| Are you interested in learning what a "search fund" is? I hadn't heard of the term either, as we haven't had these things in South Africa. Sibusiso Mbonambi has changed that situation in his role as Managing Partner at Cosworth Capital, bringing the concept of a search fund to our shores. For founders looking to exit private companies of decent size, this is a particularly interesting and efficient option. To find out more, register to attend the bizval webinar this Wednesday at midday. You'll find the registration link here>>> I have a brand new Ghost Wrap podcast episode for you, covering five companies across five different sectors in just six minutes. I wish you luck in f inding a more efficient update than that. Brought to you by Mazars, I looked at Libstar, Gemfields, FirstRand, Metair and Growthpoint. With everything from mushrooms through to car batteries, emeralds, properties and conservative approaches to banking, Ghost Wrap is the right choice for coffee break insights. Find it here>>> School is in session, and who better to impart some knowledge on Unlock the Stock than a company that is all about education? Watch the recent recording with Curro Holdings at this link, brought to you by A2X. The value of a household nameIt is true that the world's biggest brands can sometimes end up at frothy valuations. It's also true that they are the world's biggest brands for a reason, offering genuine staying power and market leadership that tends to endure through difficult cycles. When you layer on the structural weaknesses in South Africa vs. developed countries, an investment opportunity that gives exposure to the 100 most valuable brands in the world through a single instrument becomes very interesting indeed. In Episode 142 of Magic Markets, Justine Brophy of AnBro joined us to talk about a new product that will list on the JSE and give investors a way to add the 100 most valuable brands to their portfolio with just one click. Interested? Find out more in this podcast>>> SWIX? ALSI? What's in a name?A lot, as it turns out. Nico Katzke at Satrix has brought us many great insights in Ghost Mail and is back with an article that I found very interesting. Benchmarks are important, as local active managers often pick either the SWIX or the ALSI as the benchmark for performance and thus performance fees. An index harmonisation project is underway at the JSE, with the SWIX and ALSI set to converge in March 2024. To under stand why and how this is happening, read this article>>> A day of fun facts on the marketI always enjoy it when relatable companies report numbers. You don't have to be an investment genius to find something interesting in the Lucky Star pilchards volumes at Oceana, or the impact of the Greek peach crop on RFG's numbers. And at Gemfields, it's easy to understand that the emerald auctions are finished for the year, due to a recent drop in quality of the mined gemstones at the Kagem mine. There are also a few M&A updates, including AngloGold getting out of a joint venture that had no external bidders for the stake and Mondi exiting Russia at a predictably tiny valuation. Zeder is selling off Capespan, except for a significant asset within that group that Zeder will hang onto. On the results and pre-close updates front, we saw news come in from AfroCentric and property group Fairvest. But it was the update from Naspers / Prosus that really got tongues wagging in the morning. Bob van Dijk is out as CEO, with much speculation in the market about what could've led to this immediate exit (other than a fluffy consulting role for the next year which doesn't take away the shock nature of the exit). Was is the track record of destroying value? Was it because his crowing achievement was to create a convoluted structure and then unwind it, endearing himself to an army of advisors? Were his shirts simply too tight for a share price that hasn't performed? Was the plunging neckline a reflection of the sinking feeling that investors got when looking at the non-Tencent portfolio? I've seen many theories out there. We may never know. All we know is that he's out, replaced by the current Chief Investment Officer based in San Francisco. If you hoped that the dealmaking will be less exotic going forward, I wouldn't hold my breath. They've put an M&A enthusiast in charge, not an accountant with grey shoes. Everything you need to know about all these stories can be found in Ghost Bites. Read it here>>>
A collective breath ahead of the FOMCThe markets were in limbo yesterday, with narrow trading ranges ahead of the FOMC meeting later today. In the TreasuryONE market update, the team notes that the rand hovered around R19.00 for most of the day. What remains to be seen is whether the dollar can continue its recent pattern of weekly gains, with a busy week of data that also includes inflation data from the Eurozone and UK. Locally, we also expect inflation reports and an MPC meeting on Thursday, which could independently influence the performance of the rand. I highly recommend the TreasuryONE YouTube channel and the regular market reviews. In the latest video, the team gives more insights into inflation trends and this all-important FOMC meeting. Watch it here>>> Finally, are you interested in tax?Singular Systems is looking for a tax data analyst to join the team in Johannesburg. Singular delivers customised software solutions to businesses across a range of industries, so this is a good place to play if you're keen on themes like technology and big data. If you would like to find out more about the opportunity, you can read all about it at this link>>> With that, I wish you a great Tuesday! | 