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 The Sharenet Daily 
Tuesday, 26 May 2015 - 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)


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Human & Financial Capital

I was involved in a very interesting discussion with a client in the past week regarding the future value of assets and the role this plays your existing investment portfolio. Most advisers would (or at least should) take great care in estimating the future value of an investment portfolio in order to plan for a client’s retirement. There are an innumerable number of calculation methods and tools available to assist clients in this very important part of their lives.

It is a well-known fact that any shortfalls in the current level of your assets need to be covered with an insurance policy. The capital shortfall to cover your dependants is made up with a life insurance policy while your future earnings can be insured with an income protection policy. There are definitely many more uses for broader life insurance products but for the topic of discussion the above will suffice. With the above 2 products we insure very real assets, albeit assets we would only realise in the future.

What this means is that most individuals have a very constant total level of wealth throughout their lifetime, your total capital. Your total capital is made up by your Financial capital (the assets already accumulated) and Human capital (the assets that you will still earn/procure over the course of your life). The 2 pools of capital are interlinked and both should be regarded with equal diligence.

Below is a graphic illustration of how the real levels of Human and Financial capital change over time:

Note the Total capital remains unchanged throughout the measured time period, as it is the sum of Human and Financial capital.

The most daring assumption in the above graph, and consequently the topic of discussion, is the fact that contributions are made and increased consistently and without interruptions. This may be a realistic assumption for someone employed with the same company throughout their career following a linear path to the top. For such an investor, the Human capital is very predictable and stable, it is also fully absorbed into Financial capital. Although not a realistic assumption it is nigh impossible to account for potential future losses in your Human capital portfolio.

The more predictable your Human capital over time the more risk you can allow in your Financial capital. If your Human capital is volatile, think of an entrepreneur or an individual remunerated largely with performance bonuses, you cannot quite allow for the same measure of risk in the Financial portfolio. These individuals face a risk that the Human capital is not fully absorbed into Financial capital. The converse is also true that they might end up with more Financial capital than estimated.

Incorporating the profile of your Human capital into longer term planning goes a long way in helping investors reach their goals. If the value of your Human capital is not predictable over time you may be required to delve into your Financial capital at some stage. This means that not all of your assets can be invested into a growth oriented strategy, regardless of your age or willingness to assume risk, as an untimely redemption out of a growth strategy can lead an investor to sustain losses.

I concluded the discussion with the statement that an investment portfolio can contain a certain amount of risk in both your Financial and Human capital. The riskier your Human capital the less risk you can take up in your Financial capital and vice versa.

We, at Seed, take great care to be cognisant of the various factors important in effectively managing our clients’ assets. We also understand that each client has unique circumstances that requires thorough and diligent consideration.

Kind regards,

Stefan Keeve

Tue, 26 May 2015
Top News
[IMAGE]
South Africa's rand slipped to a two-week low on Tuesday, weighed down by poor domestic data while the dollar stretched recent gains.  Full story

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Local markets There were losses across the board for the JSE on Tuesday, with resources and gold mining shares leading the downward slide. The All Share ended 1.89% down.  Full story
A 14-year-old boy from Austria who downloaded bomb-making plans onto his Playstation games console was sentenced to a two-year jail term on Tuesday after pleading guilty to terrorism charges, a court spokeswoman said.  Full story
Iraq's Shi'ite paramilitaries said on Tuesday they had taken charge of the campaign to drive Islamic State from the western province of Anbar, giving the operation an openly sectarian codename that could infuriate its Sunni Muslim population.  Full story
Malaysian police forensic teams, digging with hoes and shovels,  Full story
 
Markets
The U.S. dollar rallied on Tuesday after a string of healthy economic data boosted near-term rate hike prospects, while Greece's financial crisis and signs. . .  Full story
Gold dipped almost 2 percent on Tuesday as the dollar extended gains following a raft of strong U.S. data and recent comments from. . .  Full story
Hong Kong shares flirted with seven-year highs on Tuesday, as investors returning from Monday's holiday piled into stocks after Beijing's newly-unveiled cross-border investment scheme. . .  Full story
China stocks rose again on Tuesday to another seven-year high, with tech stocks returning to investors' favour on fresh signs of government support.. . .  Full story

