Absa CEO Arrie Rautenbach steps down as the group’s valuation continues to lag that of its peers
Commenting on Absa’s results and the surprise announcement of CEO Arrie Rautenbach stepping down, Mergence Senior Analyst Radebe Sipamla said that governance issues may have played a part. Absa may be trailing its peers on account of a softer performance from its retail business, which had been broken up into various units and thus had […]
Privaatwater skitter in vergelyking met wat munisipaliteite lewer
In this interview in Afrikaans on RSG Geldsake, Kasief Isaacs, Head: Private Markets at Mergence Investment Managers, chats to presenter Tinus de Jager about Mergence’s private market investments in private water concessions and how this model could be replicated across other municipalities as a workable solution for the water crisis in SA.
Privately-run water companies come to the rescue
Mergence is invested in the only two private water concessions in SA, via a public private partnership, with a majority share in SA Water Works which runs Siza and Silulumanzi. The impact has been significant in terms of seamless water supply to communities and reduced water leakage. Kasief Isaacs, Head: Private Markets at Mergence Investment […]
Unconscious biases in hiring and promotion still exist
Fazila Manjoo, Portfolio Manager at Mergence Investment Managers, is featured in Money Marketing’s Women’s Month issue. Starting as an actuarial specialist, she transitioned to investment management and now manages the Mergence Global Quant Equity Portfolio, which has outperformed its benchmark since its inception in January 2024. Fazila advocates for creating more specialised roles for women […]
Impact of the US monetary policy cycle on the gold price
Weak economic data and volatility in risk assets over the past week have increased expectations of an imminent Fed rate cut. In this short note, we examine the impact of the Fed’s monetary policy cycle on the gold price to determine whether the next cutting cycle is likely to support gold or if this effect […]
Municipal debt of R21bn a threat to water boards’ viability
Business Day reports that South Africa’s 15 water boards, which manage water infrastructure, are owed R21.3 billion by municipalities. This debt threatens the sector’s viability, as non-payment hampers the boards’ ability to maintain and operate their systems. The government plans to address this issue through an inter-ministerial effort. Kasief Isaacs, head of private markets at […]
SA banks earnings spotlight ahead first rate cuts 2024
Commenting on SA banks’ reporting season, Radebe Sipamla, senior investment analyst at Mergence Investment Managers, said credit growth will likely come from corporate lending with retail loan growth likely to remain tepid. Most banks are expecting growth in net interest income. Inflationary pressures, high interest rates and regular power blackouts are taking a toll on […]
Ten-year relationship between Pick n Pay and Discovery Vitality officially ends
As Discovery Vitality realigns its health food partner strategy, its decade-long relationship with retailer Pick n Pay will officially come to an end on August 31. Peter Takaendesa, the head of equities at Mergence Investment Managers, said the move made sense for Vitality as it is quite likely that most of Vitality’s mid-high-income members are […]
What could a second Trump term mean for markets?
How could markets likely react to the prospect of a second Trump term? In Money Marketing, drawing on recent and historical data, Mergence CIO Brad Preston looks at the global and local markets and draws a few concluding remarks.
What could a second Trump term mean for markets?
The last few weeks have seen a dramatic shift in expectations for the outcome of the US presidential election. Starting with a poor debate performance by Joe Biden, which catalysed calls for him to drop out of the race, followed by an assassination attempt on Donald Trump and more recently the unprecedented withdrawal of the […]
Time to toll the information highway?
In a wide-ranging cover story in Financial Mail, specialist IT writer Mudiwa Gavaza looks at the potential turnaround of the telecoms sector under a new Minister. One idea mooted is for internet companies to pay for part of the upkeep and expansion of telecoms networks in the same way as vehicle owners pay taxes to […]
As Naspers gears up to battle over AI it sees its SA roots as a plus
News24 covered the latest Naspers/Prosus results in depth. The group has managed to swing its consolidated e-commerce business into its first-ever profit, and is that confident a strategy of local partners and footprints will give it an edge as AI offers the prospect of market disruption and major productivity gains. Commenting on the Naspers/Prosus share […]
