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maybe, but this would hardly be the first bad due dilihence gone bad or the first that turned or the first time an asset manager got it very wrong. I sit ion a unit trust IC that held CIL, they as co... See more...
maybe, but this would hardly be the first bad due dilihence gone bad or the first that turned or the first time an asset manager got it very wrong. I sit ion a unit trust IC that held CIL, they as convinced it was a great investment - but they bailed last two weeks.   Bigger issue, only 2 shareholders are +5% below that you don't have to notify market. Some 50m shares have changed hands, that 25% of total. That a lot of selling (sure and buying) but we don't know who the sellers are as yet.
Sure but if major shareholders like Pinecourt, Old Mutual, Melnick family etc. have not yet panicked should the minor shareholders? One assumes the big boys have done due dilligence and know their ma... See more...
Sure but if major shareholders like Pinecourt, Old Mutual, Melnick family etc. have not yet panicked should the minor shareholders? One assumes the big boys have done due dilligence and know their management well. Just saying.
the 'highly rated' mangement have messed this up and frankly I think will be shown the door soon.   I would be selling, sure prce has tanked, but it can tank furthe and going bust or a fire sale ... See more...
the 'highly rated' mangement have messed this up and frankly I think will be shown the door soon.   I would be selling, sure prce has tanked, but it can tank furthe and going bust or a fire sale not out of the question. When it is time to panic, panic quick.
The UK deal is frot, local doin about as expected ad way better then the wannabes SUR, GPL & TAS.   I not sure rice has bottomed, we need to see some results showing UK working, so that'll be a w... See more...
The UK deal is frot, local doin about as expected ad way better then the wannabes SUR, GPL & TAS.   I not sure rice has bottomed, we need to see some results showing UK working, so that'll be a while yet.  
  Naspers is closing in on R4,000 and Capitec* is closing in on R1,000 and they are the two most expensive priced stocks on the JSE. Is it time for the respective listings to consider a shar... See more...
  Naspers is closing in on R4,000 and Capitec* is closing in on R1,000 and they are the two most expensive priced stocks on the JSE. Is it time for the respective listings to consider a share split? For example, if you hold 100 CPI shares at R1,000 and they split 1:10 you’d now hold 1,000 shares at R100. Same value so, no change but the theory is improved liquidity and price discovery? Way back in the day you could only really trade shares in 100 share lots, so actual price was important. But these days you can buy just a single share if you want (cost issues aside). So, it’s not needed and the trend of the early 2000’s for share splits has faded away. But I do think eventually these two will do a split and here’s the rub – always be long a share split. A share split boosts price, sure maybe it is not logical but that’s what we’ve always seen. Share consolidations is the other side of the coin for when share prices get down in the dumps. Example here is you own 1,000 shares at 10c so they consolidate 10:1 and you end up with 100 shares at 100c each. The trade here is always short consolidations, the price was weak but struggled to truly effect price discovery. Now there is better price discovery and almost always that discovery leads to weaker share price. Simon * the writer holds shares in Capitec
Does anyone know when or whether we will be allowed to shift investment from one TFSA (say on the SBK Normal Account) to another platform's TFSA? I have heard that this might be possible next year. An... See more...
Does anyone know when or whether we will be allowed to shift investment from one TFSA (say on the SBK Normal Account) to another platform's TFSA? I have heard that this might be possible next year. Anyone heard or know anything about this?
See update from hell - Moneyweb,  https://www.moneyweb.co.za/news/companies-and-deals/the-trading-update-from-hell/ If you are a shareholde might as well hold on and hope for a recovery. Scary - hig... See more...
See update from hell - Moneyweb,  https://www.moneyweb.co.za/news/companies-and-deals/the-trading-update-from-hell/ If you are a shareholde might as well hold on and hope for a recovery. Scary - highly rated management yet this has happened. Good luck.  
There's quite a lot of uncertainty permeating the local economy and that of the west. For investors looking for alternatives, tryinig to figure out where best to take money when going offshore could ... See more...
