Simon's till death us part portfolio

Simon Shares

In last weeks show I covered Porter's Five Forces for selecting awesome shares worthy of investing in. This week I delve into my personal 'til death do us part' portfolio explaining why I hold each share. In two weeks (13 July, book here) we'll have a webcast where you can interrogate my selection and also propose shares of your own for inclusion into a 'til death do us part' portfolio.

At the time of recording my portfolio is as below (Find my consistently updated portfolio here)

• BHPBilliton (JSE code: BIL)
• Capitec (JSE code: CPI)
• Citylodge (JSE code: CLH)
• Discovery (JSE code: DSY)
• Famous Brands (JSE code: FBR)
• Metrofile (JSE code: MFL)
• Richemont (JSE code: CFR)
• Sasol (JSE code: SOL)
• Shoprite (JSE code: SHP)
• Woolies (JSE code: WHL)

===

JSE – The JSE is a registered trademark of the JSE Limited.

JSEDirect is an independent broadcast and is not endorsed or affiliated with, nor has it been authorised, or otherwise approved by JSE Limited. The views expressed in this programme are solely those of the presenter, and do not necessarily reflect the views of JSE Limited.

Finding awesome stocks to invest in

Simon Shares

I am traveling and then on leave, so this week I look at Porter's Five Forces and in next weeks podcast I follow this up by running my 'death do us part' portfolio of stocks through the process. Then two weeks after that (13 July 8pm) we'll do a live webcast whereby you can ask questions about my portfolio and any stocks you may consider worthy of a 'death do us part' portfolio (my portfolio is always published live here). Book for the webcast here.

Porter's Five Forces

• Competitive rivalry within an industry
• Threat of substitute products
• Threat of new entrants
• Bargaining power of customers
• Bargaining power of suppliers

I add;

• Buy winning stocks in winning sectors
• Legislative risk

You'll find a review of Porter's Five Forces here and I also include it in the Boot Camp video on Fundamentals and Technicals in which I include examples from local stocks.

JSE – The JSE is a registered trademark of the JSE Limited.

JSEDirect is an independent broadcast and is not endorsed or affiliated with, nor has it been authorised, or otherwise approved by JSE Limited. The views expressed in this programme are solely those of the presenter, and do not necessarily reflect the views of JSE Limited.

Hedge funds for everybody

Simon Shares

• MTN have concluded the Nigerian fine at around a third of the initially proposed fine. A good deal for the company but they should never have found themsleves in the position in the first place an I still do not like management and am not a buyer.
• Pick n Pay (JSE code: PIK) are finally getting rid of their 35-year pyramid structure that key control of the company in the Ackerman hands even though they only held c26% of the shares. But they are retaining control via special unlisted B shares, so nothing changes and the company remains under the control of a family who frankly have conceded the title of retail to Shoprite (JSE code: SHP).
• Brexit fears are running wild, ignore it. It's just short term noise. Big picture it matters not one way or the other, it just hysteria right now that will reach deafening levels by the time they vote next Thursday.

Jean Pierre Verster portfolio manager Fairtree Capital

The hedge fund industry in South Africa is leading the global trend and changing to make itself open to private investors with regulation for the funds themselves. Jean Pierre explains what the attraction of a hedge fund is and what the new regulations are all about. He also warn that like any other fund some may blow up.

We Get Mail

• Robert
  • When I buy ETFs, how do i find out whether it pays out quarterly dividends or re invests them?
• Jonathan
  • Shares not in your name, rather on Easyequities books? Thoughts?

Simon Shares

• New logo for JSE Direct to bring it inline with the new Just One Lap branding.
• S&P is negative but not junk, Fitch says we stable, GDP says we half way to a recession.
• GIVISA, the cheapest ETF on the JSE. But is it any good? Kristia goes on a nerdy bender digging into the details.
• Keith McLachlan on building a small cap portfolio.
• The Just One Lap team is starting to do more Periscope videos; follow us all at;
  • DeeOnMoneyZA
  • TraderPetri
  • KristiaVH
  • SimonPB

Zack Bezuidenhout S&P Dow Jones Indices

We chat indices, costs, new developments and smart beta. Zack also has a great analogy about the financial services fee structure and the medical industry that really highlights the wrongs in the financial services industry.

We Get Mail

• Lauren
  • What about the Swix index for investing?
• Rudolph
  • A question, are you still happy with your decision to sell all your BATS shares, after a 40% return the past year?
• Philip
  • Regarding the debate of investing in the US or worldwide, why not invest in these 2 ETFs – namely, IXUS and ITO? I do not think you are going to find ETFs with lower fees, 0.03 and 0.14. The IXUS seeks to track the investment results of an index composed of large-, mid- and small- cap non-U.S. equities. The ITOT seeks to track the investment results of a broad-based index composed of U.S. equities.

Can DIY investing beat the market?

Simon Shares

• PPC in real trouble. Management have let the company down by not spending up capex locally, not hedging their USD debt and now they need a massive rights issue. Will they survive?
• Are local markets pricing in a downgrade? Nobody knows either what Standard & Poors will say or what the market is or is not pricing in.
  We have a new podcast going live every week, The Fat Wallet Show. In it Just One Lap CEO Kristia van Heerden, picks a topic and asks questions until she gets an answer. She kicked off with structured products.
• Momentum portfolio update for the quarter ending May 2016 is here, life time returns below.

We Get Mail

• Daniel
  • Now if research shows that the percentage of fund managers that outperform the index over a 1, 3, 5+ year period get smaller and smaller then, what chance do we as retail investors have of: A) outperforming a fund manager (with CFA's, CA's, research teams) when stock picking; and B) outperforming the index?
• Esther
  • Please give details on tax and the trader.
• Kenny
  • I have a discretionary share portfolio in which I occasionally sell a share after keeping it for less than 3 years. I never withdraw money out of my account, but will keep it in cash and wait for a buying opportunity. Will I be held liable for income tax or does income tax only apply when an investor withdraw money out of his share account?
• Higgo (via twitter)
  • Would you rather sell Discovery (JSE code: DSY) and buy British American Tobacco (JSE code: BTI) or Investec (JSE code: INP/INL)? 

JSE – The JSE is a registered trademark of the JSE Limited.

JSEDirect is an independent broadcast and is not endorsed or affiliated with, nor has it been authorised, or otherwise approved by JSE Limited. The views expressed in this programme are solely those of the presenter, and do not necessarily reflect the views of JSE Limited.