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 The Sharenet Daily 
Wednesday, 14 March 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)

Death benefits from Approved Retirement Funds vs Policies

One of the most misunderstood areas of financial planning in South Africa is how trustees of retirement funds deal with death benefits of the funds. Most people either have their own benefits or have to deal with family members or staff who are frustrated when a claim either takes too long or the benefits aren’t paid out as stipulated in the beneficiary nomination form.

The beneficiary nomination form for an approved retirement fund benefit does not carry the same weight as one for a life policy. When you nominate a beneficiary on a life policy or an unapproved group scheme, the insurer will pay the proceeds of the policy directly to your nominated beneficiary, whether it is your mistress, your brother or the SPCA. This is not the case with a beneficiary nomination on death benefits on an approved retirement fund.

Death benefits on a retirement fund are paid out in accordance with the stipulations of section 37C of the Pension Funds Act. It grants the trustees a 12 month period from the death of the member to search for dependants of the deceased member. This needs to be done despite the existence of a nominated beneficiary. The trustees are granted discretionary powers in awarding the death benefits; however, the overriding consideration is equity in distributing the death benefit. The trustees cannot merely follow the beneficiary nomination that the member placed on the policy or pay the benefit to the dependants found by them, but must exercise their discretion provided to them by section 37C in doing so. The beneficiary nomination will act as a guideline to the trustees as to the wishes of the member, but in no way diminishes their responsibility in determining who should receive the death benefit.

In a Pension Fund Adjudicator decision of S Segal v Lifestyle RA Fund, the adjudicator stated that in order for the trustees to act equitably, they should give regard to the following factors:

• The age of the parties;
• The relationship with the deceased;
• The extent of dependency;
• The financial affairs of the dependants, and
• The future earning potential and prospects of the dependants.

The adjudicator then goes on to provide a class of potential claimants, which includes:

• Those whom the deceased had or would have had a legal duty to support, namely spouses, children, parents, grandparents, and unborn children;
• Factual dependants, such as so-called common law spouses and same-sex partners;
• Customary law spouses and those married under Islamic law, Hindu, Buddhist, Confucian, or Taoist rites;
• Major children of the deceased whom the deceased had no legal duty to support; and
• Beneficiaries nominated in writing after 30 June 1989.

A nominated beneficiary, for example a brother, who is not financially dependant on the deceased, will have very little chance of receiving the benefits if the deceased had a wife and children. This is an example of where customary law and legal statue are directly in conflict with one another, because it is common practice amongst Zulus that the oldest brother / oldest son must inherit and he will then look after the remaining dependants. Unfortunately, for customary law legal statute carries more weight.

Therefore, when you are nominating beneficiaries for your retirement fund’s approved risk benefits, take note of the parameters, which the trustees must use when allocating benefits. They are not trying to be difficult if they do not follow your wishes, they are just following the law.

Kind regards,

Barry Hugo
021 9144 966

Wed, 14 Mar 2012
Top News
The rand tumbled over two percent against the dollar after surprisingly weak retail sales data while a strong dollar on Wednesday jolted the currency out of its recent lethargy.  Full story

Zimbabwe's monthly gold production has fallen short of the targeted 1,100 kilogrammes since the start of 2012, according to figures published by the finance ministry on Wednesday, throwing into doubt a projected annual output of 13 tonnes for the year.  Full story
Forces loyal to President Bashar al-Assad attacked rebel strongholds in various parts of Syria on Wednesday, intensifying their assault as the uprising entered its second year with a negotiated solution as far off as ever.  Full story
U.S. Defense Secretary Leon Panetta on Wednesday told troops in Afghanistan that the massacre of 16 Afghan civilians by an American soldier should not deter them from their mission to secure the country ahead of a 2014 NATO withdrawal deadline.  Full story
Distraught parents flew to Switzerland on Wednesday after a bus carrying a Belgian school party home from a ski trip crashed into the wall of a Swiss tunnel, killing 22 children and six others.  Full story
European stocks ended higher on Wednesday, with benchmarks closing at levels not seen since August after a drop in Italy's borrowing costs at. . .  Full story
The dollar rallied and U.S. Treasury yields soared on Wednesday, boosted by a brighter economic outlook from the Federal Reserve and news that most. . .  Full story
Gold hit its lowest since mid-January on Wednesday after a modest upgrade of the U.S. Federal Reserve's economic outlook added zip to the. . .  Full story
U.S. stocks were largely flat on Wednesday as investors balanced comments from the U.S. Federal Reserve on the economy and banking sector against the. . .  Full story

