Satrix resi

You guys don't read the Satrix website or my post completely. I copied and pasted from the website in my post above and it is ignored. Here is the part you did not bother to read:

It also contains a number of middle-capitalisation companies that do not qualify for the Top 40 index, and therefore helps spread the exposure of the investors to some of the better performing smaller shares on the JSE.

If it is not managed then who chooses which Mid Caps to include in the 25?
 
It is based on market capitalisation etc etc..

No manager just goes "oh they look good, we'll include them"..

FFS, what about this don't you understand?
 
marco said:
Explain to me who chooses which of the better performing or valued Mid Caps to add to the portfolio?
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The market (by shared price and market capitalisation), as I had just explained and am quoting.

supersunbird said:
The market picks these stocks.

The Top 40 is the top 40 by market capatilisation. If a companies shares price drops (and thus the market capatilisation goes down) and the market capatilisation drops below the company that was 41st, then the 41st company will go up to position 40 and join the Top 40 and the other one will fall off it.

With the Resi and Indi and Fini indexes it works exactly the same but just companies in those sectors and the number of companies that they index differs.

Do you understand what I just said?
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marco said:
You guys don't read the Satrix website or my post completely. I copied and pasted from the website in my post above and it is ignored. Here is the part you did not bother to read:

It also contains a number of middle-capitalisation companies that do not qualify for the Top 40 index, and therefore helps spread the exposure of the investors to some of the better performing smaller shares on the JSE.

If it is not managed then who chooses which Mid Caps to include in the 25?
Click to expand...

Go and read the damn JSE website
 
marco said:
You guys don't read the Satrix website or my post completely. I copied and pasted from the website in my post above and it is ignored. Here is the part you did not bother to read:

It also contains a number of middle-capitalisation companies that do not qualify for the Top 40 index, and therefore helps spread the exposure of the investors to some of the better performing smaller shares on the JSE.

If it is not managed then who chooses which Mid Caps to include in the 25?
Click to expand...

When they have run out of Top 40 industrials to include in the Satrix Indi, they just go with the next biggest in the midcaps and then the next biggest and so on until they hit 25.

EDIT:
Meaning if there are 25 industrials in the Top 40, they would not even go into the midcaps. But there isn't, so the biggest midcaps it is.
 
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Marco, you know there is a reason its called a ETF and not a unit trust, like say the Coronation Industrial fund. The reason is... because it is a different thing!!!!

With a unit trust an asset manager chooses the companies in the unit trust and the managers paid for that and offered performance fees to outperform the benchmark, with a ETF just a index being tracked, no managers.
 
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marco said:
You guys don't read the Satrix website or my post completely. I copied and pasted from the website in my post above and it is ignored. Here is the part you did not bother to read:

It also contains a number of middle-capitalisation companies that do not qualify for the Top 40 index, and therefore helps spread the exposure of the investors to some of the better performing smaller shares on the JSE.

If it is not managed then who chooses which Mid Caps to include in the 25?
Click to expand...

Why dont you go ask the same on that sharechat you like? They will corfirm it for you.
 
I like this forum. Yes. I know it is an index tracker but to get better performance for investors, they include some Mid Caps in the Top 25.
These are chosen according to the criteria of the managers of this fund. Hence it is managed.

You still refuse to read it or you do but don't acknowledge that you were wrong so you resort to name calling.
 
marco said:
I like this forum. Yes. I know it is an index tracker but to get better performance for investors, they include some Mid Caps in the Top 25.
These are chosen according to the criteria of the managers of this fund. Hence it is managed.

You still refuse to read it or you do but don't acknowledge that you were wrong so you resort to name calling.
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We read it and WE ALL told you that you are wrong.

Now go read the damn JSE website and see for yourself.
 
marco said:
I like this forum. Yes. I know it is an index tracker but to get better performance for investors, they include some Mid Caps in the Top 25.
These are chosen according to the criteria of the managers of this fund. Hence it is managed.

You still refuse to read it or you do but don't acknowledge that you were wrong so you resort to name calling.
Click to expand...

They include midcaps (and their inclusion is determined by their market capitalision as per quote from you from satrix website) just because there are not 25 industrials in the Top 40. If there were 25 industrials in the Top 40, there would be no midcaps in the Satrix Indi.
 
supersunbird said:
They include midcaps (and their inclusion is determined by their market capitalision as per quote from you from satrix website) just because there are not 25 industrials in the Top 40. If there were 25 industrials in the Top 40, there would be no midcaps in the Satrix Indi.
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Nicely said. Marco, this isn't that complicated to understand.
 
Marco, read this:

Satrix INDI endeavours to replicate the performance of the FTSE/JSE Industrial 25 index. This index comprises the top 25 industrial companies listed on the JSE.

Satrix INDI accurately replicates the FTSE/JSE INDI 25 index, by holding the shares in this index in exactly the weighted and number they constitute the index. Dividends paid by the underlying companies, less expenses incurred by managing the portfolio, are paid out to Satrix INDI shareholders on a quarterly basis.

Investors who purchase and hold Satrix INDI securities accordingly, obtain the performance and yield of the top 25 industrial companies in the JSE with the convenience and low cost of a single trade.
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ClintZA said:
On the subject of ETFs vs unit trusts/collective investments, this may make for interesting reading for some:

WHICH ARE BETTER; EXCHANGE TRADED FUNDS OR UNIT TRUSTS?

Don't expect an answer though as they are different beasts suited to different investor types and perform differently dependent on the market circumstances.
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Very interesting and scary future forecasts. I dumped my UT's due to the high fees.
 
ClintZA said:
Yip, for sure, but unfortunately I noticed that link provides way too much info which I thought might complicate matters, felt it might be best to actually paste the description from Satrix themselves :)

Good read though.
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I had to read every version of it and set up all the indexes on our systems.

The original in 2002 was about 80 bladdy pages long.

This one is short, neat and has colour pics.
 
supersunbird said:
When they have run out of Top 40 industrials to include in the Satrix Indi, they just go with the next biggest in the midcaps and then the next biggest and so on until they hit 25.

EDIT:
Meaning if there are 25 industrials in the Top 40, they would not even go into the midcaps. But there isn't, so the biggest midcaps it is.
Click to expand...

Now this explains it better. Now I understand. Thank you and my apologies.
The STX website is not clear on this.
 
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