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 The Sharenet Daily 
Thursday, 30 June 2011 - 20:00
Sharenet is pleased to announce the launch of our new publication, The Sharenet Daily. We have built on the success of our Daily Equity Report, while adding more content and helpful information. The result is a publication that gives readers a quick, easy to read and informative synopsis of market activity, company results and news on the JSE for the day, as well as an overview of what transpired on important overseas markets.

The Sharenet Daily includes helpful charts that give a graphical impression of events, and our news content is sourced from a number of contributors, including Reuters. In addition, Sharenet's popular price information is available in our Spot Price format which provides a snapshot of the JSE and world indices, currencies and commodities.

All the JSE trading statistics; major movers; latest dividends; upcoming AGM dates and more are provided to insure that you keep abreast of market developments. The Sharenet Daily is published at 8pm each day on the website and also distributed via email for your convenience. As always, we welcome your comments, feedback and suggestions at support@sharenet.co.za
Top News
SA Business
Company News
Company Results
World Markets (Spot Prices)
JSE Today
JSE Trading Statistics
Major Moves
Index Summary
Latest Consensus Changes / Results Expected
Recent Dividends / Ex Div
Upcoming AGMs
Stock Exchange News Service (SENS)

Lies, Damned Lies, and Statistics

For regular investment news and opinion pieces follow Seed Investments on Facebook by ‘Liking’ our Page. Click here to view our page.

The investment world is a complicated environment. It is filled with professionals who have dedicated many years of their lives looking at and analysing numbers. While these professionals are able to analyse these numbers to come to conclusions, explaining the reasoning to someone who isn’t as versed in number crunching can prove quite difficult.

As such there are numerous ratios and statistics that have been developed over the years to help investors reach conclusions from reams of data (read numbers - returns). Unfortunately incorrect conclusions are sometimes inferred from these statistics, which leads to poor decision making.

Today we’ll take a look at the difference between correlation and return profile. Often investors assume that assets with a high correlation will have a similar return profile and vice versa. While this can happen, it’s not always the case!

Below is a chart of the performance of the ALSI and Gold (both in ZAR) over the past 10 years. It is evident that their returns are almost identical, their monthly correlation, however, is only 5%!

You will notice that although gold and ALSI often move in different directions over the past 10 years they have both delivered excellent real returns.

The next two charts compare the MSCI World with the MSCI Emerging Market. The first chart is one that we often see, with the MSCI Emerging Market thoroughly outperforming the MSCI World. With this type of return profile most investors would assume they have a low correlation, but this couldn’t be further from the truth! Over the past 10 years there has been a correlation of over 90% between these two indices. Having a look at the second chart of the two we can see why this case. Here we’ve put the two indices on different axes and we can see that the direction of their returns are very similar (what correlation measures), but the final result is very different.

An important point is that correlation is not necessarily the same as return profile, and extending this further is to be wary of any conclusions drawn from methods that you don’t understand.

While correlation is a tool that we look at in an attempt to smooth returns, we believe that it is more important to get a variety of return drivers together when constructing a portfolio. In many cases assets with different returns drivers will have a low correlation, but you won’t find us excluding assets purely because they have a high correlation.

The investor who excluded emerging market assets from his portfolio over the last decade on the basis of them having a high correlation with developed markets wouldn’t be a happy investor!

Take care,

Mike Browne
021 9144 966

Thu, 30 Jun 2011
Top News
South African stocks rose for a fourth straight day on Thursday, tracking global equities higher after Greece took further steps to avert a default, and ending a turbulent second quarter on a positive note.  Full story

Nigeria's planned adoption of international accounting standards next year should boost foreign investment and valuations for the best-managed companies, analysts said.  Full story
The Greek parliament passed a second austerity bill on Thursday, opening the way for the EU and IMF to release a 12 billion euro (10.8 billion pound) loan instalment which Athens urgently needs to stave off bankruptcy.  Full story
Russia accused France on Thursday of committing a "crude violation" of a U.N. weapons embargo by arming Libyan rebels, a stance which could also cause unease within the Western alliance bombing to remove Muammar Gaddafi.  Full story
A U.N.-backed tribunal seeking the killers of statesman Rafik al-Hariri handed indictments and arrest warrants to Lebanon on Thursday that officials said accused members of the militant Hezbollah group of involvement.  Full story
Wall Street rose for a fourth consecutive session on Thursday in an end-of-quarter rally that was boosted by a surprisingly strong economic report. . .  Full story
European shares hit their highest level in almost four weeks on Thursday after Greece's parliament passed a final vote on austerity measures, boosting. . .  Full story
World stocks rose to their highest level in month and the euro surged on Thursday as Greece approved the final austerity measures needed. . .  Full story
Britain's top shares rose sharply on Thursday after the Greek parliament passed a second austerity bill to secure emergency funds, with riskier assets such. . .  Full story