Britain's top shares rose on Wednesday as a more upbeat global economic outlook and robust corporate earnings placed the FTSE 100 index within. . .  Full story
European shares were higher at midday on Wednesday, extending their march towards last summer's highs, on upbeat comments from the U.S. Federal Reserve and. . .  Full story
European shares rose early on Wednesday to reach fresh 33-week highs, led by financials as the U.S. Federal Reserve improved its economic outlook for. . .  Full story
Hong Kong shares reversed early gains to snap a four-session winning streak on Wednesday, dragged by China plays after Premier Wen Jiabao doused expectations. . .  Full story
SA Business
South African stocks rose for a second straight day on Wednesday as a slightly brighter outlook for the U.S. economy from. . .  Full story
Growth in South Africa's retail sales slowed to 3.9 percent on an annual basis at constant prices in January, from 8.7. . .  Full story
South Africa's rand was softer against the dollar on Wednesday, following stronger upbeat U.S. data that dimmed the prospects for further. . .  Full story
The rand was steady in its recent range on Tuesday, with investors awaiting comments from U.S. Federal Reserve at 1815 GMT,. . .  Full story

South Africa's biggest construction group Aveng reported a 31 decline in first-half profit, hit by contract execution problems in Australia and an industry-wide slump at home.. . .  Full story
South Africa's National Union of Mineworkers (NUM) said on Wednesday it had served a strike notice to Modikwa Platinum, a joint venture between African Rainbow Minerals and Anglo American Platinum, over. . .  Full story
Gold fell about 2 percent on Tuesday to a seven-week low after the Federal Reserve acknowledged the recent signs of economic strength and offered few clues on further U.S. monetary easing.. . .  Full story
Company News
The board announce that a final dividend of 13 cents per share (dividend no. 10) resulting in a total dividend of. . .  Full story
Evraz announce that Mr Vusimuzi Moses Nkosi will join the board as from today, 14 March 2012 as Non-executive Director. Mr. . .  Full story
Implats announces further clarification of the agreement reached with the Government of Zimbabweon 13 March 2012. The Government has agreed in. . .  Full story
At the general meeting of Old Mutual plc held in London, shareholders voted to approve the sale of the company's Nordic. . .  Full story

Shareholders are advised that Erbacon entered into an agreement on 24 February 2012 in terms of which Erbacon disposed of its. . .  Full story
As all the terms of the disposal are contained herein, caution is no longer required to be exercised by shareholders when. . .  Full story
Further to the cautionary announcements dated 17 October 2011, 28 November 2011, 12 January 2012 and 23 February 2012, shareholders were. . .  Full story
Shareholders of Sephaku Holdings ("shareholders") are referred to the finalization announcement dated 7 March 2012 ("the finalization announcement") which sets out. . .  Full story
Company Results
Revenue increased to R3.6 billion (R3.3 billion). Gross profit rose to R989.9 million (R896.9 million) and operating profit improved to R187.7. . .  Full story
Revenue for the year ended 31 December was higher at R1.4 billion (2010: R1.3 billion). Total comprehensive income for the year. . .  Full story
Revenue increased by 44.1% to R1.6 billion (R1.1 billion). Gross margin rose to R716.7 million (R467.5 million) and operating profit improved. . .  Full story
Revenue for the interim period increased by 13% to R19.1 billion (2010: R16.9 billion). Operating profit fell by 35% to R332. . .  Full story
World Markets (Spot Prices)
NameTimeRPMove% Move
JSE Overall17:0034426.74251.350.74%
JSE Top 4017:0030521.67218.870.72%
JSE Gold17:002483.12-53.74-2.12%
JSE Financial17:0025056.21236.310.95%
JSE Industrial17:0038021.68358.890.95%
JSE Indust 2517:0031918.51301.960.96%
JSE Resource17:0051722.25185.510.36%
DJ Futures19:3013140.0027.000.21%
DJ Ind19:4513182.795.110.04%
SP 50020:001393.58-2.37-0.17%
FTSE 10018:355945.43-10.48-0.18%
All Ords07:394375.6039.100.90%
NZSE 5007:123498.9928.180.81%
NameTimeRPMove% Move
Gold/R kg20:00406153-2978-0.73%
Brent Crude19:56125.66-.91-0.72%
Rand / Dollar19:587.72240.19292.56%
Rand / Pound19:5512.07050.27592.34%
Rand / Euro19:5510.05100.20212.05%
Rand / NZD13/036.19130.01910.00%
Rand / AUD19:558.06230.12481.57%
Yen / Dollar19:5883.64300.77900.94%
Euro / Dollar19:550.76790.00370.48%
Dollar / Euro19:591.3016-0.0066-0.51%
Pound / Dollar19:550.63770.00130.20%

