Daily Investment Update

European shares rose on Thursday, supported by the European Central Bank’s (ECB) eighth interest rate cut in a year. The ECB reduced borrowing costs by 25 basis points and revised down its inflation forecasts for 2025 and 2026. While the rate cut was largely expected, the sharper-than-anticipated downward revision to the 2026 inflation outlook took some investors by surprise. ECB President Christine Lagarde highlighted that the inflation outlook remains unusually uncertain. This policy move came as the Eurozone inflation fell to 1.90% in May, slipping below the ECB’s 2% target for the first time since September 2024. This was largely driven by lower energy prices and a cooling in services sector inflation. The Stoxx Europe 600 index closed up 0.90%, the UK’s FTSE 100 rose by 0.06% and Germany's DAX was higher by 0.19%. Meanwhile, France's CAC 40 was the only major benchmark to fall by 0.18%. 

On the corporate front, British fintech firm Wise saw its shares jump by 7.10% after reporting full-year earnings and revealing plans to shift its primary stock listing from London to New York — a decision that reflects ongoing concerns over the attractiveness of UK capital markets.

US stocks closed mostly flat as investors digested mixed economic signals and geopolitical developments. The S&P 500 and Nasdaq Composite closed up by 0.03% and 0.05%, respectively,  while the Dow Jones Industrial Average rose by 0.15%. Investor sentiment was initially lifted by a phone call between President Donald Trump and Chinese President Xi Jinping, which both sides described as positive, suggesting potential progress in trade talks. However, the lack of concrete outcomes from the conversation and ongoing trade uncertainty left markets largely unchanged.

Adding to market concerns, weekly jobless claims rose to 247 000—the highest in eight months—and private payroll growth fell short of expectations. These signs of a softening labour market have heightened worries about the economy's resilience. On the corporate front, Tesla shares tumbled nearly 9% after a public spat between President Trump and CEO Elon Musk intensified. Trump expressed disappointment in Musk’s stance on his tax policy bill, leading to investor unease. This decline adds to Tesla's 25% year-to-date drop, amid concerns over weak global demand and leadership controversies.

Asian markets closed with mixed performances as investors digested soft US economic data and looked ahead to the upcoming US jobs report. In Japan, the Nikkei 225 fell by 0.51% to close at 37 554.49, weighed down by a stronger yen that put pressure on exporters, along with weak demand at a 30-year bond auction. Meanwhile, Hong Kong’s Hang Seng Index rose by 0.98% to 23 885.67 supported by gains in technology and fintech stocks, driven by optimism around China’s service sector growth. In mainland China, the Shanghai Composite edged up 0.21% to end at 3 383.41 bolstered by signs of resilience in domestic economic data.

South African markets closed in positive territory, with the FTSE/JSE All Share Index rising by 0.80% to end at 96 411.77 points. The Top 40 Index also advanced, gaining 0.92% to close at 88 796. The rally was supported by broad-based gains across sectors, reflecting investor optimism following better-than-expected current account data. South Africa’s current account deficit held steady at 0.50% of GDP in 1Q25. The rand also strengthened by 0.42%, trading at R17.75 to the dollar at 20h44, supported by the improved figures, which further lifted market sentiment and contributed to the day’s upbeat performance.

Commodities edged higher with Brent crude oil futures rising to $65.27 per barrel, rebounding from a 1.20% drop the previous day, as stronger summer demand is expected to boost fuel consumption. US crude inventories fell by 4.3 million barrels last week, the largest decline since November 2024, supporting the demand outlook. On supply, Saudi Arabia is advocating for a further OPEC+ production increase of at least 411 000 barrels per day in August 2025, while cutting July crude prices for Asia to near four-year lows amid softer demand. Meanwhile, gold prices increased by 0.51% closing at $3 351.76 per ounce. 

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ALBI (R) 1162.67 0.85 Brent Oil ($) 64.69 -0.26 Gold ($) 3369.49 -0.10 Platinum ($) 1099.26 0.49 Rand/EUR 20.37 -0.28 Rand/GBP 24.18 -0.13 Rand/USD 17.85 0.04

Market indicators

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Date Index Current Level 1 Day Move 1 Month Move 6 Month Move 1 Year Move
2025-06-05 ALSI 95650.16 0.81 3.75 12.83 28.87
2025-06-05 Basic minerals 53179.89 0.60 8.80 30.88 27.41
2025-06-05 Fin + Ind 30 12656.33 0.87 2.42 8.82 29.77
2025-06-05 Financial 52006.09 0.35 1.54 3.44 33.00
2025-06-05 Industrial index 144202.45 1.25 3.25 13.06 28.22

Some data may be delayed, the above table reflects the latest information available from Morningstar.

