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Online Share Trading

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Your favorite Investment vehicles for 2010

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saash
Super Contributor
With the economy looking the way it does, the gold price where it is, the rand hovering like it does lately, property showing some green shoots, companies cutting back their dividends, and interest rates looking rather bleak ..... what are your favorite investment speculations for the coming tax year?
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12 REPLIES 12
PaulC
Super Contributor
GLD as I believe the rand wont strengthen much more than it has and I believe that the gold price will be much higher going forward given all the deficit spending. Which leads me to a gold pick ... I dont like most on our exchange but if I had to choose id pick ANG and id take a small punt on drd. SOL is a favorite given its patents and large coal reserves around the world. Mr Price and Pick n Pay would be my consumer stocks and APN for good measure. I like EXX and AGL/BIL tho dont plan on buying either. - P
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Not applicable
I am keeping a careful look out for negative sentiment pricing my shares into a serious discount. This will be a solid defensive strategy. OMO
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SimonPB
Valued Contributor
why do you believe the rand won't strengthen much more ?? if foreigners keep buying our market, hello 6 me thinks ..
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PaulC
Super Contributor
I dont see that SA has strong fundamentals that would lead investors here. At the moment people are looking at all emerging markets looking for better returns because the EU and USA and UK have almost no yields. So people are looking at the emerging economies. Given our large unemployment and a gov that continues to defecit spend I dont see a happy ending for our currency. Of course the rand could hit the lower 6's but I dont see it being sustainable. My 2c
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SimonPB
Valued Contributor
the rand won;t stay at 6 .. agreed .. but forget the fundamentals, look at teh inflows of foreign money intot he JSE this year5, almost a record, and why would this suddenly stop in 2010? in short it won't, the global investors appitite for EM risk is going o see a few coming here, and those few are big in our market ..
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SimonPB
Valued Contributor
take it a step further, check the topi vs. rand .. when the local market goes up (over years, not hours or days) the rand moves stronger as money flows in .. this is a +decade long trend, not sure I would want to be bucking it ??
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kwagga
Super Contributor
Liqueur, whores and property to rent for the world cup.
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kwagga
Super Contributor
Just kidding - In uncertain times and a sideways moving market I thing short term opportunistic buys and sells will do the trick.
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warhippo
Super Contributor
Sure the rand will get stronger when foreign money flows in because of the demand. However I believe that there is a risk that if money should become more expensive overseas (ie interest rate increase) the cash inflow might become less and therfor less demand for our rand. I would still like to see foreign money invested in our industries etc. with job creation, rather than mostly speculators in our stocks which can be dumped within minutes
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green_goblin
Contributor
property under R 400 000 that generates a rent under R 3500, swing and position trading, and if u can do it day trading
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doomsdayza
Super Contributor
Why earn R3500 a month on a rental property of R400k when you can earn R15k plus (very very conservative risk profile) a month on your R400k trading balance and still earn interest on the cash balance?
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green_goblin
Contributor
i agree with you doomday to a cirtin extent my plan is generating cash from trading, then bye property with the excess cash, basiclly the buffet way except he uses incurance to generate cash insted of trading, i think in todays economic enviroment where cycles have become shorter, The best investment strategy is a multiple blended investment strategy, that consists of various assets from value investing bye and hold (for me that's property) to short term swing trading
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