Having trouble reading this email? View in your web browser
 The Sharenet Daily 
Tuesday, 17 July 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)

A Look at Investment Clubs

The majority of most investors’ gains are through investing in shares. Investing directly in the stock market is, however, out of reach for most individual investors as it requires too much capital and is often too complex. Most investors gain access to the stock market through their retirement savings and discretionary savings, typically via unit trusts. One of the ways around this, i.e. to become a ‘direct’ investor, is to become part of an investment club.

What is an investment club you may ask?

An investment club is a form of partnership whereby a number of people (usually between 3 and twelve) get together on a regular basis (usually monthly) and contribute a regular amount. This amount needs to be substantial enough to build up capital on the one hand, but not that large that it places too much strain on the members of the club.

The money is pooled and invested into individual shares based on the views of the members in the club. There are a couple of factors which differentiate the successful investment clubs from the unsuccessful clubs, the first being the meetings. The meetings should be held on a regular basis with a formal agenda. This agenda should include education, a report back from the treasurer, analyzing and deciding on what should be bought, and then analyzing and deciding on what should be sold. Most successful clubs make use of advisors but it is important that the members make the final investment decisions. Members should also draft their own ‘club rules’ up front with regards to how decisions will be made, etc, to avoid nasty arguments down the line.

Part of the monthly contribution should be used as a levy for these meetings and to buy books and courses for the education of the members.

It is vitally important that the members are at a similar level of expertise and they should not rely on a single person to make investment decisions. The most successful clubs are typically those where consensus decisions are made.

Generally speaking more liquid instruments should be used e.g. shares and unit trusts, rather than investing in illiquid assets like physical property. It can become a problem if somebody wants to withdraw from the club and the property market is down and you struggle to sell your holdings for a fair price. Having said that, one of the most successful clubs I have seen has property as their major investment. They used the capital they had built up as deposits on properties that financed the rest of their purchases. This takes investment clubs to a whole new level, because debt is now involved, which brings in further issues such as personal sureties, etc.

For an investment club to be successful the procedures for meetings, aims of the club, contribution levels, and reporting policy need to be formalized and in writing. There can be no expectation gaps, because that is when arguments arise. Matters can get very heated when the members’ capital is at stake. Everybody must know what they are getting into before they make their first investment. If your investment club is successful, it can become a substantial part of your total portfolio.

Kind regards,

Barry Hugo

021 914 4966

Tue, 17 Jul 2012
Top News
South African stocks dipped for the second straight session on Tuesday, with Anglo American and other miners declining after the head of the U.S. Federal Reserve gave few new clues on another round of monetary stimulus.  Full story

South Africa's rand firmed against the dollar on Tuesday amid hopes the U.S. Federal Reserve will provide more monetary stimulus to the world's biggest economy after a poor retail sales report.  Full story
The European Commission will prolong monitoring of Romania's respect for the rule of law and fight corruption, it said on Tuesday, maintaining pressure on a government it fears could be undermining democracy.  Full story
Two people were killed and 21 others injured in what may have been a gang-related shootout at a Toronto street party late on Monday evening, raising fears of violent retaliation in Canada's largest city.  Full story
Supporters of Egypt's Muslim Brotherhood brawled with their opponents in court on Tuesday, delaying rulings that might help define the powers of new Islamist President Mohamed Mursi as he seeks more autonomy from the military.  Full story
Gold traded nearly flat on Tuesday, as a rising stock market prompted investors to cover short positions taken early in the session on. . .  Full story
U.S. stocks rose in volatile trade on Tuesday, led largely by sectors that perform well in a struggling economy, as comments from Federal. . .  Full story
European shares fell in thin trading on Tuesday after the U.S. central bank gave no signs it was any nearer to launching fresh. . .  Full story
Britain's top share index dropped in thin volume on Tuesday, hit by falls for several heavyweight banks and miners, and was expected. . .  Full story

World stocks edged higher in choppy trade o n T uesday and the U.S. dollar gained after Federal Reserve Chairman Ben Bernanke said. . .  Full story
U.S. stocks turned positive before midday on Tuesday, with materials shares leading the way higher.. . .  Full story
European shares finished lower in thin trade on Tuesday after the U.S. central bank gave no signs it was any nearer to launching. . .  Full story
U.S. stocks fell on Tuesday, hitting their lowest level of the session, as a lack of clues on more stimulus from Federal Reserve. . .  Full story