There's quite a lot of uncertainty permeating the local economy and that of the west. For investors looking for alternatives, tryinig to figure out where best to take money when going offshore could be seen as a game if investment Russian Roulette. Steek Jakobsen, CIO of Saxo Bank, shares his insights on where he thinks the next opportunities lie. take a lot at his presentation - you'll find he raises some interesting points about where the world is heading.   Check out the powerpoint presentation below:    
A tax-free investment account** is an invaluable addition to any investor's portfolio. Through it, you're able to take advantage of great tax breaks and use it for your own benefit and to give your... See more...
A tax-free investment account** is an invaluable addition to any investor's portfolio. Through it, you're able to take advantage of great tax breaks and use it for your own benefit and to give your loved one a gift that keeps on giving.  The benefits of a TFSA account are: No Securities Transfer Tax (STT). No Capital Gains Tax (CGT) when you sell these products. No Dividend Withholding Tax (DWT) on dividends earned. No tax on interest earned.   Key features of the TFSA account are: There is a R33 000 annual contribution limit and a R500 000 lifetime contribution limit. Selected Exchange Traded Funds (ETFs) are suitable. Profits made in the TFSA account do not contribute to existing tax annual limits (interest and capital gains), and may be re-invested in the TFSA without utilising the contribution limit, provided they are not withdrawn. There are penalties for exceeding the R33 000 annual contribution limit. It is your responsibility to ensure that your contributions do not exceed the limit imposed by regulations. Exceeding these limits will result in punitive taxation taken by SARS.   Trade costs for a TFSA When you open a TFSA you will benefit from SBG Sec’s reduced brokerage rate of just 0.25% (excluding statutory charges). The table below gives you an indication of the costs associated with some of the more common monthly investment amounts:   Investment Amount Statutory Fees Brokerage Total Transaction Cost R250.00 R4.49 R0.63 R5.11 R500.00 R4.58 R1.25 R5.83 R1000.00 R4.75 R2.50 R7.25 R2500.00 R5.28 R6.25 R11.53 R5000.00 R6.15 R12.50 R18.65 R30 000.00 R14.96 R75.00 R89.96   How do you open an account? SBG Sec offers clients the option of opening a TFSA through either their Standard Online Share Trading (OST) platform or alternatively through The Standard Bank of South Africa Limited’s (Standard Bank) Internet Banking portal (SBSA IBP). Both options allow you to trade all listed instruments that have been TFSA approved.   Option 1: TFSA through OST. To register: To open a TFSA through OST, the OST account must be in the name of an individual (not a company, trust or partnership) and relevant FICA documents must be up to date. If you already have an OST account, follow these easy steps: Login to your OST account. Go to ‘My Account’ on the Home Page. Click on ‘Product Registration’. Click on ‘TFSA Registration’. Complete the form and select ‘Open Account’. If you do not have an OST account, please go to www.securities.co.za to find out more.   Account fees There is no additional charge to open the account on OST. This is already included in the monthly administration fee of your OST account.   How it works Investing in a TFSA through the OST platform has numerous benefits. These are primarily because you have access to the full suite of features that OST offers. Some of the major features of OST are: Direct market access to trade selected instruments. This means that you can buy and/or sell shares real-time, whenever the markets are open with full control of price and quantity. Live pricing and real-time portfolio updates. Access to full price history of all listed instruments, company information and ratios, charting tools, and our comprehensive educational resources. You may deposit up to R33 000 into the TFSA per tax year, either as a once off payment, or in smaller incremental amounts of your choice. Once your cash has been deposited into your TFSA there is no minimum investment amount into any of the available TFSA instruments. Your cash can be divided among these TFSA instruments as you wish with the remaining balance earning interest at the JSET rate.   Reinvestment and dividends All proceeds of the TFSA investment after your initial contribution are tax-free, and can be re-invested without counting towards your annual and/or lifetime contribution limits.   Option 2: TFSA through the Standard Bank Internet Banking Portal ( SBSA IBP)   To register: To open a TFSA through SBSA IBP you must be an individual (not a company, trust or partnership), in addition to having a Standard Bank Internet Banking account. Follow these easy steps: Login to your Internet Banking. Click on the ‘TFSA’ tab. Click on ‘Register’. Complete the online registration form. Click on ‘Continue’. Account fees There is R10 monthly fee (inclusive of V.A.T).   How it works You select the listed securities you would like to invest in, with a minimum of R250 per instrument. SBG Sec will buy the required quantity and, based on the price it pays for the instrument on the day of purchase, SBG will allocate the instruments to your TFSA. Please note that all buy instructions will only be actioned by SBG Sec on the 25 th of every month.   