South Africa - Personal
Press Releases
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Equity market update (Commentary for the fourth quarter of 2012)
01 February 2013 - Coronation InsightsThe world today, just over four years since the global financial crisis, is characterised by low economic growth, low inflation, very high levels of government debt and very low interest rates. In short, the global economy remains in a precarious state. Yet, financial markets continue to trend higher with the S&P 500 Composite Index, currently only 6% off its pre-crisis peak...
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Talking revolutions in Africa
01 February 2013 - Peter LegerOne of the hallmarks of living in the 21st century is just how many revolutions we get to witness. We’re not talking about political revolutions, which thankfully are becoming less and less fashionable. We’re talking everyday revolutions that impact how we live, how we relate and, mostly, how we communicate. Take the ubiquitous ‘Like’ button that has become an icon of Facebook. Many high school...
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International outlook (commentary for the fourth quarter of 2012)
01 February 2013 - Tony GibsonInvestors in the fund that won the award for the top-performing prudential fund had their cake and got to eat it too over the past five years the fund's manager says. The Coronation Balance Defensive Fund is a low-risk fund despite keeping its investments in riskier assets to below 40 percent of the fund, the fund returned the best returns for the lowest risk among its many peers in the asset...
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Responsible investing
01 February 2013 - Karl LeinbergerAn issue that is becoming increasingly important in our industry is that of responsible investing (RI). In 2006, the United Nations released the Principles for Responsible Investment (UNPRI), to which Coronation was an early signatory. In 2011, revisions to Regulation 28 of the Pension Funds Act included an explicit requirement that institutional investors consider environmental, social...
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The blurring of the line between emerging and developed markets
01 February 2013 - Suhail SulemanAt Coronation we believe that over the next 20 years the global economy will be increasingly driven by the emerging market consumer, much like the last decade was primarily driven by commodities (and almost destroyed by the banking sector). The continued increase in the size of the middle class in countries with large populations will be the primary cause of this development. By some measures...
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Politics - the art of the possible (commentary for the fourth quarter of 2012)
01 February 2013 - Charles de KockThe final quarter of 2012 was marked by a flurry of political events, both locally and abroad. In the US, President Obama won a second term. In China, the new leadership of the Communist Party was announced. The Japanese held an election won by Shinzo Abe who has already announced a number of new economic policy initiatives. In Europe, Mario Monti, the caretaker Italian prime minister, announced...
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Sberbank
01 February 2013 - Kyle WalesFew countries have had a history as varied and colourful as Russia. In the 20th century alone, Russia has borne witness to the lavish courts of the tsars, a revolution that gave birth to a communist state, the German invasion in World War II, the defeat of Germany and the rise of the Soviet Union as a super power, the Cold War, and finally the collapse of the Soviet Union and the...
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Pioneer Foods
01 February 2013 - Sarah-Jane AlexanderPioneer Foods owns a portfolio of household names that fill the shopping baskets and kitchens of consumers across the country – brands such as Sasko bread, Ceres and Liqui-Fruit juice, Spekko rice, Moir’s baking products, Wellington’s sauces and Bokomo Weet-Bix. It is an enviable collection and one that should enable the business to continue its growth trajectory. As a result...
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Bond outlook (commentary for the fourth quarter of 2012)
01 February 2013 - Mark le RouxThe All Bond Index (ALBI) gained 2.3% in December, bringing its return for the 2012 calendar year to 16%. This impressive performance was still outdone by inflation-linked bonds (ILBs), which returned 3% in December and 19.4% for the year. Cash lagged far behind with an annual return of 5.6%. The bond market return for the year is particularly good considering the less than...
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Coronation reports solid growth
12 November 2012 - Coronation Insights- Assets under management of R339 billion, up 37% - Diluted headline earnings per share of 197.8 cents, up 12% - Total dividend per share of 206 cents JSE-listed, independent asset manager Coronation Fund Managers (‘Coronation’) today reported annual results for the year to 30 September 2012. Revenue increased by 14% to R2 billion on buoyant growth in assets under management, up 37% to R339...
