2oceansvibe News | South African and international news

Sponsored by RSAWeb rss
2ov Radio
  • Home
  • About
    • Terms and Conditions
    • Seth Rotherham
  • 2ov Radio
  • Café du Cap
  • Cabine du Cap
  • Cape Town Apartment
  • Media Packs / Advertising
  • Contact
    • Contact
    • Anonymous Tips
    • Twitter
    • Facebook
Seth Rotherham
  • The One Graph That Shows Just How Badly The South African Economy Is Tanking

    23 May 2016 by Jasmine Stone in Finance, Money, South Africa, Vibe
    Related Posts
    • Ramaphosa's Four-Point Plan To Fix SA's Economy Panned
    • "Economic And Political Collapse By 2030" - Dire Prediction For SA's Future
    • SA Treasury's Staggering Economic Warning
    • South Africa's Top CEOs Are Taking Home The Big Bucks
    • Thursday Morning Spice

    I know what you’re thinking – it’s called the exchange rate, and we’ve all watched on in horror as the rand plummets against both the U.S. Dollar and the Pound.

    Sure that’s a decent indicator, but that’s not what we’re focusing on here.

    Back in January the International Monetary Fund cut South Africa’s economic growth outlook for 2016 to 0.7%, which just happens to be the lowest ever in our history.

    Still that’s not the shocking bit, according to Sasfin Securities’ deputy chairman David Shapiro, who says he was blown away when ‘he looked at a graph of the five-year performance of the JSE in US dollars’.

    Here’s MyBroadband:

    Someone who bought into the JSE would have shown a return of around 60% in rand terms. The US’s S&P 500, in comparison, was up by around 55%.

    However, when the JSE’s value is converted into US dollars, the JSE’s returns are down 25%. That means there is an 80% gap between the JSE and the S&P 500 when measured in a hard currency.

    “This shows how far down the tubes we’ve gone,” said Shapiro, highlighting that the rand has declined by 120% over the last five years.

    sjhockinggraph

    The graph [above] shows that an investor would have made a 28% loss over the last 12 months if they invested $10,000 in the iShares MSCI South Africa ETF.

    The ETF, listed on the NYSE, provides investors exposure to large and mid-sized companies in South Africa through targeted access to 85% of the South African stock market.

    Not really the kind of thing that inspires investor confidence, now is it?

    [source:mybroadband]

    [imagesource:here]

    • ← Hollywood Prepares To Be Rocked By Jimmy Savile Levels Of Child Abuse Scandals
    • Incredible Footage Showing 70 Sharks Tearing A Whale Apart Goes Viral [Video] →
    • Tweet
    • Tags:
    • jse
    • south african economy
    • the rand

    Latest News

    • Zapiro Celebrates The End Of President Trump

      [imagesource:here] Tomorrow, as the clock ticks past midday in Washington DC, it will b...

    • Real-Life ‘The Terminal’: Man Lives Undetected In Airport For Three Months

      [imagesource: Destination360] In case you haven't seen it, The Terminal is a Steven S...

    • The Moment Elin Nordegren Knew Tiger Was Cheating

      [imagesource:here] When you live most of your life in the spotlight, like Tiger Woods, ...

    • At Last, A Slight Decline In SA COVID-19 Cases

      [imagesource:here] It has been a harrowing few weeks in South Africa, with confirmed ca...

    • Footage From That ‘Baby Formula’ Arrest As SAPS Sued [Video]

      Naas le Roux is fuming, and it's not hard to see why. Across the country, criminals oft...


    • 2oceansvibe Partners

    • CONTACT US
    • GOT A HOT STORY?
    • 2oceansvibe Radio
    • 2oceansvibe Media
    • Media Pack
    • Seth Rotherham
    • Café du Cap
    • Cabine du Cap
    • Cape Town City Accommodation
    • Terms & Conditions
    • Business
    • Media
    • Entertainment
    • Tech/Sci
    • World
    • Travel
    • Lifestyle
    • Sport
    • Politics
  • Follow

    2oceansvibe.com is part of the 2oceansVibe Media Group

    DMMA Logo