Buy instructions may be submitted at any time! – Kindly ensure it’s no later than 23h00 the day before the 25th business day.   Your nominated bank account will then be debited with the amount required to purchase the investments. If the 25 th day falls on a weekend or a public holiday, the purchase will be made on the following business day. For more informatiuon on the benefits of a tax-free investment account check out our TFIA Infographic:  and to learn more about the benefits of tax-free investments, take a look at this webinar: Investing in tax-free ETFs.   *Terms and conditions apply. **Please note that this is a product provided by SBG Securities Proprietary Limited (Reg. No. 1972/008305/07). SBG Securities is a wholly owned subsidiary of the Standard Bank Group Limited, an authorised user of the JSE Limited and an authorised Financial Services Provider (FSP No. 26691). For more information on SBG Securities please go to http://www.securities.co.za. To find out more about a TFSA account kindly contact 0860 121 161 or email securities@standardbank.co.za     The Standard Bank of South Africa Limited (Reg. No. 1962/000738/06). Authorised financial services provider and registered credit provider.   Disclaimer Standard Online Share Trading, a division of SBG Securities Proprietary Limited (“SBG Sec”) has made every effort to ensure the accuracy and completeness of the information contained in this document. The information, tools and material presented in this document are provided to you for information purposes only and are not to be used or considered as an offer or the solicitation of an offer to sell or to buy or subscribe for shares or other financial instruments and must not be deemed as such. The information is not intended as advice and no warranty express or implied is made as to the accuracy, correctness or  completeness of the information, which is subject to change at any time after publication without notice. Should the information lead you to consider entering into any transaction in relation to the financial product (“the product”) you must take note of the following: There are intrinsic risks involved in transacting in any of the products. No guarantee is provided for the investment value in the product. Any forecasts based on hypothetical data are not guaranteed and are for illustrative purposes only. Returns may vary as a result of their dependence on the performance of underlying assets and other variable market factors. Past performances are not necessarily indicative of future performances. Unless a financial needs analysis has been conducted to assess the appropriateness of the product, investment or structure to your unique particular circumstance. SBG Sec cautions you that there may be limitations on the appropriateness of the information for your purposes and you should take particular care to consider the implications of entering into the transaction, Either on your own or with the assistance of an investment professional. Nothing in this document constitutes investment, legal, accounting or tax advice or a representation that any investment or strategy is suitable or appropriate to your individual circumstances or otherwise constitutes a personal recommendation to you. There may be various tax implications to consider when investing in a product and you must be aware of these implications before investing. SBG Sec does not accept liability for tax treatment by any court or by any authorities in any jurisdiction in relation to any transaction based on the information. It is strongly recommended that you seek appropriate independent professional advice before acting on any information contained herein, as SBG Sec provides no opinion or advice including investment, tax or legal and makes no representation or warranty about the suitability of a product for a particular client or circumstance. Whilst every care has been taken in preparing this document, no representation, warranty or undertaking, express or implied, is given as to the accuracy or completeness of the information or representations. All information contained herein is subject to change after publication at any time without notice. Any transaction that may be concluded pursuant to this document shall be in terms of and confirmed by the signing of appropriate documentation, on terms to be agreed between the parties. This document creates no liability or obligation on SBG Sec. SBG Sec may have effected or may effect transactions for its own account in any investment outlined in this document or any investment related to such an investment. This document may provide the addresses to websites. Except to the extent to which this document refers to website material of SBG Sec, SBG Sec has not reviewed the linked site and takes no responsibility for the content contained therein. Accessing such website/s or following such link/s shall be at your own risk.   The information contained herewith shall not be reproduced or used, in whole or in part, for any purpose other than for the consideration of the information set out herein, without the prior written consent of SBG Sec. Standard Online Share Trading, a division of SBG Securities Proprietary Limited Reg. No. 1972/008305/07 is a subsidiary of the Standard Bank Group Limited, an authorised user of the JSE Limited and an authorised Financial Services Provider (FSP No.26691). SBSA 261504.