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Coronation named Best Africa Fund Manager 2012
10 October 2012 - Coronation InsightsCoronation Fund Managers has once again been recognised as Best Africa Fund Manager at the prestigious annual Africa investor Index Series Awards. “Having been recognised in 3 out of the 4 years since our funds launched is testament to the success of our investment philosophy. This approach is designed to consistently deliver industry-leading risk adjusted returns,” says Coronation’s Africa...
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Equity market update - 2012
01 October 2012 - Quinton IvanEquity market update By Quinton Ivan, head of equity research October 2012 There is a sense of déjà vu as the economic and financial outlook continues to be clouded by the eurozone crisis, faltering economic recovery in the US and fears of a hard landing in China. Notwithstanding these lingering concerns, financial markets climbed higher, with the MSCI World and Emerging Market...
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South African platinum miners 2012
01 October 2012 - Neill YoungInternational outlook In the investing world, even doing nothing is doing something By Tony Gibson, senior portfolio manager October 2012 Global equity markets performed well over the quarter, with the MSCI World Index rising by 6.8%. In terms of news factors, on the negative side we were faced with the continued reduction in the outlook for Chinese economic growth and the sharp rise in the...
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International outlook - 2012
01 October 2012 - Tony GibsonInternational outlook In the investing world, even doing nothing is doing something By Tony Gibson, senior portfolio manager October 2012 Global equity markets performed well over the quarter, with the MSCI World Index rising by 6.8%. In terms of news factors, on the negative side we were faced with the continued reduction in the outlook for Chinese economic growth and the sharp rise in the...
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Sustainable income in retirement-2012
01 October 2012 - Pieter KoekemoerOne of the toughest financial planning tradeoffs is ensuring that retirees’ post-retirement income is sustainable over the full period of retirement, without compromising more than is necessary on living standards in the first half. A task that is further complicated by the prevailing expected low-return environment – local interest rates are at their lowest in 40 years and local...
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Pão de Açúcar (CBD) -2012
01 October 2012 - David CookCBD is the largest retailer in Brazil (and second largest online retailer). It consists of the largest food retailer (75% of our valuation) and the largest electronics and home merchandise retailer (25% of our valuation). CBD’s chairman, Albilio Diniz, is a remarkable individual. At 74 he doesn’t leave the office before 19:00, he works out three hours a day, is regarded as a master...
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Bond Outlook
01 October 2012 - Mark le RouxSouth Africa was included in Citigroup’s World Government Bond Index (WGBI) as at the close of business on 28 September 2012, and predictably September recorded large foreign buying of bonds again. A net of R8.4 billion was purchased, bringing the year-to-date total to R76.5 billion – well ahead of any full-year total hitherto seen (see chart below). As has been the experience ...
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Africa: Cry, the beloved country
01 October 2012 - Peter TownshendPrior to entering the world of finance, I spent almost a decade in the mining sector, working in a number of African countries. I learnt a great deal, had lots of fun and saw more than my fair share of remote places. Eventually the nomadic and spartan existence got too much for me and I made the change, but I retain many very happy memories of my time doing a real job. My fondest memories are of...
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Coronation communicates trust through iconic South African story
26 July 2012 - Coronation Insights6 July 2012 Coronation communicates trust through iconic South African story Coronation Fund Managers’ new television commercial, based on the remarkable true South African story of conservationist Lawrence Anthony as captured in his bestseller ‘The Elephant Whisperer’ will launch during the opening ceremony of the London 2012 Olympics tomorrow evening. The commercial can also be...
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Coronation receives accolades at POA awards ceremony
20 July 2012 - Coronation InsightsCoronation Fund Managers was honoured with a total of four awards at the annual Imbasa Yegolide Awards ceremony, hosted by the Principal Officers’ Association on Monday, 11 June. The awards are aimed at rewarding professional excellence by recognising service providers who have delivered excellent service to the South African retirement fund industry. Coronation was voted Equities...
