"Craic"is Irish for drink more, you're falling behind.

Okay it's not, but at 11am on St Patrick's Day in Dublin, it might as well be. All around me, locals and tourists in various stages of inebriation keep slapping each other on the back and shoehorning the words "good"and "craic"into the same sentence (for the record, craic is a Gaelic word that means a fun time).

Who can blame them? Ireland is, after all, the spiritual home of drinking. And Paddy's Day (March 17), as the locals fondly refer to it, is one of the most celebrated holidays on Ireland's calendar.

"In Ireland, we say you should never have just one drink. After all, a bird never flew with just one wing," says my taxi driver.

I take his advice and subsequently can remember very little of my first visit to Ireland's capital (note to self: Guinness is the work of the devil).

Thankfully, late last year I got the chance for a do-over, when I discovered Dublin is a city of many faces.

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Pack an extra suitcase because no atter what your style, you'll find something to buy in Dublin.

READ MORE: *Kiwi expat tales: Returning to Dublin, Ireland 20 years after I first lived there *A traveller's sporting guide to the Emerald Isle *5 of the best places to celebrate St Patrick's Day

LITERARY DUBLIN

"English has only been spoken in Ireland for about 250 years but we were quick learners," laughs our Luxury Gold guide Siobhan. "In fact, Ireland has produced so many award-winning writers, literary masterpieces should be recognised as our chief export."

The heart of all that scribbling is Dublin, one of only 39 UNESCO Cities of Literature in the world (a list that also includes our own Dunedin). Once home to writers such as Jonathan Swift, George Bernard Shaw, Oscar Wilde, W.B. Yeats, Samuel Beckett and James Joyce, Dublin is like Mecca for English lit grads (even those of us who can remember very little of tedious Monday morning lectures).

Because there are few cities that care as much about the written word as this historic capital. Wander down skinny lanes, stroll through Georgian squares and cross the River Liffey and you'll find heritage plaques dedicated to famous writers, bridges named after them and numerous literary place names.

istock

Temple Bar is the heart of Dublin's "good craic".

If time is limited, a Dublin Literary Pub Crawl is a good way to visit pubs and landmarks associated with the enormous body of Irish literature. A bonus is the entertaining tour guides who'll recite from famous books and letters, sing traditional drinking tunes and truly understand the meaning of the word "craic". Takeaway message: writers throughout the ages have been partial to a drink, such as poet Brendan Behan who described himself as "a drinker with a writing problem".

It's just past 3pm on a Saturday when I visit the Dublin Writer's Museum, but it's packed with students in black turtle-necks and serious glasses. Wedged into a grand 18th Century mansion (don't like literature? Come for the architecture), the museum was opened in 1991 to document the lives and works of Dublin's literary rock-stars over the past 300 years. That includes Swift, Shaw, Yeats, Joyce and Beckett whose backstories are told via books, letters and personal items. If these kind of things are important to you, check out the first edition of Bram Stoker's Dracula.

Sharon Stephenson

You're never far from music in Dublin, especially in lively Grafton Street.

HISTORIC DUBLIN

Dublin was originally founded as a Viking settlement way back in the 10th Century, so they've had a long time to work on their history.

And what a history it is from wars and famines to financial crises and Bloody Sunday. This being Ireland, there are also no end of churches, including the medieval Christ Church Cathedral and St Patrick's Cathedral, where you'll find ancient tombs.

It's quirky and more than a bit cheesy, but the Little Museum of Dublin surely gets the Oscar for the World's Cutest Museum. It's tucked into a quaint 16th Century house and details the history of Dublin through the lives and possessions of its residents, including an early edition of James Joyce's 1922 classic novel Ulysses, U2 memorabilia and autographed photos of Sinead O'Connor and Brendan O'Carroll (of Mrs Brown's Boys fame).

Can you say you've submerged yourself in Dublin history if you haven't visited Trinity College? Probably not. Ireland's oldest university was founded in 1592 and boasts the country's largest collection of historic manuscripts and early printed texts, with an entire collection of around five million books. It's where you need to go to see the iconic ninth-century Book of Kells, an illuminated manuscript of the four gospels of the New Testament, as well as, somewhat creepily, Jonathan Swift's death mask. Be prepared to queue.

Sharon Stephenson

The Samuel Beckett Bridge, by Spanish architect Santiago Calatrava, cuts a striking form over the River Liffey.

GREEN DUBLIN

You don't have to go far to find a slash of greenery in Dublin and when the sun comes out, so dothe Dubs (the locals' nickname for themselves).

"Dublin can be heaven with coffee at 11 and a stroll in Stephens Green", run the lyrics of the 1986 song The Dublin Saunter.

Even without caffeine, the 8ha St Stephen's Green is beautiful. Nature seems to have dialled up the green to maximum (all that rain is good for something)and it's easy to forget you're in the heart of one of Europe's most exciting cities.

A few leaps east of the city centre is Phoenix Park, at 707ha one of the largest walled city parks in Europe. It's where Pope John Paul II held mass in 1979, but it's also well known for its 400 or so wild deer.