World stocks and the euro hit three-week highs on Thursday after Greece took a step closer to avoiding a default in the short. . .  Full story
Australian shares jumped 1.7 percent on Thursday, the biggest one-day percentage gain in seven months, as top banks and large miners jumped in. . .  Full story
The Nikkei average ended slightly higher on Thursday though it pulled back after hitting a fresh seven-week peak, partly encouraged by strong. . .  Full story
Hong Kong shares were set to recover on Thursday following a bounce in overseas markets prompted by a return to risky assets after. . .  Full story
SA Business
South Africa's trade deficit narrowed to 1.0 billion rand in May -- in line with forecasts -- from a 2.4 billion. . .  Full story
The possibility of a systematic banking crisis emanating from Europe cannot be dismissed, South African Reserve Bank Governor Gill Marcus said. . .  Full story
. . .  Full story
Growth in credit demand by South Africa's private sector slowed to 5.18 percent year-on-year in May compared with a slightly downward. . .  Full story

South African banks may face big hurdles to meet new Basel III global banking regulations.. . .  Full story
South African banks may face big hurdles to meet new Basel III global banking regulations.. . .  Full story
Rates for panamax dry bulk carriers on key Asian freight routes are expected to fall next week on limited Chinese coal demand and. . .  Full story
Gold rose on Wednesday after the Greek parliament approved debt austerity measures, that fueled investor appetite for commodities and other riskier assets and boosted. . .  Full story

South Africa's rand gained slightly on Wednesday while yields on government debt climbed in a volatile session driven by global markets.. . .  Full story
Company News
At the annual general meeting of Trencor held today, all the ordinary and special resolutions proposed at the meeting were approved. . .  Full story
BCX and UCS shareholders are referred to the announcements released by each of the companies on SENS of the JSE Ltd. . .  Full story
Further to Keaton Energy's preliminary summarised audited group results for the year ended 31 March 2011, published on SENS on 22. . .  Full story
Further to the announcement made on 10 September 2010 titled "Possible conversion of further furnaces at Machadodorp Works"; ARM and Assore. . .  Full story

Blue shareholders are referred to the trading update released on the SENS on 28 June 2011, and were advised that the. . .  Full story
Further to Acucap's audited group results for the year ended 31 March 2011, released on SENS on 9 June 2011, the. . .  Full story
Shareholders are advised that the company's annual report, incorporating the audited financial statements for the year ended 31 March 2011, was. . .  Full story
Shareholders were advised that the company expects that the loss per share for the twelve months ended 28 February 2011 will. . .  Full story
Company Results
Revenue for the six months ended 31 May 2011 went up by 26% to R1.4 billion (2010: R1.1 billion) and gross. . .  Full story
Revenue for the year ended 31 March 2011 increased to R142.8 million (2010: R139.9 million). Gross profit decreased to R63.3 million. . .  Full story
Revenue rose to R557.6 million (R353.9 million). Gross profit more than halved to R25.7 million (R58.5 million) and a loss from. . .  Full story
Kibo Mining plc the mineral exploration and development company focused on gold and nickel projects in Tanzania, announce its maiden unaudited. . .  Full story
World Markets (Spot Prices)
NameTimeRPMove% Move
JSE Overall17:0531864.54138.240.44%
JSE Top 4017:0528551.82123.100.43%
JSE Gold17:002382.17-15.98-0.67%
JSE Financial17:0521565.7163.190.29%
JSE Industrial17:0033034.05192.920.59%
JSE Indust 2517:0027749.40171.400.62%
JSE Resource17:0053932.54203.880.38%
DJ Futures19:4012315.00104.000.85%
DJ Ind19:3112384.06122.641.00%
SP 50020:001318.6311.220.86%
FTSE 10017:355945.7189.761.53%
All Ords09:334659.8080.001.75%
NZSE 5007:263448.357.340.21%
NameTimeRPMove% Move
Gold/R kg20:00326329-2032-0.62%
Brent Crude19:56112.08.120.11%
Rand / Dollar19:596.7617-0.0292-0.43%
Rand / Pound19:5910.8363-0.0568-0.52%
Rand / Euro19:599.8167-0.0028-0.03%
Rand / NZD19:585.5923-0.0121-0.22%
Rand / AUD19:597.2498-0.0153-0.21%
Yen / Dollar19:5880.5900-0.1900-0.24%
Euro / Dollar19:590.6885-0.0040-0.58%
Dollar / Euro19:591.45170.00850.59%
Pound / Dollar19:590.6219-0.0004-0.06%