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China:To what extent is a slowdown priced in?
01 June 2012 - Suhail SulemanChina To what extent is a slowdown priced in? By Suhail Suleman, analyst June 2012 Since abandoning Marxist economic ideology and embracing a more liberal model of state-directed market development in 1979, China has achieved uninterrupted economic growth for over three decades. The rate of growth over this period is unprecedented in recorded human history, and the country has been transformed from a...
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Egyptian Style
01 June 2012 - Peter LegerThe many years of Mubarak rule will not be remembered for its economic reform and societal development; the words ‘cronyism’ and ‘selective repression’ would spring to mind long before. Yet as stagnant as the economy was pre-revolution, the subsequent vacuum and power interplay has stalled the economy. Egypt has been witnessing an exercise in leadership abdication with the military arm-wrestling...
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Upward pressure on rates may bring unexpected turns
27 May 2012 - Andrew GillinghamThe present low-interest environment has been in place for some time in response to the 2008 financial crisis, but there are indications that rates could begin upward movement sooner than expected. Sandy McGregor, portfolio manager at Allan Gray, points out that US rates tend to dominate rates around the globe, and as long as US rates remain low, other countries will tend to keep...
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Pension reforms to boost industry
27 May 2012 - Andrew GillinghamThe South African asset-management industry will grow significantly - if reforms in the retirement savings industry continue in the way they are now. Thabo Khojane, managing director of Investec Asset Management, says the South African unit trust industry is likely to become one of the fasted growing in the world, along with Australia, if the government makes preservation compulsory as...
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Questions about value or growth
27 May 2012 - Andrew GillinghamValue or growth? This is an investment strategy question that continues to spark heated debate. But sometimes it is not an issue of either/or but rather of opportunity...
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Sit in cash and your wealth will be gone with the winds of inflation
26 May 2012 - Laura du PreezSouth African investors need to free their minds of the idea that they can take very little risk - even just invest in cash - and still earn inflation-beating returns, investment managers are warning. Three managers who spoke at the recent Momentum Independent Multi-Manager Conference warn that fixed-interest returns will be lower, and investors who require higher returns will have to...
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Choose a multi-asset fund that matches your investment objective
22 May 2012 - Coronation InsightsAfter a positive start to the year for financial markets with growth assets producing good returns during the first months, the last few weeks have turned more negative, primarily because investors are concerned about changing events in Europe, specifically on the political front where there seems to be a significant backlash among electorates against austerity measures and the focus on...
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Brazil a prospect for investors keen on fashion
04 May 2012 - Coronation InsightsWhile South African retail is set for interesting times with the entry of Walmart, and local companies embarking on expansion drives north of the border, more promising prospects may be found in Brazil...
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Coronation produces solid half year results
01 May 2012 - Hugo Nelson- Assets under management of R296 billion -Diluted headline earnings per share of 86.7 cents -Interim dividend per share of 95 cents JSE-listed, independent asset manager Coronation Fund Managers (“Coronation”) today reported interim results for the six months to 31 March 2012. Revenue increased by 11% to R912 million off the strong revenue base achieved in 2011, resulting in a 6% increase in...
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Mediclinic International
01 April 2012 - Sarah-Jane AlexanderMediclinic International is a business we have long admired for its stable management and world-class healthcare operations but have been constrained, for liquidity reasons, from owning a significant stake. Recently a line of shares became available which allowed us to increase our shareholding to a level that is more reflective of the attractive qualities of this defensive business with high...
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Coronation named Morningstar Best Large Fund House for second consecutive year
14 March 2012 - Coronation InsightsCoronation named Morningstar Best Large Fund House for second consecutive year 14 March 2012 Coronation Fund Managers was again named Best Fund House – Large Range at the 2012 Morningstar South Africa Fund Awards ceremony held in Cape Town. This is the second consecutive year in which the company has received this prestigious accolade. The Morningstar awards recognise retail funds and...
