Help me understand why ASHT40 is considered so good?

[aktor]

Been reading up, asking questions and getting advice the last few weeks, and one thing I still don't really understand:

Why is the Ashburton Top-40 considered so solid an investment? According to JustOneLap it's a great capital growth investment: https://justonelap.com/ashburton-top40/

They also state on that page that it has seen 12.6% growth in the last year. However, Bloomberg is showing a -1% negative return over the last year:
http://www.bloomberg.com/quote/ASHT40:SJ

ShareData puts it even further at -2.35%:
http://www.sharedata.co.za/v2/Scripts/Quote.aspx?c=ASHT40

I'm obviously missing something here. Anyone care to educate me?


EDIT: Removed the Google Finance link, was incorrect.

 

[Creag]

Not sure that I would go on JustOneLap's say-so. I used to follow some of their blogs and whatnot, and found that their strategy/views were a little off the mark. If it works for them, great. I just found some their ideas quite bizarre. I unsubscribed and no longer listen to anything they punt.

 

[Eti1]

Been reading up, asking questions and getting advice the last few weeks, and one thing I still don't really understand:

Why is the Ashburton Top-40 considered so solid an investment? According to JustOneLap it's a great capital growth investment: https://justonelap.com/ashburton-top40/

They also state on that page that it has seen 12.6% growth in the last year. However, Bloomberg is showing a -1% negative return over the last year:
http://www.bloomberg.com/quote/ASHT40:SJ

ShareData puts it even further at -2.35%:
http://www.sharedata.co.za/v2/Scripts/Quote.aspx?c=ASHT40

I'm obviously missing something here. Anyone care to educate me?


EDIT: Removed the Google Finance link, was incorrect.

Check out the performance comparison doc from etfsa as well. Over 10 years asht40 matches satrix40 ito performance. And asht40 has a really low ter, much lower than stx40, so that's good.

Haven't checked out justonelap's take on it. But I like it. Its a straight up top 40 fund, no frills like swix funds. And if I buy it through fnb on the first day of the month, the brokerage fee can't be beaten either.

 

[aktor]

Check out the performance comparison doc from etfsa as well. Over 10 years asht40 matches satrix40 ito performance. And asht40 has a really low ter, much lower than stx40, so that's good.

Haven't checked out justonelap's take on it. But I like it. Its a straight up top 40 fund, no frills like swix funds. And if I buy it through fnb on the first day of the month, the brokerage fee can't be beaten either.

Granted, but according to Bloomberg and ShareData, you'd be making a (slight) loss over a 52week period, with a (slight) gain over a 5year period, or am I misinterpreting the data (which is quite possible)

Wouldn't the MidCap be a better med-to-long term investment, with more growth? Because with those growth percentages in the T40, a savings account would yield better returns. (Another reason why I'm sure I'm getting it wrong somehow, because it seems to be a popular ETF, so people are seeing something I'm not). Looking at the 5yr graph, it did grow massively, but seems to be on a bit of a plateau. Still growing, but I suppose the question is - how fast compared to the MidCap?

EDIT: Did any analysts say anything yet about how SABMiller/ABInbev's deal is likely going to affect the T40?

 

[Eti1]

Granted, but according to Bloomberg and ShareData, you'd be making a (slight) loss over a 52week period, with a (slight) gain over a 5year period, or am I misinterpreting the data (which is quite possible)

Wouldn't the MidCap be a better med-to-long term investment, with more growth? Because with those growth percentages in the T40, a savings account would yield better returns. (Another reason why I'm sure I'm getting it wrong somehow, because it seems to be a popular ETF, so people are seeing something I'm not). Looking at the 5yr graph, it did grow massively, but seems to be on a bit of a plateau. Still growing, but I suppose the question is - how fast compared to the MidCap?

EDIT: Did any analysts say anything yet about how SABMiller/ABInbev's deal is likely going to affect the T40?

I think that 1 year is too short a time to track the performance of ETFs. Even 5 years is not ideal.

You are correct, most fixed or flexi deposit bank accounts would have delivered a better return than many jse-related investments over the past year, and maybe for some time to come. But there are reasons for that (Zuma, 0% growth, currency pressure, brexit, china, etc) Usually, over the long run, equities outperform all the other asset classes.

Its all about diversification (of assets, markets and risk). The best investment is one that suits your particular needs and situation. Remember the golden rule: past performance is no guarantee of future performance.

Like mentioned previously, etfs in a tfsa should be a longer term investment, like at least 5 years.

Been reading up, asking questions and getting advice the last few weeks, and one thing I still don't really understand:

Why is the Ashburton Top-40 considered so solid an investment? According to JustOneLap it's a great capital growth investment: https://justonelap.com/ashburton-top40/

They also state on that page that it has seen 12.6% growth in the last year. However, Bloomberg is showing a -1% negative return over the last year:
http://www.bloomberg.com/quote/ASHT40:SJ

ShareData puts it even further at -2.35%:
http://www.sharedata.co.za/v2/Scripts/Quote.aspx?c=ASHT40

I'm obviously missing something here. Anyone care to educate me?


EDIT: Removed the Google Finance link, was incorrect.

 

[HavocXphere]

Don't trust random small no-name brand websites.

 

[aktor]

I think that 1 year is too short a time to track the performance of ETFs. Even 5 years is not ideal.

You are correct, most fixed or flexi deposit bank accounts would have delivered a better return than many jse-related investments over the past year, and maybe for some time to come. But there are reasons for that (Zuma, 0% growth, currency pressure, brexit, china, etc) Usually, over the long run, equities outperform all the other asset classes.

Its all about diversification (of assets, markets and risk). The best investment is one that suits your particular needs and situation. Remember the golden rule: past performance is no guarantee of future performance.

Like mentioned previously, etfs in a tfsa should be a longer term investment, like at least 5 years.

Thanks, that does make sense. Do you figure a portfolio with ASHT40, ASHMID and DBXWD would be a sufficient diversification? With 30% weight each for ASHT40 and DBXWD and 40% for ASHMID? Or should one go even wider these days?

 

[Eti1]

Thanks, that does make sense. Do you figure a portfolio with ASHT40, ASHMID and DBXWD would be a sufficient diversification? With 30% weight each for ASHT40 and DBXWD and 40% for ASHMID? Or should one go even wider these days?

Ehrm...maybe?