Sharon Stephenson

Bewley's Cafe was founded in 1840 and has fed and watered numerous Irish literary stars over the years.

DRINKING DUBLIN

We had to get to alcohol sooner or later.

"A good puzzle would be to cross Dublin without passing a pub," says Leopold Bloom, a character in Ulysses.

Dial forward almost 100 yearsand not much has changed. If Paris has its cafs, then Dublin has its pubs close to 800 in a city of about 1.36 million. The HQ for Dublin watering holes is Temple Bar, a honeycomb of lanes filled with the highest concentration of bars in Dublin (there are also restaurants, boutiques and galleries).

Order a pint at the Oliver St John Gogarty bar, which features live traditional Irish music throughout the day. At The Porterhouse Brew Co, a bastion of Dublin's craft beer scene, I listen to bearded blokes with tattooed arms talk about the finer points of hops (or something like that; I get so bored I tune out).

Sharon Stephenson

This work by Italian artist Arnaldo Pomodoro sits within the historic Trinity College grounds.

But Dublin has form with beer. Visiting the city and not stopping by the Guinness Storehouse is a little like going to New York and not seeing the Statue of Liberty. The Storehouse's historic 22ha site is where Arthur Guinness gave his name to Ireland's national drink in 1759 (it's also Dublin's top tourist attraction).

Located at St James' Gate, it's the largest brewery in Europe and the interactive tour is a fascinating look back at the history of the iconic stout. The tour also details the story of Arthur Guinness and how he helped shape Dublin.

Afterwards, head to Gravity Bar on the top floor, where everyone gets a complimentary drink of what's been called Irish Champagne or the Black Stuff (I've sworn off after last time but my travelling companions tell me the Guinness here tastes fresher than anywhere else on the planet). The bar also boasts the best views in town and, of course, excessively good craic.

The writer was a guest of Luxury Gold's 12-day Ultimate Ireland journey. Now priced from $8035 per person, this journey includes dining experiences at Michelin-starred restaurants, luxury coach transportation, a travelling conciergeand luxury boutique accommodation, such as Ashford Castle, which is situated on a 350-acre estate in the countryside. See your travel agent, call 0800 568 769, or visit luxurygold.com

A return trip for one passenger in economy class flying from Auckland to Dublin would generate 2.66 tonnes CO2. To offset your carbon emissions head to airnewzealand.co.nz/sustainability-customer-carbon-offset.

STAYING SAFE:Checksafetravel.govt.nzprior to travelling to stay updated on the latest travel advisories.

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Ireland: How to have a Craic-ing good time in Dublin - Stuff.co.nz

With the closure of pubs, clubs, cinemas and theatres, the coronavirus is changing how we entertain ourselves. Its just the latest episode in a history that is centuries old.

This is not the first time a pandemic has closed theatres.

No, there is a long history of theatre being forced to close because of pandemics. The Black Death, which raged across Europe between the 14th and 17th centuries killing up to 200 million people, repeatedly forced the closure of theatres in London. In 1593 Shakespeare turned from plays to poetry because the theatres were closed. A decade later they were closed again, forcing theatre companies to tour the provinces in search of a living.

In 1606 the plague returned to London forcing Shakespeares Globe theatre to shut its doors again. Still, the closures, Shakespeare scholar James Shapiro has suggested, allowed the playwright time to write King Lear, Macbeth and Antony and Cleopatra. But he didnt have ITV3 repeats of Coronation Street to distract him.

Was the plague the only problem for theatres?

By no means, but it was a good excuse. In 1577 one Elizabethan preacher argued that the cause of plagues is sin and the cause of sin are plays, so therefore the cause of plagues are plays.

In terms of epidemiology his science was rather suspect, but it was an attitude that was popular in the church for centuries. Oliver Cromwells military regime banned theatre in 1642 and they didnt reopen until the restoration in 1660 (although an operawas performed in London for the first time).

What about Scotland?

Scotlands first public theatre didnt open until 1736 following a long history of bans on public revelries, dating back to 1555. Scottish theatre was largely non-existent in the 17th century, partly down to church disapproval, but also due to lack of patrons after James VI decamped to London to become James I.

As late as 1727 the Reverend Robert Wodow, a minister in Renfrewshire, was complaining that plays were seminaries of idleness, looseness and sin. In 1752, it is said, Glasgows first theatre was burnt down by religious fanatics after itinerant preacher George Whitefield called in the Devils home.

The first permanent theatre, built outside the citys boundary in Grahamston, also went up in flames but the churchs grip on public life was beginning to loosen and in 1782 the Theatre Royal in Dunlop Street was built after Glasgow magistrates gave permission.

What happened to theatres during wartime?

Both World War One and World War Two saw theatres being forced to close initially, a decision described by George Bernard Shaw in 1939 as a masterstroke of unimaginative stupidity. But in both cases, they reopened and were helpful for morale for both soldiers and civilians.

The love of fun is eternal, the Bystander magazine proclaimed during the First World War, and it will take a bigger beast than the Prussian to bully us out of it.