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Naspers :The investment case
30 January 2012 - Adrian ZetlerNaspers The investment case By Adrian Zetler, equity analyst June 2012 Naspers is a share that has formed an integral part of our client portfolios for 10 years now and has contributed significantly to the outperformance of our funds during this time. After such a strong run, one might be tempted to lock in some of this outperformance, but we continue to believe that Naspers is a company...
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International Outlook - When will the trendless volatility end?
01 January 2012 - Tony GibsonAs 2011 drew to a close it certainly felt as if the trend for the year was a pretty dire bear market; such was the ongoing arrival of negative news – especially out of Europe. In reality, the outcome for 2011 – from an equity index point of view – was fairly benign, with equity markets in aggregate falling by a relatively small amount for the year. Unfortunately, the most noticeable upward trend...
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Africa: Nationalisation – cheap politics and costly mistakes
01 January 2012 - Peter TownshendMining is in many ways a unique business. For a start, miners exploit finite resources. Once a mineral deposit has been exhausted, it is gone forever. This immediately puts miners in the firing line as what they exploit today is taking from future generations. Mining is also messy. While the actual area affected is often insignificant in relative terms and mines are typically in very remote...
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Macro fatigue anyone?
01 January 2012 - Karl LeinbergerThe global economic outlook is clearly pretty grim. Most developed economies face the prospect of a prolonged period of stagnation. We also think the risk of inflation is high. If we are right (sometimes in life you pray you are wrong!), then we all face the daunting prospect of allocating capital in a stagflationary environment. The crisis in Europe is very much an ‘after-shock’ from the 2008...
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Taking stock of your portfolio
01 January 2012 - Pieter KoekemoerWe associate the start of a new year with reform, fresh starts and the revisiting of our personal goals. While the shortterm bias inherent in all of us makes it difficult to stick to lifestyle-oriented resolutions, just a little bit of effort once a year can make a huge difference to enhancing the outcomes from your investment portfolio. In this article, we have posed some questions for you to...
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Mondi - a highly attractive investment case
01 January 2012 - Duane Cable‘The best-performing stocks are not in industries that are at the cutting edge of the technological revolution, rather they are often in industries that are stagnant or in decline. These firms are headed by managements that find and pursue efficiencies and develop competitive niches that enable them to reach commanding positions no matter what industry they are in. Firms with these...
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Good news for SA shareholders
30 October 2011 - Coronation InsightsJohannesburg – The proposal to adjust the listing status of companies with inward listings on the JSE could result in more South African shareholders for the British property company Capital & Counties (CapCo). Last week, in his medium-term budget framework, Finance Minister Pravin Gordhan announced that all inwardly listed shares on the JSE are to be classified as local stocks...
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Investing in education
01 October 2011 - Mark ButlerEducation is a key ingredient to the growth of an individual and a nation. The benefit for a country to invest in education is most apparent when one looks at a country which is still classified as emerging, yet outshines developed markets. The country I’m referring to is South Korea, which since the 1950s has improved access to education to such an extent that it has moved from 21st place in the...
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Heading for stagflation?
01 October 2011 - Charles de KockThe world is in a proper economic mess. Despite zero interest rates, massive fiscal deficits and unprecedented use of unconventional tools such as quantitative easing, the global economic recovery is faltering. Financial markets have become increasingly volatile as investors react to each and every new data point and failed attempt of policy makers to deal decisively with the sovereign debt...
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Anglo American - 94 years in the making
01 October 2011 - Henk GroenewaldOf all those expensive and uncertain projects, however, which bring bankruptcy upon the greater part of the people who engage in them, there is none perhaps so perfectly ruinous than the search after new… mines. It is, perhaps, the most disadvantageous lottery in the world, or the one in which the gain of those who draw the prizes bears the least proportion to the loss of those who draw the...
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Optimising drawdown rates
01 October 2011 - Pieter KoekemoerThe need for perspective in a lower return environment Our reading of current investment conditions is that investors should prepare for a lower return environment in the foreseeable future. This belief is primarily informed by the weak outlook for the global economy, resulting in continued very low interest rates and deteriorating fundamentals for local financial markets. With expected annualised ...