What the hell is going on with this share!
Thank you i will listen!
            Market cycles   Markets go through different stages – or cycles – even though the long-term trend has been for share prices to appreciate. All markets are cyclical: ... See more...
            Market cycles   Markets go through different stages – or cycles – even though the long-term trend has been for share prices to appreciate. All markets are cyclical: they increase, peak, fall and then bottom. Market cycles are more important for traders than long-term investors who leave their money in the market for longer than a complete cycle.   Typically, there are four phases in a market cycle. The first, or accumulation, phase occurs once a stock market has reached the bottom of the last cycle. However, most investors don’t recognise this as the beginning of a new upward cycle so only very astute and experienced investors enter the market at this stage. Though valuations are attractive, market sentiment remains bearish (negative) and then, slowly, turns neutral.   In the mark-up phase, share prices begin to increase as more investors realise that the cycle has turned. During the distribution phase, sellers begin to dominate. The market’s bullish (positive) sentiment becomes mixed and prices can be range-bound. This third phase can be short or long, but it inevitably gives way to the final stage of the cycle. The mark-down phase is the last stage of the investment cycle. Ironically most die-hard investors, who have held onto their shares as prices crumble, will sell just as the market reaches its bottom. There are variations within this simplistic framework as investor sentiment can stretch market cycles to extremes such as bull markets, bubbles, crashes, corrections and bear markets.   In a bull market, positive investor sentiment drives share prices higher – sometimes to beyond what the earnings’ fundamentals can support. At this point the bull market risks becoming a speculative bubble.      Market Corrections Corrections are where share prices retrace some of their gains. Typically, share prices will make up their loss quite quickly after a correction. A bear market occurs where share prices continue to fall for some time after a correction. Over-inflated stock market bubbles may be ended by crashes, where share prices fall sharply in a short period. The good news is that the share prices of the corporate survivors of these crashes do recover. As the chart below shows, it took the JSE 20 months to recover to its pre-cash levels after the 1987 crash. If you'd like more info on this, you can check out this post: A correction in time   Source: Bloomberg          
    For novice investors it can seem strange that a R100 share can be cheaper than a R10 share. The reason is that investors use a number of ratios to determine one share’s value relative t... See more...
    For novice investors it can seem strange that a R100 share can be cheaper than a R10 share. The reason is that investors use a number of ratios to determine one share’s value relative to another.   Here are four common investment ratios: The price: earnings (p:e) ratio is the most common investment ratio. It tells you how many rand you are paying for each rand of earnings. The price: book ratio shows whether the market has factored a company’s asset value (on its balance sheet) into its share price. The price: sales ratio is the share price divided by sales per share. One share is cheaper than another when its relevant investment ratio is cheaper than that of the second share. The dividend yield is the dividend per share divided by the share price. The share with the highest dividend yield is the cheapest, all other things being equal. Shareholders can compare this to how much money they will earn if they put their cash into a money market account. You can also watch this webinar, presented by Simon Brown, on important ratios in fundamental analysis:      
        We’ve all heard that there’s no such thing as a free lunch – and this is as true of investing as anything else. Over time, shares have outperformed other asset classes – like go... See more...
        We’ve all heard that there’s no such thing as a free lunch – and this is as true of investing as anything else. Over time, shares have outperformed other asset classes – like government bonds, property and bank deposits – but this comes at a cost.   That cost is that investing in shares is riskier than other asset classes. The old adage “high risk, high return” means that an investor who takes on the higher risk of investing in shares expects a higher return for doing so.   These are some of the risks of investing in shares:   Share prices can – and do – go down as well as up. Investors can reduce their risk by doing their homework and always knowing exactly what they’re investing in. That includes evaluating “tips from friends”. Some shares can be illiquid. This means that they can be difficult to trade, often because there is a controlling shareholder who owns a large percentage of the company and is not selling those shares on the market. This means that a share can be difficult to sell. To avoid this, invest in more liquid shares. Companies do not have to pay dividends. This is not necessarily a bad sign if the company is keeping that money to invest in its future growth, but is a risk for shareholders who bought that share for the dividend income. If a company goes bankrupt, shareholders may lose the entire value of their investment. Ordinary shareholders only receive what’s left over once creditors and preference shareholders have been paid their due. Companies can disappoint the market by reporting lower than- expected earnings. This can mean the share price either falls or lags behind the growth of its peers. Share prices factor in the market’s view of management’s competence and integrity. Scandals, such as the revelation of fraud or poor corporate governance, can hurt the share price.   But you shouldn’t be frightened off investing in shares. Most listed companies are well-run businesses and their share prices should increase over time.
