Magic Markets #17: Trading the Scandals

Episode 17 March 18, 2021 00:26:24
Magic Markets #17: Trading the Scandals
Magic Markets
Magic Markets #17: Trading the Scandals

Mar 18 2021 | 00:26:24

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Show Notes

Corporate governance failures. Frauds. Accounting misstatements. A “hole in the balance sheet” – unfortunately, these breakdowns in trust happen on the market. When they do, the repercussions are severe not just for shareholders in the company in question, but potentially for the market as a whole.

Have you noticed that JSE corporates are doing fewer acquisitions in exchange for shares these days? Mr Price just bought Yuppiechef for over R400m in cold, hard cash. Before the Steinhoff era, entrepreneurs were more inclined to accept shares in listed companies in exchange for their businesses.

Those days are gone.

What impact do the likes of Greensill and Wirecard have on their respective industries? How can investors and traders spot scandals and take advantage of them?

Tongaat Hulett. EOH. This episode is packed with commentary by hosts The Finance Ghost and Moe-Knows on the companies that previously dominated the headlines for all the wrong reasons.

Episode 17 of Magic Markets is brought to you by Elite Risk Acceptances. Visit the Elite Risk website for bespoke insurance cover for wealthy individuals. Elite Risk Acceptances is part of the Old Mutual Group of companies.

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