Australian shares jumped to a three-week peak on Tuesday, after a rebound in iron ore prices prompted investors to buy battered resource stocks,. . .  Full story
Japanese stocks edged up in a choppy session on Tuesday, with the eighth day of gains underpinned by optimism about the economy's recovery.. . .  Full story
Gold prices rose sightly on Monday, even as the dollar gained traction against major currency rivals on signs the U.S. Federal Reserve is. . .  Full story
European shares fell in thin trade on Monday while the dollar powered ahead after U.S. Federal Reserve Chair Janet Yellen indicated that the. . .  Full story
SA Business
South Africa lifted its 2015 maize output by 0.8 percent to 9.84 million tonnes due to better-than-expected yield survey results in. . .  Full story
South African packaging manufacturer Nampak posted an 8 percent fall in half-year earnings on Tuesday largely due to its loss-making glass. . .  Full story
South Africa's economy grew below forecasts in the first quarter of this year as the unemployment rate rose, data showed on. . .  Full story
South Africa's unemployment rate rose to 26.4 percent of the labour force in the first quarter of 2015 from 24.3 percent. . .  Full story

UK-based economic advisory firm Oxford Economics will take a majority stake in South African consultancy NKC Independent Economists, the two companies. . .  Full story
South Africa's financial services firm Alexander Forbes Group said on Tuesday it expects improved full-year earnings after a capital restructuring and. . .  Full story
There's a high likelihood that South Africa's central bank will increase interest rates at its next few meetings, one of its. . .  Full story
The South African central bank is conducting a review on foreign exchange trading, its deputy governor Kuben Naidoo said on Tuesday,. . .  Full story

The South African central bank's leading business cycle indicator fell 0.2 percent month-on-month in March, weighed down by a drop in the number of residential building plans passed and a decline in the dollar-based export commodity price index.. . .  Full story
Company News
The directors of Orion announced the appointment of Mr David Andre as an Independent Non-executive Director to the Board of the. . .  Full story
Application was made to the JSE Ltd. (˘JSE÷) for the listing of 128 670 Redeemable Preference Shares as Class ILRP2 Redeemable. . .  Full story
Intu (the ˘company÷) announces that a total of 16,071,625 new ordinary shares of GBP50 pence each in the capital of the. . .  Full story
Tongaat Hulett announced the appointment of Dr Tomaz Augusto Salompo as an independent non-executive director to the Board, with effect from. . .  Full story

Shareholders of CSG (˘Shareholders÷) are referred to the announcement published by the company on the Stock Exchange News Service of the JSE Ltd. (˘JSE÷) dated 13 March 2015 (˘the Announcement÷). Further to the publication of the Announcement and in accordance with paragraph 3.59 of the JSE Listings Requirements, Shareholders are hereby advised that Ms Mathukana Mokoka (˘Ms Mokoka÷) has been appointed as an independent non-executive director of the company and as member of the compan. . .  Full story
Company Results
Revenue for the year increased by 16% to R3.283 billion (2014: R2.826 billion). Gross profit rose by 18% to R1.451 billion. . .  Full story
Revenue for the year increased to R13 266.5 billion (2014: R13 190.1 billion). Operating profit decreased by 12.3% to R1 655.1. . .  Full story
The following results are the company's maiden interim results. Revenue for the year came in at R1.3 billion. Gross profit was. . .  Full story
Revenue for the year increased to R16.2 billion (2014: R15.7 billion). Operating profit lowered to R2.1 billion (2014: R2.4 billion), while. . .  Full story
World Markets (Spot Prices)
NameTimeRPMove% Move
JSE Overall17:0052963.39-1022.27-1.89%
JSE Top 4017:0046916.48-928.29-1.94%
JSE Gold17:001084.22-22.39-2.02%
JSE Financial17:0045012.27-860.91-1.88%
JSE Industrial17:0075490.87-1280.32-1.67%
JSE Indust 2517:0067171.45-1108.71-1.62%
JSE Resource17:0041738.97-1297.62-3.02%
DJ Futures19:5817981.00-293.39-1.61%
DJ Ind19:5818006.14-225.88-1.24%
SP 50019:582101.70-24.36-1.15%
Nasdaq19:585025.12-64.24-1.26%
FTSE 10017:356948.99-82.73-1.18%
DAX18:0811625.13-189.88-1.61%
CAC4018:085083.54-33.63-0.66%
Nikkei08:2820437.4823.710.12%
Shanghai09:284910.9097.102.02%
Hang-Seng06:2828391.63398.801.42%
All Ords08:365770.4050.500.88%
NZSE 5007:285795.86.880.02%
NameTimeRPMove% Move
Gold $19:591187.02-19.77-1.64%
Gold R19:5814352.52-37.13-0.26%
Gold R/kg19:58461292-157-0.03%
Silver $19:5916.7470-.3460-2.02%
Platinum $19:591123.36-23.64-2.06%
Palladium $19:59781.48-6.02-0.76%
R18616:558.16.030.37%
R20416:557.46.091.15%
R20716:557.69.070.85%
Brent Crude19:5863.42-1.95-2.98%
USD / ZAR19:5912.09020.16511.38%
GBP / ZAR19:5518.57660.15290.83%
EUR/ ZAR19:5513.14380.04730.36%
NZD/ ZAR19:588.75150.03430.39%
AUD / ZAR19:559.36180.02490.27%
USD / JPY19:59122.95501.42601.17%
EUR / USD19:591.0873-0.0106-0.97%
GBP / USD19:591.5396-0.0074-0.48%

