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 The Sharenet Daily 
Tuesday, 17 September 2013 - 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)

Seed weekly - Investment Journey

Following up on Barry’s report in July that dealt with the opportunity cost of not taking sufficient risk in your investment portfolio, this report will explain the investment journey that you should be prepared for when making investment decisions.

The mention of investment journey is in reference to the upside potential and downside risks that are inherent when choosing investments that have different risk profiles to money market investments. The rationale is that the higher the risk of the instrument, the higher the payoff to compensate the investor for taking on the additional risk. Naturally this is not a linear relationship but generally holds over the long term (in excess of 5-7 years).

The below graph shows the losses made in the 2008 crash and the subsequent returns achieved by the different indices. From the below, it is clear that an investor who was invested solely in bonds would have experienced a slight uptick during the crash in 2008, but in subsequent years would have struggled to keep up with the returns made by the South African equity market. Investors in a typical money market fund would hardly have experienced any volatility over this period but the graph shows that the performance thereof lags all other investments. While equity markets do experience greater losses, the returns in bull markets typically make up for the initial losses. The chart shows that this is the case, although returns for global equities haven’t been as stellar as local and emerging markets.

Blending different assets classes wisely can have the effect of limiting losses and reducing volatility when compared to a pure equity investment. By investing into multi asset funds (the chart above uses the average Multi Asset – High Equity fund as a proxy) investors are able to reduce their losses in bear markets and then participate in a significant portion of the upside.

The above chart clearly illustrates the different ‘investment journeys’ that investors can take. Should there be a willingness to suffer larger losses over shorter periods, investors can expect to be compensated with excess returns over the long term when compared to lower risk investments.

The above argument is dependent on being invested in an index. Investments in actively managed unit trusts or share portfolios would have resulted in different return profiles that would leave the investor either better or worse off depending on the success of the particular manager.

At Seed we understand that different clients have different needs, especially in terms of the level of risk taken on. Before any investments are made, a recommended strategy unique to the client gets formulated which determines the optimal level of risk that the client should take. The recommended strategy takes into account the entire portfolio, as no investment should be viewed in isolation.

We believe that the limitation of permanent capital losses is vital to the overall success of any investment strategy and are therefore proponents of diversifying into more than one asset class and geographical location. This will take the client on an investment journey that will be more robust in an ever volatile environment.

Kind regards,

Stefan Keeve

021 914 4966

Tue, 17 Sep 2013
Top News
Revenue for the year increased to R386.8 million (2012: R340.6 million). Gross profit rose to R60.3 million (2012: R53.1 million), operating profit jumped to R35.7 million (2012: R29.1 million), while profit attributable to the equity holders of the parent strengthened to R26.3 million (2012  Full story

South Africa's rand traded within a few cents of the previous day's five-week highs on Tuesday and should tread in a narrow range in the absence of market-moving data.  Full story
The Costa Concordia was pulled upright off the Italian island of Giglio on Tuesday, in a tense salvage operation that revealed the damage to a once gleaming cruise liner that had lain on its side for 20 months after capsizing, killing 32 people.  Full story
The U.S. Navy on Tuesday ordered a review of security at all of its facilities as questions arose about how a former serviceman with a history of violence and mental illness received clearance to work at a base where he killed 12 people before police shot him dead.  Full story
Bangladesh's Supreme Court sentenced an Islamist leader to death for war crimes on Tuesday, overturning a life sentence imposed by a tribunal, triggering outrage from his lawyers and protests from his supporters.  Full story
U.S. stocks rose on Tuesday on expectations the Federal Reserve will make only modest changes to a monetary policy that has been highly. . .  Full story
Auto stocks dragged European shares off a five-year high on Tuesday when data showing a drop in car sales last month doused recent. . .  Full story
The dollar retreated and global equity markets were mostly flat on Tuesday even though Wall Street advanced, just ahead of the start of. . .  Full story
Britain's top share index fell off 1-1/2 month highs, with Lloyds bank among the worst stocks, while traders held off adding to positions. . .  Full story

