Expecting two volatile months
Uncertainty reigns as the big drivers of market sentiment intensify. Internationally the US presidential election in November and the likely US interest rate increase in December. In South Africa the credit review in December where our debt rating may be rated below investment grade. This means the next two months will be volatile and possibly present better buying levels.
Poor JSE performance
The JSE index 3rd quarter performance continued to disappoint. The Top 40 index ended the quarter down 0.2%. The year to 14 October was also down 0.1% (including dividends paid).
We remained defensive
At Courtney Capital we remained defensive reducing our long positions so that we can take advantage should the market pull back in the coming quarter before the above outcomes become known. We have maintained our out-performance of the market this year with most of our out-performance coming in the first half of the year. Naturally we would like to have a strong finish to the year having been patient for a number of months now.
On a high note
As the year enters the final stretch we would like to thank you for your continued support. We have had a good year compared to the market and we look forward to continuing to grow the portfolios values over the long term.
The Courtney Capital Team