Thursday, 13 February 2020

JSE back to 1994

It is easy to imagine the decline of South African industry and public service due to incompetence and a sheer lack of simple maintenance, but to truly appreciate the success of BBEEE and AF one can look at the Economy.


In a Business Insider SA article with headline SA lost 250 listed companies since 2000 – there are now almost the same number of listings as before 1994 a reporter wrote:

According to a report by the the market information service TimBukOne, there are currently only 344 listed companies on the JSE - down more than 40% from the 601 listed companies as recently as in 2001.


The number of listings have dwindled to levels last seen during the end of apartheid. In 1993, there were 305 listed companies.


Many smaller companies have left the bourse after takeovers. “The trend is towards delisting,” says Jean Pierre Verster, CEO of Protea Capital Management.


While the JSE's all-share index gained 8% in 2019, it lost more than 11% in 2018. Also, last year’s gains were concentrated in some bits of the market, mostly in the mining sector  – Impala Platinum jumped 290% – while Massmart (Makro and Game) lost half of its value in a single year, Truworths dropped 40%, Shoprite lost almost a third and Mr Price fell 23%.


Thus the obvious thinking goes, to prevent a negative growth just dig more resources out of the ground. The ULA had a feasibility study made which shows that we can easily realise positive growth without the natural resources and mining industry.

If you agree give your mandate at www.ulacongress.com and take the first step towards a prosperous future.

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Pierre Crous - 'n Toekoms

Bring jou 3% by, sodat ons kan afstig. Jou mandaat by ulacongress.com Do your 3% effort so that we can secede. Your mandate at ulacong...