Click here for the Sharenet Spot Price page
The JSE Today
Trading Statistics

Major Moves Up
SharenameSaleMove% MoveVolume
1 AFEAGLE  1051314.13.%9000
2 VERIMARK  1641711.56.%49729
3 HOWDEN  14001007.69.%85180
4 VILLAGE  12475.98.%4648852
5 DIGICOR  350195.74.%112564
6 CADIZ  300155.26.%212772
7 OMNIA  79323825.06.%36919
8 PLATMIN  422174.20.%3562
9 ARB  346133.90.%150500
10 NEPI  33501053.24.%243623
11 HOSP-A  1441402.86.%70
12 KAP  26272.75.%4157
13 AFRIMAT  385102.67.%24840
14 CLIENTELE  975252.63.%103
15 COMAIR  23962.58.%105969
16 MRPRICE  68201692.54.%8064880
17 ESORFRANK  21552.38.%1801200
18 PBT  13032.36.%30267
19 ZEDER  26662.31.%1813516
20 PERGRIN  1150242.13.%351829

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Major Moves Down
SharenameSaleMove% MoveVolume
1 TRADEH  450-132-22.68.%2000
2 EASTPLATS  560-35-5.88.%268092
3 ROLFES  185-10-5.13.%747
4 BELL  1420-55-3.73.%2000
5 SENTULA  260-10-3.70.%178119
6 SILVERB  130-5-3.70.%7000
7 BAUBA  170-6-3.41.%42700
8 ONELOGIX  115-4-3.36.%125491
9 JUBILEE  242-8-3.20.%57401
10 ALTRON  2735-90-3.19.%30196
11 WESIZWE  155-5-3.13.%325567
12 AMECOR  156-5-3.11.%49250
13 S-OCEAN  170-5-2.86.%313495
14 RAUBEX  1611-39-2.36.%57917
15 CAT  1501-34-2.21.%5043992
16 CITYLDG  6523-134-2.01.%83462
17 ADCOCK  5941-108-1.79.%198592
18 ILIAD  639-11-1.69.%308110
19 OCEANA  3621-59-1.60.%104545
20 GBGOLD  1400-19-1.34.%1000

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New Highs
SharenameSaleHighMove% MoveVolume
1 HOWDEN  140014001007.69.%85180
2 PINNACLE  900925171.93.%98465
3 TIGBRANDS  19750198991900.97.%1381555
4 EXXARO  17847180001520.86.%1704696
5 CAPCO  21162123140.67.%525657

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New Lows
SharenameSaleLowMove% MoveVolume
1 TRADEH  450450-132-22.68.%2000
2 EASTPLATS  560550-35-5.88.%268092
3 CITYLDG  65236400-134-2.01.%83462
4 HOSP-B  7507300.4134

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Index Summary
Index NameRPMove% Move
Top 4028,551.82123.100.43%
Mid Cap42,170.15182.520.43%
Small Cap32,151.52175.250.55%
Resource 2053,932.54203.880.38%
Industrial 2527,749.40171.400.62%
Financial 158,128.2626.480.33%
Financial & Ind. 3030,834.03154.380.50%
All Share31,864.54138.240.44%
Oil & Gas 26,953.81225.690.84%
Mining 35,376.6693.310.26%
Gold Mining2,382.17-15.98-0.67%
Platinum Mining69.54-.38-0.54%
Oil & Gas Producers 14,492.57121.350.84%
Basic Materials 29,993.4795.510.32%
Chemicals 13,868.00207.261.52%
Forestry & Paper 14,538.40159.901.11%
Industrial Metals 29,918.25166.650.56%
Industrials 28,045.2254.420.19%
General Industrials 76,270.71169.910.22%
Consumer Goods 27,327.0036.120.13%
Automobiles & Parts 3,441.9845.291.33%
Household Goods146.1121.06%
Health Care 33,340.5630.130.09%
Beverages 83.72.670.81%
Food Producers 47,746.10152.120.32%
Index NameRPMove% Move
Personal Goods 440.15-4.20-0.95%
Consumer Services 53,528.23697.801.32%
General Retailers 41,831.06617.491.50%
Travel & Leisure 3,741.307.260.19%
Media 84.221.371.65%
Support Services 2,442.258.370.34%
Telecommunications 69,764.12612.310.89%
Financials 21,565.7163.190.29%
Banks 40,253.8590.050.22%
Non-life Insurance 31,766.31.000.00%
Life Insurance 15,878.9172.110.46%
General Financial 2,266.7714.520.64%
Technology 21,825.24190.990.88%
SHARIAH TOP40 3,154.77130.41%
FTSE/JSE SHARIAH ALL3,218.10130.40%
COAL MINING23,608.372240.96%
FTSE JSE Fledgling 4,554.14501.11%
FTSE/JSE Alt X 1,069.65-0-0.05%
CAPPED PROPERTY 316.83-0.16%
RESOURCE 29,751.651010.34%
DIVIDEND PLUS167.7310.55%
FTSE/JSE RAFI 406,647.23310.48%
Capped Top 4014,892.37630.42%
Capped All Share16,053.52700.44%

