So which SATRIX are you invested in?

[supersunbird]

So which SATRIX are you invested in?

I'm on Satrix DIVI... heard good things about it on RSG financial show and Personal Finance.Reinvesting all returns, with 20% increase in debit order contributions annually.


Yay! First thread in new section

Update: Damn you RPM :p

[macxsanity]

can you tell me shed more light as to how this investment skim works it looks very interesting ......would like to jump on board ........

[Tomtomtom]

Both STX40 and STXDIV. Right now would be STXDIV buy imo.

[supersunbird]

can you tell me shed more light as to how this investment skim works it looks very interesting ......would like to jump on board ........

You can read up more on http://www.satrix.co.za/

But what a Exchange Trader Fund (EFT) is is a fund that tracks the performance of the relevant shares they are targeting.

For example the Top 40 tracks the Top 40 shares on the JSE. The FINI tracks mostly the banking shares performance while the DIVI tracks companies promising to provide the best divident returns per share and so on.

You can invest in a lump sum (minimum R1000 per SATRIX type) or debit order (minimum R300pm debit per SATRIX type). You then have option on if the dividents pay out to your bank account or gets reinvested to get even more shares, and also different options on how much you increase the debit order annually. Reinvesting the dividends will get you the biggest return in the end since you will have lots of shares that will grow in value and they will keep paying out dividends.

Remember investing is a long term thing. I'm investing for 20 years as an addition to my normal retirement fund provided by my employer and hopefully can retire comfortably.

[NetDude]

STX40.

[nakedpeanut]

I actually came across statrix today, as i'm also looking to invest my money.. (already blew my 1st paycheck :D)
How do they (STX40 in particular) compare to RMB's top 40 fund?

I'd have to agree that the Satrix DIVI looks very promising

[delta66]

i'm in stxdiv, sold property a few months ago and put a lump sum in.

[4cer]

i'm also in the divi, bought today :) lets see how this goes :)

[Freakboy]

Both STX40 and STXDIV. Right now would be STXDIV buy imo.

Ditto :D

[wndrbees]

I recently switched my satrix40 to bips40 due to lower TER.

also like the equal weighted nedbank bettabeta, which is not so resource heavy.

there is not really one that is better than the other, it depends on the market and what is doing well at the time. Resources are undervalued at the moment so the top40 and RESI looking like a good buys, prediction... its always fun to debate :)

also interesting is DBX stocks which are good rand hedges.

[Tomtomtom]

I recently switched my satrix40 to bips40 due to lower TER.

But the Satrix funds are ETFs you can transfer and trade through any stock broker, so where is the cost difference?

[undesign]

I've been investing in Satrix for the last few years - Satrix 40, Divi and Swix, the bulk being Satrix 40. I need to have a look at the split again, but just haven't got round to doing it yet.

[wndrbees]

But the Satrix funds are ETFs you can transfer and trade through any stock broker, so where is the cost difference?

you pay brokerage fees to your broker which should be the same for the different funds, however, the costs of operating a fund is represented by the Total Expense Ratio (TER), which is payed to the fund owner.
SATRIX40: 0.45%
BIPS40: 0.22%

[Tomtomtom]

you pay brokerage fees to your broker which should be the same for the different funds, however, the costs of operating a fund is represented by the Total Expense Ratio (TER), which is payed to the fund owner.
SATRIX40: 0.45%
BIPS40: 0.22%

I was not aware of this - thanks for the pointer.

[NetDude]

you pay brokerage fees to your broker which should be the same for the different funds, however, the costs of operating a fund is represented by the Total Expense Ratio (TER), which is payed to the fund owner.
SATRIX40: 0.45%
BIPS40: 0.22%

There I was thinking that SATRIX has the lowest costs. Thanks for the info.

[Greggle]

Excuse my ignorance ... but is bips40 also a Satrix product? I cant see it on their website.
I am a big Satrix fan - my investments have done pretty nicely!

[supersunbird]

Excuse my ignorance ... but is bips40 also a Satrix product? I cant see it on their website.
I am a big Satrix fan - my investments have done pretty nicely!

http://www.bipsetf.co.za/

Seems to be a RMB company that does its own ETFs...

[Greggle]

http://www.bipsetf.co.za/

Seems to be a RMB company that does its own ETFs...

Thanks for the link!

[delta66]

any predictions on what the share price per unit for the "divi"(stxdiv) will be by year end? as of today its @R1.69

[wndrbees]

any predictions on what the share price per unit for the "divi"(stxdiv) will be by year end? as of today its @R1.69
lol, the market is quite high at the moment, divi itself consists of a high percentage industrials which are strongly linked to consumer spending. Consumer confidence is also high at the moment which is good, however the dark lord of inflation is starting to emerge from the shadows of a recession which will put consumers under pressure. so predicting 13% from 18.43% last year. please don't base your investments on this figure :)

Satrix is an ETF provider. In the US their exists many ETF's for almost any commodity + hedge ETF's. Here we have a few but they are growing. Ones that I know of:
Satrix
Bips
ABSA
Proptrax
Deutsche Bank
Investec
Nedbank
Standard Bank

[delta66]

my prediction for Dec 2011 on stxdiv will be R1.83 per unit(share)..just my opinion : )

[wndrbees]

my prediction for Dec 2011 on stxdiv will be R1.83 per unit(share)..just my opinion : )

so that is 8.3% excluding dividends, which should be around 3.6% since higher profits all round (was 3.1% for 2010) gives you roughly a 12% yield.