What next?

Like everyone else, the countrys theatres must wait and see. But they will reopen. They always have.

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Issue of the day: Closing theatres - HeraldScotland

The country's pubs and hotel bars shut down last night to stem the spread of Covid-19, leaving 50,000 bar workers out of work and opening the possibility some pubs might never open again.

Health Minister Simon Harris made the announcement just hours after video footage of a large gathering in a Dublin city pub went viral, causing widespread anger that social distancing requests were not being observed.

He said many pubs have found it "simply not possible to comply" with restrictions on numbers in indoor and outdoor gatherings. "The pub is a place of social interaction. We know when people consume alcohol it can remove inhibitions. It's hard to tell people in such an environment to keep their social distance," he said.

He met with the chief medical officer, senior Government officials and the representative bodies of the publicans across the country yesterday.

"In the interests of public health, all pubs and all bars in Ireland will close this evening until March 29.

"This will be kept under review," he said.

Some 7,400 pubs will close.

The closure - ahead of the peak St Patrick's Day trading period - is set to cost the industry at least 100m but could soar further if normal pub and club trade cannot be resumed on March 29.

Restaurants, cafs and fast food outlets will remain open though the situation is being carefully monitored.

Government officials, including public health experts, met with the Licensed Vintners Association (LVA) and the Vintners' Federation of Ireland (VFI) at an emergency meeting in Dublin.

The public has also been urged not to organise or participate in any parties in private houses or other venues which would put other citizens' health at risk.

Both the LVA and VFI supported the closure decision and urged all their members to comply with the Government's shutdown request. However, hundreds of Irish pubs, cafs and restaurants had already opted to voluntarily shut.

All Temple Bar pubs and clubs in Dublin had indicated at lunchtime yesterday they would close after operators said it was virtually impossible to impose recommended social distancing guidelines.

Among the famous Dublin pubs and clubs to signal closure well before the shutdown announcement were Copper Faced Jacks, Peadar Browns, Ohana, Zozimus, Grogan's Castle, The Camden and The Back Page, The Bernard Shaw and The Black Wolf.

Leo Varadkar - reacting to alarm at so-called student 'virus parties' and scenes of packed Dublin pubs over the weekend - warned the Government would seek special enforcement powers from the Dil and Seanad if required. He warned revellers that irresponsible social behaviour risked spreading the virus and making vulnerable people "very, very sick".

Leading oncologist Professor John Crown had urged for several days that the Government close all bars and clubs.

The Bishop of Limerick, Dr Brendan Leahy, criticised those who insisted on carrying on their social lives as normal last weekend despite the threat. The LVA also hit out at "a small number of pubs flouting the coronavirus guidance - these pubs have been seriously irresponsible and their behaviour is completely and utterly unacceptable".

Irish Independent

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Coronavirus in Ireland: 7,400 pubs and bars close in a move that will cost industry 'at least 100m' - Independent.ie

When John Bogle died last year, at the age of 89, the investing world lost a hero. Most investors may not know his name, but he's the founder of Vanguard, one of the most respected financial services companies, known in part for low fees. That's not even his most important accomplishment; he's also known as the father of index funds, and advocated for them for many decades.

Here's a look at nine smart things Mr. Bogle said, along with a little commentary about each.

Image source: Getty Images.

The recent stock market crash has made this abundantly clear. It's important, if you're going to invest in stocks, to understand that the market drops by about 20% or more every few years -- and that after each such drop, it has always recovered and gone on to new highs -- eventually. That sometimes happens within a matter of months, but it might also take years. That's why you only want to invest in stocks with money you won't need for at least five (or more) years.

Consider this: As ofthe middle of 2019, the S&P 500 index of 500 of America's biggest companies outperformed fully 90% of large-cap stock mutual funds over the previous 15 years, according to the folks at Standard & Poor's. In other words, only about 10% of mutual funds run by financial professionals who carefully decide what to buy and sell and when and who focus on large companies are able to deliver above-average results. This is largely due to the fees that they charge. It's common for actively managed stock mutual funds to charge around 1% or more annually, while many index funds that track the S&P 500 charge 0.20%, 0.10%, or even less.

In other words, be a long-term adherent of fundamental investing, where you focus on the companies in which you're a part-owner through your shares, keeping up with their progress and assessing factors such as their market share, profit margins, track record of growth, prospects for further growth, sustainable competitive advantages, debt and cash levels, and so on.

The opposite of this would be jumping in and out of stocks without ever having a solid understanding of the underlying companies, and checking how the stock market and your holdings are doing every day or even every few hours. (I'll concede that when the market has been as volatile as it has been recently, it can be more understandable to take a look more often.)

This is a common mistake that mutual fund investors make, and stock investors make it, too. If you see a mutual fund that soared more than, say, 50% last year, you might jump in, wanting to collect a 50% return yourself. (I made precisely this error once -- and, fortunately, only once.) Well, that's not how it works. Any fund or stock can have an amazing year -- perhaps partly due to investor euphoria and optimism or due to a truly impressive performance. But it doesn't happen every year. And when stocks and funds get ahead of themselves, they're very capable of falling back to more reasonable levels.

