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Platinum Wealth

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  1. Platinum Wealth

    Always settle your credit card

    Great article from Bruce Whitefield, I bet your banker did not explain it to you in such clear terms: Banks love it when you don’t settle your credit card balance in full. If you owe your bank R10,000 and pay R9,999, then they are entitled – as per the small print – to charge you interest on the full R10,000 rather than the R1 that you failed to pay. It may seem iniquitous, but those are the rules. They even have a special name for people who pay the minimum amount every month on their credit card statements. They are called “revolvers”, and they are charged significant amounts of interest for extending the agreed borrowing period. That is as opposed to “transactors”, who pay the full outstanding balance monthly, having taken advantage of the reward scheme and the interest-free period made available to them. Banks are not great fans of transactors as they make lower fees and earn less interest from them. Still, the financial institution does make a percentage every time their customer uses the card, so don’t feel too bad for the bank. Source: https://www.businessinsider.co.za/beware-these-fiendish-credit-card-tricks-2018-12
  2. Platinum Wealth

    Do you own a Fitbit?

    I love this company, I bought my SO the Fitbit charge 2 a couple of months ago to help her watch her heart rate and sleep patterns during training etc. I was so impressed, I bought myself a Fitbit Charge 2 yesterday and damn is this some incredible tech packed into such a small device. For those who do not own one, it tracked your heart rate every second continuously during the day -- that is the coolest feature for me, it also counts your steps and tracks your sleep patterns which are the other main reason I bought it.
  3. Six months after publicly disclosing the onset of his early dementia, Jannie Mouton (72) has stepped away from the R54bn business he created 23 years ago. Yesterday Mouton tendered his resignation, with immediate effect, as chairman and director of the PSG Group. His typically honest resignation letter says having smoothly handed over the PSG baton, he now intends making the most of the time he has left by focusing on his health. The rest of the missive is classic Mouton highlighted by his message that South Africa remains a land of great opportunity because of “intelligent, resilient, considerate and responsible” people. He urges his now former colleagues to remember that success requires innovation, hard work, dedication and a bit of luck. And urges them to approach every challenge as an opportunity because “a negative person has never really created anything.” One of a kind, this inspirational Afrikaner who started again from scratch after being fired at 48 by the stock brokerage he started. Little did those who betrayed him realise he would go on to establish something far bigger and better. Source: Biznews
  4. The industry will not thank Momentum for its climbdown The firm has created a new policy to compensate murder victims' beneficiaries But it’s opened up a hornet's nest for itself and the sector Momentum’s about-turn on its tough life insurance policy rules shows just how wrong you can be, even when you are right. Its refusal to pay out a claim on the basis that its client had lied about an existing medical condition was absolutely correct in terms of the law, but was a deeply flawed business decision. It has had its reputation trashed in the court of public opinion and now, even though it has scrambled to clean up the mess, the damage has been done. Also, its “solution” may very well have a bevy of unforeseen circumstances not only for itself, but the industry as a whole. What’s worse is Tuesday’s apparent victory for consumerism will have the opposite effect. You can bet that insurance industry actuaries are already calculating the consequences of Momentum’s decision to compromise on payouts and will factor that into their pricing models. The already high cost of life insurance in South Africa is likely to rise even further to compensate for its decision. Momentum thought it had a cut and dried case. After all it had been rejecting claims like the one made by Denise Ganas for years. Momentum, part of JSE-listed MMI Holdings, refused to pay out Ganas after her husband Nathan was killed in a hijacking in KZN two years ago, because he lied on his application forms. Momentum has evidence of a medical diagnosis two weeks before he applied for the insurance cover. Even though his death had nothing to do with his undisclosed high blood sugar levels, the company cited this as enough reason to not pay his beneficiaries’ R2.4m claim. The matter went to the insurance ombud, who agreed with the company. What it failed to consider was that social media world is a very unforgiving place when its citizens perceive an injustice. Momentum found itself pilloried, yet stood firm. It would not make a payout. Its group CEO Hillie Meyer even went as far as saying that the easy decision would be to pay out the claim to make the problem go away, but it was taking the harder decision to not stump up the cash. The company was branded as heartless and money grabbing. It lost the PR war even before it started. It took the firm more than two days to find a way out of the mess it had created for itself, but the damage was already done. Now Momentum says because of South Africa’s considerably higher than average murder rate, it will pay out claims up to a maximum of R3m if one of its clients is killed unlawfully, even if they lied on their application forms. It seems like a decent compromise. It will apply this retrospectively meaning Denise Ganas will get her R2.4m payout, less the R50,000 the firm paid out on her husband's death (and had demanded back initially). But it may have created a rod not only for its own back, but for the industry as a whole. The firm is still trying to figure out what this means in terms of the total liability it will assume into the future. Official police statistics show 20,388 South Africans were murdered last year. Global stats reveal you have a far higher chance of being murdered in South Africa than most other places on the planet. At 35.8 murders per 100,000 of the population, South Africa’s murder rate puts it in one of the top ten places in the world where you are likely to be killed unlawfully. According to worldfigures.com you would be safer in places like Columbia, Mexico and Cote D’Ivoire than in South Africa. Of those 20,388 murders, how many would have had any form of life cover? We don’t know the answer to that. Life cover is the preserve of the employed and really only those who can afford the premiums. Let’s be generous and assume that a quarter of those murdered had some form of life insurance – say 5,000 people. It’s probably a bit high, but let’s use it anyway. Momentum claims to have up to 15% market share of the lives assured in South Africa, so it might cover the lives of 750 people murdered annually. Last year it rejected 0.4% of life assurance claims. Not all of them for the same reason as Nathan Ganas, but if we assume that to be the case, then it refused to pay the beneficiaries of 22 murder victims last year. Not all of those would qualify for the new maximum payment of R3m, but even if they did, it would mean a liability for Momentum whose holding company delivered R2.8bn in headline earnings last year, of R66m. The number will be nowhere near that figure, but it makes the point that Momentum’s decision to dig in its heels on a point of principle may have been a considerably costlier mistake from the perspective of its reputation, than paying out a few life claims as a result of death due to causes unrelated to undisclosed medical conditions. What is unclear at this stage is what effect Momentum’s stance will have on disability claims. If it’s willing to pay out for murder victims what about the many thousands more injured as a result of violent crime. If you fail to disclose a medical condition and survive a violent crime, but are disabled by it, will firms like Momentum pay you out? And if not, why not? Momentum is not yet ready to answer that question. A failure to do so would be a double standard. Surely? Insurance, at the best of times is a grudge purchase. Few people happily pay insurance premiums as industry statistics will show that 70% of the vehicles on our roads are uninsured, despite high road accident statistics. If your clients believe they are paying their premiums into a bottomless pit, they will stop. So while the insurance industry and its army of very clever actuaries can hide behind standard industry practice and demand compulsory disclosure to form the basis of the risk the insurance company takes on when it insures your life and determines the premium you will pay, it’s going to have to think very hard about how it communicates this to its clients. Insurance brokers are incentivised through sales. They are motivated by sealing the deal. They are paid the same level of commission whether a sale takes them two hours or two weeks. This may be part of the problem. Also, a life insurance salesman with fewer scruples might be tempted to gloss over the small print as much of it would put prospective clients off signing up if they thought about it too hard. The industry accepts many of their clients will seek to fudge their medical records in order to secure lower premiums, in the hope that the company concerned will not find out at the time of the claim which is why the industry does carry out investigations before making payouts. There has to be a smarter way of selling insurance and educating clients about why the industry is such a stickler for rules. If it doesn’t, it will cost the industry new business and drive up the cost of your premium. Bruce Whitfield is a multi-platform award winning financial journalist and broadcaster.
  5. Platinum Wealth

