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The Sharenet Daily 
Tuesday, 13 August 2013 - 20:00
 
Charts
News
Top News
Markets
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)


Charts
 
Top Down or Bottom Up?

“Top down” and “Bottom up” are types of investment processes that determine how managers select their investments. While the processes take different routes to selecting their investments, both have the same goal of selecting the best investments.

Top Down

As the name suggestion you start at the top. The manager starts by formulating a macro view of the economy and tries to forecast which sector will generate the best returns. After selecting a couple industries, the fund manager will find companies in these industries to populate the fund.

An example of top down is:
• The manager believes that interest rates will decrease.
• A decrease in interest rates will increase the populations’ disposable income and the consumer goods and services industry will benefit the most.
• Those companies that are most exposed to increases in disposable income will be included in the fund.

Bottom Up

Bottom up funds are populated by looking at the companies first. No macro view is taken. The fund manager focuses merely on selecting stocks based on their individual qualities.

An example of bottom up is:
• Screen investment universe for shares with high Dividend Yields and low Price to Earnings and Price to Book ratios.
• Follow up with research to ensure that these companies are managed properly.
• Select those shares that have the best metrics.

Bottom Up with Macro Overlay

As with everything in life, there is always a middle ground. This manager starts by searching for companies on a bottom up basis. Before deciding if the company should be included in the fund, the manager takes into account his macro view. Will the company grow in the forecasted economic climate?

An example of where this blended approach would work is with the ever cyclical resource companies. On a fundamental basis the companies are the cheapest they have ever been for a long time, but depending on your macro view this can be buying opportunity or a company to avoid at all cost.

All of the above mention processes have their own pros and cons. If a wrong macro view is forecast, the manager might invest into an industry that returns less than the market, he will then underperform his peers. The same can happen if a manager invests into a company with good quantitative metrics, but faces severe economic head winds.

Understanding what process fund managers follow and how they invest, will help you understand how their funds will perform in various scenarios.

Kind regards,

Gerbrandt Kruger

www.seedinvestments.co.za
info@seedinvestments.co.za
021 914 4966

Tue, 13 Aug 2013
Top News
[IMAGE]
Massmart Holdings, the South African unit of Wal-Mart Stores Inc, said on Tuesday its first-half earnings rose by as much as 57 percent, lifted by favourable exchange rates.  Full story
[IMAGE]
Johannesburg bourse operator JSE Ltd posted a 35 percent rise in first-half earnings on Tuesday, lifted by robust trading on Africa's biggest exchange that has sent key indices to a series of lifetime records this year.  Full story
Supporters and opponents of ousted President Mohamed Mursi battled in the streets of downtown Cairo on Tuesday, showing Egypt remained dangerously split six weeks after the army overthrew him in response to mass unrest against his rule.  Full story
OPEC oil producer Libya told its customers on Tuesday it could make no promises on crude deliveries next month as on-off strikes paralysed its major sea terminals.  Full story
A 10-minute drive from where negotiators will sit down on Wednesday to resume long-stalled Middle East peace talks, Israeli bulldozers are busy reshaping land that Palestinians want for their future state.  Full story
 