South African government bond yields continued their decline on Tuesday, with the return on three-year bonds hitting a record low, as domestic investors join foreigners in the hunt for yield.. . .  Full story
Company News
Datatec (''the group'') announced that its subsidiary Westcon Group European Operations Ltd. (''Westcon'') acquired the Austrian value added security distributor Triple AcceSSS IT GmbH (''Triple AcceSSS'') along with its Swiss subsidiary (the ''transaction''). The consideration is not disclosed. The transaction expands Westcon's security business footprint in Europe and given Triple AcceSSS' similar vendor portfolio, strengthens Westcon's relationships with security vendors such as T. . .  Full story
Company Results
Revenue increased to CAD20.8 million compared to CAD19.6 million in the corresponding period of 2011. Gross profit fell to CAD1.8 million (2011: 4.0 million) whilst the net loss attributable to equity holders widened to CAD1.6 million (2011: loss of CAD1.0 million). In addition, headline earnings per share was -5cps (2011: -3cps). Dividend No dividend was declared for the quarter.. . .  Full story
World Markets (Spot Prices)
NameTimeRPMove% Move
JSE Overall17:0033706.00-21.00-0.06%
JSE Top 4017:0029558.00-26.00-0.09%
JSE Gold17:002223.00-30.00-1.34%
JSE Financial17:0026214.00-1.00-0.01%
JSE Industrial17:0038940.00102.000.26%
JSE Indust 2517:0032980.00118.000.36%
JSE Resource17:0045457.00-280.00-0.61%
DJ Futures19:5212760.0048.000.38%
DJ Ind19:5812812.28-84.39-0.65%
SP 50019:581363.0110.130.75%
FTSE 10017:355629.09-33.34-0.59%
All Ords08:484175.3032.100.77%
NZSE 5007:483468.861.520.04%
NameTimeRPMove% Move
Gold $19:581588.31-.060.00%
Gold R19:5713002.61-20.94-0.16%
Gold R/kg19:58417990-1213-0.29%
Silver $19:5827.3550.12200.45%
Platinum $19:581415.005.500.39%
Palladium $19:58580.20.900.16%
Brent Crude19:58105.13-.08-0.08%
Rand / Dollar19:588.1850-0.0138-0.17%
Rand / Pound19:5512.7609-0.0450-0.35%
Rand / Euro19:5510.0422-0.0331-0.33%
Rand / NZD19:576.5308-0.0094-0.14%
Rand / AUD19:558.43300.02420.29%
Yen / Dollar19:5779.07000.20500.26%
Euro / Dollar19:550.8146-0.0001-0.01%
Dollar / Euro19:581.22690.00000.00%
Pound / Dollar19:550.63950.00010.02%

Click here for the Sharenet Spot Price page
The JSE Today

Trading Statistics
* Includes all listed instruments on the JSE
Major Moves Up
SharenameSaleMove% MoveVolume
1 FAIRVEST  1302018.18.%10500
2 ADAPTIT  1241614.81.%14350
3 IQUAD  360205.88.%4550
4 LONAFRIC  11565.50.%200
5 DISTELL  98004504.81.%8215
6 ATLATSA  14564.32.%25180
7 BAUBA  12554.17.%26787
8 BASREAD  1095413.89.%125841
9 MEDCLIN  39001253.31.%175251
10 CAPITEC  210555552.71.%115769
11 CALGRO  390102.63.%119055
12 RICHEMONT  42351082.62.%12639103
13 PSG  64001502.40.%18865
14 CERAMIC  128003002.40.%5000
15 TASTE  31072.31.%32650
16 DIPULA-B  670152.29.%6000
17 AMECOR  22552.27.%17977
18 TFG  137003002.24.%624860
19 LITHA  37082.21.%1634113
20 LIFEHC  3150601.94.%2255506

Click here for more Major Moves...
Major Moves Down
SharenameSaleMove% MoveVolume
1 MMG  300-50-14.29.%7300
2 GBGOLD  400-50-11.11.%11740
3 NICTUS  377-31-7.60.%3200
4 JUBILEE  123-6-4.65.%37000
5 FAMBRANDS  5555-245-4.22.%22173
6 HULAMIN  480-20-4.00.%530002
7 METROFILE  330-13-3.79.%141570
8 KEATON   280-10-3.45.%37340
9 DCENTRIX  460-15-3.16.%32044
10 MVELASERV  1030-30-2.83.%18151
11 EASTPLATS  178-5-2.73.%800
12 MRHLD  2350-65-2.69.%926516
13 TRNSHEX  335-9-2.62.%43462
14 HOSP-A  1360-34-2.44.%349743
15 ELLIES   535-13-2.37.%98737
16 CBH  425-10-2.30.%10249
17 RAUBEX  1350-30-2.17.%40827
18 AMA  235-5-2.08.%100446
19 ESORFRANK  120-2-1.64.%363884
20 DRDGOLD  481-8-1.64.%213986

Click here for more Major Moves...