    The Funny Pictures thread

    This gorilla looks like he decided to have his undergraduate philosophy lecture outside since it's a nice day. If you want to know how to insert an Image, please view this step by step guide: Inserting Images
  6. Full Statement: SOUTH AFRICANS, JOIN ME IN A NEW POLITICAL MOVEMENT FOR GOOD. Today I am announcing my response to the many thousands of South Africans who have reached out to me with one resounding request: that I do not give up on the good fight for a better South Africa. I take this opportunity to speak directly to the hearts of all South Africans. I remind all South Africans that our democracy is grounded on a constitution for good and that it requires of us all to build a country that confronts and heals the past and moves peacefully into the future. I remain guided by it and by the most beautiful preamble: We, the people of South Africa, Recognise the injustices of our past; Honour those who suffered for justice and freedom in our land; Respect those who have worked to build and develop our country; and Believe that South Africa belongs to all who live in it, united in our diversity. We, therefore, through our freely elected representatives, adopt this Constitution as the supreme law of the Republic so as to - Heal the divisions of the past and establish a society based on democratic values, social justice and fundamental human rights; Lay the foundations for a democratic and open society in which government is based on the will of the people and every citizen is equally protected by law; Improve the quality of life of all citizens and free the potential of each person; and Build a united and democratic South Africa able to take its rightful place as a sovereign state in the family of nations. May God protect our people. Nkosi Sikelel’ iAfrika. Morena boloka setjhaba sa heso. God seën Suid-Afrika. God bless South Africa. Mudzimu fhatutshedza Afurika. Hosi katekisa Afrika. Over the past few weeks, I’ve had the pleasure of spending more time with my family and my dogs and do the little things at home that I have not done for years. The past two years have been a tough time for me personally, but I have taken a lot of comfort from thousands of South Africans who have sent me message of support and encouragement. I am sincerely grateful for every single one of them. I have also had the benefit of time to reflect on the events of the last two years. On the 31st of October I resigned as a member of the Democratic Alliance and as Executive Mayor of the great city of Cape Town. By that time I was the longest serving Executive Mayor of the City and the only Mayor, post-apartheid, to complete a term of office and be re-elected. I am extremely proud of what we achieved in my 7 years at the helm of the city and it was a great honour to be able to serve the people of Cape Town. In 2016 I was the face of the DA’s campaign to be re-elected to govern the City and the DA campaigned in Cape Town, and across the country, on the back of those achievements. In Cape Town we were rewarded for our record of delivery, in the 2011 – 2016 term of office, with a resounding win and two-thirds of the vote. Even though we had achieved a lot, I was the first to admit that there was still so much to be done to redress the centuries of oppression and exclusion. I vowed to focus on addressing the apartheid spatial plan of our city which persists and which relegates poor, mostly black and coloured families, to continued exclusion. It was at this point that a cabal within the DA turned against me. Over the past 18 months I have endured the most vile and relentless dirty-tricks campaign to get rid of me as Mayor of Cape Town and to damage my reputation. I have spent my entire life fighting for a society that is just, fair and caring and I will never rest until this is achieved. I fought against the might of the apartheid regime. I fought against the powerful ANC elite when I exposed the corrupt arms-deal. The attack on my character, reputation and values by the DA cabal is nothing like I have ever experienced. The DA borrowed deeply from apartheid era tactics – sham investigations with pre-determined outcomes, false criminal charges and forged documents. Their conduct shocked me. It was so obviously motivated by malice and hate. I had to ask myself what I had done to earn this level of hatred. It was hatred so deep and irrational that it was de-human. It became clear that the project Helen Zille and I agreed on in 2010, to create a viable alternative to the ANC, was no longer underpinned by the values I believed in and on which the DA campaigned. The DA had used and abused me. I was in an abusive relationship and the abuser could not be rehabilitated. I was there when the democratic South Africa was negotiated and I was there when the Constitution was written. I know my rights. I fought for those rights. I turned to the judiciary to enforce and protect my rights against a DA that was hell-bent on removing me as Mayor – flouting natural rules of justice, its own constitution as well as the constitution of South Africa. My faith in the courts was not misplaced. The Western Cape High Court ruled in my favour 3 out of 3 times. Through its conduct the DA exposed to me that they are not a party that truly believes in constitutionalism and the rule of law, they do not believe in truth, they do not believe in redress and they do not believe their own four core values of freedom, fairness, opportunity and diversity. This said, one of the lessons Tata Madiba taught me after his 27 years of incarceration is that if he can forgive his oppressors, I can also forgive them. Over the past two weeks I have done as I said I would do. I have taken time to consult with my family, friends and mentors. I have listened to the thousands of people who have reached out to me directly. I have considered close to thousands of thousands requests, from people across our city to continue to serve our country and to start a new political movement. I have done an IPSOS survey that confirms support. I also received a signal from Mamma. The things I believe in, and have fought for my entire life, remain my guide. My values remain steadfast. Politics as usual has failed too many South Africans and our people have lost faith in politics and politicians. God-forbid they should lose faith in our democracy because the people in politics have not lived up to the privilege and responsibility to serve. It is time for a new political order. Duty and service runs through my blood so I am here to announce that I will continue to avail myself to serve my country which I love. I am motivated by the same level of outrage at the state of our country as I was 50 years ago when I was outraged by the cruelty and illegality of apartheid. And I am responding to the call to act. I will be launching a new political party that will contest the 2019 elections nationally and in all 9 provinces. Our party will put people before politics. We will be on the ground – not just sitting in parliament. Our party will build a better country for the next generations. We will look after families and educate to liberate. We will be a party of action. Less talk and more action. We will clean up our country and politics. We will make change happen for the greater good. My exposure to, and my being the target of, pure hatred tested my beliefs. I am happy to say that I still believe in good. I believe in a good South Africa. Where every child will be born in a good hospital where good doctors provide good healthcare. Their home will be a good house in a good community where there’s a good school. They’ll get a good education, a good foundation, with good values, to live and learn and play and grow and know what it means to be good. In a good South Africa there will be good opportunities to get a good job that offers good reward for good work. To live a good life, and share, live and care and know what it means to be good. In a good South Africa we will fight corruption and stand up against racism by doing what is good because we will know what it means to be good. Racial division, prejudice and inequality continues to exist in our society. My great fear is that our next generation of young South Africans will carry forward with them, the tensions that exists between difference races in our country. We will not allow racists to speak for us. Today, I am inviting all South Africans who are in search of something new that will disrupt our current political system to join me. I am making a call for you to do something good. To join me in doing something good for our country. When good people do nothing, evil prospers. I anticipate that my announcement today will unleash a new level of dirty-tricks and a fierce campaign to discredit me and all those who join me in standing up for good. In my 24 years of serving in elected office I have witnessed the goodness of all South Africans. Politicians, and politics, so very often suffocates that inherent goodness. I want to end that with a new style of politics where youth and experience, men and women, are united at the forefront of making change happen for the good. It was Tata Madiba who said: “No one is born hating another person because of the colour of his skin, or his background, or his religion. People must learn to hate, and if they can learn to hate, they can be taught to love, for love comes more naturally to the human heart than its opposite”. Since Tata Madiba left us, no single leader in our country has shown any real leadership and embarked on any meaningful reforms to bring about reconciliation and unity in our country. Today is an invitation for South Africans who believe in the good to join me. My plan is to continue engaging with all South Africans over the coming weeks. Later this year I will unveil a party name and brand along with a suite of more detailed policy positions. In January 2019 we will launch our campaign for a good South Africa. Cities and towns are the heart of our nation. Our country will progress when our cities and towns work. I intend to use my experience in leading one of the greatest cities in the world for the good of our nation and our provinces. https://ewn.co.za/2018/11/18/de-lille
  7. Platinum Wealth