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The JSE Today

Trading Statistics
DateAdv.Decl.Unch.ActivesVolumeValueTradesOrders
26/05/20159028046416266,271,433R17,910,415,1392389271933035
25/05/201516018369412118,313,991R6,076,475,37399520223897
22/05/201517416969412221,120,563R15,291,625,024206330102927
21/05/201516117759397225,853,420R14,217,948,3992212131794971
20/05/201515519261408229,407,303R15,433,156,9702260401889595
* Includes all listed instruments on the JSE
Major Moves Up
SharenameSaleMove% MoveVolume
1 BASREAD  3724212.73.%46405
2 ROCKWELL  195158.33.%200
3 SILVERB  190147.95.%17779
4 CARTRACK  965636.98.%147666
5 KIBO  12276.09.%2296
6 SEARDELN  10555.00.%10000
7 TRNSHEX  325144.50.%164812
8 SEARDEL  14553.57.%77466
9 SANTOVA  375102.74.%280205
10 PALLINGHT  380102.70.%1853507
11 DENEB  20552.50.%60000
12 ROLFES  30072.39.%34848
13 CURRO  3500802.34.%179158
14 DCENTRIX  440102.33.%93972
15 ZEDER  899202.28.%907237
16 LONMIN  2516552.23.%1243654
17 STELLAR  20342.01.%88432
18 KUMBAIO  151372851.92.%650561
19 PAN-AF  21941.86.%566018
20 Alaris  23441.74.%1127

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Major Moves Down
SharenameSaleMove% MoveVolume
1 RARE  246-54-18.00.%14995
2 THARISA  560-90-13.85.%25981
3 NAMPAK  3640-560-13.33.%5060501
4 DIAMONDCP  198-24-10.81.%80000
5 PPC  1870-145-7.20.%10566647
6 AVENG  890-65-6.81.%1689565
7 HOSP-B  210-15-6.67.%527071
8 MAZOR  140-10-6.67.%2308
9 ADVHLTH  240-15-5.88.%43448
10 ADRENNA  150-9-5.66.%55500
11 RHODES  1800-100-5.26.%130981
12 CASHBIL  28155-1345-4.56.%79872
13 TELKOM  6988-312-4.27.%1000539
14 TSOGO-SUN  2605-115-4.23.%1814603
15 CONDUIT  240-10-4.00.%82631
16 HARMONY  1736-64-3.56.%1493317
17 STEFSTOCK  680-25-3.55.%180687
18 ANGLO  19104-695-3.51.%1165820
19 OCTODEC  2560-90-3.40.%133407
20 LEWIS  9310-325-3.37.%190069