Focus on long-term results -- and put more weight on what you expect the company or fund to do in the future than on what it has done in the past.

Image source: Getty Images.

It's underappreciated how important it is to favor mutual funds and other investments with low fees. Here's an example. Imagine three stock mutual funds. One is an index fund charging an annual fee of 0.10%, while the other two charge 1% and 1.5%. If the stock market averages 10% growth over a given period, you'll end up with average annual gains of 9.9%, 9%, and 8.5%, respectively, with those funds. Here's how $10,000 annual investments would grow over time at those rates:

Investing Period

Balance Assuming 8.5% Growth

Balance Assuming 9% Growth

Balance Assuming 9.9% Growth

10 years

$160,961

$165,603

$174,315

20 years

$524,891

$557,645

$622,348

30 years

$1.35 million

$1.49 million

$1.78 million

Source: Calculations by author.

The cost of expenses is clear in the table above -- and remember that some funds or investments charge significantly more than 1.5% annually, too. Emotion, though, is another challenge for investors to overcome. Think about the recent big market drops. They tend to lead many people to panic and sell their stocks (which causes the stock prices to fall further). Market drops are actually great buying opportunities for long-term investors.

As Warren Buffett has explained about his own (wildly successful) investing style: "We simply attempt to be fearful when others are greedy and to be greedy only when others are fearful."

Simplicity is often best. Many people think about investing and assume they need to learn all about commodities and futures and options and that they have to become experts at reading financial statements in order to study many companies. Instead, think back to Bogle's simple index funds. You can just park money in one or more index funds regularly for many years and do very well -- without becoming a stock market expert.

When you invest in a broad-market index fund, such as one that tracks the whole U.S. stock market, as the ultra-low-fee Vanguard Total Stock Market ETF(VTI)does, it lets you skip looking for the most promising stocks among thousands -- because you just buy into all the thousands.

Finally, if you become an index investor, you just have to stick to the plan. Keep investing in it for many years, without panicking and selling.

There's a lot more we can learn from John Bogle -- and we have a lot to be grateful to him for, as well.

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9 Investing Tips from Investing Icon John Bogle That You Shouldn't Ignore - The Motley Fool

Jayendra Naidoo. (Photo: Qilai Shen / World Economic Forum)

The findings and recommendations of the Mpati Commission of Inquiry into the Public Investment Corporation has generated much media coverage, including several articles which appeared in Daily Maverick. The Lancaster Group, Lancaster 101 (the entity in which the PIC invested in 2016), and I, have been on the receiving end of much undeserved adverse comment. I write this article to clarify issues and place the facts on record relating to the PIC investment in Lancaster 101 (L101).

Ex-unionist Jayendra Naidoo owes PIC R11bn for dodgy Steinhoff BEE deal, inquiry reveals

By way of background, I am the sole shareholder of Lancaster Group, a company I formed in 2014. In 2015, Lancaster Group was invited to acquire a significant block of shares in Steinhoff. This was the result of two years of negotiation. Having had a prior business relationship with Dr Christo Wiese as an investor in Pepkor Holdings between 2003 and 2011, I approached Dr Wiese with a proposal to acquire a shareholding in Pepkor once again.

However, at a point when our discussions were quite advanced, he sold his entire shareholding in Pepkor to Steinhoff, and subsequently arranged for the then Steinhoff CEO, Markus Jooste, to continue the discussion with me. This led ultimately to an offer from Steinhoff to Lancaster Group to acquire shares in Steinhoff. It was a purely commercial transaction, with shares offered at market value, based on the notion of working together as value-adding business partners.

At the time, Steinhoff was a highly regarded blue-chip company listed on the JSE. Many international investment banks had a relationship with Steinhoff as a result of its international operations. To raise the funding for the investment opportunity, I approached several international and local banks, as well as the PIC. I appointed an advisory company who developed an innovative proposal for funding the transaction. In addition, they secured a guarantee from an international investment bank to protect up to R10-billion of investment in Steinhoff shares.

With this capital protection mechanism available, several reputable banks became interested to provide funding, and provided indicative funding term sheets. However, it would have required several banks working together to provide such a large quantum of funding. I was cognisant of the risk of working with a large consortium of banks. At the time the PIC, who had an extensive track record of private investments through their Strategic Investment Portfolio, also indicated their interest in the proposal and saw the possibility of using this transaction to work more actively with Steinhoff to promote broader economic transformation, advancing black management, and creating benefits for black suppliers and local producers.

The prospect of a stronger relationship with the PIC was welcomed by Steinhoff as well, so I elected to work with the PIC on this transaction. Bear in mind that the PIC was already invested in Steinhoff and was interested in increasing its association with Steinhoff.