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Preference shares - a buy for tax-sensitive investors looking for yield
01 July 2011 - Karl LeinbergerWhen we tell clients that we think preference shares (of the non-redeemable variety*) are a buy, we get varying reactions from surprise to shock. Preference shares are distrusted and almost universally disliked in the retail market. And it shows in the price (i.e. prices are low and yields are attractive). To understand why this is the case, we need to consider the history of the local preference...
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Equity closure
01 July 2011 - Karl LeinbergerIn May we announced that we are closing our Institutional SA Equity product to new clients from 31 March 2012. Our equity unit trusts, such as the Coronation Top 20 Fund, will however remain open to new investors. This is the second time in Coronation’s history that we have closed a major product to new clients (the Institutional Absolute Return funds were closed in 2005 for a period of four...
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Coronation Fund Managers produces another set of exceptional results
01 May 2011 - Hugo NelsonAssets under management of R231 billion (2010: R176 billion) Diluted headline earnings per share of 81.7 cents (2010: 64.8 cents) Interim dividend per share of 80 cents (2010: 51 cents) Listed, independent asset manager Coronation Fund Managers today announced interim results for the six months to end March 2011. Revenue has increased by 32% to R865 million and profit by 32% to R299 million...
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It's never too early
01 April 2011 - Kirshni TotaramI am surprised each time I come across people who simply cannot afford to retire at age 65 (and older), and are forced to keep working or are left with small amounts of capital that afford them very little dignity in retirement. In today’s world of instant global communications, the web and the fast pace of change, we have become a consumer generation where instant gratification is a way of life...
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Economic outlook - a series of unfortunate events
01 April 2011 - Chantal ValentineThe quarter was dominated by a series of crises globally, which hit the world on every front: economic, political and natural disaster. The European debt crisis remained a key worry, with further attempts to help the Euro periphery still not fundamentally addressing the sustainability of debt in these countries. Politics dominated the Middle East and Africa, from Cote d’Ivoire’s disputed election...
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Coronation Named the Best Large Fund House
01 March 2011 - Pieter KoekemoerCoronation Fund Managers was named Best Large Fund House at the 2011 Morningstar South Africa Fund Awards ceremony held in Cape Town. The awards recognise fund managers in South Africa who have demonstrated excellence in the past year and in their stewardship of fund shareholder capital over the long term. Coronation received this prestigious award in recognition of consistent performance delivery...
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Africa Is Zimbabwe the true survivor?
31 January 2011 - Peter LegerMany of you will be familiar with the TV reality show ‘Survivor’ – a competition where contestants are stranded in a remote location with little more than the clothes on their backs. The competitors need to survive as a tribe, but in truth it is everyone for themselves. Alliances are forged and symbiotic compromises made in the interest of survival. One by one, team members fall as only the...
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The next step
08 January 2011 - Chantal ValentineGDP data for the third quarter of 2010 came in at 3.2% year on year, showing that the South African economic recovery continued to gain traction. We anticipate GDP growth to have been 3.1% for the full year, and to rise closer to 4% this year. The most striking outcome from the last set of GDP data has been the consumer recovery. Regular readers will know that we had been calling for this for a...
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Coronation delivers excellent results in volatile times
08 January 2011 - Coronation InsightsCoronation delivers excellent results in volatile times - Assets under management of R247 billion, up 21% - Diluted headline earnings per share of 176 cents, up 38% - Total dividend per share of 172 cents, up 35% JSE-listed, independent asset manager Coronation Fund Managers (“Coronation”) today reported another set of excellent results for the year to 30 September 2011 despite extreme...
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Chinese motor vehicles stocks
01 January 2011 - David CookAll that glitters is not gold. Often have you heard that told.’– William Shakespeare, The Merchant of Venice The case for strong growth in domestic consumption in China is well known. Consequently, most companies that stand to benefit from this predicted swell in consumption are priced for very strong growth (the Chinese supermarket retailers, selected clothing retailers, branded food companies...
