Reunert and holding companies

Siboniso Nxumalo from Old Mutual Investments chose Reunert and Graeme Körner from Körner Perspective suggested investing in holding companies that are trading at excessive discounts to NAV like e.g. African Rainbow Capital, Ethos Capital and Remgro.

Nxumalo said: "My pick is an industrial company in SA called Ruenert. We like the management, it's a very stable company and we think that it's not earning at its peak earnings. They have a solid balance sheet and I think the price is very attractive and it pays a fantastic dividend."​

Körner said: "What we've been talking about is the theme that the recovery is is probably under way, so if you believe in the in the hypothesis that the markets will get better SA will return, these underlying portfolio holdings will recover the NAVs will swell and over time we believe that those NAV discounts will narrow to more sensible levels."