tickertalk.co.za - JustOneLap's blog - Cannon Super Dogs of the JSE

Posted: 7 November 2011 - 2 comment(s) [ Comment ] - 0 trackback(s) [ Trackback ]

Bank charges - everybody hates them. We're in no doubt that we're being ripped off but equally we're never sure if the grass is any greener at another bank and we stress about the trouble of changing banks. I'd usually jokingly suggest that you get a piece of the action by buying a bank share - so you're being ripped off on the one hand and you’re making money on the share. But in all seriousness, we do need to manage our bank charges otherwise we're throwing money away. The latest edition of FinWeek has their annual survey of banking charges and it's worth a read, but more importantly it is worth you shopping around. Speak to your bank and see if they have a cheaper option for you, navigate their fee structure and see if you can reduce your charges and maybe even consider changing banks. These days most banks will handle moving your debit orders and salary payments for you if you switch banks.

In the week ahead we have another JSE Power Hour by the superb Adrian Saville on Thursday at 17h30. This time his topic is Cannon Super Dogs. He goes looking for those shares nobody loves, has a good look at them and decides which are worth buying - a truly contrarian strategy but one that has worked well for him over the last decade. As always, Adrian will also let you know which super dogs he is buying, so it'll be time well spent. If you're in Johannesburg you can attend the event live, booking is here.

The past week was packed, starting with an updated our Momentum Portfolio for Q3 2011. We've been running this very simple portfolio for all of 2011 and so far it is whipping the index. As of 1 November 2011 the Top40 was off 1% year to date while the momentum portfolio was +17.5%! An awesome return and the methodology is simple and easy and working.

We also did a webinar on Trading Agricultural Futures. For most this is a totally new product but it’s one I am definitely going to start trading as they are absolutely uncorrelated to the stocks or indices I currently trade. The products are simple enough, albeit with some quirks (trading day ends at 12pm, they have a delivery month and price limits), and this webinar explains everything you need to know.

Keith Mclachlan started us down the valuation road with a webinar on Valuations: Price Earnings (PE) Model. It’s an easy yet powerful tool and he runs through the pros and cons of using the PE ratio. His next webinar will go into some case studies using the PE ratio and he's asked that people email us with stocks you'd like him to cover - contact him via the team page.