Markets
European shares hit a 2-1/2 month high on Tuesday as upbeat economic data reinforced expectations the euro zone is finally crawling out of. . .  Full story
Gold fell 1 percent on Tuesday, set to snap a four-day winning streak, weighed down by better U.S. consumer spending data and after. . .  Full story
Fresh signs of a recovery in the UK housing sector helped nudge Britain's benchmark share index higher on Tuesday, with several traders expecting. . .  Full story
U.S. stocks fell modestly on Tuesday, pulled lower by consumer stocks, particularly homebuilders, in another day of light trading volume.. . .  Full story
U.S. Treasuries yields rose and the dollar climbed to one-week highs on Tuesday after a gauge of U.S. consumer spending rose at its. . .  Full story
U.S. stocks turned negative and fell to session lows in morning trading on Tuesday, putting the S&P 500 on track for its sixth. . .  Full story
U.S. stocks edged higher after the open on Tuesday following the fifth decline in six days by the S&P 500 indexes as investors. . .  Full story
Gains in healthcare group GlaxoSmithKline and further signs of a pick-up in the UK housing sector helped lift Britain's benchmark equity index on Tuesday.. . .  Full story
SA Business
South African gold producer Sibanye Gold reported a 70 percent drop in first-half profit, hit by a fire at a mine that has slowed production, and said it would not pay a dividend until contentious wage talks were settled.. . .  Full story
South Africa's rand steadied against the dollar early on Tuesday, struggling against a bolstered greenback as investors anticipated upbeat data on the world's biggest economy.. . .  Full story
South African physical coal is trading higher than the equivalent European contract for the first time in six weeks, as unions in the world's fifth largest exporter declared a dispute over wages and buyers stocked up ahead of winter.. . .  Full story
South Africa's Treasury sold a total 2.35 billion rand of its 2023, 2037 and 2041 government bonds on Tuesday.. . .  Full story
Company News
A review of the financial results for the year ended 30 June 2013 by management has indicated that the earnings per. . .  Full story
PPC announced the appointment of Azola Lowan to the position of Executive, Strategy and Investor Relations. Kevin Odendaal, the current. . .  Full story
Shareholders were referred to prior cautionary announcements, the last of which was published on 08 July 2013, relating to the International. . .  Full story
The directors of Oasis Crescent Property Fund Managers Ltd., the manager of the Fund ("the Manager"), advised unitholders of the Fund. . .  Full story
Sanlam shareholders are advised that the Group's Headline Earnings per share and Earnings per share for the six months ended 30. . .  Full story
Shareholders were referred to the various cautionary announcements released over the past 9 months relating to the investigation by the Financial. . .  Full story
Shareholders are referred to the cautionary announcement published on SENS on 21 January 2013 and the subsequent renewal of cautionary announcement. . .  Full story
Shareholders are referred to the SENS announcements dated 21 June and 13 June 2013 where shareholders were advised that Chandler Coal. . .  Full story
Company Results
Revenue from continuing operations for the year ended 30 June 2013 soared to R11.1 billion (2012: R8.8 billion). Operating profit rose. . .  Full story
Revenue was up 18.6% to R1.5 billion (R1.3 billion). Gross profit almost doubled to R325.2 million (R163 million). Net attributable profit. . .  Full story
Revenue for the interim period fell to R268.9 million (R270. million) whilst operating profit was greater at R13.8 million (R13.3 million).. . .  Full story
Total profit for the period slumped to USD27 000 (USD24.1 million). In addition, basic and diluted earnings per common share declined. . .  Full story
World Markets (Spot Prices)
NameTimeRPMove% Move
JSE Overall17:0042685.35188.050.44%
JSE Top 4017:0038235.45162.970.43%
JSE Gold17:001292.36-5.09-0.39%
JSE Financial17:0030852.7970.140.23%
JSE Industrial17:0055552.48238.890.43%
JSE Indust 2517:0048661.25194.280.40%
JSE Resource17:0049734.32288.590.58%
DJ Futures19:5015470.0072.000.47%
DJ Ind19:5815479.6759.990.39%
SP 50019:581694.905.430.32%
Nasdaq19:583680.3510.400.28%
FTSE 10017:356611.9437.600.57%
DAX18:128415.7656.510.68%
CAC4018:124092.5020.820.51%
Nikkei08:2813867.00347.572.57%
Shanghai09:302106.164.870.23%
Hang-Seng10:2822541.13269.851.21%
All Ords09:115141.6047.800.94%
NZSE 5007:484525.823.520.08%
NameTimeRPMove% Move
Gold $19:591321.80-14.84-1.11%
Gold R00:0013199.65308.362.39%
Gold R/kg19:58423741-1769-0.42%
Silver $19:5921.4720.10500.49%
Platinum $19:591495.503.000.20%
Palladium $19:59738.202.800.38%
R15717:406.09.030.50%
R18617:348.31.141.71%
R20416:507.06.020.36%
R20716:497.40.010.20%
Brent Crude19:58109.511.291.19%
Rand / Dollar19:599.96770.09060.92%
Rand / Pound19:5515.35920.11640.76%
Rand / Euro19:5513.21040.07340.56%
Rand / NZD00:007.90140.02800.36%
Rand / AUD19:559.06250.02650.29%
Yen / Dollar19:5898.22001.18501.22%
Euro / Dollar00:000.75190.00200.27%
Dollar / Euro19:591.3256-0.0043-0.33%
Pound / Dollar19:550.64710.00060.09%