Once the engagement began, the PIC appointed a deal team that engaged intensively with our advisers. The original proposal submitted by Lancaster Group was explicitly on the basis, which is the commercial norm, that it was open for negotiation. The negotiation between the PIC deal team and our advisers resulted in several amendments. The changes that the PIC secured included the PIC acquiring a direct 50% shareholding in the equity of the special purpose company to be created (which was a new company created for the transaction, namely L101), an allocation of 25% of the L101 shareholding for the benefit of a B-BBEE Trust (to be established by Lancaster Group in accordance with an agreed scope), a reduction in the transaction size to R9.35-billion, an obligation on Lancaster Group (and Steinhoff) to undertake specific transformation activities such as developing black suppliers, and several other points.

During this process the PIC deal team demonstrated themselves to be knowledgeable, professional, and clearly experienced in sophisticated financial transactions. I must emphasise that this was a robust and commercial engagement. The narrative that the PIC deal team was grossly inferior to the Lancaster Group advisers is completely unfair to the skill and expertise of the senior PIC team members who were involved.

Despite the commercially demanding terms, the transaction made sense to me given the PICs interest to partner and further invest in Steinhoff-related initiatives. The PIC approval was granted by their Investment Committee, not by their CEO, Dr Matjila. The inference by the PIC Commission that the reduction of the size of the transaction from R10-billion to R9-billion may signify collusion between myself and Dr Matjila is totally unfounded given that it was simply one of many requirements imposed by the PIC deal team to adapt the transaction to the requirements of their Investment Committee.

Pursuant to this agreement, the PIC entered into a loan agreement with L101 constituted as described above, not with Lancaster Group, nor with me personally. Lancaster Group is a 25% shareholder in L101 and is only entitled to 25% of any benefit which would accrue to L101.

The L101 shareholders agreement entitled the PIC to nominate two directors, and they duly nominated one full-time employee who was part of their deal team, and one of their non-executive board members who was part of their Investment Committee. In my view it is quite normal for an investor to nominate directors to the board of a company it invests in, and it is also quite standard to source people for these roles from within its own ranks.

To the best of my knowledge I understand that the PIC determines nominations to investee companies at its Board, via a formal process. The suggestion that the member of the PIC Investment Committee who was nominated as a director of L101 had a conflict of interest is at odds with standard commercial practice, and frankly unfair to the individual concerned, and to the other members of the Investment Committee who approved the transaction.

I have noted the commission recommendation that the PIC obtain a legal opinion regarding fees paid to the Lancaster Group by Steinhoff pursuant to this transaction. The fee was publicly disclosed at the time of the transaction, as mentioned in the Commission Report itself. I am advised it would not be appropriate for me to comment further on this issue at this time.

The shareholders agreement of L101 tasked Lancaster Group to create a B-BBEE Trust after the completion of the transaction and to transfer 25% of Lancaster Groups shareholding in L101 to the B-BBEE Trust. The Trust was specifically designed to be a means of funding social and enterprise development activities that promote the interests of black people. The Trust was not intended to provide benefits to any individuals nor to serve as an investment vehicle for any BEE groups. In the course of establishing the Trust, the lawyers of L101 highlighted the financial and administrative challenges of current legislation regulating trusts, including the very unfavourable tax treatment afforded to trusts.

They proposed the alternative of establishing the entity, with the same scope and principles, as a non-profit company which would thus enable the entity to retain a greater proportion of its income for its developmental activities. Their proposal was duly considered by the L101 board and shareholders (including the PIC) and approved, with amendments then made to the companys shareholder agreement. As I indicated in my statement to the commission last year, all obligations in respect of the B-BBEE Trust have been fully and properly dealt with in accordance with the Shareholder Agreement.

As part of the transaction, Steinhoff had invited Lancaster Group to become part of a voting pool arrangement, which I had accepted prior to engaging with the PIC. However, at an advanced stage of discussions it was discovered by Steinhoff that the Dutch regulations under which Steinhoff now operated restricted the entry of new members into the voting pool. Accordingly, Steinhoff proposed an alternative, namely, to establish a joint Strategic Forum between Steinhoff, its controlling shareholder, Lancaster Group and the PIC. After careful discussion this was agreed upon, recognising that the Forum could in fact allow for a higher form of strategic participation than may have been available in the existing Steinhoff voting pool.

It was at a meeting of this Strategic Forum that the idea to list Steinhoffs retail assets, acquire Shoprite, and to create an African retail champion, was discussed and supported. This eventually led to the formation and listing of Steinhoff African Retail (STAR).

Pursuant to this decision there was an opportunity to make a further investment in STAR. In order to finance the investment, the Board and shareholders of L101 (obviously including the PIC) proposed that L101 raise new funding from a third party bank. To facilitate that and given the manifest benefits for its stake in Steinhoff, the PIC agreed in its capacity as senior lender to L101 to amend its security arrangements in respect of its loan.

As history records, the underlying assumption of continued high growth in Steinhoff did not materialise. Unbeknown to all including the PIC who had been an investor in Steinhoff for 20 years, those who had sold assets to Steinhoff, myself, many individual investors, sovereign wealth funds, private asset managers, banking institutions and others who invested in it, Steinhoffs apparent stellar track record was in reality a fiction and the result of a long-running fraud.