  What are shares? Companies have two choices when they want to raise money to grow their business: to borrow from a bank or issue shares. A share is a slice of a company that, technically,... See more...
  What are shares? Companies have two choices when they want to raise money to grow their business: to borrow from a bank or issue shares. A share is a slice of a company that, technically, means that its owner has a small claim on that business’s earnings and assets. As a shareholder, an individual is one of many owners of that company. The key advantage in issuing shares (or equity) is that the company doesn’t need to pay back the capital amount or make interest payments. Instead, shareholders – the people who buy those shares – can hope to receive dividends and see a capital gain on their investment.   There are two different types of shares: Ordinary shares make up the majority of listed shares. They represent ownership of the company by the shareholders and each shareholder is usually given one vote per share to elect the company’s board members. Preference shares have first right, ahead of ordinary shares for dividend payments and for assets if the company is liquidated. How a stock exchange works   The New York Stock Exchange (NYSE), the London Stock Exchange (LSE), Tokyo Stock Exchange and the JSE Limited (JSE) are all, simply, markets for shares. Stock exchanges have two purposes. Firstly, they are places where traders can buy or sell shares and, secondly, companies can use them to raise cash to expand their business by selling new shares to investors. Since 1996, the JSE has not had a physical location for its trading floor as it uses an electronic trading system. It earns revenue from charging companies listing fees and stockbrokers pay for using the trading system.   Stock exchanges provide investors with two advantages: They reduce the risk of investing by providing a transparent pricing mechanism for trades. They police listed companies. Stock exchanges operate in a strict regulatory environment and companies have to comply with stringent listing requirements. Investors use share indices to track the performance of the underlying shares and sectors. When we refer to “the market”, we’re actually referring to an index that is a proxy for all the shares listed on that exchange. In South Africa, this is the JSE/FTSE All Share Index (ALSI). Other global market indices include the FTSE (Britain), the Dow Jones (USA) and the Nikkei (Japan). An index is defined as “a statistical measure of the changes in a portfolio of shares representing a portion of the overall market”. That means that when an index is up, most share prices have increased and vice versa.     What makes share prices move?   In a nutshell, the forces of supply and demand are the key determinants of changes in share prices. In the simplest terms, the share price will go up if more people want to own a share than are prepared to sell it. Over time, a share price will track the underlying trend in the company’s earnings: if earnings (and dividends) grow consistently, the share price should follow. But there are other aspects that affect investor appetite for shares including the performance of international markets, general economic growth, sector or company-specific news, share buybacks and futures trading. An old adage goes, “When Wall Street sneezes, the world catches a cold”. Although the influence of US share prices is no longer as important to the JSE as it once was, the correlation between movements and international share prices increases in times of uncertainty.   Overall, share prices tend to go up when the economic news is good as this means companies should see their earnings increase. In addition, good news from a certain sector or company can drive share prices up as investors expect good future earnings.  There are other buyers of shares apart from investors, including companies (through share buybacks) and futures traders. They also affect the demand/supply equation.    The risks of investing in shares   We’ve all heard that there’s no such thing as a free lunch – and this is as true of investing as anything else. Over time, shares have outperformed other asset classes – like government bonds, property and bank deposits – but this comes at a cost.  That cost is that investing in shares is riskier than other asset classes. The old adage “high risk, high return” means that an investor who takes on the higher risk of investing in shares expects a higher return for doing so.   These are some of the risks of investing in shares:   Share prices can – and do – go down as well as up. Investors can reduce their risk by doing their homework and always knowing exactly what they’re investing in. That includes evaluating “tips from friends”. Some shares can be illiquid. This means that they can be difficult to trade, often because there is a controlling shareholder who owns a large percentage of the company and is not selling those shares on the market. This means that a share can be difficult to sell. To avoid this, invest in more liquid shares. Companies do not have to pay dividends. This is not necessarily a bad sign if the company is keeping that money to invest in its future growth, but is a risk for shareholders who bought that share for the dividend income. If a company goes bankrupt, shareholders may lose the entire value of their investment. Ordinary shareholders only receive what’s left over once creditors and preference shareholders have been paid their due. Companies can disappoint the market by reporting lower than- expected earnings. This can mean the share price either falls or lags behind the growth of its peers. Share prices factor in the market’s view of management’s competence and integrity. Scandals, such as the revelation of fraud or poor corporate governance, can hurt the share price.   But you shouldn’t be frightened off investing in shares. Most listed companies are well-run businesses and their share prices should increase over time.  