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New Highs
SharenameSaleHighMove% MoveVolume
1 CARTRACK  9651028636.98.%147666
2 ERIN  760178091011.35.%16166
3 MONDIPLCP  277902831460.02.%1681563
4 CMH  180018400.38807
5 DATATEC  66656791-35-0.52.%2026905
6 SPURCORP  39614178-59-1.47.%96841
7 WOOLIES  975910043-191-1.92.%12401979
8 LEWIS  93109845-325-3.37.%190069
9 ADRENNA  150160-9-5.66.%55500

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New Lows
SharenameSaleLowMove% MoveVolume
1 AVENG  890862-65-6.81.%1689565
2 ATLATSA  150137-5-3.23.%11645
3 ILLOVO  18501820-32-1.70.%183146
4 EXXARO  86008510-94-1.08.%436594

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Index Summary
Index NameRPMove% Move
Top 4046,916.48-928.29-1.94%
Industrial75,490.87-1280.32-1.67%
Mid Cap73,049.47-1290.26-1.74%
Small Cap61,125.49-837.33-1.35%
Resource 2041,738.97-1297.62-3.02%
Industrial 2567,171.45-1108.71-1.62%
Financial 1517,036.56-362.97-2.09%
Financial & Ind. 3072,116.93-1262.81-1.72%
All Share52,963.39-1022.27-1.89%
Oil & Gas 35,555.16-423.27-1.18%
Mining 25,221.40-752.00-2.90%
Gold Mining1,084.22-22.39-2.02%
Platinum Mining30.68-.35-1.13%
GENERAL MINING7,498.43-248.10-3.20%
Oil & Gas Producers 19,117.35-227.59-1.18%
Basic Materials 23,826.69-555.93-2.28%
Chemicals 22,625.93-289.45-1.26%
Forestry & Paper 45,762.50-138.95-0.30%
Industrial Metals 8,898.0691.771.04%
Industrials 44,910.17-1147.97-2.49%
General Industrials 157.35-4.75-2.93%
Consumer Goods 67,132.56-1153.90-1.69%
Automobiles & Parts 8,208.66-133.61-1.60%
Household Goods519.86-14-2.56%
Health Care 10,184.08-177.95-1.72%
Beverages 224.60-5.01-2.18%
Index NameRPMove% Move
Food Producers 8,631.21-168.50-1.91%
Personal Goods 1,066.78-13.88-1.28%
Consumer Services 16,359.58-275.11-1.65%
General Retailers 86,975.22-1372.96-1.55%
Travel & Leisure 6,399.40-163.69-2.49%
Media 392.90-7.33-1.83%
Support Services 2,979.32-27.21-0.91%
Telecommunications 10,772.20-186.36-1.70%
Financials 45,012.27-860.91-1.88%
Banks 79,475.79-1898.18-2.33%
Non-life Insurance 55,434.24-1161.26-2.05%
Life Insurance 42,860.84-931.95-2.13%
General Financial 4,556.30-82.75-1.78%
Technology 63,200.31-571.40-0.90%
SHARIAH TOP40 3,640.19-81-2.19%
FTSE/JSE SHARIAH ALL3,875.23-80-2.02%
COAL MINING10,871.91-119-1.08%
FTSE JSE Fledgling 6,953.96-52-0.75%
FTSE/JSE Alt X 1,345.53-13-0.93%
SA LISTED PROPERTY 635.92-1.24%
CAPPED PROPERTY 551.03-1.16%
RESOURCE 22,892.83-682-2.89%
DIVIDEND PLUS228.54-5-2.14%
FTSE/JSE RAFI 409,884.67-208-2.06%
Capped Top 4025,041.31-494-1.94%
Capped All Share26,863.99-519-1.89%
JSE TABACO 8,529.48-18-0.21%

