Last year was a dismal one for the listed property sector – both locally and globally. But there are strong signs of a turnaround, and potential for further recovery in the sector going forward.
The two local bellwether property indices have both risen above the benchmark 200-day moving average trading pattern since the start of the year, offering hope to investors in the beleaguered sector that a turnaround is happening.
There has been a number of previous breakouts from the moving average since the highs of January 2018. However, they were marginal, and further pullbacks materialised thereafter. But this breakout could prove to be more sustainable.
The move has been more pronounced in the All Property Index (the ALPI or J803), which provides for a broader global exposure and was introduced in October 2018. The traditional SA Property Index (the SAPY or J253) was trimmed down to a more local exposure amid a myriad of challenges, ranging from concerns around expropriation without compensation to higher interest rates in the US, low economic growth prospects in SA, and the negative Viceroy report on Resilient and its linked companies.
Good news for investors is that the bombed-out UK property sector, with the likes of Capital & Counties, Hammerson and Intu, is also seemingly in recovery mode. This is based on optimism that the UK could escape a chaotic no-deal Brexit scenario, which has supported the pound lately.
Bu hikaye Finweek English dergisinin 7 February 2019 sayısından alınmıştır.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Giriş Yap
Bu hikaye Finweek English dergisinin 7 February 2019 sayısından alınmıştır.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Giriş Yap
THE HEALTH OF SA'S MEDICAL SCHEMES
As the Covid-19 pandemic abates, finweek takes a look at the financial performance of some of the largest players.
The effect of Gilbertson's departure
With Ntsimbintle Holdings now the major shareholder of Jupiter Mines, it could change SA’s manganese industry.
Making money from music
Why investors are increasingly drawn to the music industry.
Conviction is key
Sandy Rheeder plays a critical role in Mukuru’s mission to open up financial services to the emerging consumer market in Africa through tailor-made technology solutions and platforms.
The post-pandemic toolkit
How CFOs can use technology to support growth.
Big city living exodus
Mini cities like Waterfall City and Steyn City are redefining city-style apartment living.
Big compact, big value
Handsome, with a hefty level of standard specification, the roomy Haval Jolion compact crossover is a great value proposition.
On barriers to entry
There are various ways in which a company or sector can achieve competitive dominance. They usually make for good investments.
Fear and greed in one index
To buck the trend, when markets are hot or cold, is a tough thing to do. However, it can deliver solid returns.
Africa's largest data centre facility coming soon
Vantage Data Centers plans to invest over R15bn for its first African data centre facility in Attacq’s Waterfall City.