Click here for the Sharenet Index Summary page
Latest Consensus Changes**
CodeCompany NameStatusUpdated
Results Expected**
ExpectedCompany NameFin. Date
01 Jul 2011AH-VESTMarch 2011 (Final)
01 Jul 2011BEIGEMarch 2011 (Final)
01 Jul 2011BEIGEPMarch 2011 (Final)
01 Jul 2011BEIGEPREF2March 2011 (Final)

Recent Dividends**
Share NameDec-DateLDTPay-DateAmount
HUDACO11-06-2911-08-1211-08-22R 1.3000
AMECOR11-06-2911-07-1511-07-25R 0.0800
PRIMESERV11-06-2911-07-1511-07-25R 0.0250
TRUSTCO11-06-2811-07-1511-08-12R 0.0200
NASPERS-N11-06-2711-09-1611-09-26R 2.7000
Ex Div**
Share NameDec-DateLDTPay-DateAmount
TIGBRANDS11-05-3011-06-2411-07-04R 2.8100
VODACOM11-05-1611-06-2411-07-04R 2.8000
ACUCAP11-06-0911-06-2411-07-04R 1.3888
ALTRON PP11-05-0411-06-2411-07-04R 1.0800
ALTRON11-05-0411-06-2411-07-04R 1.0800

Upcoming AGMs**
CodeCompany NameDateStatus
MZRMazor Group Ltd30/06/2011Confirmed
TED2Trencor Ltd30/06/2011Confirmed
TRETrencor Ltd30/06/2011Confirmed
MOBMobile Industries Ltd30/06/2011Confirmed
RBARBA Holdings Ltd30/06/2011Confirmed

