September’s most-read articles have a strong equity focus. First we have a post about the new listing of African Rainbow Capital, an investment company intended to boost black participants in the economy - the brainchild of billionaire Patrice Motsepe, Johan van der Merwe, and former Chief Executive Officer of Sanlam, Johan van Zyl. Then there’s a look at STAR, another newly listed company that is a result of the Steinhoff unbundling, and which is predominantly made up of the stalwart Pep and Ackermans brands. Sharenet Analytics then present us with not one, but two lists of the most popular stocks held by fund managers - mid-caps as well as large caps. If you’ve ever wanted to ’copy the smart kid’s answers’ where equities are concerned - this post is a winner!
Away from equities, the Western Cape drought was the topic of the second most-popular post this month. Dwaine van Vuuren reviews the Climate System Analysis Group (CSAG)’s statistical analysis of the drought, and extracts the essential points to highlight just how serious this drought really is.
Finally we return to the investment arena with an investigation into the success of Bitcoin miners compared to those just holding Bitcoin. Dwaine explains what you need to know, and how to manage your expectations, before you enter into this often risky - but potentially very lucrative - investment.
#1: African Rainbow Capital: Listing On JSE Today
Summary: Info about the listing of African Rainbow Capital on the JSE main board.
Key quote: "Up to R4.0 billion of primary capital will be raised through 223,147,060 ordinary shares at a price of R8.50 per share, which represents 22.45% of the shares at listing."
#2: 2-Year Cape Rainfall 1-in-1,100 Year Event
Summary: A look at the shocking statistics behind the Western Cape’s terrible drought.
Key quote: "1,500 new families are piling into the Western Cape each month. [Water] demand is going up and not down. These low rainfall patterns coupled with emigration to the Cape are a new narrative we’re going to have to learn to live with."
#3: Bitcoin Miners Are Absolutely Killing It
Summary: With just an incremental bit of knowledge, effort and patience, Bitcoin mining can absolutely kill the Bitcoin buy-and-hold strategy.
Key quote: "If you acknowledge the risks, are armed with the knowledge of the small handful of legitimate, profitable providers, and are versed in a few techniques about the best time to buy and sell, you can see it can be very rewarding. Not just once, either - but five times out of six."
#4: STAR: What The Steinhoff Unbundling Means For Shareholders
Summary: An explanation of what the unbundling means for Steinhoff and Shoprite shareholders.
Key quote: "Steinhoff will own 51% voting rights of Steinhoff African Retail Assets (STAR) and Star will own 51% of Shoprite Holdings Ltd, so ultimately Steinhoff owns Shoprite and Christo Wiese got what he always wanted, to consolidate his interests."
#5: Fund Managers’ Top 10 Most Popular Stocks
Summary: A look at the top ten equities that fund managers most often hold in their portfolios.
Key quote: "Something to note from the identified lists of shares is to not get caught up in purely sticking to large-cap stocks."
Natalie Mayer is an independent writer and editor with 12 years’ experience. She has a B.Com in Economics (UCT) and a Master’s in Sustainable Development (University of Stellenbosch) and has worked for a number of high-profile clients, such as the United Nations Educational, Scientific and Cultural Organization (UNESCO), Nedbank, the Sustainability Institute, Counterpoint Asset Management, Pearson Education, and of course, Sharenet - to name a few. Natalie has written and edited research papers, textbooks, print and online articles, and website content on a vast array of topics, including finance and money matters, education, property, social and environmental issues. She is passionate about communication that meets the needs of the audience, and her particular strength is to bring clarity to text.