    What are you listening to right now?

    They just don't make them like they used too.
  8. Platinum Wealth

    The Funny Pictures thread

  9. Bank Zero announced it has been integrated with the national payments system of the South African Reserve Bank (SARB) and is set to begin trial runs in preparation for the launch of its banking platform. The bank’s CFO, Liné Wiid, said that settling directly with the SARB rather than through a sponsoring bank allows Bank Zero to control its own payments value chain and nurture a “savings culture”. “Creating a savings culture means shifting mindsets from ‘I want a car; I want expensive credit now’ to ‘I have a savings goal; I’ll buy a car later’,” Wiid said. Bank Zero CEO Yatin Narsai said that this alpha testing milestone is a major achievement, with most institutions investing billions simply to reach this stage. The bank’s Alpha testing phase will see a small team validating the bank’s end-to-end live systems and processes. Bank Zero said its approach to building a bank uses precise, “laboratory-style testing” and focuses on a number of key areas. These focus areas include building an integrated banking app, testing customer experience and on-boarding, completing disaster recovery tests, and complying with all regulatory reporting as required by the SARB. A new generation of bank card Bank Zero also announced it has collaborated with Mastercard to develop a “new generation of card” aimed at providing cutting-edge security and powerful, unique features. “We are excited to be partnering with Bank Zero in driving payment innovation while catering to the evolving needs of today’s connected, increasingly mobile and digital customers,” said Mastercard South Africa division president Mark Elliott. Mastercard added that it will provide the latest security protocols to protect Bank Zero customers from fraud and identity theft. The bank also announced it has partnered with IBM to implement enterprise-grade security on its servers, although it noted that it leverages a hybrid cloud model to deliver flexibility. “Building a bank is hard work; building an innovative bank is exponentially harder,” said Bank Zero co-founder and chairman Michael Jordaan. Bank Zero will begin beta testing during the first quarter of 2019 and expects public operations to begin around mid-2019. Source: Mybroadband
  10. Platinum Wealth

    JSE Power Hour: Mastering technical analysis

    Moxima Gama from The Money Hub is a master technical analyst with over a decade’s experience working both independently and within large financial institutions. She uses technical analysis to assist in making efficient trading decisions and maximise trading returns. In this JSE Power Hour she’ll give help uses understand the use of charts for trading as well as including some of her own bespoke processes in order to identify both buy and sell ideas. Moxima will also include some trade recommendations and take audience questions.
  11. Platinum Wealth

    Do you own a Fitbit?

    That is pretty neat, I have mine synced to my personal website to show my heart rate and steps etc. What I want to do next is get an electromagnetic magnet and a relay. The idea is to build a chest which is closed by this magnet which is controlled by the relay, which is controlled by my raspberry pi. So when I reach my step goal for the day, the chest unlocks and presents me with a sweet.
  12. Platinum Wealth

    Welcome to Pages

    Welcome to Pages! Pages extends your site with custom content management designed especially for communities. Create brand new sections of your community using features like blocks, databases and articles, pulling in data from other areas of your community. Create custom pages in your community using our drag'n'drop, WYSIWYG editor. Build blocks that pull in all kinds of data from throughout your community to create dynamic pages, or use one of the ready-made widgets we include with the Invision Community. View our Pages documentation
  13. Platinum Wealth

