It is fair to say, that investors who added offshore diversification to their portfolios are today considerably better off than those who did not.
Despite the relative strengthening of the rand versus the US dollar and other major currencies during 2016, this was not seen as a major turning point in the fortunes of the local currency. It was rather seen as a temporary reprieve from further currency weaknesses and most investment companies will be using this period of relative strength to add to their offshore portfolios on behalf of clients.
There are substantial headwinds building up, which under certain circumstances, could in the near future again put severe download pressure on the rand-exchange rate versus major currencies. These include (but are not limited to):