Investing in a low-interest-rate environment

Interest rates are low, but rising. You don’t earn a real return on cash in the bank, bonds look expensive, or risky, and property valuations are similarly inflated. Equities offer the best bet for real returns, but there are risks to many industries as the economic cycle swings around and rates begin rising. Navigating all … Read more

Corruption and the state – stop passing the buck

Talking about corruption is tricky. Look at the interview below. When a government official is asked about the issue, he or she is quick to say that it takes two to tango and that the private sector is culpable. When a private sector corruption investigator is asked about the issue, he or she is quick … Read more

Adcock Ingram, Hulamin, Aspen and more: Expert analysis from David Shapiro

In order to succeed in the stock markets, you have to be able to assess how news will affect the various companies available for investment. Few are better at accurately analysing South African shares than David Shapiro, deputy chairman of Sasfin Securities. David is, I reckon, at his best when he is dissecting the Johannesburg … Read more

Simplifying Budget 2014: What foreigners will read from Pravin’s speech

It’s always important to pay attention to the way people elsewhere in the world will regard South Africa’s National Budget. As this Reuters piece is likely to be widely republished, it provides a useful insight into what foreigners will absorb. As always, Reuters is clear and balanced and its headline: “SA Government cuts Budget deficits … Read more

Simplifying Budget 2014: Fiscal conservativism to continue, Rand rebound justified

It’s easy to get distracted by all of the detail in the trillion rand plus Budget delivered today to Parliament by Pravin Gordhan. But the key numbers show despite this being an Election Year, feared populism has not materialised. Quite the contrary. Indeed, Treasury’s projections for the next three years reflect serious fiscal conservatism. Little … Read more

Pravin Gordhan’s 2014 Budget Speech in full

Pravin Gordhan kicked off just after 2pm. Here is the full Budget Speech as presented to Parliament. You can download all the detail at a special section of the Treasury’s website by clicking here.   – AH 2014 National Budget Address by Finance Minister Pravin Gordhan:  I have the honour to present the fifth and … Read more

US stockbrokers pull out of analyst surveys

By Karen Freifeld and Chris Peters of Reuters Feb 26 (Reuters) – Eighteen brokerages, including Goldman Sachs, JPMorgan Chase, and Citigroup, agreed to end their participation in analyst survey programs as a result of the New York Attorney General’s investigation into the early release of Wall Street analyst sentiment. The agreement with the New York Attorney General Eric Schneiderman’s … Read more