    Employment / Job Offers - Forum Rules

    The Employment / Job Offers forum is intended for Platinum Wealth members to post any job vacancies they may have. What is the 'Employment / Job Offers' forum for? This forum is intended for individuals or companies to publish offers of employment only. Making posts which do not conform to this description may lead to the post being moved, removed or the poster being suspended. If you are seeking an employee on other forums or auction sites, you may not present a post with only a link to those other sites. When searching for employees, try to include: Job description Job requirements Hourly/salary/project Detailed contact information. Please remember that not everyone can PM you. Anyone found to be intentionally "trashing" or "trolling" in another user's advertisement thread will have their account suspended. Negative comments on advertisements are not allowed. For example, if you think the salary is too low, leave the ad for other people to form their own opinions. If you think the offer is fraudulent, please contact either myself, @padjakkels or @Bandit
  14. Capitec Bank Holdings Ltd gained the most in more than seven months in Johannesburg as the lender impressed analysts with its earnings and plans for growth despite a sluggish South African economy and the strains on consumers. The bank, which said Wednesday its client base increased to 10.5 million in six months from 9.9 million, advanced as much as 6.2%, the most since Feb. 21. Capitec said it will build a business-banking division as it diversifies away from riskier unsecured lending. First-half profit increased 20% from a year earlier. “It looks like a good set of results and it’s driven by strong fee growth as the transactional franchise gains traction in the market,” said Neelash Hansjee, a banking analyst at Old Mutual Investment Group. “The credit quality seemed to be under control, which is quite a good result in a tough economic environment.” The lender is among four bidders for Mercantile Bank, the South African unit of Portugal’s state-owned Caixa Geral de Depositos SA. Capitec expects to know the outcome by the end of next month, after completing due diligence in August, chief executive officer Gerrie Fourie said Wednesday. “They continue to look for more opportunities,” Hansjee said. “Over the last three years they have launched a credit card, they have launched an insurance product and now they are saying they want to get into business banking. That shows that the group is comfortable to diversify its growth and continue to disrupt the financial services market.” Capitec was 5.2% higher as of 1:29 p.m., outperforming its local peers and heading for its highest close since Jan. 25, a few days before short-seller Viceroy Research published a report that said the lender may be concealing losses. The bank denied the allegations. Avior Capital Markets analyst Harry Botha said Capitec’s latest earnings showed the divergent trends that the market had become used to — muted gains in lending revenue, and exceptional results from transactional banking. A focus on lower-risk customers helped to improved its credit figures. “In terms of the future, meaningful growth in Capitec’s credit business is still dependent on South African economic conditions,” Botha said. “The credit card business will provide a bit of support for lending revenues, but the trends, with transactional banking growth outperforming, will probably be the same as recent periods.” Source: Bloomberg
  15. Platinum Wealth


    Welcome How did you find us?
  16. Platinum Wealth

    New JSE listings

    Information on newly soon to be listed JSE companies. Please post details and notices here for any new companies listing on the JSE. New JSE listings to be posted here. New ETFs listing on the JSE to be posted here -> New ETFs Thread
  17. Platinum Wealth