Click here for the Sharenet Spot Price page
The JSE Today

 Trading Statistics
DateAdv.Decl.Unch.ActivesVolumeValueTradesOrders
13/08/201321113983433253,986,863R14,368,764,0251485421000435
12/08/201323114478453206,880,220R15,905,422,953181544945496
08/08/201321513069414160,020,044R11,359,896,3561076921173952
07/08/201313720573415209,028,670R13,116,341,7711402171261220
06/08/201312420581410213,692,368R11,374,743,1221185691136092
* Includes all listed instruments on the JSE
Major Moves Up
SharenameSaleMove% MoveVolume
1 RANGOLD  2402511.63.%5000
2 TIMES  210021011.11.%10
3 PHUMELELA  14201108.40.%8592
4 CROOKES  64494497.48.%1000
5 GOLDONE  189137.39.%24967
6 MMG  235156.82.%3800
7 SIBANYE  870556.75.%4519022
8 EQSTRA  725405.84.%501358
9 ATLATSA  285155.56.%10159
10 PPC  32191695.54.%1484126
11 PALLINGHT  200105.26.%254931
12 PETMIN  205105.13.%3728522
13 GIJIMA  10854.85.%145994
14 METMAR  13064.84.%172600
15 ASSORE  3649015824.53.%49228
16 RBPLAT  54852354.48.%430109
17 ABIL  1600603.90.%6492466
18 ALERT  13553.85.%7114
19 DRDGOLD  547203.80.%240382
20 ROLFES  615203.36.%145004

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Major Moves Down
SharenameSaleMove% MoveVolume
1 CBH  330-20-5.71.%1000
2 MRHLD  2450-140-5.41.%1555520
3 ELBGROUP  2900-100-3.33.%247
4 KEATON   174-6-3.33.%1000
5 ADAPTIT  320-10-3.03.%192378
6 AFRO-C  422-13-2.99.%16258
7 ROCKCASTL  1351-37-2.67.%40684
8 MASSMART  15960-434-2.65.%771059
9 TOWER  925-25-2.63.%259
10 HOWDEN  4000-100-2.44.%3050
11 DELPROP  810-20-2.41.%401390
12 S-OCEAN  122-3-2.40.%3000
13 KGMEDIA  2300-56-2.38.%60035
14 MASTDRILL  855-20-2.29.%94408
15 HARMONY  3868-88-2.22.%1684429
16 REDEFINTL  704-16-2.22.%484293
17 TIGBRANDS  30010-645-2.10.%829579
18 COAL  140-3-2.10.%82595
19 SASFIN  3501-74-2.07.%15135
20 BARWORLD  8600-176-2.01.%262337

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New Highs
SharenameSaleHighMove% MoveVolume
1 CML  693069302203.28.%781168
2 POYNTING  14215542.90.%42731
3 JSE  845086001501.81.%363676
4 MONDIPLCP  15900160141691.07.%587806
5 RICHEMONT  1012010218900.90.%6564953
6 MTN  19596195961460.75.%5713138
7 DISCOVERY  95069683120.13.%1466347

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New Lows
SharenameSaleLowMove% MoveVolume
1 MASSMART  1596015412-434-2.65.%771059