Stock Exchange News Service
30/06/201117:50 Nampak Limited - Clarification of record dates in circular
30/06/201117:46 Bauba Platinum Limited - Change of sponsor and company secretary
30/06/201117:45 MTN Group Limited - Allocation of MTN Group Limited shares in accordance
30/06/201117:40 Petmin Limited - Correction of Directors` Dealing in Securities
30/06/201117:32 Mercantile Bank Holdings Limited - Voluntary business update
30/06/201117:30 Ah-Vest Limited - Audited consolidated condensed results for the year
30/06/201117:20 Mobile Industries - Report on proceedings at Annual General Meeting
30/06/201117:18 Trencor Limited - Report on proceedings at Annual General Meeting
30/06/201117:09BRT/BRN - Brimstone Investment Corporation - Dealing in securities by a director
30/06/201117:04 Hardware Warehouse Limited - Dealings in securities by a director
30/06/201117:01 Village Main Reef Limited - Dealing in securities
30/06/201117:00COH - Curro Holdings Limited - Intended dealing in Curro Holdings Limited shares
30/06/201116:59 Mercantile Bank Holdings - Receipt of an unsolicited expression of
30/06/201116:51BCX/UCS - Business Connexion Group /UCS Group - Fulfilment of conditions
30/06/201116:45 Keaton Energy Holdings Limited - Posting of Annual Report and details of
30/06/201116:41NFS - Newfunds Collective Investment Scheme - Company announcement
30/06/201116:34 Aveng Limited - Results of the General Meeting
30/06/201116:31 Murray & Roberts Holdings Limited - Resignation of executive director
30/06/201116:21 mCubed Holdings Limited - No change statement and notice of Annual General
30/06/201116:15 Mustek Limited - Programme relating to the general repurchase of
30/06/201116:13SAPY/PTXTEN - PROPTRAX SAPY/PROPTRAX TEN - Change to the board of directors of
30/06/201116:06 Redefine Properties - News Release - Moody`s announces Redefine`s credit
30/06/201116:00 African Rainbow Minerals Limited - Update on conversion of further
30/06/201116:00 Assore Limited - Assmang Limited (which is jointly controlled by Assore
30/06/201116:00 Blue Financial Services Limited - Trading Update amendment
30/06/201116:00INL/INP - Investec Limited/Investec Plc - Transactions in Investec Plc
30/06/201116:00 Mustek Limited - Director dealing in securities
30/06/201115:36ABL/ABLP - African Bank Investments Limited - Basel II Pillar 3 semi-annual
30/06/201115:30 Sycom Property Fund - Posting of Sycom`s annual report
30/06/201115:30 Acucap Properties Limited - Posting of Acucap`s annual report and
30/06/201115:12MPT - Mpact Limited - Mpact Limited listing and demerger finalisation
30/06/201115:06 DiamondCorp plc - Notification
30/06/201114:55GEN - General - Listings Requirements pertinent to South African Depository
30/06/201114:53 Eastern Platinum Limited - Eastplats aware of notice of application
30/06/201114:39BIBRC - Brandcorp (Pty) Limited - Interest Rate Reset
30/06/201114:32 Vukile Property Fund Limited - Dealings in securities by directors and
30/06/201114:30MND/MNDI - Mondi - Company announcement
30/06/201114:17 Sephaku Holdings Limited - Notification of Share Dealing by a Director of
30/06/201114:10 Top Fix - Dealings in securities by a Director of Top Fix
30/06/201113:57BIABL - African Bank Limited - Interest Rate Reset Announcement
30/06/201113:48 Invicta - No Change Statement and Notice of Annual General Meeting
30/06/201113:47 Mazor Group Limited - Results of annual general meeting
30/06/201113:47RACP - RECM and Calibre Limited - Audited condensed financial results for the
30/06/201113:37 Bowler Metcalf Limited - Changes to the board of directors
30/06/201113:27 Peregrine - Appointment of New Directors
30/06/201113:15 Capital Shopping Centres Group Plc - Voting rights and capital
30/06/201113:07 Mix Telematics Limited - No change statement and notice of Annual General
30/06/201112:51 Exxaro Resources Limited - Trading of Exxaro ordinary shares on behalf of
30/06/201112:40 Pinnacle Point Group Limited - Trading statement announcement
30/06/201112:19 Esorfranki Limited - Director`s Dealings
30/06/201112:18 BHP Billiton Plc - Completion of expanded US$10 billion
30/06/201112:03 African Oxygen Limited - Change to the board of directors
30/06/201112:00INL/INP - Investec - Voting rights and capital
30/06/201111:56 Beige Holdings Limited - Reviewed consolidated results for the year ended
30/06/201111:53 Jasco Electronics Holdings Limited - Changes to the board of directors
30/06/201111:35 Cape Empowerment Limited - Further cautionary announcement
30/06/201111:30 Vunani Limited - Acquisition of twenty million shares in BSI Steel Limited
30/06/201111:30 DRDGold Limited - Notice of general meeting
30/06/201111:30 Petmin Limited - Directors` dealing in securities
30/06/201111:00 SABMiller Plc - Total voting rights and capital
30/06/201110:58 Accentuate Limited - Directors` dealings and company secretary dealings
30/06/201110:12 Erbacon Investment Holdings Limited - Renewal of cautionary announcement
30/06/201110:00INL/INP - Investec - Notice of the annual general meetings of Investec Plc and
30/06/201109:41 Gooderson Leisure Corporation Limited - Change to the board of directors
30/06/201109:31 SACoil Holdings Limited - Management demonstrates confidence by increasing
30/06/201109:30 Sacoil Holdings Limited - Dealings in Securities
30/06/201109:27 Advtech Limited - Appointment of company secretary
30/06/201109:00 ZCI Limited - Provisional Condensed Consolidated Financial Statements for
30/06/201109:00 Nictus Limited - Abridged report relating to the audited financial
30/06/201108:33GEN - General - SIM - Emphasis of matter
30/06/201108:30ATN/ATNP - Altron - Dealing in securities by a director
30/06/201108:00 Cadiz Holdings Limited - Cautionary announcement
30/06/201108:00 Pallinghurst Resources Limited - Posting of the 2010 annual report and
30/06/201107:15 Anglo American plc - Treasury Shares - Transfers
30/06/201107:10 British American Tobacco p.l.c. - Transaction in own shares
30/06/201107:05 BHP Billiton Plc - Transaction in Shares

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