Click here for the Sharenet Index Summary page
Latest Consensus Changes**
CodeCompany NameStatusUpdated
GFIGOLD FIELDS LIMITEDHOLD25/05/2015
BILBHP BILLITON PLCBUY22/05/2015
REIREINET INVESTMENTS SCABUY21/05/2015
TBSTIGER BRANDS LTDBUY21/05/2015
SPPTHE SPAR GROUP LTDBUY21/05/2015
Results Expected**
ExpectedCompany NameFin. Date
27/05/2015CULINAN5.5March 2015 (Interim)
27/05/2015CULINANPRMarch 2015 (Interim)
27/05/2015CULLINANMarch 2015 (Interim)
27/05/2015CULPREF3March 2015 (Interim)
27/05/2015LEWISMarch 2015 (Final)

Recent Dividends**
Share NameDec-DateLDTPay-DateAmount
ILLOVO25/05/1526/06/1506/07/15ZAR 0.5300
TONGAAT25/05/1511/06/1525/06/15ZAR 2.1000
FAMBRANDS25/05/1503/07/1513/07/15ZAR 2.0000
VERIMARK25/05/1511/06/1522/06/15ZAR 0.0522
ECSP C225/05/1505/06/1515/06/15ZAR 1.0164
Ex Div**
Share NameDec-DateLDTPay-DateAmount
AECI24/02/1522/05/1501/06/15ZAR 3.7500
OCTODEC04/05/1522/05/1501/06/15ZAR 0.9680
REDEFINE07/05/1522/05/1501/06/15ZAR 0.3900
TRADEHOLD PREF08/05/1522/05/1501/06/15ZAR 0.1756
LODESTONE06/05/1522/05/1501/06/15ZAR 0.1299

Upcoming AGMs**
CodeCompany NameDateStatus
EXXExxaro Resources Ltd.26/05/2015Confirmed
ZSAZurich Insurance Company South Africa Lt...27/05/2015Confirmed
ACLArcelorMittal South Africa Ltd.27/05/2015Confirmed
MLAPArcelorMittal South Africa Ltd.27/05/2015Confirmed
GNDGrindrod Ltd.27/05/2015Confirmed