    How to get started with your TFSA

    Introducing the Platinum Wealth and EasyEquities TFSA Basket What is a Tax-Free Savings Account (TFSA) A Tax-Free Savings Account (TFSA) and a Tax-Free Investing Account (TFIA) is exactly as the name says, it offers you a means to save and invest without having to pay income tax, dividends tax or capital gains tax on the returns from these investments. The government introduced Tax-Free Investments as an incentive to encourage household savings. This incentive became available on 1 March 2015. How does a Tax-Free investment work? You can only contribute a maximum of R33 000 per tax year (annual limit) and up to the lifetime limit of R500 000 per person. If a person exceeds the limits, there is a penalty of 40% of the excess amount. Example: Taxpayer X invests R35 000, therefore, exceeding the annual limit by R2000, 40% of R2000 = R 800 must be paid to SARS. The returns of your TFSA does not affect your limits. E.g. If you invest R33 000 for the year and receive a return on investment of R5 000, the total amount in the account will be R38 000. The following year, you will still be able to invest your full R33 000 for the year. What are Exchange Traded Funds (ETFs) You can open a Tax Free savings and investment account with any licensed Bank, insurer or broker and you can choose from one of the following investment vehicles: Fixed deposits Unit trusts (collective investment schemes) Retail savings bonds Certain endowment policies issued by long-term insurers Linked investment products Exchange traded funds (ETFs) that are classified as collective investment schemes. We recommend that people start out with ETFs. In our opinion, Exchange-traded funds are one of the most important and valuable products created for individual investors in recent years. Essentially you can look at an ETF as a diversified basket of different companies, enabling you to buy the basket instead of all the underlying companies individually. Innovation has been the hallmark of the ETF industry since its beginnings less than 25 years ago. Undoubtedly, there will be new and more unusual ETFs introduced in the years to come. While innovation is a net positive for investors, it’s important to realize that not all ETFs are created equal. Our ideal TFSA portfolio Based on the real-world feedback and research by our community members we made this TFSA basket to help South Africans start their investment journey. With this basket, you will also be joining like-minded investors on our platform and find common ground for further learning, research, and local investor meetups. Our basket consists of the following ETFs: CoreShares Proptrax Ten ETF (Fact Sheet) Satrix MSCI Emerging Markets ETF (Fact Sheet) Satrix MSCI World ETF (Fact Sheet) Satrix Quality South Africa ETF (Fact Sheet) This portfolio gives you exposure to South Africa, the developed world, emerging markets, and property. How to open an EasyEquities account First, you need to click on this link to register (Click this Link) After you have registered you need to Fica your account by uploading your documents to EasyEquities. You need to upload a copy of your ID or Passport Document and Proof of Address like a utility bill, such as water, electricity or rates (less than 3 months) or a copy of a signed lease agreement (by both parties), (less than 1-year-old) Alternatively, you can email the documents to [email protected] Please quote your account number in the subject line of the email. How to buy the Platinum Wealth TFSA Basket Navigate to your TFSA Account and then click on Browse the market. Alternatively navigate to your TFSA account and click on this link (Platinum Wealth TFSA Basket) You can set up a monthly payment either using the funds in your EasyEquities account or you can set up a debit order from your bank account. Otherwise you can also buy the basket once off as and when you like to do so. If you have any questions regarding the EasyEquities platform feel free to ask @jonobruton or tweet to EasyE directly.
  18. South Africa has officially entered a technical recession, after Stats SA announced on Tuesday that the country's real gross domestic product had decreased by 0.7% in the second quarter of the year. This follows a GDP contraction of 2.2% in the first quarter. A technical recession is two consecutive quarters of negative growth. The first quarter's GDP contraction has now also been revised upward to -2.6%. This is SA's first recession since the 2008/2009 global financial crisis. Shortly after the economic data release at 11:30, the rand piled on losses against the dollar, falling to a daily low of R15.23/$, down 2.4% on the day. Ahead of the announcement in Pretoria, analysts at FNB had been cautiously optimistic that SA could avoid a recession, but said it would be a 'close call'. The ABSA Purchasing Manager's index for August, meanwhile, released Monday came in at a 13-month low. Agriculture takes a hit The largest negative contributors to GDP growth were the agriculture industry - which decreased by a whopping 29.2%, followed by the transport industry (-4.9%) and trade (-1.9%). "This [decrease in agriculture] was largely driven by a decline in the production of field crops and horticultural products," said Stats SA in a media statement. "Continued drought conditions in Western Cape and a severe hailstorm in Mpumalanga, resulting in extensive crop damage, also placed additional pressure on production in the second quarter." The main positive contributors