Gold eased to around $1,310 an ounce on Tuesday on prospects that the U.S. Federal Reserve will announce a modest reduction in its. . .  Full story
U.S. stocks edged up at the open on Tuesday ahead of the start of a highly anticipated Federal Reserve two-day meeting, while inflation. . .  Full story
European shares edged lower on Tuesday, pressured by weakness in carmakers following a fall in demand for autos last month, but the market. . .  Full story
Hong Kong shares slipped from a 17-week high on Tuesday, led by financial counters as turnover dropped ahead of the two-day meeting at. . .  Full story
SA Business
South African dairy and beverages maker Clover reported a slight rise in full-year earnings on Tuesday, lifted by higher selling prices, and said it plans to launch new products and enter new markets to boost growth.. . .  Full story
Tanzania's current account deficit widened 4.3 percent to $4.23 billion in the year to July following a decline in receipts of aid and loans, its central bank said on Monday.. . .  Full story

Kenya plans to streamline its income and excise taxes and broaden the tax base to improve efficiency and generate more revenues, its finance minister said on Tuesday.. . .  Full story
Employment in South Africa's non-agriculture sector dipped 0.3 percent in the second quarter of this year to 8.437 million people compared with the previous three months, but edged up 0.1 percent. . .  Full story
South African investment bank and asset manager Investec plans to cut 70 jobs from its Australian operation, its chief executive said on Tuesday.. . .  Full story
Company News
At the general meetings of Investec Ltd. and Investec plc held on the 9 July 2013 shareholders approved the creation of. . .  Full story
Phumelela announced that it expects headline earnings per share and basic earnings per share for the twelve months ended 31 July. . .  Full story
Shareholders were advised that, at the annual general meeting of Keaton held at The Michelangelo Hotel, Nelson Mandela Square, West Street,. . .  Full story
Rockwell announced that it has recovered four rough diamonds each exceeding 100 carats in weight, from its operations in the Middle. . .  Full story

Shareholders were referred to the previous cautionary announcements, the last of which was dated 22 August 2013, and were advised that the contents referred to therein have ceased to have any. . .  Full story
Investec plc is today, 17 September 2013, hosting an investor pre-close briefing at 9:00 (BST time) (10:00 South African time) which will focus on developments within the group's core business areas. . .  Full story
Resgen has signed a share subscription agreement with Blumont Group Ltd. ("Blumont") (SGX: A33) for the issue of shares to Blumont representing 15% of Resgen's expanded capital base. The issue of. . .  Full story
Company Results
Revenue increased to R801.7 million (R636.2 million). Gross profit rose to R167.3 million (R127.2 million) and operating profit before interest improved. . .  Full story
A net attributable loss of R94.4 million (profit of R4 million) was made. In addition, a headline loss per share of. . .  Full story
Revenue for the year ended 30 June 2013 shot up to R8 billion (2012: R7.2 billion). Gross profit rose to R2.2. . .  Full story
Operating loss was recorded at R52.4 million (2012: profit of R77.7 million), while loss attributable to owners of the parent. . .  Full story
World Markets (Spot Prices)
NameTimeRPMove% Move
JSE Overall17:0043762.87167.950.39%
JSE Top 4017:0039174.83114.600.29%
JSE Gold17:001193.6714.241.21%
JSE Financial17:0031518.74213.150.68%
JSE Industrial17:0057704.49319.990.56%
JSE Indust 2517:0050577.50256.690.51%
JSE Resource17:0049783.93-108.96-0.22%
DJ Futures19:5815485.0054.000.35%
DJ Ind19:5815542.3247.540.31%
SP 50019:581704.897.290.43%
FTSE 10017:356570.17-52.69-0.80%
All Ords08:435245.203.500.07%
NZSE 5007:504698.034.410.09%
NameTimeRPMove% Move
Gold $19:591312.19-.010.00%
Gold R19:5912851.50-10.81-0.08%
Gold R/kg19:58413299-3922-0.94%
Silver $19:5921.7600.03400.16%
Platinum $19:591424.50-10.00-0.70%
Palladium $19:59703.251.050.15%
Brent Crude19:58107.75-5.03-4.46%
Rand / Dollar19:599.7961-0.0060-0.06%
Rand / Pound19:5515.5555-0.0121-0.08%
Rand / Euro19:5513.08700.00380.03%
Rand / NZD19:598.07590.06370.80%
Rand / AUD19:559.16640.02130.23%
Yen / Dollar19:5999.19500.10300.10%
Euro / Dollar19:590.7486-0.0014-0.19%
Dollar / Euro19:591.33600.00250.19%
Pound / Dollar19:550.6283-0.0005-0.08%