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The JSE Today

Trading Statistics
* Includes all listed instruments on the JSE
Major Moves Up
SharenameSaleMove% MoveVolume
1 HWANGE  360309.09.%10740
2 CERAMIC  110008808.70.%3495
3 MVELASERV  1200706.19.%1047542
4 METROFILE  288155.49.%134213
5 CLOVER  1330554.31.%73741
6 ZEDER  268114.28.%1792356
7 AQUARIUS  1891764.19.%1736014
8 CIPLAMED  677274.15.%1364746
9 REUNERT  71752753.99.%409867
10 LITHA  358133.77.%155507
11 VALUE  480173.67.%533705
12 BEIGE-PR2  11643.57.%77
13 RBPLAT  66892173.35.%117466
14 MARSHALL  625203.31.%5462
15 PERGRIN  1100353.29.%6839
16 LEWIS  78142483.28.%295047
17 URONE  2525753.06.%61412
18 PPC  3285952.98.%1893611
19 NUWORLD  1750502.94.%22940
20 NASPERSN  4185011502.83.%2360272

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Major Moves Down
SharenameSaleMove% MoveVolume
1 TELEMASTR  110-29-20.86.%11137
2 EHSV  3008-492-14.06.%66832
3 HUGE  105-13-11.02.%747400
4 ANOORAQ  370-29-7.27.%54930
5 DELTA  745-53-6.64.%33980
6 HOSP-B  430-19-4.23.%126488
7 VILLAGE  208-9-4.15.%1308502
8 TRNSHEX  289-11-3.67.%46901
9 EASTPLATS  380-13-3.31.%394439
10 ELLIES   290-9-3.01.%145298
11 ANGGOLD  29173-832-2.77.%3405979
12 ROLFES  365-10-2.67.%1677912
13 HULAMIN  780-21-2.62.%4467
14 MRHLD  3025-81-2.61.%3412611
15 HARMONY  8735-226-2.52.%1775511
16 DRDGOLD  555-14-2.46.%1493274
17 WINHOLD  122-3-2.40.%12000
18 S-OCEAN  205-5-2.38.%76045
19 REDEFINTL  536-12-2.19.%193714
20 CALGRO  478-10-2.05.%58606

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New Highs
SharenameSaleHighMove% MoveVolume
1 CLOVER  13301350554.31.%73741
2 REUNERT  717571992753.99.%409867
3 LITHA  358369133.77.%155507
4 PPC  32853294952.98.%1893611
5 NASPERSN  418504195011502.83.%2360272
6 LIB-HOLD  915091682512.82.%406901
7 TRENCOR  434944001192.81.%876457
8 EOH  31603190752.43.%574041
9 PINNACLE  14501500302.11.%1425784
10 ASPEN  11320116612211.99.%2119546
11 AMA  32533061.88.%513398
12 RICHEMONT  49094925891.85.%16861400
13 ABSA  16126161652811.77.%2570548
14 SANLAM  32883310531.64.%13058937
15 BLUETEL  687693111.63.%2774851
16 NEDCOR  16792168452221.34.%551132
17 VPIF  760760101.33.%14199346
18 MONDIPLCP  72967399951.32.%1546352
19 RMBH  32703294421.30.%2266972
20 RMIH  16491671211.29.%6336855

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New Lows
SharenameSaleLowMove% MoveVolume
1 EHSV  30082620-492-14.06.%66832