[delta66]

yep!!

[4cer]

so you think its going to hit about the same high as last year ? the divi that is

[delta66]

yes, in the 4th quarter of the year i believe we'll see a rise towards the R1.83/4 mark

[Tomtomtom]

So R1.835 +/- 0.005 ? That's very precise! Have you read Black Swan?

[delta66]

So R1.835 +/- 0.005 ? That's very precise! Have you read Black Swan?


;)

[4cer]

well it just dropped to 1.68 ! eish :P

[delta66]

indeed it has dropped considerably in the last 2 months but considering that the market is depressed in general it hasn't come as any surprise(albeit i must admit i didn't expect it to reach this low) If your time line/horizon is @least 3 years have no fear, there's bound to be positive growth in your investment. The divi in particular should be a medium to long term outlook. Remember not to panic and don't sell your shares in the dips(yeah, easier said than done,lol) as this will cement your losses, steer the course of the medium(3years) to long term(5years+) outlook and you wont be sorry.

I know this thread relates to the satrix portfolio but on a side note jse:bti(british american tobacco) stocks are looking good on the medium term as well

[nakedpeanut]

Lets say I wanted to invest about ~R4k-R5k a month for a house is a few years time, would this be the right choice for that kinda of investment?

I haven't gone to a financial planner but these ETF's looks like the right choice to me?

[johnjm]

in the satrix 40. initial investment was at R19.00. Waiting for it to stay at R30.00

I wouldnt invest any lump sums at the moment, its sitting pretty high. then again who knows!

[alf101]

Don't invest in Satrix directly.

Currently got R1500 pm going to a RAFI40 tracking fund
R1500 to an Equity fund
R1000 and R500 to 2 Fixed income type funds
R500 to a property fund.

Lump sum in an International equity fund
Lump sum in an equity fund.

[early-invester]

Don't invest in Satrix directly.

Hi Alf101, I am a young professional I currently have 20k saved up. I am currently following the golden rules to invest :

1)Pay all debt as everyone knows its evil with a big E
2)Get an emergency fund going 3-6 months all expenses saved up in a liquid MM

So after all this I have a extra 20k which I want to invest now. My future goal is Allan gray Equity fund lump sum with monthlies of 1000 + 10% pa. And satrix divi and top40/rafi both lumps and 500 each with 10/2 % each pa. ** Thats what I can afford.

Can you or anyone give me some advice or tips.

Kindest Regards

EI

[alf101]

Hi Alf101, I am a young professional I currently have 20k saved up. I am currently following the golden rules to invest :

1)Pay all debt as everyone knows its evil with a big E
2)Get an emergency fund going 3-6 months all expenses saved up in a liquid MM

So after all this I have a extra 20k which I want to invest now. My future goal is Allan gray Equity fund lump sum with monthlies of 1000 + 10% pa. And satrix divi and top40/rafi both lumps and 500 each with 10/2 % each pa. ** Thats what I can afford.

Can you or anyone give me some advice or tips.

Kindest Regards

EI

I just do what's right for me, usually it turns out ok.
I have no idea what you need to do as your situation is different.
My R5000 a month is going towards a car, and the allocations will change as times go by.
My lump sums are for a holiday, and something else.


You seem to know what you want already, so go for it.

I wouldn't do a whole 6 months salary in MM though, maybe just a month or two.
Unless that's meant for a deposit on a house or something.

[Tomtomtom]

Lets say I wanted to invest about ~R4k-R5k a month for a house is a few years time, would this be the right choice for that kinda of investment?

I haven't gone to a financial planner but these ETF's looks like the right choice to me?


I'm not a financial planner, but if you feel you want to "save" for a house, and "save" means "preserve the real value of wealth", then I think Satrix is most definitely not what you want. Like any investment in the stock market, Satrix ETFs are a gamble, and not a good way to save for known future expenses, imo. OTOH if you're happy where you are and a new house would be a luxury, go for it.

[nakedpeanut]

I've decided I want to invest in ETF's..

Now I'm undecided whether to open an investment plan with Satrix, or with ETFSA?
The fees look the same, and so does the minimum invest amounts etc.

I'm leaning to ward ETFSA as I understand that you can buy a variety of ETF's and not just satrix?

Does anyone have any experience with both?
Your help will be appreciated :)

[wndrbees]

I'm leaning to ward ETFSA as I understand that you can buy a variety of ETF's and not just satrix?

I use ETFSA. They offer all the satrix funds + quite a couple of others which has grown quite substantially and are recently offering a money market fund + gold, silver & oil ETF's, which is good for diversifying your portfolio. This provides alternatives when you are feeling the JSE is overbought.

Its quite convenient to pick and choose which funds you want to invest in, all online. Therefore, due to wider choice, I would recommend investing in satrix funds through ETFSA instead of directly.

EDIT: Also from your previous post about saving for a house. It might be a good idea to diversify your portfolio with some lower risk ETF's e.g. BIPS Inflation-X.