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 DIGICOR  1391411.20.%443012
2 ROCKWELL  3003011.11.%131649
3 PAN-AF  2392310.65.%3273294
4 DIAMONDCP  125108.70.%30000
5 S-OCEAN  150117.91.%5000
6 PSG  76394956.93.%48340
7 ROLFES  575356.48.%96147
8 SYNERGY-A  1010606.32.%15000
9 BRIMSTON  1350755.88.%9000
10 NET1UEPS  129996995.68.%217
11 FAIRVEST  14775.00.%828
12 SAPPI  26661264.96.%1939133
13 BARWORLD  98104104.36.%1112494
14 PUTPROP  670284.36.%1266
15 GOLDONE  19384.32.%20563
16 YORK  370154.23.%252
17 NICTUS  13054.00.%874
18 SIBANYE  1169393.45.%1569021
19 PIKWIK  1855553.06.%212966
20 PNR-FOODS  84282282.78.%84021

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Major Moves Down
SharenameSaleMove% MoveVolume
1 VUNANI  131-44-25.14.%2620
2 ADAPTIT  320-25-7.25.%535230
3 DAWN  975-49-4.79.%673611
4 METMAR  141-7-4.73.%1255
5 HULAMIN  462-21-4.35.%148725
6 PALLINGHT  236-9-3.67.%206177
7 ASCEN B  231-8-3.35.%65669
8 INVPLC  6650-225-3.27.%2580639
9 INVLTD  6700-211-3.05.%1195317
10 NIVEUS  1650-50-2.94.%1861
11 EQSTRA  840-25-2.89.%1200340
12 INTEWASTE  105-3-2.78.%96850
13 CBH  330-9-2.65.%42500
14 METROFILE  496-13-2.55.%12989
15 SPURCORP  3101-79-2.48.%142324
16 INVPROP  1520-38-2.44.%212262
17 BOWCALF  805-20-2.42.%13195
18 HOSP-B  440-10-2.22.%100000
19 FINBOND  147-3-2.00.%97255
20 PHUMELELA  1480-30-1.99.%924324

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New Highs
SharenameSaleHighMove% MoveVolume
1 PSG  763976394956.93.%48340
2 NET1UEPS  12999129996995.68.%217
3 PNR-FOODS  842886302282.78.%84021
4 LONFIN  400400102.56.%1621
5 RMBH  460046001052.34.%1013433
6 PALAMIN  115831159980.07.%9315
7 EQSTRA  840870-25-2.89.%1200340
8 DAWN  9751027-49-4.79.%673611

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New Lows
SharenameSaleLowMove% MoveVolume

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Index Summary
Index NameRPMove% Move
Top 4039,174.83114.600.29%
Mid Cap57,526.16558.190.98%
Small Cap47,202.68101.080.21%
Resource 2049,783.93-108.96-0.22%
Industrial 2550,577.50256.690.51%
Financial 1511,928.6794.520.80%
Financial & Ind. 3053,400.23279.050.53%
All Share43,762.87167.950.39%
Oil & Gas 36,198.17-41.62-0.11%
Mining 30,215.59-52.14-0.17%
Gold Mining1,193.6714.241.21%
Platinum Mining49.69.240.49%
GENERAL MINING8,701.75-40.10-0.46%
Oil & Gas Producers 19,463.09-22.38-0.11%
Basic Materials 26,873.09-29.37-0.11%
Chemicals 22,653.5279.960.35%
Forestry & Paper 27,801.9272.950.26%
Industrial Metals 25,087.25188.450.76%
Industrials 43,162.47320.630.75%
General Industrials
Consumer Goods 52,848.6932.370.06%
Automobiles & Parts 7,576.8813.590.18%
Household Goods228.0400.00%
Health Care 75,430.28327.530.44%
Beverages 170.21.450.27%
Index NameRPMove% Move
Food Producers 71,005.48914.561.30%
Personal Goods 974.99-6.09-0.62%
Consumer Services 10,277.52145.031.43%
General Retailers 64,032.46962.701.53%
Travel & Leisure 5,573.5811.660.21%
Media 208.983.571.74%
Support Services 2,596.41-11.85-0.45%
Telecommunications 9,047.7045.240.50%
Financials 31,518.74213.150.68%
Banks 54,448.89826.751.54%
Non-life Insurance 49,257.86171.000.35%
Life Insurance 29,977.74222.800.75%
General Financial 2,871.00-41.93-1.44%
Technology 43,457.0560.440.14%
SHARIAH TOP40 3,694.52-2-0.06%
FTSE/JSE SHARIAH ALL3,810.5950.12%
COAL MINING21,267.344282.05%
FTSE JSE Fledgling 5,777.25-6-0.10%
FTSE/JSE Alt X 1,002.12-3-0.26%
RESOURCE 27,231.48-44-0.16%
DIVIDEND PLUS213.3320.73%
FTSE/JSE RAFI 408,623.49330.38%
Capped Top 4020,737.89700.34%
Capped All Share22,164.55890.40%
JSE TABACO 6,714.97210.32%