        Investment – the word conjures up grey-shaded images of everything you never wanted to be: strait-laced and sensible. But the truth is that investment doesn’t have to be boring ... See more...
        Investment – the word conjures up grey-shaded images of everything you never wanted to be: strait-laced and sensible. But the truth is that investment doesn’t have to be boring – in fact it is the only route available to financial independence for those of us who aren’t “trust fund kids” or recent lottery winners.   This guide, as well as a series of other articles, will give you an introduction to the stock market. When you’re ready to take charge of your financial future and start investing for yourself, we’ll give you the education and tools you need to make investment decisions that could change your life.   Why invest?   To attain that elusive financial nirvana means harnessing the financial equivalent of nuclear fission – compound interest – to produce wealth. “The miracle of compound interest” means, simply, that your money works for you, rather than you working for our money. It occurs because you earn interest on interest on interest over a number of years.   For example, if you had invested R5 000 in a fixed deposit after 20 years it would be worth just over R40 000 today. That same R5 000 invested in the stock market earning an average of 18.3% p.a. would now be worth over R140 000. This is one of the reasons why you should consider investing in the stock market. As the graph below shows, shares have shown the highest returns in the long-term, outstripping other assets such as bank deposits and even property.   With a little time and knowledge, anyone can invest in shares today and reap the benefit of future financial security.       Setting financial and investment goals If you’re ready and willing to invest your hard-earned cash today for a better future tomorrow, you will need a blueprint for doing so. The first step is to set the financial goals that your investment will meet: whether it’s saving for that once-in-a-lifetime holiday or working towards a financially secure retirement. Your next step is to make sure that you have the cash available for investment – and how to free it up if you don’t. Write up a personal balance sheet that calculates your net worth: your assets less your  liabilities. This will show you if there is spare cash available that can be directed to other, higher-yielding investments. For example, you could take money out of a low-yielding savings account and put it into a money market account, if you need the cash, or into shares. It is not wise to invest with borrowed money – so pay off all your short-term debt before you start investing. Lastly, look at your monthly cash flow and see if there is an excess that can be invested each month. If not, see if you can cut your expenses or increase your income.   The golden rules of share investing   The secret to successful investing is discipline, not luck. There are some basic trading rules that everyone – from novice to guru – can use to minimise losses and maximise investment gains. There are five possible outcomes from buying shares: a big profit, a big loss, a small profit, a small loss and breakeven. Successful investing means avoiding those big losses.   Here are some pointers to help you do that: Never borrow money to invest, nor should you put money into the market that you can’t afford to lose. Always use stop-losses for capital maintenance and never be afraid to take a loss. However, as much as it goes against the grain, never cut your winning shares before your losing shares. Investors should always feel comfortable with their investments. If you don’t – sell. Do all your own homework before you commit your money to an investment and only take advice from investment professionals. Set realistic expectations. Although there will be years in which the market booms, these are exceptions rather than the norm. Over time, investing in shares will provide real returns that outstrip the inflation rate.
Hi There,   Simon and I recorded a podcast where we chat about FBR -  http://ow.ly/Epnd30grkE6  He had some very interesting things to say. :)
Yup, very impressive YTD growth (272%)! At least one company's got something right in the Land Down Under.

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Naspers is closing in on R4,000 and Capitec* is closing in on R1,000 and they are the two most expensive priced stocks on the JSE. Is it time for the respective...
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