Stock Exchange News Service
DateTimeHeadline
26/05/201517:45ATTACQ LIMITED - Dealings in securities by an associate of a director of Attacq
26/05/201516:45NEDBANK LIMITED - DMTN programme increase notice
26/05/201516:45CHROMETCO LIMITED - Resignation of Financial Director
26/05/201516:30THE THEKWINI WAREHOUSING CONDUIT (RF) LIMITED - New Financial Instrument Listing...
26/05/201516:30THE THEKWINI WAREHOUSING CONDUIT (RF) LIMITED - New Financial Instrument Listing...
26/05/201516:05BASIL READ HOLDINGS LIMITED - Integrated report and notice of annual general mee...
26/05/201516:05THE THEKWINI WAREHOUSING CONDUIT (RF) LIMITED - Redemption of TWC085 Notes
26/05/201516:00DATATEC LIMITED - Notification of change in a major interest in Datatec shares
26/05/201515:32SHOPRITE HOLDINGS LIMITED - Dealing in securities by director of main subsidiary
26/05/201515:30NIVEUS INVESTMENTS LTD - Acceptance of Options by a Director of a Major Subsidia...
26/05/201515:22SOVEREIGN FOOD INVESTMENTS LIMITED - Dealing in securities by a director
26/05/201515:15PSG GROUP LIMITED - Dealing in PSG Shares by an Associate of a Director
26/05/201515:15DELTA PROPERTY FUND LIMITED - Dealing in securities by an associate of a directo...
26/05/201515:14ORION REAL ESTATE LIMITED - Appointment to the Board of Directors
26/05/201514:59BIOSCIENCE BRANDS LIMITED - Renewal of Cautionary Announcement
26/05/201514:06ANCHOR GROUP LIMITED - Renewal of Cautionary Announcement
26/05/201514:04OAKBAY RESOURCES AND ENERGY LIMITED - Trading statement
26/05/201514:00OLD MUTUAL PLC - Public Opening Position Disclosure/Dealing Disclosure by a Pers...
26/05/201514:00ERIN ENERGY CORPORATION - Energy announces off-take and pre payment agreement
26/05/201513:50IMBALIE BEAUTY LIMITED - Trading statement
26/05/201513:50OLD MUTUAL PLC - Public Opening Position Disclosure/Dealing Disclosure by a Pers...
26/05/201513:27NAMPAK LIMITED - Unaudited group results and dividend declaration for the half y...
26/05/201513:07BLUE TITANIUM CONDUIT (RF) LIMITED - New Financial Instrument Listing: BTC046 Ta...
26/05/201512:45ADCORP HOLDINGS LIMITED - Reviewed condensed consolidated and separate provision...
26/05/201512:15LODESTONE REIT LIMITED - Acquisition of portfolio of letting enterprises, dispos...
26/05/201512:08SPANJAARD LIMITED - Resignation of Director
26/05/201512:00INVESTEC PLC - Investec Limited: Further Issue of Class ILRP2 Redeemable, Cumula...
26/05/201512:00OLD MUTUAL PLC - Public Opening Position Disclosure/Dealing Disclosure by a Pers...
26/05/201511:45JUBILEE PLATINUM PLC - Platinum surface processing gaining momentum and issue of...
26/05/201511:20CURRO HOLDINGS LIMITED - Interest Rate Reset Announcement - COH001
26/05/201511:14SOVEREIGN FOOD INVESTMENTS LIMITED - Notice of an acquisition of a beneficial in...
26/05/201510:30INTU PROPERTIES PLC - Scrip Dividend Application for Listing of Shares
26/05/201510:25COMAIR LIMITED - Disclosure of significant holdings of Comair ordinary shares an...
26/05/201510:20THE SPAR GROUP LIMITED - Dealing in securities by the SPAR Group Limited Employe...
26/05/201510:15TONGAAT HULETT LIMITED - Appointment of an independent non-executive director
26/05/201510:00THE DB X-TRACKER COL INVEST SCHEME - Listing of Additional Securities - DBXEU
26/05/201510:00HOLDSPORT LIMITED - TRP 121: Notification of disposal of beneficial interest in ...
26/05/201509:40CSG HOLDINGS LIMITED - Change to the Board of Directors Appointment of Independ...
26/05/201509:10TAWANA RESOURCES NL - Result of Annual General Meeitng
26/05/201509:00RESILIENT PROPERTY INCOME FUND LTD - Rights offer finalisation announcement
26/05/201509:00SOUTH32 LIMITED - Letter to shareholders
26/05/201508:45SOUTH32 LIMITED - Change of registered office and principal place of business
26/05/201508:39NEW GOLD ISSUER LIMITED - NGPLD-Additional Listing of NewGold Palladium ETF's.
26/05/201508:37VUKILE PROPERTY FUND LIMITED - Condensed audited results for the year ended 31 M...
26/05/201508:22ALEXANDER FORBES GROUP HOLDINGS LIMITED - Trading statement in respect of the ye...
26/05/201508:15TASTE HOLDINGS LIMITED - Results for the Year Ended 28 February 2015, Final Cash...
26/05/201508:00DIAMONDCORP PLC - Final results for the year ended 31 December 2014
26/05/201508:00KIBO MINING PLC - Rukwa Definitive Mining Feasibility Study: Update & Project Na...
26/05/201507:05BHP BILLITON PLC - Notice of Change of Interests - M Henry
26/05/201507:05BHP BILLITON PLC - Notice of Change of Interests - T Cutt
26/05/201507:05BHP BILLITON PLC - Notice of Change of Interests - J McAloon
26/05/201507:05BHP BILLITON PLC - Notice of Change of Interests - T Cudmore
26/05/201507:05BHP BILLITON PLC - Notice of Change of Interests - A Williams
26/05/201507:05BHP BILLITON PLC - Change of Directors Interest Notice - A Mackenzie
26/05/201507:05BHP BILLITON PLC - Notice of Change of Interests - J Wilson
26/05/201507:05BHP BILLITON PLC - Notice of Change of Interests - D Malchuk
26/05/201507:05BHP BILLITON PLC - Notice of Change of Interests - P Beaven
26/05/201507:05BHP BILLITON PLC - Notice of Change of Interests - G Healy
26/05/201507:05BHP BILLITON PLC - Notice of Change of Interests - D Dalla Valle

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