Click here for the Sharenet Index Summary page
Latest Consensus Changes**
CodeCompany NameStatusUpdated
Results Expected**
ExpectedCompany NameFin. Date
18/09/2013CASHBILJune 2013 (Final)
18/09/2013JASCOJune 2013 (Final)
18/09/2013JASCOPJune 2013 (Final)
18/09/2013KGMEDIAJune 2013 (Final)
18/09/2013PUTPROPJune 2013 (Final)

Recent Dividends**
Share NameDec-DateLDTPay-DateAmount
ROLFES16/09/1311/10/1321/10/13ZAR 0.0500
ROCKCASTLE13/09/1304/10/1314/10/13USD 0.0400
DAWN12/09/1322/11/1302/12/13ZAR 0.1650
SIBANYE12/09/1327/09/1307/10/13ZAR 0.3700
RMIH12/09/1304/10/1314/10/13ZAR 0.5500
Ex Div**
Share NameDec-DateLDTPay-DateAmount
DSY B PREF30/08/1313/09/1323/09/13ZAR 4.2151
BIDVEST26/08/1313/09/1323/09/13ZAR 3.9600
NASPERS-N25/06/1313/09/1323/09/13ZAR 3.8500
CAPITEC-P30/08/1313/09/1323/09/13ZAR 3.5706
ASSORE28/08/1313/09/1323/09/13ZAR 3.5000

Upcoming AGMs**
CodeCompany NameDateStatus
KEHKeaton Energy Holdings Ltd.17/09/2013Confirmed
MIXMiX Telematics Ltd.19/09/2013Confirmed
PSVPSV Holdings Ltd.20/09/2013Confirmed
VLEValue Group Ltd.23/09/2013Confirmed
ANPAnnuity Properties Ltd.23/09/2013Confirmed