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Coronation World Equity Fund of Funds
01 January 2011 - Tony GibsonAs we move into 2011, you will by now be aware of our well communicated promotion of the merits of international investing. We are strongly of the opinion that high quality international equities offer attractive value over the medium term. This is both on an absolute basis – when viewed in the context of their abysmal returns of the past 10 years, and on a relative basis – when compared to the...
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Coronation outperforms in volatile markets
01 November 2010 - David Nelson- Assets under management of R198 billion, up 28% - Diluted headline earnings per share of 128 cents, up 112% - Total dividend per share of 127 cents, up 154% Independent, JSE-listed fund manager Coronation Fund Managers today announced excellent results for the twelve months to September 2010, consolidating its standing as a leader in the asset management industry. Coronation CEO Hugo Nelson...
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Bad news creates investment opportunity
01 July 2010 - Charles de KockReading the financial pages of newspapers has been rather depressing of late. Europe has had to weather nothing short of a major crisis with the large indebted governments of Greece and other southern European nations exposed. It took massive intervention by the International Monetary Fund and the European Central Bank to prevent Greece from defaulting and contagion spreading to others...
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Coronation reports exceptional set of half-year results
01 March 2010 - David NelsonAssets under management of R176 billion Diluted headline earnings per share of 64.8 cents Interim dividend per share of 51 cents Independent, listed fund manager Coronation Fund Managers (“Coronation”, CMLJ.J) today announced its interim results for the six months ended 31 March 2010. Revenue has increased by 80% to R655 million. Together with a continued focus on cost control measures, this has...
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International outlook
01 January 2010 - Tony GibsonThe chart below shows the VIX Index. Put simply this is a measure of the volatility of the S&P index or put another way, it represents how large and frequent share price movements have been over the past 20 years. As can be seen below, until mid-2008 the index ranged from around 10, up to 45, thereafter it went haywire, spiking at an unprecedented 80, before stabilising within the more normal range of 20-30...
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Global inflation outlook
01 January 2010 - Chantal ValentineThere has been some debate about the outlook for global inflation for this year (and the next couple of years). The argument is broadly split into three camps: Those economists who fear that the massive monetary and fiscal stimulus of the past couple of years can only end in tears as far as inflation is concerned. Such massive stimulus will work to promote growth and with interest rates at...
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A look at small cap shares
01 January 2010 - Alistair LeaIf you had invested in the small cap index some 15 years ago, your investment would have grown 11.8% per annum; not too far off the 12.6% per annum return delivered by the overall market over the same time frame. But within these 15 years small caps had many phases of dramatic out and underperformance of the market. So, why the volatility? Why do small caps go from being loved by investors to...
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Asset Management - 2010 and beyond
01 January 2010 - Kirshni TotaramThe world has changed – of that there is no doubt – and our everyday vocabulary has adjusted to the new paradigm. Bubbles, formerly associated with fun at kids’ parties, are now synonymous with booms and busts in financial markets; apple is no longer just a fruit and nor is a blackberry. The ups and downs of the past decade have been profound, starting with the hype around Y2K (remember that?)...
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Keeping out of trouble
01 January 2010 - Karl LeinbergerThe greatest challenge in any investment firm is to build an enduring competitive advantage. In an industry as competitive as fund management, it is not an easy task. It is tempting to argue that Coronation’s competitive advantage lies in its people. We endeavour to hire only the very best and then we put extraordinary effort into training them to become world-class investment professionals. But...
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Bond market outlook
01 January 2010 - Mark le Rouxmproved outlook Bonds returned a very poor -1% for the 2009 calendar year; underperforming cash by close to 10%. The outlook for the year ahead, however, looks decidedly more positive, with current yields close to 9.5% compared with their 2009 starting point of around 7%. Why?… Improved inflation trajectory The key driver for this improved outlook is the expectation that the improving trend in...
