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30-01-2018 11:37 AM
Being Viceroy'ed. I know there are some keen Capitec shareholders on site, so what would you do if you had a bank account with them now? Do you trust what Viceroy are saying? Or not? Surely Capitec is operating in a "more-regulated" industry than Steinhoff? What's the thoughts here.
30-01-2018 12:00 PM
PSG was always over valued. Now with the unravling of CPI , which is no surprise (people should have lent from ABI) , PSG's can only head downwards. Curro itself is also over valued , PE at 84.
My valuation of PSG is at R40 per share
No I dont have a capitec account. Based on princible I didnt buy any shares directly in ABIL or CPI. These banks are loan sharks , taking advantage of poor desperate people. That my opion anyway
No I dont have a capitec account. Based on princible I didnt buy any shares directly in ABIL or CPI. These banks are loan sharks , taking advantage of poor desperate people. This is my opion anyway
30-01-2018 01:29 PM
Okay , so the fact is that these lenders are always risky - and ABIL was funded very riskely ( sp?) but what we are reading in the report is allegations of fraud.
It is either true or it is not. The cases may or may not give rise to a class action. ?? ?
So while the crowd cheers on Viceroy - the real grounds for the applause /noise(?) is that they claim fraud is at the base of all this.
So now you ar asking me to believe that the rest of the brokers asset managers did not ask the same questions. And moreover they
simply accepted that no fraud could exist - in an industry which has ABIL history - and a business model where write- offs are a given,
So you ask a simple couple of questions - linked to the number of clients who were "refinanced" and or whose loans have been increased and what the
safety margins are ito customer loans at customer and corpoarte level - forget about the law limits! So either they lied or... Cmon.
Low write offs are a concern - no one can dispute that they are dealing in the same market as those who have higher write-offs.
ARE they a legacy bank? Nope. ;Lower costs. Do they do better risk assessments than the histerical banks in this market? Possibly?
Better margin - confess I have not looked at the accounts.
But I did not buy them and the sole reason is that these lenders are expensive - and the growth party has to come to an end - like its doing now.
Another reason for not buying PSG - who are buffalo's - ask their clients - they charge without reason- and they are also overpriced.
So lets see how this pans out - Mr Wiese at least made one wise decision.