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Index Summary
Index NameRPMove% Move
Top 4030,521.67218.870.72%
Mid Cap48,279.32390.450.82%
Small Cap35,777.11252.840.71%
Resource 2051,722.25185.510.36%
Industrial 2531,918.51301.960.96%
Financial 159,503.60104.161.11%
Financial & Ind. 3035,570.02346.900.98%
All Share34,426.74251.350.74%
Oil & Gas 29,322.38187.670.64%
Mining 33,272.7882.540.25%
Gold Mining2,483.12-53.74-2.12%
Platinum Mining61.58.741.22%
GENERAL MINING8,421.7952.970.63%
Oil & Gas Producers 15,766.10100.910.64%
Basic Materials 28,458.7297.870.35%
Chemicals 15,502.19141.890.92%
Forestry & Paper 14,284.46157.241.11%
Industrial Metals 31,466.40481.141.55%
Industrials 32,990.56308.120.94%
General Industrials 90,760.29502.080.56%
Consumer Goods 32,996.62416.831.28%
Automobiles & Parts 5,321.48113.232.17%
Household Goods181.4010.40%
Health Care 40,079.87679.091.72%
Beverages 108.671.371.28%
Index NameRPMove% Move
Food Producers 59,999.1691.710.15%
Personal Goods 490.298.891.85%
Consumer Services 63,829.43930.971.48%
General Retailers 53,636.09662.631.25%
Travel & Leisure 3,754.7440.291.08%
Media 91.872.462.75%
Support Services 2,474.8751.142.11%
Telecommunications 69,497.69-724.46-1.03%
Financials 25,056.21236.310.95%
Banks 47,511.68542.371.15%
Non-life Insurance 41,221.03358.880.88%
Life Insurance 20,013.19254.991.29%
General Financial 2,372.649.070.38%
Technology 28,049.10234.730.84%
SHARIAH TOP40 3,151.92110.36%
FTSE/JSE SHARIAH ALL3,258.20120.37%
COAL MINING27,881.493581.30%
FTSE JSE Fledgling 5,305.9780.14%
FTSE/JSE Alt X 1,240.98-10-0.83%
RESOURCE 28,567.04880.31%
DIVIDEND PLUS200.2221.06%
FTSE/JSE RAFI 407,221.27540.75%
Capped Top 4016,110.951170.73%
Capped All Share17,416.661280.74%
JSE TABACO 4,977.76631.29%

Click here for the Sharenet Index Summary page
Latest Consensus Changes**
CodeCompany NameStatusUpdated
Results Expected**
ExpectedCompany NameFin. Date
15 Mar 20121TIMEDecember 2011 (Final)
15 Mar 2012ARROWASeptember 2011 (Final)
15 Mar 2012ARROWBSeptember 2011 (Final)
15 Mar 2012BELLDecember 2011 (Final)
15 Mar 2012CIPLAMEDDecember 2011 (Final)

Recent Dividends**
Share NameDec-DateLDTPay-DateAmount
AFRIMAT12-03-1412-03-2912-04-10R 0.1300
JSE12-03-1312-05-1812-05-28R 2.5000
CLOVER12-03-1312-03-2912-04-10R 0.1500
VPIF12-03-1212-03-2912-04-10R 0.2700
SASOL12-03-1212-04-0412-04-16R 5.7000
Ex Div**
Share NameDec-DateLDTPay-DateAmount
KUMBA12-02-0912-03-0912-03-19R 22.5000
DSY B PREF12-02-2312-03-0912-03-19R 2.8923
MASSMART12-02-2212-03-0912-03-19R 2.5200
AMPLATS12-02-1312-03-0912-03-19R 2.0000
CAPEVIN12-02-1712-03-0912-03-19R 1.9840

Upcoming AGMs**
CodeCompany NameDateStatus
SDHSecureData Holdings Ltd.20/03/2012Confirmed