The Steinhoff share price plummeted as a result of the revelations in December 2017 about Steinhoffs financial misrepresentations. Neither the PIC nor the Lancaster Group were responsible for this state of affairs, and in fact, together with so many other investors, we are also the victims of this financial misrepresentation. As a result, in April 2019, after the publication by Steinhoff of the summary of the findings by the PWC forensic investigation, L101 instituted legal action against Steinhoff for the recovery of the investment made.

PIC has similarly instituted action against Steinhoff for recovery of its direct investment in the company via its Listed equities portfolio. We are engaging with the PIC with a view to recovering what we can under the circumstances.

Whatever else may validly be said, I am comfortable that the transactions described above between the PIC and Lancaster were not only opportune at the time, but also, certainly from my side, entirely above board and at arms length. DM

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My view of the PIC/Lancaster investment in Steinhoff - Daily Maverick

U.S. dollar banknotes.

Liu Jie | Xinhua via Getty

In the age of coronavirus, cash is indeed king.

That's the view, at least, of many major investors, who are selling everything from stocks to bonds to gold in order to raise cash.

Bank of America Merrill Lynch in its March Fund Managers' Survey indicated that month over month, cash among funds has seen the 4th largest monthly jump in the survey's history, from 4 percent to 5.1 percent. Like buy-side fund managers, sell-side advisors also feel the need to be conservative, waiting on the sidelines for the market selloff to settle.

Jonathan Pain of the Pain Report markets newsletter, who called the selloff on February 24, told CNBC on Monday that he is seeing "a mad rush for cash." The spike in bond yields, with 10-year rising above 1.2% and the 30-year more than doubling in the last few days, marks only the latest way that the typical correlations between assets are breaking down.

"Whatever number you have got, double it. If you are at 10 percent (cash), make it 20 percent."

Gary Dugan

CEO, Purple Asset Management

Gold, a classic "safe" asset, has seen wild swings between $1,450 and $1,550 an ounce, triggering panic selloff by traders looking to liquidate everything they have in order to honor large market positions on borrowed money. Essentially, they need to generate cash to pay for the over-exposed calls that have generated losses.

The big problem for world markets right now is that there just aren't enough dollars to go around.

That's one reason the greenback just crossed the 101.45 mark against a basket of currencies, despite the Fed funds rate going down to near zero. Divya Devesh, Asiaforeign exchange strategist at Standard Chartered, told CNBC's "Street Signs" on Wednesday that even though the Fed has rolled out a $700 billion asset purchase program, the bond market doesn't foresee inflation rising.

Inflation risk is off the table because of the unprecedented crash in oil prices.

The traditional inverse relationship between bonds and stocks has broken in the ongoing selloff. Morgan Stanley in a research note pointed out that the less power bonds have as a hedge for a portfolio, the less overall risk a portfolio should take.

In summary, bonds can no longer cushion portfolios in bear markets where stocks are seeing clear capitulation.

Speaking about desirable cash levels, Gary Dugan, CEO of Purple Asset Management didn't mince his words when he spoke to CNBC on Monday: "Whatever number you have got, double it. If you are at 10 percent, make it 20 percent."

Cash is king not only for investors, but also for businesses. Looking for companies that have strong balance sheets, less debt, stable cash flows and carrying a respectable dividend yield are the preferred plays.

Some fund managers, such as Sat Duhra from Janus Henderson, believe the most attractive sectors in Asia are REITs, telecom and infrastructure assets. "These sectors remain favored in times of extreme volatility and sharp market draw-downs, given their defensive nature," he said.

All that said, there certainly are a lot of contrarian bets out there.

Other assets that are drawing investor interest include China A-shares. The Chinese yuan both offshore and onshore is also gaining investors.

Some analysts say outright that they don't feel cash is such a great idea.

"Raisingcash when the S&P 500 is already off 28 percent from its peak doesn't seem the most appropriate strategy now,"Kelvin Tay, regional chief investment officer of UBS Global Wealth Management,told CNBC via email. "Since 1945, the average drawdown in bear markets has been 34.5%."

Applying that calculation to today's markets would imply the S&P 500 index bottoming out at around 2,200 or another 8 percent from current levels. But no one can be certain, of course. Trying to time the market and buy at the bottom is not a viable strategy when the closely followed volatility index from the Chicago Board Options Exchange, the VIX, is at record highs.

Kelvin said he believes the opportunities could lie in the tech sector online companies, e-commerce giants, 5G companies and cloud computing firms could be winners in a further market retreat.

That would be a "smarter" strategy, he said, than raising cash.

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Fund managers have a message: Cash is king - CNBC

World Travel and Tourism Council CEO Gloria Guevara says she fears coronavirus are closing down major metropolitan areas, which is putting a huge dent in the travel industry.

The coronavirus outbreak has sent shockwaves through U.S. markets, leaving many investors concerned about the fate of their retirement accounts.

