earth like so many flying ants! The German force, totally demoralised by this apparition, surrendered.

We were fortunate in that our visit was just one month after the Centenary celebrations of the battle. Flags and banners thanking the various nations still flew from lampposts in the Grand’Place and La Place des Heros.

Having explored 20 metres below Arras, the chunnel a few metres deeper held no challenge for us. It was with a sense of wonder, inspiration and fulfilment that we returned to the shores d’Angleterre.

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especially sharing a pilgrims’ meal with others and exchanging experiences that had happened along the way.

Unfortunately we could not complete the last section from Astorga to Santiago in 2016, so at the end of last year we started planning our final leg which we committed to do in May 2017. We had mixed emotions when we left Astorga as we were excited about this being the last stage and knowing the walk into Santiago would be a high point, but it would also be the end of a very special journey that started in 2014.

On the two previous walks we had no set targets of where we would end, but this time we knew we would end in Santiago and had 14 days to cover 270 km. There were many highlights along this final stage – the one that stood out the most for me was the night before reaching Santiago. We knew we had almost reached the end as there were only 12 km left to Santiago, so Jade and I decided to spoil ourselves and booked into the Hotel Garcas in San Paio. We had our own room with our own bathroom (such a luxury after having to share!) and reminisced about our pilgrimage

over a wonderful dinner.

The joy of walking into Santiago is almost overpowering as it is such a beautiful city with a magnificent cathedral, which is the focal point for pilgrims to celebrate the completion of their journey and to reconnect with those they had met along the way.

Our lives are so busy, hectic and goal-oriented, especially in the city, and you tend to bring that baggage with you for the first few days. Once you settle into the pilgrims’ way of life you start shedding those things that you thought were important and start letting the days unfold naturally – you become more accepting of whatever happens along the way. The Camino allows you to think about life more, to talk to other pilgrims about their experiences, or simply to be calm and enjoy everything around you while walking.

The Camino has been a fantastic journey for both Jade and me. We have such wonderful memories of special moments and pilgrims we met along the way that will stay with us forever.

This journey started four years ago when my daughter, Jade, turned 21. One of her gifts was that, when she completed her studies at UCT at the end of 2013, we would do something special that involved just the two of us. At the end of that year Jade mentioned that she would love to do a section of the Camino with me, and so we started planning.

We decided on twelve days and to do the Camino Frances route. Instead of starting in St Jean in France and crossing the Pyrenees, we decided to start in Pamplona – and so our journey began. Our walk began in May 2014. Our goal was to enjoy ourselves and not set an end destination, but on Day Twelve, wherever we ended, we would catch a bus to the airport and fly home.

Our first trip was very daunting, but we soon got into the spirit of the Camino as you are walking with fellow pilgrims from around the world. We walked 218 km from Pamplona to Burgos.

When we reached Burgos we were happy with what we had achieved, but were also sad to say goodbye to the pilgrims we had met along the way. The morning we left to fly back home we saw our friends continuing their journey and we both knew that this would not be our last Camino but just the start of our journey to Santiago.

In May 2015 we did our second part of the Camino. We also had twelve days and walked 230 km from Burgos to Astorga. This section is called the Meseta and is similar to the Free State with rolling hills and wide open spaces.

We had prepared well for our first walk and had done the right thing by walking fewer kilometres in the beginning; but this second time we were overconfident and overdid the kilometres in the first few days. However, this did not detract from the joy of being on the Camino again and the wonderful interactions with fellow pilgrims,

Andrew Calmeyer, Founding Director and Trust Officer, tells us about the last stretch of the pilgrimage.

Walking the Camino de Santiago

with my daughter Derek van Rensburg, a client of ours, did his first Camino in 1999. There are different routes, but the main one is the ancient pilgrim path known as the Camino Frances. The route begins in St Jean in France and ends in Santiago in Spain, and covers just over 800 km. Derek completed the whole route in one pilgrimage. After seeing his photos I was inspired to walk the Camino myself.

You need to apply for a Credential and a Pilgrim Record (passport) from the Confraternity of St James of South Africa, which you require when applying for your Schengen visa. The Credential certifies that you will be walking the Camino and the Pilgrim Passport allows you to stay in the Alberques along the route. It is stamped by each one you stay at and is a wonderful memento of your pilgrimage.

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Mandela Day 2017 – Liesbeek River clean-up

On 18 July each year, Personal Trust dedicates 67 minutes to serving the community. This is a combined celebration − in honour of Nelson Mandela and his legacy as well as remembering and celebrating a former client, Steve Nussbaum. Mr Nussbaum was a philanthropist who bequeathed his substantial estate to a Trust managed by Personal Trust, for the benefit of the many charities he supported during his lifetime. To Mr Nussbaum, the people at Personal Trust were his family and, as a result, part of his wish was that each year Personal Trust should have a celebration ‘on him’ − this was his way of thanking the company for all it did for him during his life.