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Index Summary
Index NameRPMove% Move
Top 4038,235.45162.970.43%
Industrial55,552.48238.890.43%
Mid Cap55,878.51264.980.48%
Small Cap46,070.62327.310.72%
Resource 2049,734.32288.590.58%
Industrial 2548,661.25194.280.40%
Financial 1511,629.0626.420.23%
Financial & Ind. 3051,567.68182.840.36%
All Share42,685.35188.050.44%
Oil & Gas 35,698.72476.001.35%
Mining 30,228.37139.140.46%
Gold Mining1,292.36-5.09-0.39%
Platinum Mining46.37.641.40%
GENERAL MINING8,711.3940.330.47%
Oil & Gas Producers 19,194.54255.931.35%
Basic Materials 26,714.48145.120.55%
Chemicals 22,163.19217.690.99%
Forestry & Paper 25,869.42304.521.19%
Industrial Metals 24,037.72376.031.59%
Industrials 40,860.64-273.57-0.67%
General Industrials 122.28-1.59-1.28%
Consumer Goods 52,337.69470.310.91%
Automobiles & Parts 8,514.3622.640.27%
Household Goods186.1731.48%
Health Care 69,216.38734.121.07%
Beverages 164.661.931.19%
Index NameRPMove% Move
Food Producers 70,494.09-482.87-0.68%
Personal Goods 1,010.758.990.90%
Consumer Services 9,295.67-35.34-0.38%
General Retailers 58,210.35-98.49-0.17%
Travel & Leisure 5,594.86-19.50-0.35%
Media 184.11-.99-0.53%
Support Services 2,800.075.570.20%
Telecommunications 9,321.1768.650.74%
Financials 30,852.7970.140.23%
Banks 51,418.14454.970.89%
Non-life Insurance 48,479.43816.711.71%
Life Insurance 29,835.84-214.39-0.71%
General Financial 2,893.9831.441.10%
Technology 41,901.97-.79-0.00%
SHARIAH TOP40 3,654.07220.60%
FTSE/JSE SHARIAH ALL3,761.85220.59%
COAL MINING20,140.75240.12%
FTSE JSE Fledgling 5,576.09130.24%
FTSE/JSE Alt X 1,011.50-14-1.39%
SA LISTED PROPERTY 495.33-0.40%
CAPPED PROPERTY 413.150.05%
RESOURCE 27,175.981660.61%
DIVIDEND PLUS207.1521.10%
FTSE/JSE RAFI 408,438.85360.42%
Capped Top 4020,193.58840.42%
Capped All Share21,597.70960.45%
JSE TABACO 6,812.47660.99%

