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 The Sharenet Daily 
Wednesday, 22 February 2012 - 20:00
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)

Retirement Funds ? Thinking Outside the Box

I want to start this newsletter with a riddle:
“Mr Jones drives in his two seated sports car on a stormy, rainy day. He notices three people standing beside the road, Jerry, his very good friend for years, an old lady that needs to go to the hospital, and a beautiful blonde woman. What should he do?”
(The answer is shown at the end of the newsletter)

It is very interesting to talk to private clients and their understanding regarding their retirement fund. Most of the time members of retirement funds don’t understand their benefits and how to maximize them.

So where is the problem?

There are so many stakeholders involved in a retirement fund but ultimately all the stakeholders should be there for the benefit of the members of fund. However, very often that is not the case.

The old retirement funds (i.e. Defined Benefit funds) were quite easy to understand from a member’s point of view. The only thing a member had to do was to work at the same company for 30 to 40 years to secure pension of about 70% of his/her salary at retirement.

The new generation retirement funds (i.e. Defined Contribution funds) are also easy to understand but complicated to manage. It is easy to understand because each member is building his/her own portfolio of assets. It is difficult to manage because members need to make sure that they:
- Contribute enough for retirement,
- Invest in the correct portfolio to ensure retirement, and
- Work long enough to ensure the value of the fund is large enough to finance an ongoing pension for the
next say 30 years after retirement.

My experience shows that members of these new generation retirement funds don’t understand their benefits and risks because it hasn’t been adequately explained by the stakeholders. The stakeholders are the investment consultant to the trustees, the asset manager of the retirement fund, the broker consultant to the fund and the broker consultant to the member.

If the stakeholders can come together and jointly provide a holistic service to the trustees and ultimately the members, then each member of a retirement fund should be able to answer the following basic questions:
- How much do I need to contribute to ensure a comfortable retirement?
- What type of portfolio do I need to invest in to ensure a comfortable retirement?
- How much capital do I need at retirement to be able to retire comfortably?
- How much life cover do I have?
- How much disability cover do I have?

If one can’t answer the questions above then one should probably ask the question whether the stakeholders are really doing their job.

To be able to address the needs of the members of retirement funds the stakeholders will need to think outside the box.

Kind regards,

Vincent Heys

PS: The answer to the “outside the box” riddle is:
“Mr Jones gives his car to his friend Jerry to take the old lady to the hospital so that he can stay behind with the beautiful blonde woman.”

Wed, 22 Feb 2012
Top News
South Africa-based Econet Wireless is seeking at least $3.1 billion in damages from Bharti Airtel in a dispute over ownership of Airtel Nigeria, according to a suit Econet said it had filed on Wednesday.  Full story

South African stocks edged down half a percent on Wednesday, as shares of Impala Platinum fell after the miner said its April deliveries would be cut in half by a strike at its main mine.  Full story
World stocks edged lower on Wednesday after data showing the euro zone may be sliding back toward recession and signs the region's crisis may be hitting China's giant economy.  Full story
Afghan President Hamid Karzai appealed for calm on Wednesday after officials said six people were shot dead and dozens wounded in protests over the burning of copies of the Koran, Islam's holy book, at NATO's main base in the country.  Full story
Syrian President Bashar al-Assad's forces rained rockets and bombs down on opposition-held neighbourhoods of the city of Homs Wednesday, reducing buildings to rubble and killing more than 80 people, including two Western journalists.  Full story
U.S. stocks fell on Wednesday with the S&P 500 stalled near a 10-month-old high after weak data on Europe's business activity raised concerns. . .  Full story
Gold eased on Wednesday, declining after Tuesday's rally as a rise in the dollar, worries over a euro zone recession and doubts over. . .  Full story
Britain's leading share index edged lower on Wednesday as investors refocused on fundamentals, specifically weaker-than-expected euro zone data, with the Greek debt restructuring theatricals. . .  Full story
European shares fell in low-volume on Wednesday for the second consecutive session as euro zone purchasing managers data suggested the region could tip into. . .  Full story

