Share Forum - Discuss JSE shares and join the Investor Challenge

@Jadeb, what's your twitter handle?

Caught this on Bruce's show last night:

http://www.capetalk.co.za/articles/4697/investing-in-shares-just-got-easier-and-way-cheaper-got-r10

All the numbers add up on this one, general sentiment is very positive and I will be opening a position in it (with the small holding I will sell in ACG).

Interesting - might use them from next year.

Although I cannot fault EE for their offerings and for guys on a limited budget they have been a breath of fresh air, my one reservation with them is that when buying individual shares, as I understand it, they are not registered in my name at compuserve. So if they go bust, you could loose everything? Or do I have that wrong?

Still think they are great for lots of smaller trades - but over a certain amount, and if you already paying for a stock account, it might be better having the money with the bigger guys. IMO

Quote

Tax Free Savings Account (TFSA)
We are glad to announce Tax-Free Savings Account (TFSA). Below are some key features you should know:

Brokerage is set at 0.2% with no minimum and No monthly admin Fee E.g. An investment of R500.00 will cost you a total amount of R5.54 including statutory costs
No Securities Transfer Tax (STT)
No Capital Gains Tax (CGT) when you sell these products
No Dividend Withholding Tax (DWT) on dividends earned
No tax on interest earned.
There is a R30 000 annual contribution limit and a R500 000 lifetime contribution limit.
Selected Exchange Traded Funds (ETFs) are suitable.
Profits made in the TFSA account do not contribute to existing tax annual limits (interest and capital gains), and may be re-invested in the TFSA account without utilising the contribution limit, provided they are not withdrawn.
Simplicity in terms of product features, fee structures and administrative processes.
Investment amounts are restricted to the annual and life-time product investment limits - currently R 30,000.00 and R 500,000.00 respectively.
It is the responsibility of the investor to avoid exceeding the above limits or they may be held liable for related penalties issued by SARS.
Currently only selected Exchange Traded Funds (ETFs) are suitable.
All you need to do is follow these 5 easy steps:

Go to www.absastockbrokers.co.za and click on create an account
Select personal account as TAX FREE SAVINGS ARE ONLY FOR INDIVIDUALS
Complete the personal details page to view what is on offer and to complete the mandate
Complete the Online mandate and accept the T&C’s
Once your account is activated Transfer you funds electronically to us to start trading:
Absa Stockbrokers (Pty) Limited
Account number 01026911695
Branch code 632005
Reference ”TFSA + your account number”

Hi Divi,

Thanks for all of your posts on the site they provide a lot of useful insight. I posted about EE in another section of the forum but never got any replies. I am a little worried about the safety of my money that I have with EE and found this on their site:

"WHAT PROTECTIONS DO YOU HAVE?

Whole Securities   
Are held in safe custody by a nominee company in your name. Your Whole Securities belong to you and will be kept separate from our estate and our assets.

Profit and Margin in respect of Fractional Share Rights   
When you enter into a CFD Transaction you must pay us Margin in terms of clause 11.6(3) - 11.6(5). You may also earn a Profit in terms of clause 11.6(4) - 11.6(6).
The money that you give us as Margin or that constitutes your Profit is either:
held in trust by a nominee company for your benefit; or
is paid by us to Peregrine, and Peregrine holds that money in trust for our benefit.
We have a right to claim Margin and Profit from Peregrine, and we cede you this right as security for any payments we may owe you under the Agreement.

TRADING RISKS

Profits and Losses   
You are responsible for all Trades on the EasyEquities Platform.
We do not give you any advice or recommendations regarding Trades.
The issue of CFD Transactions is not subject to FAIS and you may not rely on the provisions of FAIS in respect of your CFD Transactions.
You are responsible for any profits or losses as a result of Whole Securities which you buy and sell or decisions you make regarding close out of a CFD Transaction.
Engaging in this type of transaction can carry a high risk and you may lose all of your money in respect of Whole Securities and CFD Transactions.
CFD Transaction trading does not occur on a recognised exchange and, may consequently expose you to greater risks than exchange based transactions."

Can anybody put this in more lamen terms than it already is? 
I don't see the option to trade CFD's anywhere in the platform so why do they reference it?
And who's name are the shares and ETF's that I buy registered in?

Hey all,

I'm new to Investing and this site. I have some unit trusts and an RA which I have taken out myself. I am a contractor and get paid by the hour so I do not have a corporate managed pension fund. Due to a rocky example set by my parents i am very interested in doing a lot better than them. Fortunately for me they suffered to provide me with a great education and I hope that I do not fall too low on the intelligence bar.

I agree with sentiments from both pieces of advice above. I started with my unit trusts and RA but through reading/research found that the fees were hurting my returns in the long run. I invested R20k over a few months into a share investor account with FNB and began my journey. The fees with the FNB account didn't permit me much room to play not to mention the "school fees" I have paid in bad decisions and taking word of mouth advice. I have subsequently moved my entire trading account to Easy Equities so that I have less fees to pay while I learn and develop a more profitable strategy.  (For the other Newbie; the justonelap site has given me great insight and I think it's an awesome place to start. )

I thoroughly enjoyed the tax avoidance article posted above and have already started a TFSA with Easy Equities (I have picked DBX-EU/DBX-JPN).  I mentioned this to a friend of mine who works in the banking sector and he turned to me in shock and told me that I should not leave my money in their care, he sent me the holding company website and said nothing more.

My 2 Questions:

=>What is the sentiment for keeping your 500k TFSA and a large amount of trading capital with Easy Equities (Purple Group Limited) who are not as big or as reliable as our major Banks? RMB, Standard Bank etc.

=>Are there any investor/trading clubs in Pretoria that have some room for a newbie?