Click here for the Sharenet Index Summary page
Latest Consensus Changes**
CodeCompany NameStatusUpdated
APNASPEN PHARMACARE HLDGSHOLD12/08/2013
NEDNEDBANK GROUP LTDBUY09/08/2013
MTNMTN GROUP LIMITEDBUY09/08/2013
MPCMR PRICE GROUP LIMITEDSELL08/08/2013
NHMNORTHAM PLATINUM LIMITEDSELL08/08/2013
Results Expected**
ExpectedCompany NameFin. Date
14/08/2013CITYLDGJune 2013 (Final)
14/08/2013EASTPLATSJune 2013 (Interim)
14/08/2013FORTRESSAJune 2013 (Final)
14/08/2013FORTRESSBJune 2013 (Final)
14/08/2013HARMONYJune 2013 (Final)
Recent Dividends**
Share NameDec-DateLDTPay-DateAmount
GROUP 512/08/201319/09/201330/09/2013R 0.3500
MONDILTD08/08/201316/08/201317/09/2013R 0.0955
MONDIPLC08/08/201316/08/201317/09/2013R 0.0955
OLDMUTUAL07/08/201319/09/201331/10/2013R 0.0210
SHPRT 2ND507/08/201323/08/201302/09/2013R 0.0500
Ex Div**
Share NameDec-DateLDTPay-DateAmount
KUMBA19/07/201308/08/201319/08/2013R 20.1000
HUDACO28/06/201308/08/201319/08/2013R 1.5500
SABMILLER23/05/201309/08/201323/08/2013R 0.7700
ANGLO26/07/201308/08/201312/09/2013R 0.3200
Upcoming AGMs**
CodeCompany NameDateStatus
SAHSouth African Coal Mining Holdings Ltd.14/08/2013Confirmed
GDNGooderson Leisure Corporation Ltd.15/08/2013Confirmed
IVTPInvicta Holdings Ltd.16/08/2013Confirmed
IVTInvicta Holdings Ltd.16/08/2013Confirmed
MMGMICROmega Holdings Ltd.16/08/2013Confirmed
Stock Exchange News Service
DateTimeHeadline
13/08/201317:45PUTPROP LIMITED - Trading statement
13/08/201317:38BSI STEEL LIMITED - Director's trade in securities
13/08/201317:32EFFICIENT GROUP LIMITED - Appointment of executive director and specific issue o...
13/08/201317:09WILDERNESS HOLDINGS LIMITED - Notice of annual general meeting
13/08/201316:32MASSMART HOLDINGS LIMITED - Trading Statement for the 26 weeks to 23 June 2013
13/08/201316:30SABMILLER PLC - SABMiller Bond Issue
13/08/201315:26ASCENSION PROPERTIES LIMITED - Private Placement and Issue of New A-Linked Units
13/08/201315:15ARROWHEAD PROPERTIES LIMITED - Notice of a general meeting of Arrowhead linked ...
13/08/201315:05JSE LIMITED - JSE Limited reviewed consolidated interim financial statements for...
13/08/201314:41GROWTHPOINT PROPERTIES LIMITED - GRT02 - Interest Rate Reset
13/08/201314:26BSI STEEL LIMITED - Director's trade in securities
13/08/201314:15PPC LIMITED - Investor relations appointment
13/08/201314:05BSI STEEL LIMITED - Director's trade in securities
13/08/201314:00AVENG LIMITED - Acquisition of securities by clients of Allan Gray Proprietary L...
13/08/201313:53TRUSTCO GROUP HOLDINGS LIMITED - Renewal of cautionary announcement
13/08/201313:41STANDARD BANK OF SOUTH AFRICA LD - SCIB: The Standard Bank of South Africa - Ter...
13/08/201313:40NEWFUNDS COLLECTIVE INVEST SCHEME - RAFFIN; RAFIND; RAFISA and RAFRES - Change t...
13/08/201313:35ILLOVO SUGAR LIMITED - Change of Directorate
13/08/201312:30LIBERTY GROUP LIMITED - LGL04 new instrument listing
13/08/201312:15INDWA INVESTMENTS LIMITED - Listing of new Financial Instrument - IND345
13/08/201312:15IVUZI INVESTMENTS LIMITED - Full Capital Redemption - IVA333
13/08/201311:15PSG GROUP LIMITED - Dealing in PSG Group Limited shares by an associate of a dir...
13/08/201311:10SYNTHESIS FUNDING LIMITED - Synthesis Funding Limited - New Financial Instrument...
13/08/201311:08FIRESTONE ENERGY LIMITED - Change of registered office
13/08/201310:42STANDARD BANK OF SOUTH AFRICA LD - SCIB: The Standard Bank of South Africa Limit...
13/08/201310:30CORONATION FUND MANAGERS LIMITED - Trading Statement for the financial year ende...
13/08/201310:30TAWANA RESOURCES NL - Appendix 3B- New issue announcement, application for quota...
13/08/201310:20ADCORP HOLDINGS LIMITED - Directors dealing in Adcorp securities
13/08/201310:15OASIS CRESCENT PROPERTY FUND - Voluntary announcement: New lease entered into fo...
13/08/201310:05HUGE GROUP LIMITED - Directors dealings in Securities
13/08/201310:03NEDBANK LIMITED - SABNIJ - Dividend Distribution
13/08/201310:03HUGE GROUP LIMITED - Associate of directors dealings in securities
13/08/201310:00PROP INDEX TRACKER COL INV SCHEME - Listing of 100 000 additional PropTrax TEN s...
13/08/201309:59HUGE GROUP LIMITED - Associate of directors dealings in securities
13/08/201309:55RESILIENT PROPERTY INCOME FUND LTD - Interest Rate Reset - RES15
13/08/201309:35RESOURCE GENERATION LIMITED - Financial statements for the year ended 30 June 20...
13/08/201309:24HOSPITALITY PROPERTY FUND LIMITED - Dealings in securities
13/08/201309:09SANLAM LIMITED - Trading Statement 6 months to 30 June 2013
13/08/201309:05DEUTSCHE BANK AG - Termination of Listing - TOPDWW
13/08/201308:37STRATCORP LIMITED - Further cautionary announcement
13/08/201308:30KIBO MINING PLC - Consolidated Lake Victoria Gold Exploration Portfolio includin...
13/08/201308:25BLUE FINANCIAL SERVICES LIMITED - Renewal of cautionary announcement
13/08/201308:20WESCOAL HOLDINGS LIMITED - Acquisition of Coal business from MacPhail
13/08/201308:00NEW EUROPE PROPERTY INVESTMENTS PLC - Issue of equity and total voting rights
13/08/201308:00THE DB X-TRACKER COL INVEST SCHEME - Listing of additional 6 million DBXUS secur...
13/08/201308:00SIBANYE GOLD LIMITED - Interim results for the six months ended 30 June 2013
13/08/201307:52BRITISH AMERICAN TOBACCO PLC - Transaction in own shares

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