U.S. stocks opened slightly lower on Wednesday, putting the S&P 500's three-day winning streak in jeopardy after weaker-than-expected euro zone economic data.. . .  Full story
European stocks fell on Wednesday as weaker than expected economic data prompted investors to cash in recent profits, although the rising trendlines of benchmark. . .  Full story
European shares were flat in early trade on Wednesday, after upbeat manufacturing data from China and France was offset by continued worries over Greece's. . .  Full story
Hong Kong shares reversed early losses to end higher for a second straight session on Wednesday, with Chinese developers outweighing weakness in Li &. . .  Full story
SA Business
. . .  Full story
South Africa projected a lower-than-expected 2012/13 budget deficit on Wednesday, reassuring bond investors and ratings agencies that the continent's biggest economy. . .  Full story
Impala Platinum, the world's second-largest platinum producer, has warned customers that its April platinum deliveries would be down about 50 percent. . .  Full story
South African retailer Massmart sees scope for up to 20 stores in Nigeria, its chief executive said, the second business leader. . .  Full story

Zambia's economic growth with hold up well this year and next as cashes in on high copper prices through privatisation, bringing. . .  Full story
South Africa's government bonds weakened on Wednesday, reversing gains that were prompted by the finance ministry's narrower-than-expected budget deficit forecasts as. . .  Full story
South Africa will introduce two new fixed income and three inflation-linked bonds in 2012/13 to smooth the maturity structure of its. . .  Full story
South Africa cut its 2012 economic growth forecast to 2.7 percent on Wednesday from an October projection of 3.4 percent, reflecting. . .  Full story

South Africa is looking to introduce a carbon tax next year to reduce harmful greenhouse gas emissions, although nearly two-thirds of emissions will be tax-exempt until 2020 to lessen the impact on industry, the treasury said on Wednesday.. . .  Full story
Standard Bank, Africa largest bank by assets, signed an agreement with Japan's Mizuho Financial Group on corporate lending in Africa, Standard Bank said on Wednesday, confirming an earlier Reuters report.. . .  Full story
Company News
Steinhoff shareholders are advised that the headline earnings per share ("HEPS") and earnings per share ("EPS") of Steinhoff for the six. . .  Full story
Shareholders are referred to the announcement released on SENS on 21 December 2011 and the mandatory offer document posted on. . .  Full story
The board of directors of PSV ("the Board") is pleased to advise shareholders that PSV has entered into a Sale of. . .  Full story
Optimum informed shareholders that the acquisition of the TNC Prospecting Rights from Umcebo Mining (Pty) Ltd has been concluded and the. . .  Full story

The board of directors of PSV ("the Board") is pleased to advise shareholders that PSV has entered into a Sale of. . .  Full story
Further to the trading statement released on SENS on 3 February 2012, a review of the financial results for the six. . .  Full story
Old Mutual announces that a preliminary non-binding offer has been accepted by Ecobank Transnational Inc (ETI) for the acquisition of Oceanic. . .  Full story
Business Day reported that the battle for market share among South African food retailers was in full swing, with the Whitey. . .  Full story
Company Results
Revenue increased to R1.3 billion (R1.2 billion). EBITDA amounted to R78.2 million (loss of R331.3 million) and an operating profit of. . .  Full story
Revenue for the year ended 31 December 2011 increased by 16% to R13.4 billion (2010: R11.6 billion). Profit from operations surged. . .  Full story
Revenue increased to R4 billion (R3.6 billion) and operating profit rose to R455 million (R404 million). Profit attributable to owners of. . .  Full story
Revenue for the interim period ended 31 December 2011 increased to R400.5 million (2010: R322.4 million). Operating profit for the period. . .  Full story
World Markets (Spot Prices)
NameTimeRPMove% Move
JSE Overall17:0034006.52-135.85-0.40%
JSE Top 4017:0030288.89-149.45-0.49%
JSE Gold17:002812.939.200.33%
JSE Financial17:0024040.10-209.78-0.87%
JSE Industrial17:0036409.07-32.76-0.09%
JSE Indust 2517:0030507.85-63.87-0.21%
JSE Resource17:0054111.62-307.17-0.56%
DJ Futures19:4612900.00-45.00-0.35%
DJ Ind19:4512930.91-34.78-0.27%
SP 50020:001357.39-4.82-0.35%
FTSE 10018:355916.55-11.65-0.20%
All Ords07:444372.103.900.09%
NZSE 5006:463328.23-9.09-0.27%
NameTimeRPMove% Move
Gold/R kg20:0043683021540.50%
Brent Crude19:56123.461.811.49%
Rand / Dollar19:597.7322-0.0042-0.05%
Rand / Pound19:5512.0817-0.0960-0.79%
Rand / Euro19:5510.24570.00870.08%
Rand / NZD19:586.4071-0.0394-0.61%
Rand / AUD19:558.2193-0.0225-0.27%
Yen / Dollar19:5980.35600.61900.78%
Euro / Dollar19:550.7543-0.0012-0.16%
Dollar / Euro19:591.32460.00180.13%
Pound / Dollar19:550.63790.00450.71%