This year, to commemorate these men, both of whom dedicated their lives to the service of others, we joined with The Friends of the Liesbeek (FOL), to clean-up a sub-section of the river that runs in front of our office in Rondebosch. FOL is a non-profit organisation dedicated to rehabilitating, enhancing and conserving the Liesbeek River. The continued functioning of Friends of the Liesbeek is dependent upon donations and subscriptions. More information on who they are and the work that they do can be found at www.fol.org.za

History of the LiesbeekOriginally referred to as the Soet Rivier (Sweet or Fresh River), the Liesbeek River was the first river in Cape Town named by Jan van Riebeeck. It is named after a small river in The Netherlands. The first ‘Free Burghers’ of the Dutch East Indian Company were granted farmland along the river in 1657 and the fish served as

an important source of food for these early farmers. The river is less than 9km long and is situated in the oldest urbanised river valley in South Africa.

Urban river systems have significant social and ecological value and perform a variety of important functions including absorbing and treating storm water, reducing the risk of flooding and providing open natural spaces for people to enjoy. Unfortunately, these systems easily deteriorate and Friends of the Liesbeek perform a variety of rehabilitation activities to ensure the continued healthy functioning of the system.

The Mandela Day project involved various maintenance tasks including:

· Clean-up of litter

· Clearing of leaves and branches

· Removal of alien plants and weeds

· Planting of new shrubs and mulching

Under the guidance of team members from Friends of the Liesbeek, on a very chilly Tuesday, approximately 80 staff members from Personal Trust got their hands (and feet!) dirty and transformed a sub-section of the river for the future enjoyment of the Rondebosch community. A few Milkwood and Stinkwood trees, as well as shrubs, were planted and the pathway weeded and tidied – much to everyone’s enjoyment. This was followed by a walk along the river for a festive lunch at a local restaurant.

Photos courtesy of Anne-Marie Griessel

THE NEWSLETTER OF PERSONAL TRUST (PTY) LTDRONDEBOSCH OFFICE: Personal Trust House Belmont Park Belmont Road Rondebosch 7700 · P O Box 476 Rondebosch Cape Town 7701 RSA

Tel: 021 689 8975 · Fax: 021 686 9093 · e-mail: personaltrust@ptrust.co.za · website: www.personaltrust.co.za

SOMERSET WEST OFFICE: G03 Parc du Links Niblick Way Somerset West 7130Postnet Suite Number 126 Private Bag X15 Somerset West 7129 RSA

Tel: 021 852 2265 · Fax: 021 852 9298

NOORDHOEK OFFICE: Unit 1 – No. 3 Carlton Close, Sunnydale, Noordhoek 7979 · P O Box 1030 Sun Valley 7985Tel: 021 785 3298 · Fax: 086 210 4931

KNYSNA OFFICE: Thesen House 6 Long Street Knysna 6570 · P O Box 2320 Knysna 6570 RSATel: 044 382 2100 · Fax: 044 382 7427

PORT ELIZABETH OFFICE: Ground Floor Elizabeth Place 14-20 Pickering Street Newton Park Port Elizabeth 6045P O Box 34496 Newton Park 6055

Tel: 041 363 0300 · Cell: 076 071 9033 · Fax to Email: 086 210 4931

INTERNATIONAL OFFICE LONDON: 17 Hope Street Douglas Isle of Man IM1 1AQ · P O Box 909 Beaconsfield Buckinghamshire HP9 1JH.Tel: 0044 7973 255 259 · Fax: 0044 1494 400 313

DIRECTORS AND SHAREHOLDERS KS Andrews BCom CA(SA) PG Dip(Tax Law), AD Calmeyer AFP ™, J Falconer CA(SA), M Gibbs BAcc CA(SA), TS Gobe BBusSc(Hons) Managing Director, PAG Kilroe BCom, JP le Roux CFP ® BCom(Hons) CA(SA) Chairman, NB Mc Intyre BSocSc LRDP,

JA Meyer BCompt(Hons), GE Moore BCom(Hons), GE Nasson CFP® BCom CAIB(SA), J van der Westhuizen Nat Cert in FP,GL White CFP® BCom PGD Mgmt(Mkt)

NON-EXECUTIVE DIRECTORS JA Bester BCom(Hons) CA(SA) CMS(Oxon), PR Doyle BBusSc (Hons) FASSA, CONSULTANT TD Miles (British)

ADDITIONAL SHAREHOLDERS MC Arends Nat Cert in FP, GP Ashwell CFP® BCom, JA Bester BCom(Hons) CA(SA) CMS (Oxon),BR Danks BCom CAM Dip, DS Edgar CFP® BCom, JM Forte, R Hendriks BA LLB LLM, MA Huxter MBA, JM Koopman, LM Godet MCom, M McKay,

TD Miles (British), SK Nielsen, LS Petersen, RO Smith HDip (Tax), KA Sontsele CFP® BCom, N Taal BSocSc PGD Mgmt (HR),A Theron BCom LLB PGDFP, KW van den Berg CFP® BCom (Hons) CA(SA), L van Wyk BCom (Hons), PB Vlotman (DMS) Dip BusM, L Wasmuth

MEMBER The Fiduciary Institute of Southern Africa

Readers of our newsletter are reminded that any comments, opinions and recommendations relating to investment products are made in good faith and with full attention to accuracy. However, market conditions are subject to constant fluctuations locally and globally. We advise, at all times, that investments be made only after consultation with us, and after individual

circumstances have been thoroughly considered.

FSP Licence No. 707 Personal Trust (Pty) Ltd Reg No 1951/002859/07

Established in 1980. Active Founding Directors: JP le Roux, AD Calmeyer

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