were mining, up 4.9% and the finance, real estate and business services industry, which increased 1.9%. For the first time since Q1 2016, households also cut consumption expenditure, which decreased by 1.3% for the quarter. The biggest cuts were recorded for spending on transport, food and drinks, according to Stats SA. Government expenditure, meanwhile, grew by 0.7%. Total investment, also known as gross fixed capital formation, decreased by 0.5%. Net exports contributed positively to growth in GDP through expenditure. Exports were up 13.7% for the quarter due to increased trade in precious metals, mineral products and vegetable products. Imports increased by 3.1% and were driven by imports of mineral products, prepared foodstuffs, beverages and tobacco and vehicles and transport equipment, according to Stats SA. Fin24
  19. President Donald Trump warned Alphabet’s Google, Facebook and Twitter "better be careful" after he accused the search engine earlier in the day of rigging results to give preference to negative news stories about him. Trump told reporters in the Oval Office on Tuesday that the three technology companies "are treading on very, very troubled territory", as he added his voice to a growing chorus of conservatives who claim internet companies favour liberal viewpoints. “This is a very serious situation - will be addressed!” Trump said in a tweet earlier on Tuesday. The President’s comments came the morning after a Fox Business TV segment that said Google favoured liberal news outlets in search results about Trump. Trump provided no substantiation for his claim. "Google search results for 'Trump News' shows only the viewing/reporting of Fake New Media. In other words, they have it RIGGED, for me & others, so that almost all stories & news is BAD," Trump said. "Republican/Conservative & Fair Media is shut out. Illegal." The allegation, dismissed by online search experts, follows the president’s August 24 claim that social media "giants" are "silencing millions of people". Such accusations - along with assertions that the news media and Special Counsel Robert Mueller’s Russia meddling probe are biased against him - have been a chief Trump talking point meant to appeal to the president’s base. More here: Fin 24
  20. Cell C says its data is 28% cheaper than a year ago – but it is charging more for voice On a per-megabyte basis its effective price for data declined by 28%, year on year, in the the first half of 2018, Cell C said in an investor presentation released by its new parent company, Blue Label, on Tuesday. At the same time its data revenues increased by a fifth, as data traffic spiked by 62% compared to the previous year. The numbers are roughly in line with those reported by Vodacom in July, when it said its average data cost had decreased by 17.1% in the three months prior, with a 10% increase in revenue as usage spike. At the same time its customers continued to make old-style phone calls less and less, Cell C said, with a 10% year-on-year decline in voice traffic. However, its revenues for voice calls were down only 6% – because it effectively charged 3% more for every minute in telephone calls. Like other networks, Cell C is seeing customers shift to WhatsApp voice calling, or other similar platforms, as WhatsApp calls become increasingly cheaper than voice call. Cell C also report 60,000 "completed transactions" on its entertainment service Black, which competes with the likes of DSTV, though it said it had 260,000 people on free trials for the service.
  21. South Africa might be in its ninth recession in the last 45 years. A sharp slowdown in economic activity and concerns about land and mining policy are weighing on investment Politicians are not helping. Economists at global bank HSBC have sent a note to clients this week warning that they expect the South African economy to have contracted in the second quarter. It’s expecting a marginal decline of just 0.1% on top of the first quarter's 2.2% contraction. Still, two quarters of contraction would mean South Africa was in a technical recession. “We now think data released on 4 September will show that South Africa contracted by 0.1% q-on-q in Q2 2018, tipping the economy into recession,” write economists David Faulkner and Thato Mosadi at HSBC Securities. The HSBC analysis reflects the worrying tone of a statement from Moody’s, the only global ratings agency that still maintains an investment grade on South Africa, that the country is not moving fast enough to cut the cost of a bloated civil service and its attempts at fiscal consolidation are just too slow. After days of sharp currency depreciation amidst fears of currency contagion from the Turkish lira crisis, the rand retreated sharply on concerns for the South African economy. Amidst the recent announcements of impending job cuts at Goldfields and Impala Platinum, HSBC warns mining, despite some optimistic one-month figures showing expansion in June of just over 2%, will contract over the quarter along with manufacturing and electricity output. If South Africa does see contraction in the second quarter, it will put the economy into its second recession in 18 months and ninth since the oil crisis of the early 70's. South Africa endured two recessions in quick succession in the early 90’s amidst deep concern about the shape the economy would take once the ANC came to power. The party’s commitment to openness and a free market economy led to a period of expansion not seen since the 1960’s and the