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The JSE Today

Trading Statistics
* Includes all listed instruments on the JSE
Major Moves Up
SharenameSaleMove% MoveVolume
1 KELLY  3515117.00.%11050
2 HUGE  1101111.11.%38285
3 EASTPLATS  414266.70.%1250495
4 BRIMSTON  1300796.47.%15
5 ALTRON  24451205.16.%27836
6 URONE  25151174.88.%89899
7 SUPRGRP  1389594.44.%2362497
8 MUSTEK  600254.35.%325400
9 O-LINE  12354.24.%1330130
10 ARB  399164.18.%1075
11 HOSP-B  390154.00.%49097
12 ANOORAQ  410153.80.%7775
13 ELLIES   290103.57.%317297
14 AFRIMAT  600203.45.%53582
15 PBT  18563.35.%25013
16 EXXARO  204865802.91.%790721
17 ONELOGIX  19352.66.%103990
18 TRUSTCO  12332.50.%214700
19 ILLOVO  2644642.48.%38262
20 TFG  117072472.16.%1245325

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Major Moves Down
SharenameSaleMove% MoveVolume
1 IQUAD  230-67-22.56.%10700
2 HOWDEN  1805-195-9.75.%2849
3 BEIGE-PR2  147-13-8.13.%3900
4 DORBYL  125-10-7.41.%645898
5 NICTUS  460-20-4.17.%1661
6 TRNSHEX  302-12-3.82.%3644
7 AVUSA  1952-73-3.60.%27561
8 VPIF  705-26-3.56.%110
9 JSE  7680-258-3.25.%939867
10 GOLDONE  420-14-3.23.%40102
11 MAZOR  170-5-2.86.%27133
12 JASCO  112-3-2.61.%532073
13 KAP  293-7-2.33.%20000
14 AQUARIUS  1751-37-2.07.%355240
15 REMGRO  12574-226-1.77.%472964
16 PERGRIN  1002-18-1.76.%2392
17 VERIMARK  115-2-1.71.%122267
18 VILLAGE  232-4-1.69.%1433076
19 RAINBOW  1465-25-1.68.%3276
20 CAPCO  2305-39-1.66.%79622

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New Highs
SharenameSaleHighMove% MoveVolume
1 SUPRGRP  13891450594.44.%2362497
2 MUSTEK  600601254.35.%325400
3 O-LINE  12312854.24.%1330130
4 ONELOGIX  19319552.66.%103990
5 TFG  11707117072472.16.%1245325
6 REUNERT  695069501221.79.%234954
7 CIL  11701185201.74.%134082
8 SPAR  11630117161431.24.%339233
9 PPC  31203123351.13.%911164
10 AMA  25526020.79.%528944
11 VALUE  48348530.63.%67000
12 MRPRICE  90799132380.42.%307149
13 METAIR  2175221550.23.%223671
14 DISCOVERY  47304806-15-0.32.%947909
15 BRAIT  21292195-7-0.33.%1207331
16 DRDGOLD  610628-6-0.97.%2015481

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New Lows
SharenameSaleLowMove% MoveVolume