New Highs
SharenameSaleHighMove% MoveVolume
1 DIPULA-B  670670152.29.%6000
2 SYNERGY-A  925925101.09.%123
3 LIB-HOLD  91609225931.03.%242018
4 DATATEC  4848508280.17.%378149
5 GROWPNT  240024250.2859136
6 CASHBIL  15200159670.58888
7 PINNACLE  16801700-15-0.88.%317011

Click here for more Major Moves...
New Lows
SharenameSaleLowMove% MoveVolume
1 GBGOLD  400400-50-11.11.%11740
2 HULAMIN  480476-20-4.00.%530002

Click here for more Major Moves...

Index Summary
Index NameRPMove% Move
Top 4029,558.00-26.00-0.09%
Mid Cap49,848.0059.000.12%
Small Cap36,717.00-76.00-0.21%
Resource 2045,457.00-280.00-0.61%
Industrial 2532,980.00118.000.36%
Financial 159,809.00-4.00-0.05%
Financial & Ind. 3036,569.0082.000.23%
All Share33,706.00-21.00-0.06%
Oil & Gas 25,899.00138.000.54%
Mining 29,158.00-238.00-0.81%
Gold Mining2,223.00-30.00-1.34%
Platinum Mining47.00.001.45%
GENERAL MINING7,517.00-66.00-0.88%
Oil & Gas Producers 13,925.0074.000.54%
Basic Materials 25,130.00-200.00-0.79%
Chemicals 15,142.00-12.00-0.08%
Forestry & Paper 13,942.00-112.00-0.80%
Industrial Metals 29,010.00-175.00-0.60%
Industrials 33,579.00151.000.45%
General Industrials
Consumer Goods 32,992.00261.000.80%
Automobiles & Parts 6,170.00102.001.69%
Household Goods159.0010.87%
Health Care 45,689.00451.001.00%
Index NameRPMove% Move
Food Producers 62,132.00319.000.52%
Personal Goods 422.0010.002.67%
Consumer Services 69,697.00-52.00-0.08%
General Retailers 59,992.00544.000.92%
Travel & Leisure 3,909.00-55.00-1.39%
Media 97.00.00-0.49%
Support Services 2,304.00-22.00-0.96%
Telecommunications 68,642.00-487.00-0.71%
Financials 26,214.00-1.00-0.01%
Banks 48,631.00101.000.21%
Non-life Insurance 41,601.00-254.00-0.61%
Life Insurance 20,920.00-84.00-0.40%
General Financial 2,451.0010.000.45%
Technology 30,664.00-6.00-0.02%
SHARIAH TOP40 2,860.00-4-0.17%
FTSE/JSE SHARIAH ALL2,998.00-4-0.16%
COAL MINING22,410.00-218-0.97%
FTSE JSE Fledgling 5,403.00-28-0.53%
FTSE/JSE Alt X 1,116.0090.83%
CAPPED PROPERTY 370.00-0.07%
RESOURCE 25,063.00-154-0.61%
DIVIDEND PLUS191.0000.32%
FTSE/JSE RAFI 406,927.00-12-0.18%
Capped Top 4015,620.00-11-0.08%
Capped All Share17,053.00-10-0.06%
JSE TABACO 5,499.00-34-0.62%

Click here for the Sharenet Index Summary page
Latest Consensus Changes**
CodeCompany NameStatusUpdated
Results Expected**
ExpectedCompany NameFin. Date
20 Jul 2012AFROXJune 2012 (Interim)
20 Jul 2012KUMBAJune 2012 (Interim)
20 Jul 2012MASMay 2012 (Q)
23 Jul 2012AMPLATSJune 2012 (Interim)
23 Jul 2012ANGLOPLATCCPJune 2012 (Interim)

Recent Dividends**
Share NameDec-DateLDTPay-DateAmount
SBR00312-07-1312-07-2712-08-06R 1.4800
FOORDCMPS12-07-1012-07-2712-08-06R 0.3000
PSV12-07-0512-07-2012-07-30R 0.0360
REUNERT5.512-06-2912-07-2012-07-30R 0.0550
HUDACO12-06-2912-08-1012-08-20R 1.5500
Ex Div**
Share NameDec-DateLDTPay-DateAmount
LEWIS12-05-2312-07-1312-07-23R 2.7000
NETCARE12-05-1412-07-1312-07-23R 0.2200
NICTUS12-06-2812-07-1312-07-23R 0.1425
AMECOR12-06-2712-07-1312-07-23R 0.0800
ISA12-05-2512-07-1312-07-23R 0.0700