The Dow Jones Industrial Average has fallen nearly 30 percent duringthe past month, while the S&P 500 has declined more than 25 percent over the same timeframe ending the longest-running bull market in history.

While the number of so-called 401(k) and IRA millionaires hit a record 441,000 as of February, according to Fidelity, its likely that number has been on the decline throughout recent weeks.

So what should concerned investors do with their retirement accounts?

First, dont be a masochist and look at your 401k right now, Greg McBride, chief financial analyst at Bankrate.com, told FOX Business. Youll get your quarterly statement in April and that wont be a lot of fun, but that also may be an opportunity to rebalance your portfolio.

For most, rebalancing involves selling a little of what has done well and buying more of what has not, McBride said, the well-known strategy of buying low and selling high.

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For older Americans closer to retirement, the situation may mean something a little different, and the stock market tumble points to the exact reason why these individuals should have a diversified portfolio.

Having the first several years of withdrawals bucketed separately in cash and conservative bonds allows you to ride out a bear market, according to McBride.

As previously reported by FOX Business, it is prudent for Americans of all ages to have a financial plan in place. That plan should include having cash readily available in case of emergencies. It should also include safe money on which investors take less, or no, risk, which can be used on planned expenses. And money in tied up in the stock market should be intended to stay there for the long-term.

Having a diversified portfolio generally means downturns and losses have been taken into account and investors should not be making many adjustments or worrying.

Having a plan will also make your results more predictable, Greg Hammer, CEO and president of Hammer Financial Group, previously told FOX Business. Thats why it may be worth sitting down with an expert to proactively plan for these events, based on your individual circumstances and needs.

Overall, its important for workers to understand that, even though the market is extremely volatile right now, it will eventually normalize.

Investors need to maintain their long-term perspective, McBride said. Its extremely jarring but the situation that prompted this is temporary. Dont let any short-term temporary situation affect your long-term financial security.

And the good news? For those still working who have a 401(k) account, you are automatically investing every pay period and getting better prices than you were one month ago, McBride pointed out.

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Coronavirus and retirement savings: What to do with your investments - Fox Business

Even the most seasoned investors have watched the recent swift decline in the stock market with a bit of wonderor horror. Bear markets are a well-documented part of normal stock market activity, yet they still seem to surprise investors whenever they happen.

Right now, you are being told not to do many things, which may make you want to do somethinganything. When the information updates and the financial markets are moving as quickly as they are right now, it can be challenging to find a strategic move to make, especially when the age-old advice is to stay invested through good times and bad.

We spoke with wealth management expert Debra Brennan Tagg about investment strategies to consider during the COVID-19 crisis. The Brennan Financial Services president said, While the upside potential of the stock market is what lures us, we should recognize those big downturnsbetter known as bear marketshave their place.

They remind us that investing is not a risk-free proposition and that no one knows the direction of the market in the short-term. More importantly, investing does not have a one size fits all answer. What is right in my portfolio should have no bearing on what is appropriate in your portfolio since we have different life goals. Now that we are in a bear market, here are five ways you can use it to your advantage.

Here are five strategies to consider, including one major mistake to avoid.

Your financial plan should be specific to you, your risk and resources, and your life goals. While the risk for all of us is elevated during this uncertain time, the structure of your financial plan should guide you to continue to make sound financial decisions.

Editors Note: Debra Brennan Tagg offers securities and advisory services through FSC Securities Corp. (FSC), member FINRA/SIPC, and financial planning services through DBT Wealth Consultants. FSC is separately owned and other entities and/or marketing names, products or services referenced here are independent of FSC. Listed entities are not affiliated with FSC. The views expressed herein are not necessarily the opinion of FSC Securities Corp. and should not be construed as an offer to buy or sell any securities mentioned.

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How to Respond to the Coronavirus Situation From an Investments Perspective - D Magazine

When the US economy showed signs of vulnerability in October, James McDonald took special notice.

The CEO and chief investment officer of Hercules Investments saw the first indication of possible risk to markets when a key gauge of manufacturing activity shrank for two straight months.

At the time, the S&P 500 was in a bull market that was unprecedented in its duration and gains. Also, the Cboe Volatility Index, known as the VIX, was near historic lows, showing that investors expected the good times to persist.

But then came the coronavirus, which was so crippling to the global economy that investors could not shrug it off as they had the manufacturing slowdown, Hong Kong protests, and impeachment trial. Volatility blew up as investors realized that normal life was grinding to a halt across the globe.

McDonald was ready for this. He is among the investors who have cashed in the market's turmoil, thanks to strategies he adopted ahead of time to profit from this kind of volatility.

"In my 26 years, I've never had a trading strategy that has had as much consistency and safety," he told Business Insider.

Back in October, his firm, which manages $150 million in assets, engaged its High Sigma strategy purchasing out-of-the-money call options on the ProShares Ultra VIX Short-Term Futures ETF that profits from higher expected stock-market volatility.

The underlying ETF's price went from about $11 as the S&P 500 peaked on February 19 to above $126 on Wednesday a gain of more than 1,050%.