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Index Summary
Index NameRPMove% Move
Top 4030,288.89-149.45-0.49%
Mid Cap46,508.4629.700.06%
Small Cap34,973.0039.810.11%
Resource 2054,111.62-307.17-0.56%
Industrial 2530,507.85-63.87-0.21%
Financial 159,097.37-87.95-0.96%
Financial & Ind. 3034,019.95-161.30-0.47%
All Share34,006.52-135.85-0.40%
Oil & Gas 30,345.5037.840.12%
Mining 34,885.73-221.90-0.63%
Gold Mining2,812.939.200.33%
Platinum Mining61.34-.33-0.54%
GENERAL MINING8,752.78-86.00-0.97%
Oil & Gas Producers 16,316.2120.340.12%
Basic Materials 29,650.06-159.63-0.54%
Chemicals 15,033.4132.850.22%
Forestry & Paper 13,613.25180.751.35%
Industrial Metals 31,323.303.980.01%
Industrials 31,226.51-89.30-0.29%
General Industrials 86,563.25-934.57-1.07%
Consumer Goods 31,457.66-34.62-0.11%
Automobiles & Parts 4,925.2011.330.23%
Household Goods166.09-1-0.55%
Health Care 37,786.62-200.90-0.53%
Beverages 105.22.310.30%
Index NameRPMove% Move
Food Producers 56,414.12-164.13-0.29%
Personal Goods 459.43-2.00-0.43%
Consumer Services 61,886.6484.660.14%
General Retailers 52,012.61285.980.55%
Travel & Leisure 3,727.709.180.25%
Support Services 2,362.6413.430.57%
Telecommunications 66,585.92-227.70-0.34%
Financials 24,040.10-209.78-0.87%
Banks 45,090.43-464.11-1.02%
Non-life Insurance 36,252.3992.140.25%
Life Insurance 19,284.89-158.01-0.81%
General Financial 2,299.83-18.18-0.78%
Technology 26,769.52125.150.47%
SHARIAH TOP40 3,199.54-16-0.48%
FTSE/JSE SHARIAH ALL3,284.47-13-0.40%
COAL MINING27,445.896672.49%
FTSE JSE Fledgling 5,227.87170.32%
FTSE/JSE Alt X 1,249.86131.06%
CAPPED PROPERTY 331.10-0.65%
RESOURCE 29,893.01-156-0.52%
DIVIDEND PLUS193.5110.32%
FTSE/JSE RAFI 407,096.14-41-0.58%
Capped Top 4015,947.89-76-0.47%
Capped All Share17,191.65-68-0.39%
JSE TABACO 4,826.98-29-0.59%

Click here for the Sharenet Index Summary page
Latest Consensus Changes**
CodeCompany NameStatusUpdated
Results Expected**
ExpectedCompany NameFin. Date
23 Feb 2012ACCENTDecember 2011 (Interim)
23 Feb 2012AFROXDecember 2011 (Final)
23 Feb 2012BLACKSTARDecember 2011 (Final)
23 Feb 2012CAPSHOPDecember 2011 (Final)
23 Feb 2012CBHDecember 2011 (Interim)

Recent Dividends**
Share NameDec-DateLDTPay-DateAmount
ONELOGIX12-02-2012-03-1512-03-26R 0.0180
ONELOGIX12-02-2012-03-1512-03-26R 0.0270
WBHO12-02-2012-04-0412-04-16R 1.1000
CAPEVIN12-02-1712-03-0912-03-19R 1.9840
GFIELDS12-02-1712-03-0212-03-12R 2.3000
Ex Div**
Share NameDec-DateLDTPay-DateAmount
FIRSTRANDB-P12-02-0312-02-1712-02-27R 3.0516
CAPITAL12-02-0112-02-1712-02-27R 0.3427
CULINAN5.512-02-0312-02-1712-02-27R 0.0550

Upcoming AGMs**
CodeCompany NameDateStatus
RDFRedefine Properties Ltd22/02/2012Confirmed
CULPCullinan Holdings Ltd23/02/2012Confirmed
CUP2Cullinan Holdings Ltd23/02/2012Confirmed
CULCullinan Holdings Ltd23/02/2012Confirmed
CUP3Cullinan Holdings Ltd23/02/2012Confirmed