Upcoming AGMs**
CodeCompany NameDateStatus
ALTAllied Technologies Ltd.17/07/2012Confirmed
ILVIllovo Sugar Ltd.18/07/2012Confirmed
WEZWesizwe Platinum Ltd.19/07/2012Confirmed
SPASpanjaard Ltd.19/07/2012Confirmed
VODVodacom Group Ltd.20/07/2012Confirmed

Stock Exchange News Service
17/07/201217:31Atlatsa Resources Corporation - Results Of Annual General Meeting
17/07/201217:30Life Healthcare Group Holdings Ltd - Dealings In Securities By Associates Of Dir...
17/07/201217:26NEW CORPCAPITAL LIMITED - Results of General Meeting
17/07/201216:50ABSA BANK LIMITED - ABN48 Interest rate reset
17/07/201216:29OLD MUTUAL PLC - Form 8.3
17/07/201216:15MAZOR GROUP LIMITED - Renewal of cautionary announcement
17/07/201216:13IMBALIE BEAUTY LIMITED - ILE - Imbalie - Director Dealings
17/07/201215:51Republic Of South Africa - Rsa Weekly Tap
17/07/201215:45Republic Of South Africa - Rsa Weekly Tap
17/07/201215:20REPUBLIC OF SOUTH AFRICA - RSA bonds weekly tap
17/07/201214:38Harmony Gold Mining Company Limited - Fatal Accident At Harmony?s Unisel Mine
17/07/201214:09IVUZI INVESTMENTS LIMITED - Tap Issue Listing
17/07/201214:08INDWA INVESTMENTS LIMITED - Tap Issue Listing
17/07/201213:40ALLIED TECHNOLOGIES LIMITED - Results of the Annual General Meeting
17/07/201212:45IVUZI INVESTMENTS LIMITED - Tap Issue Listing
17/07/201212:30Fairvest Property Holdings Limited - Update On Sa Corporate Real Estate Property...
17/07/201212:28Rgt Smart Market Intelligence Ltd - Change To Annual General Meeting ("agm") Ven...
17/07/201211:51ABSA BANK LIMITED - ACL183 Tap issuance
17/07/201211:50ABSA BANK LIMITED - ACL181 -Tap issuance
17/07/201211:50ABSA BANK LIMITED - ACL182 tap issuance
17/07/201211:35ABSA BANK LIMITED - ACL180 -Tap Issuance
17/07/201211:05GROWTHPOINT PROPERTIES LIMITED - GRT03 Interest reset
17/07/201210:49BNP PARIBAS ARBITRAGE ISSUANCE B.V. - Issue of ZAR50,000,000 warrants relating t...
17/07/201210:48South African Coal Mining Hldgs Ltd - No Change Statement And Notice Of The Annu...
17/07/201210:40African Bank Investments Limited - Voluntary Disclosure: Dealing In Securities B...
17/07/201210:20PROP INVESTMENTS LIMITED - New instrument listing
17/07/201209:46INGUZA INVESTMENTS (PTY) LIMITED - Interest Rate Reset Announcement
17/07/201209:30SYNERGY INCOME FUND LIMITED - Vendor Consideration Placing
17/07/201209:23e Limited - Zci - Late Submission Of Provisional Financial Statements
17/07/201209:13Annuity Properties Ltd - Notice Of Annual General Meeting
17/07/201209:05SYNTHESIS FUNDING LIMITED - New Financial Instrument Listing
17/07/201209:00Petmin Limited - Petmin Secures Extension To Existing Mining Licence At Somkhele...
17/07/201209:00BIDVESTCO LIMITED - Full Capital Redemption
17/07/201208:36Forbes & Manhattan Coal Corp - Forbes - Press Release Regarding Publication Of I...
17/07/201208:22Hulamin Limited - Trading Statement ? For The Six Months Ended 30 June 2012
17/07/201208:19Forbes & Manhattan Coal Corp - Unaudited Interim Results For Period Ended 31 May...
17/07/201208:00Woolworths Holdings Limited - Trading Update And Trading Statement: 52 Weeks To...
17/07/201208:00Datatec Limited - Westcon Acquires Triple Accesss It
17/07/201207:32INVESTEC BANK LIMITED - New Listing
17/07/201207:19Nedbank Limited - Dividend Distribution Announcement
17/07/201207:18Nedbank Limited - Dividend Distribution Announcement
17/07/201207:16Nedbank Limited - Dividend Distribution Announcement
17/07/201207:10ANGLO AMERICAN PLC - Anglo American plc ? Holdings in Company
17/07/201207:08Nedbank Limited - Dividend Distribution Announcement
17/07/201207:05Brimstone Investment Corporation Ld - Announcement Regarding The Disposal Of 4 5...
17/07/201207:05British American Tobacco Plc - Transaction In Own Shares

Click here for more SENS news