Stock Exchange News Service
14/03/201217:43CTP - AfroCentric Investment Corporation Limited - Unaudited Interim
14/03/201217:21 Hyprop - Dealing in Securities by Associates of a Director of Hyprop
14/03/201217:06 Naspers Limited - Dealings by a director
14/03/201217:03FFA/FFB - Fortress Income Fund Limited - Appointment & resignation to the board
14/03/201216:59 Netcare Limited - Dealings in Securities by a Director
14/03/201216:51 Merafe Resources Limited - Director`s share dealing
14/03/201216:46 Protech Khuthele Holdings Limited - Cautionary Announcement
14/03/201216:36 Afrimat Limited - Dividend Declaration
14/03/201216:30CCO - Capital & Counties Properties PLC - Annual financial report 2011,
14/03/201216:20 EVRAZ Highveld Steel and Vanadium Limited - Group audited results for the
14/03/201216:15 Grand Parade Investments Limited - Swap of the GPI SPV Trust and the
14/03/201216:10 Capital Shopping Centres Group Plc - Notification of Transactions of
14/03/201216:07ABSP - Absa Bank Limited - Results of the General Meeting of Absa Bank non-
14/03/201216:00 The Spar Group Limited - Exercise of options and sale of shares
14/03/201215:51HPA/HPB - Hospitality Property Fund Limited - Disclosure of significant holding
14/03/201215:43 Impala Platinum Holdings Limited - Zimplats Holdings Limited ("Zimplats")
14/03/201215:25 OLD MUTUAL plc - General Meeting relating to the sale of the Group`s
14/03/201215:03 Workforce Holdings Limited - Trading Update
14/03/201214:58 Hulamin Limited - Dealings in securities by directors
14/03/201214:50 Rolfes - Notification in terms of section 122(3) of the Companies Act and
14/03/201214:32 Exxaro Resources Limited - Trading of Exxaro ordinary shares on
14/03/201214:05CLN249 - The Standard Bank of South Africa Limited - New Financial Instrument
14/03/201213:50BIIVU - iVuzi Investments Limited - Full Capital Redemption
14/03/201213:08 AFGRI - Dealings in securities by a director
14/03/201212:49 Pinnacle Technology Holdings Limited - Unaudited interim results for
14/03/201212:15 Sabmiller - AND ANADOLU EFES announce completion of strategic Alliance
14/03/201212:13TRA - Transnet SOC Limited - Tap Issue Listing
14/03/201212:09TRA - Transnet SOC Limited - Tap Issue Listing
14/03/201211:57 Liberty Holdings Limited - Chief Executive Officer`s Dealings in
14/03/201211:45SBK16 - The Standard Bank of South Africa Limited - New Financial Instrument
14/03/201211:29SOLSTG - The Standard Bank Of South Africa Limited - Dividend announcement in
14/03/201211:16ASANIH - Nedbank - Dividend distribution announcement in relation to the ASA
14/03/201211:11 Erbacon Investment Holdings Limited - Disposal by Erbacon of its small
14/03/201211:05STXNNE - Nedbank - Proposed Distribution Announcement In Relation To The STX40
14/03/201211:04MTNNIH - Nedbank - Dividend distribution announcement in relation to the MTN
14/03/201211:03SBKNIK - Nedbank - Dividend distribution announcement in relation to the SBK
14/03/201211:01MTNNNH - Nedbank - Dividend distribution announcement in relation to the MTN
14/03/201211:00ASA/ABSP - Absa Group Limited/Absa Bank Limited - Retirement of an
14/03/201210:59MTNNNI - Nedbank - Dividend distribution announcement in relation to the MTN
14/03/201210:59STXNIH - Nedbank - Proposed distribution announcement in relation to the STX40
14/03/201210:57AGLNNF - Nedbank - Dividend distribution announcement in relation to the AGL
14/03/201210:56AGLNII - Nedbank - Dividend distribution announcement in relation to the
14/03/201210:54SBKNNK - Nedbank - Dividend distribution announcement in relation to the SBK
14/03/201210:53SBKNIL - Nedbank - Dividend distribution announcement in relation to the SBK
14/03/201210:52SBKNNJ - Nedbank - Dividend distribution announcement in relation to the SBK
14/03/201209:50EQS/EQS01/EQS02/EQS04 - Eqstra Holdings Limited - Sale of Eqstra Mining
14/03/201209:47 Sephaku Holdings - Mechanics for trading and transferring of Sephaku
14/03/201209:36 Convergenet Holdings Limited - Appointment of Lead Independent Director
14/03/201209:00 Capevin Investments Limited - Cautionary Announcement
14/03/201209:00 African Eagle Resources plc - JV Partner announces High Grade Drill
14/03/201208:45 Discovery Holdings Limited - Leadership changes in Vitality
14/03/201208:20 Aveng Group Limited - Unaudited group results for the six months ended
14/03/201207:10 British American Tobacco p.l.c - Transaction in own shares
14/03/201207:05 EOH Holdings Limited - Reviewed Condensed Consolidated Results for the
14/03/201207:05 Standard Bank Group Limited - Director`s dealings in securities
14/03/201207:05 Goliath Gold Mining Limited - Trading Statement

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