As a result, McDonald's options trades that bet on this price trajectory have paid off handsomely.

That strategy is over, McDonald said. He is now shifting to what he calls a Gamma Yield strategy that's designed to take advantage of excess volatility and fear in the market.

The strategy monetizes these emotions by selling Cboe-listed options on the cash indexes for the Nasdaq 100, the Russell 2000, and the S&P 500.

His rationale is that options earn part of their value from anticipated price changes in the underlying security. And so the more fear exists in markets, the better the strategy performs.

"As long as there's fear in the markets, these premiums are going to stay high," he said. He added, "I think we can run Gamma Yield all the way to the election."

A cursory look at the stock market's moves during the past couple of days demonstrates why these options have been so profitable. Quadruple-point moves on the Dow Jones Industrial Average have been commonplace since late February, for example. Consequently, these options have become more valuable to account for the wide range of possibilities that traders are pricing in for the future.

"We've done over 700 trades, and every single one of them has been profitable," McDonald said. "We have not had a single loser because of this environment and it makes no sense to do anything else at this point. We're focused on capturing the unique opportunity that we have."

He said the gains of each trade averaged out to 60% to 90%.

McDonald sees no reason to invest any other way for as long as the market is in free fall. He expects volatility to eventually normalize, just as it departed from its normal historical range. But buying index call options should remain profitable all the way through the election because smaller pockets of volatility are likely.

"If we can find a vaccine, that will be great," McDonald said. "But it's not going to erase the negative revenues and the negative industrial output probably for Q2."

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Coronavirus investing strategy: How to profit with stock index options - Business Insider Nordic

Equity markets have fared reasonably well aided by liquidity in ETFs, as my colleague Craig Lazzarahighlights. Steep discounts to net asset values (NAVs) on popular fixed income ETFs are bringing an onslaught of doomsday projections. But while the signs of stress are evident, its important to decouple the dysfunction of the bond market from the investment product as well as the managers skill.

Let us first consider the market context. The rise of interest rate, credit, and volatility risk waspreviouslydiscussed as theS&P U.S. Treasury Current 10-Year Indexyield fell below 1%. Yields then halved and are now bouncing between 0.5% and 1%. Treasury bid-ask spreads were reported to widen to beyond 1 point and NAV discounts were seen in treasury and credit ETFs. Despite that illiquidity, fixed income ETFs experienced their largest daily volume in treasury and credit sectors. Liquidity is a premium. The Cboe/CBOT 10-year U.S. Treasury Note Volatility Index hit its highest point since the end of Lehman Brothers. This measure, along with its credit and swap variants, highlights the stress experienced across the fixed income markets.[1]

In terms of measuring the impact of these shocks on ETFs, Andrew Upward at Jane Street produced agreat historical summarythat was covered in a recent S&P Globalwebinar. In times of credit stress, the discount as a percentage of NAV reflects the price buyers are willing to pay. In recent days, the largest investment-grade and high-yield ETFs traded at over a 5% discount. This could be misinterpreted as a sign a credit ETF isnt functioning well. There are a few critical points to counter that view. First, prices in the over-the-counter bond market are typically shown as request for quoteas soon as one wishes to sell at an advertised price, the trader showing the bid can remove it. The fact that an ETF has an executable price goes well beyond the unwilling participants in the OTC market. The second critical point is the latency in NAV calculation. As an index provider, we pride ourselves on using independent transparent pricing. These price providers play a heavy role in NAV calculation and are often referred to as price evaluators, since they are providing their evaluation on what the price of a bond should be on a given day. Having an independent resource is critical for the index and fund administration community. But they are not employing exacting measures to determine the price of a bond that may or may not have traded that day. The last point is a timing issue; the official index closes at 3PM, while the ETF and its NAV close at 4:00PM. This also causes a mismatch to NAV during times of volatility.

In the webinar, Bill Ahmuty, Head of SPDR Fixed Income Group at State Street Global Advisors, spoke about how fixed income volumes tend to grow during times of stress, while the underlying cash bond market volume tends to shrink. It appears that ETFs fulfill a critical need of liquidity when liquidity is needed most. ETF structure lends well to this, as investors can trade ETF shares without having to source the individual bonds. This only works to the extent that buyers and sellers can match their trades. Once they are matched, the liquidity must be met by the underlying bond market. As the fixed income ETF market grows, it has a better opportunity to meet or improve liquidity, similar to the equity market.

Finally, as investors look for those who successfully navigated these markets, the active versus passive debate will return. While that argument may be over for equity, new index-based strategies are proving their worth in fixed income. We will cover passive strategies and their performance in upcoming posts, but now, we want to highlight how theS&P U.S. High Yield Low Volatility Corporate Bond Indexhas outperformed its benchmark by 2.4% YTD.

While fixed income ETFs have largely performed in line with this market, the growth of secondary market trading will continue to help face future liquidity needs.

[1]For more information on this topic, please see the S&P Global webinarMeasuring Fixed Income Volatility.

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Liquidity Impacts on Fixed Income ETFs and Passive Investing - S&P Global