economy grew uninterrupted between 1994 and the global financial crisis in 2009. If HSBC is right, this would be the third recession post the financial crisis at a time when the rest of the world has been seeing stellar growth. If we are completely honest with ourselves, South Africa has felt like its been in a recession this year, regardless of what the data shows. When we believe that the economy is tight we are less likely to spend, and to defer consumption as this week's retail sales figures for June suggested is the case. It’s almost a self-fulfilling prophecy. While considerable progress has been made in recent months in the long overdue clean-up in SOEs with new boards and in some cases new management teams being appointed, South Africa continues to score serious own goals. This week saw the Mineral Resources Minister Gwede Mantashe, speaking in his capacity as ANC chairperson, apparently break ranks with the president on land. Cyril Ramaphosa has always emphasised that land restitution will not come at the expense of food security. Mantashe’s assertion that farmers should be restricted to 12,000 hectares of land undermines that point. Since 1994, only a quarter of the commercial farmers have survived, some 35,000. Farming has consolidated with fewer and fewer agriculturalists being responsible for more and more food production. It’s not unusual for farmers nowadays to be cultivating in excess of 20 000 hectares, using less labour and equipment than ever before, to produce growing quantities of food. Land policy is confusing enough as it is, and Mantashe just muddied the waters even further. Still, despite the noise and the rhetoric, even some traditionally bearish economists are beginning to see signs that things are turning. The post Zuma-period of Ramaphoria is well and truly over as Rama-reality has set in. The building blocks for a recovery are being put in place. It’s just going to be a very noisy recovery. Bruce Whitfield is a multi-platform award winning financial journalist and broadcaster.
  22. Disappointing local economic releases and a return of market fears around Turkey’s financial crisis put the JSE under serious pressure on Wednesday. The local bourse was buffeted by a cocktail of corporate and economic news, including downbeat retail sales data, a warning from ratings agency Moody’s, as well as a steep fall by market heavyweight Naspers. The all share lost 3.41% to 55,646.2 points, while the top 40 lost 3.76%. Gold miners slumped 7.9%, platinums 4.38%, industrials 3.8% and banks 3.34%. Naspers, which makes up 20% of the all share, fell 8.22% to R3,060.88 after its associate Tencent reported second-quarter earnings that were below market forecasts. Local retail sales data was also downbeat, growing 0.7% year on year in June, well below economist’s forecast of 2%. Along with recent downbeat economic releases, it now seems likely SA entered a technical recession in the second quarter, FNB senior economic analyst Jason Muscat said. Moody’s, meanwhile, cautioned that the government’s current economic growth forecasts were overly optimistic, as were its plans for fiscal consolidation. Global market focus was on events in Turkey, after that country decided to up the ante in its dispute with the US by leveling additional tariffs on US goods. Metals were sharply sold off, with the spike in risk coming even as markets begin digesting the economic effects of the trade war in China, analysts said. Recent Chinese data has also disappointed, with growing fears that its economy is slowing despite stimulus efforts, reported Dow Jones Newswires. Diversified miner Anglo American slumped 6.02% to R280.48, BHP 3.71% to R297.97 and Glencore 3.27% to R55.37. Kumba Iron Ore plummeted 9.67% to R263.31. Gold Fields crashed 10.85% to R37.30, having announced on Tuesday it was planning job cuts at its loss-making South Deep mine. Rand hedge AB InBev gained 2.82% to R1,427.14. FirstRand fell 4.75% to R62.20. Source: Business live
  23. South African money manager Sygnia [JSE:SYG] closed all its hedge-fund products, ending a 13-year history with an investment strategy its chief executive officer now calls a ruse to pocket fees. “Once you know that the emperor has no clothes you cannot in good conscience support what has become a management-fee racket,” Chief Executive Officer Magda Wierzycka wrote in an opinion piece in Johannesburg-based daily newspaper, Business Day. While investors ignored the fees managers were charging during bull markets, this has changed with the onset of regulations that forced hedge funds to convert into mutual funds and adopt more transparent fee structures, Wierzycka argued. The end of quantitative easing and cheap money flowing into emerging markets has also brought a period of outflows and negative, volatile market returns, she said. “This should be the ideal time for hedge funds to show they can finally deliver on the promise of preserving capital,” the CEO said. “The sad truth seems to be that they cannot.” The Cape Town-based money manager, which has R181bn in assets, has now fired all its hedge fund managers and “hopefully closed a chapter on this form of investing”, she said, without saying how many staff or funds were affected, or commenting on the actual returns made by Sygnia’s hedge funds. “After long advocating the use of hedge funds as a way of managing the downside risk of an investment strategy, I have swung 180 degrees in the other direction,” Wierzycka said. Source: Fin24
  24. Platinum Wealth