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Active management delivers in emerging markets and Africa
15 October 2009 - Coronation InsightsFollowing the events of 2008, emerging markets sustained their excellent performance in the past quarter, with most African markets following suit. Through smart stock selection and asset allocation the Coronation Emerging Markets and Africa funds trumped their benchmarks to deliver superior returns for the year to end September 2009. The Coronation Global Emerging Markets Fund has...
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Downward pressure on inflation gains momentum
01 October 2009 - Mark le RouxInflation data, while gradually moving downward, has continued to disappoint throughout the second quarter of this year, consistently coming in above consensus expectations. However, there are reasons to believe that the ‘sticky’ pace of decline is unlikely to continue and that the inflation story will be tilted back on a positive path. CPI should be back within its target range of 3%-6% by early...
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Coronation performs in tough markets
12 May 2009 - Coronation InsightsCoronation produced a solid set of results for the six months ended 31 March 2009 in the ongoing global financial crisis. Revenue declined by 14% to R363 million as asset values contracted in the extremely difficult operating environment. The containment of fixed costs with leverage from declining variable costs positively impacted operating costs which declined by 14% to R231 million. Profit from...
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The world's a mess - buy global equities
19 March 2009 - Karl LeinbergerThe worlds financial system seems to be unravelling. Cedit markets are paralysed. The decline in stock markets and house prices has destroyed US$9 trillion in the wealth of the United States alone. That translates to 60% of US gross domestic product. In times like this the temptation to sell risk assets and sit in cash is immense. Many are saying it's not the time to be brave and this is...
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Bonds:the next bubble?
24 January 2009 - Julius CobbettThis week, two asset managers released bearish commentary on bonds. Allan Grays Ian Liddle asks if government bonds are in a bubble. Judging by the recent fall in yields on U.S. 10-year government bonds to a low of 2,1%, Mr Market believes that policymakers will tighten monetary policy in time to prevent large-scale inflation, says Uddle. Perhaps this places more faith in bureaucrats than is...
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A general discussion on the health of mining in SA
09 January 2009 - Henk GroenewaldFELICITY DUNCAN: South Africa's economy was built on mining, especially gold mining, it brought people to the country, it's laid the foundations for the stock exchange and our banking system, but nowadays it looks as if South African mining is far from shiny. Statistics SA put out numbers today saying overall mining output for the quarter to April is almost 9% lower than last year's first...
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Coronation delivers satisfactory results in volatile martkets
01 May 2008 - Coronation InsightsCoronation Fund Managers today announced results for the six months ended 31 March 2008. Hugo Nelson, CEO of Coronation Fund Managers commented: “The six months under review was characterised by negative global market sentiment which extended to global emerging markets, triggering an indiscriminate sell-off in the South African financial and industrial sector. We produced a satisfactory set of...
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Double, double, toil and trouble
01 April 2008 - Chantal ValentineHigher inflation plus slower growth make for a tricky monetary policy equation A witches’ brew, indeed. The onset of the credit crunch against a background where a number of emerging markets are still growing fast (and gobbling commodities as they do so) has led to one of the trickier outcomes for many countries: a combination of slowing growth and rising inflation. Tricky for monetary...
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Negative mood creates buying opportunity
01 April 2008 - Charles de KockBuying high-quality assets at low prices is the route to wealth creation. It is April 2008 and investors are nervous. And rightly so. The world is awash with bad news. The financial/liquidity crisis The global financial system is under threat due to the injudicious lending practices of greedy bankers exposed when the property bubble finally popped. As a result, banks are being forced to...
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Coronation International wins Botswana pension mandate
15 November 2007 - Coronation InsightsLondon-based multi-manager Coronation International has been awarded US$215 million from the Botswana Public Officers Pension Fund as part of a larger mandate awarded to the JSE-listed parent company Coronation Fund Managers. The inflows are to be invested in two of its global fund-of-fund products: the Coronation Global Equity Fund of Funds and the Coronation Multi-Strategy...