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Online Share Trading

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Millionare in 10 years

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superstar
Regular Contributor
Just did a small calculation, if you would have bought Capitec in 2002 for R10,000 today you would have over R1.3million.
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36 REPLIES 36
prancing_horse
Super Contributor
The biggest word there is also the smallest, "IF". If we could look into the crystal ball just 24 hrs ahead there would never be need to work again. Our whole life is made up of, "only if"
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THRESHOLD
Super Contributor
Spare a thought for those who bought it as a spec. stock and then sold it at a small profit after holding it for ages - out of boredom.
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superstar
Regular Contributor
Yes Horse what you saying is 100% true, Threshold those must be crying more than I am. Well could there be any new Capitecs? Which stock would you regard as possible candidate.
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THRESHOLD
Super Contributor
Now that is an interesting topic. Not this endless trading drivel.
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THRESHOLD
Super Contributor
I wish I knew. Your best bet is to build positions in small interesting companies and put them away. You may have to take 20 or so of them and scale your position size to your "confidence level." Decent size positions could easily absorb a few million Rand.
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THRESHOLD
Super Contributor
It is rather easier to list the attributes of such a company. That would serve to narrow the list of candidates for such a portfolio.
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stores
Super Contributor
Hey Simon...would it be unfair to ask how many of them you bought in 2002? Suppose so, but the bigger question is, are you still holding on to them?
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Not applicable
Also. Keep things in perspective. A figure like R10 000 may seem insignificant today, but in todays terms it is equivelant to putting R40 000 away now on each spec hunch and waiting 12years to see if you guessed right. Me, I aint got that kind of loose patience.
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THRESHOLD
Super Contributor
I am going to guess Simon did not buy in 2002. They were not his kind of stock at that point. High risk - no liquidity. Low profile, out of favour sector. That is why they languished for so long. BUT now let's find out...
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THRESHOLD
Super Contributor
In 1 year - 100%, 2yrs- 400%, 3yrs 1300%, 4 years 3000% AND so it kept going. You really didn't have to wait long.
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SimonPB
Valued Contributor
Ya I didn't buy in 2002 .. I paid r40 couple of years back .. Sold 40% of holding last year at r170 odd after selling my npl's for r40 odd ..
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superstar
Regular Contributor
With the business strategy and focus on growth and health care system of the country, could Litha be the next kid to grow like Capitec.
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superstar
Regular Contributor
Just my opinion on Capitec, as an investor I would like to see any retail related business with long Que and annoyed customers inside the business. I have never seen any long ques on Capitec which makes me wonder where are these clients the grab from big banks? Do they have interent banking. They do not have many ATM machines and the few they have you would probable the first on the line always. A number of things that say to me their retail banking (which is the only banking they have) might not sustain the long trading hours which will mean higher staff costs than big banks.
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Werner_1
Super Contributor
I got my Capitec position at R36 and still hold it... love this company and still believe there's potential for more gains in long term....
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Rams
Super Contributor
we had this discussion before( about a year or so ago) when the price was about R100, same analysis as yours. Some wanted to short, others wanted to sell and all on this forum(myself included) did not buy...and whats the price today?
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superstar
Regular Contributor
Well Rams, sometimes the market do not work the way we see things and that is what I have to learn
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Not applicable
I still believe that 90% of their money is made from short term unsecured loans where they charge an unbelievabble interest rate! Seeing that the Minister of Finance believes there is no problem in the industry (short term unsecured loans), they could possibly continue for years without a Blue blow out.
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Rams
Super Contributor
Thresh is right...its not just one company...scale into multiple companies.But I still think even long term investing should be purely mechanical: both the buying and selling or holding
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Mr_S
Super Contributor
Superstar, i think litha might be another capitec, although i dont think it will be as spectacular unless they really make some big moves into Africa. Looking forward to their AGM to get a few more answers, but they seem to be on the right track. The biggest mistake they can do now is issue a dividend :-l
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