Stock Exchange News Service
22/02/201217:30 Steinhoff International Holdings Limited - Trading Statement
22/02/201217:25 Old Mutual Plc - Information update for the period up to 31 January 2012
22/02/201217:00 Hosken Consolidated Investments Limited - Extension of the closing date of
22/02/201216:20ABL/ABLP/ BIABL - African Bank Investments Limited/ African Bank Limited -
22/02/201216:03BIFR1 - FirstRand Bank Limited - Listing of New Financial Instruments
22/02/201216:00INL/INP - Investec Limited/Investec Plc - Transactions in Investec Plc Ordinary
22/02/201215:58 Andulela Investment Holdings Limited - Cautionary Announcement
22/02/201215:52 Buildmax - Posting of Circular to Buildmax Shareholders
22/02/201215:51 Redefine Properties Limited - Results of Annual General Meeting and
22/02/201215:42 Adcorp Holdings Limited - Appointment of Company Secretary
22/02/201215:37SCIB/AGLSTF - The Standard Bank Of South Africa Limited - Dividend announcement
22/02/201215:37 AG Industries Limited - Renewal of Cautionary Announcement
22/02/201215:24 Super Group - Dealing in Securities by Director
22/02/201215:00 Wits Gold - Mining Right Application accepted for Free State Projects
22/02/201214:53IPLIDG - Investec Warrants - Declared Dividend Announcement on Imperial Holdings
22/02/201214:52GRTIVB - Investec Warrants - Declaration of a distribution announcement on
22/02/201214:51GRTIVC - Investec Warrants - Declaration of a Distribution Announcement on
22/02/201214:50GRTIDG - Investec Warrants - Declared dividend and interest payment
22/02/201214:46BIIVU - iVuzi Investments Limited - Listing of New Financial Instrument and
22/02/201214:39 Convergenet Holdings Limited - Appointment of new audit committee and
22/02/201214:22BIRSA - Republic of South Africa - The National Treasury will introduce 5 new
22/02/201214:04 Santova Limited - Appointment of director of listed company
22/02/201213:08 Optimum Coal Holdings Limited - Acquisition of TNC Prospecting Rights
22/02/201213:06 PSV Holdings Limited - Disposal of the pump business and cautionary
22/02/201212:26THEE - The Competition Commission - Outcome of Competition Tribunal hearings
22/02/201212:22 ConvergeNet - Changes to the Board of Directors
22/02/201212:05 Poynting - Further Trading Statement
22/02/201211:47 SA Corporate Real Estate Fund - Reviewed Final Results and Distribution
22/02/201210:38BIIVU - iVuzi Investments Limited - Full Capital Redemption
22/02/201210:30 BSI STEEL Limited - Trading Statement
22/02/201210:30 Old Mutual Plc - Old Mutual offer for Oceanic Life
22/02/201210:17 Distell Group Limited - Dealings in Securities by A Director of a Major
22/02/201210:15 Firestone Energy Limited - Appendix 3B
22/02/201210:00 Pan African Resources plc - Results presentation by Pan African
22/02/201209:36 Rebosis Property Fund Limited - No change statement and notice of
22/02/201209:35ACL157 - Absa Bank Limited - New Financial Instrument Listing
22/02/201209:34ACL156 - Absa Bank Limited - New Financial Instrument Listing
22/02/201209:33ACL155 - Absa Bank Limited - New Financial Instrument Listing
22/02/201209:23 Amalgamated Appliance Holdings Limited - Trading Statement
22/02/201209:14 Growthpoint Properties Limited - Results for the six months ended 31
22/02/201209:00 Pan African Resources plc - Interim Results for the 6 months ended 31
22/02/201208:56 ConvergeNet - Change in Directors` Interests
22/02/201208:45 Petmin Limited - Operations update: Petmin signs renewable 600,000 Tonne
22/02/201208:43BIFR1 - FirstRand Bank Limited - Interest Rate Reset Announcement
22/02/201208:40BIIIPL - iNguza Investments (Proprietary) Limited - Interest Rate Reset
22/02/201208:00 Mpact - Trading Statement
22/02/201207:35 Gold One - Appendix 3B New Issue Announcement, Application for Quotation
22/02/201207:35GEN - General - Firm Intention Announcement Of A Mandatory Offer Extended By
22/02/201207:30 Blue Label Telecoms Limited - Unaudited interim results for the half year
22/02/201207:19 Anglo American plc - Treasury shares - Transfers
22/02/201207:19GEN - General - FTSE/JSE All Africa - Ground Rule Change
22/02/201207:19 Imperial Holdings Limited - Change to the Executive Management of the
22/02/201207:19SYN900 - Synthesis Funding Limited - New Financial Instrument Listing
22/02/201207:18 BHP Billiton Plc - Bhp Billiton prices US$5.25 Billion Bond
22/02/201207:15 Massmart Holdings Limited - Reviewed consolidated results for the 26 weeks
22/02/201207:13 Rolfes Holdings Limited - Unaudited consolidated condensed interim results
22/02/201207:07IPL/IPLP - Imperial Holdings Limited - Unaudited interim results for the six
22/02/201207:05 Transpaco Limited - Unaudited interim group results for the 6 months ended

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