Stock Exchange News Service
17/09/201317:30INVESTEC PLC - Long-Term Incentive Awards of Investec plc Ordinary Shares
17/09/201317:23FIRSTRAND LIMITED - Dealings in securities by directors and company secretary
17/09/201317:15TOWER PROPERTY FUND LIMITED - TRP121: Notification of disposal and acquisition o...
17/09/201317:15ANGLOGOLD ASHANTI LIMITED - Conversion of Mandatory Convertible Bonds
17/09/201316:50THE SPAR GROUP LIMITED - Dealing In Securities By The Spar Group Limited Employe...
17/09/201316:15IMPERIAL HOLDINGS LIMITED - Vesting of Rights and Shares in Terms of Share Incen...
17/09/201316:00INVESTEC PLC - Issue of Class ILRP1 Redeemable Cumulative Non-participating Pref...
17/09/201315:55PHUMELELA GAMING & LEISURE LIMITED - Trading Statement
17/09/201315:34PINNACLE TECHNOLOGY HOLDINGS LTD - Dealing in securities
17/09/201315:04KEATON ENERGY HOLDINGS LIMITED - Results of the annual general meeting
17/09/201314:45PETMIN LIMITED - Industrial action at Petmins Somkhele Anthracite Mine
17/09/201314:30ROCKWELL DIAMONDS INCORPORATED - Recovery of four rough diamonds exceeding 100 c...
17/09/201314:00THE STANDARD BANK OF SA LTD - The Standard Bank of South Africa Limited - New Fi...
17/09/201313:55INGUZA INVESTMENTS (RF) LIMITED - Interest Rate Reset - ING217
17/09/201313:55INGUZA INVESTMENTS (RF) LIMITED - Full Capital Redemption - ING206
17/09/201313:46CLOVER INDUSTRIES LIMITED - Summarised audited consolidated financial statements...
17/09/201313:45CLOVER INDUSTRIES LIMITED - CANCELLATION OF S336419 Summarised audited consolida...
17/09/201313:35HOSKEN CONSOLIDATED INVESTMENTS LTD - Grant and acceptance of Options
17/09/201313:15ALERT STEEL HOLDINGS LIMITED - Specific issue circular posted and renewal of cau...
17/09/201313:00THE SPAR GROUP LIMITED - Dealings In Securities By An Associate Of A Director
17/09/201313:00LONDON FINANCE AND INVEST. GRP PLC - Shareholder movement in shares
17/09/201312:43MURRAY & ROBERTS HOLDINGS LIMITED - Trading of Murray & Roberts ordinary shares ...
17/09/201312:38MORVEST BUSINESS GROUP LIMITED - Withdrawal of cautionary announcement
17/09/201312:30SABMILLER PLC - SABMillers Chinese joint venture completes acquisition of Kingwa...
17/09/201312:24GROWTHPOINT PROPERTIES LIMITED - GRT04 - Interest Rate Reset
17/09/201312:00PPC LIMITED - Dealing in Securities by the Chief Executive Director (CEO) of PPC
17/09/201311:51AFRICAN BANK INVESTMENTS LIMITED - Change to the board of directors and board co...
17/09/201311:40OANDO PLC - Oando PLC Responds to False Allegations Regarding Jailed Ex-Governor
17/09/201311:39OANDO PLC - CANCELLATION OF S336443 Oando Responds to False Allegations Regardin...
17/09/201311:32CHEMICAL SPECIALITIES LIMITED - Dealing in Securities by a Director
17/09/201311:25INDWA INVESTMENTS LIMITED - New Instrument Listing - INA350
17/09/201311:24SYNTHESIS FUNDING LIMITED - Synthesis Funding Limited - New Financial Instrument...
17/09/201311:15TRADEHOLD LIMITED - Appointment of sponsor
17/09/201311:02OANDO PLC - Oando Plc signs agreement to acquire Conocophillips Nigerian affilia...
17/09/201310:20STANDARD BANK OF SOUTH AFRICA LD - SCIB: The Standard Bank Of South Africa Limit...
17/09/201310:02M & S HOLDINGS LIMITED - Reviewed condensed consolidated results for the year en...
17/09/201309:41OANDO PLC - Oando Responds to False Allegations Regarding Jailed Ex-Governor
17/09/201309:35NEW GOLD ISSUER LIMITED - GLD - Partial de-listing of NewGold Debentures
17/09/201309:30INVESTEC PLC - Investec (comprising Investec plc and Investec Limited) pre-clos...
17/09/201309:30NEW GOLD ISSUER LIMITED - NGPLT - Listing of additional NewGold Platinum Debentu...
17/09/201309:25RESOURCE GENERATION LIMITED - Blumont to acquire 15% of Resource Generation
17/09/201309:20MAURITIUS COMMERCIAL BANK LIMITED - Interest Rate Reset - MCB3M, MCB4M and MCB5M
17/09/201309:00CASHBUILD LIMITED - Audited annual results and dividend declaration - June 2013
17/09/201309:00GIYANI GOLD CORPORATION - Giyani Gold Corp. Extends Investor Relations Contracts
17/09/201308:00PAN AFRICAN RESOURCES PLC - Provisional audited results for the year ended 30 Ju...
17/09/201308:00SATRIX COLLECTIVE INVESTMENT SCHEME - Listing of additional Satrix 40 securities...
17/09/201307:48AFRICAN DAWN CAPITAL LIMITED - Cancellation of S122 announcement
17/09/201307:10TIMES MEDIA GROUP LIMITED - Category 2 transaction announcement: Acquisition of ...
17/09/201307:05BRITISH AMERICAN TOBACCO PLC - Transaction in own shares
17/09/201307:05CLOVER INDUSTRIES LIMITED - Summarised audited consolidated financial statements...
17/09/201307:05SILVERBRIDGE HOLDINGS LIMITED - Abridged Group Audited Results For The Year Ende...
17/09/201307:05SACOIL HOLDINGS LIMITED - Audited results for the year ended 28 February 2013

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