    Pembury Lifestyle Group (PEM)

    PEM 201808150015A Trading Statement PEMBURY LIFESTYLE GROUP LIMITED (Incorporated in the Republic of South Africa) (Registration number 2013/205899/06) (“PL Group” or “the Company”) ISIN Code: ZAE000222949 JSE Code: PEM TRADING STATEMENT In terms of the JSE Listings Requirements, companies are required to publish a trading statement as soon as they are satisfied that a reasonable degree of certainty exists that the financial results for the period to be reported will differ by at least 20% from the financial results for the previous corresponding period or a profit forecast previously provided to the market in relation to such period. The Company included a profit forecast in its prospectus, which was issued on 9 March 2017 ahead of its listing on the JSE on 31 March 2017 wherein a loss per share and headline loss per share of (1.30) cents and (0.87) cents was forecast. Shareholders are advised as follows: • the loss per share is (6.57) cents per share for the financial year ended 31 December 2017, which represents a decline of 42.5% compared to the prior year’s loss per share of (4.61) cents and more than 100% compared to the forecast loss per share of (1.3) cents; and • the headline loss per share is (6.20) cents per share for the financial year ended 31 December 2017, which represents a decline of 38.4% compared to the prior year’s headline loss per share of (4.48) cents and more than 100% compared to the forecast headline loss per share of (0.87) cents. Shareholders are advised that the earnings per share and headline earnings per share for the period ended 31 December 2016 was for a period of 10 months. PL Group was granted a listing on the Alternative Stock Exchange (“AltX”) of the JSE with effect from 31 March 2017. During 2016, the Company changed its financial year end from February to December. Shareholders are also advised that the net asset value per share increased to 47.09 cents from 8.42 cents and the tangible net asset value per share increased to 38.47 cents from 6.75 cents. This increase arises primarily from the revaluation of properties acquired during the year to fair value net of deferred taxation, which is recorded in Other Comprehensive Income. The financial information on which this trading statement is based has not been reviewed by the company’s auditors. The audit committee and board will be meeting on 21 August 2018 to consider and approve the audited annual financial statements, results announcement for publication on SENS and the Annual Report, which will be finalised and posted to shareholders before the end of August 2018. BY ORDER OF THE BOARD Johannesburg 15 August 2018 Designated Advisor Arbor Capital Sponsors
  25. Platinum Wealth

    Pembury Lifestyle Group (PEM)