Please note performance reported during the first week of each month may be impacted by distributions. Distributions are fully accounted for by the second week of each month.

Morningstar CategoryFund nameNAV (Rands)
at 03 Jun 2025
Performance –As at 2025/05/31
1 year %3 year %5 year %Inception %
South African - Multi Asset - Low Equity PSG Investment Management Cautious Fund of Funds  Class D 1.47 17.23 10.61 14.01 11.29
PSG Stable Fund Class A 1.81 13.87 9.98 12.97 8.73
PSG Stable Fund Class E 1.81 14.52 10.62 13.62 8.62
PSG Wealth Preserver Fund of Funds Class D 27.32 15.20 10.75 10.84 9.38
South African - Multi Asset - High Equity PSG Balanced Fund Class A 111.81 17.75 12.53 19.92 12.94
PSG Balanced Fund Class E 111.99 18.43 13.18 20.60 10.48
PSG Investment Management Growth Fund of Funds  Class D 1.83 24.05 12.69 19.19 14.13
PSG Wealth Moderate Fund of Funds Class D 47.33 17.67 12.51 14.13 11.14
South African - Multi Asset - Income PSG Diversified Income Fund Class A 1.36 12.65 9.56 9.37 8.09
PSG Diversified Income Fund Class E 1.36 13.36 10.26 9.99 8.71
PSG Investment Management Multi-Asset Income Fund  of Funds Class D 1.17 11.86 8.91 9.01 8.43
PSG Wealth Income Fund of Funds Class D 12.59 11.16 9.05 8.20 8.01
South African - Equity - General PSG Equity Fund Class A 19.49 17.75 13.15 22.80 13.01
PSG Equity Fund Class E 19.57 18.08 12.58 22.61 9.68
PSG Equity Fund Class F 19.56 18.28 13.67 23.33 10.59
PSG Investment Management Opportunity Equity Fund of Funds Class D 1.28
PSG Wealth Creator Fund of Funds Class D 62.58 19.87 11.90 17.96 12.47
South African - Equity - SA General PSG SA Equity Class F 2.01 29.31 14.49 26.34 9.07
South African - Interest Bearing - SA Money Market PSG Money Market Fund Class A 1.00 7.22 7.36 5.91 7.92
PSG Money Market Fund Class F 1.00 7.50 7.66 6.19 5.51
South African - Interest Bearing - Short Term PSG Income Fund Class A 1.09 9.90 8.32 7.49 7.32
PSG Income Fund Class E 1.09 10.21 8.63 7.80 7.99
PSG Wealth Enhanced Interest Fund of Funds Class D 1.01 8.73 8.30 6.75 6.89
South African - Interest Bearing - Variable Term PSG Bond Fund Class A 1.02
South African - Multi Asset - Flexible PSG Flexible Fund Class A 9.18 15.80 12.06 20.87 11.44
PSG Flexible Fund Class E 9.18 16.10 12.36 21.18 10.66

Performance data on local funds is shown up to the last market close minus 1 day.
Some data may be delayed, the above table reflects the latest information available from Morningstar.
Please note performance reported during the first week of each month may be impacted by distributions. Distributions are fully accounted for by the second week of each month.

Global funds

Through our tried-and tested investment philosophy, we have built competitive global solutions to help clients achieve their investment goals.

The following funds are rand-denominated, but invest internationally:

Morningstar CategoryFund nameNAV (Rands)
at 04 Jun 2025
Performance –As at 2025/05/31
1 year %3 year %5 year %Inception %
Global - Equity - General PSG Global Equity Feeder Fund Class A 5.09 1.97 11.94 18.39 12.24
PSG Global Equity Feeder Fund Class E 5.29 2.55 12.58 18.89 11.89
PSG Wealth Global Creator Feeder Fund Class D 4.92 5.91 15.42 11.37 14.46
Global - Multi Asset - Flexible PSG Global Flexible Feeder Fund Class A 3.95 2.98 11.05 15.81 11.97
PSG Global Flexible Feeder Fund Class B 4.18 3.57 11.69 16.29 12.48
PSG Wealth Global Flexible Feeder Fund Class D 5.10 6.04 10.67 6.84 10.70
PSG Wealth Global Moderate Feeder Fund Class D 5.18 4.32 10.62 7.14 11.86
Global - Multi Asset - Low Equity PSG Wealth Global Preserver Feeder Fund Class D 1.58 2.45 8.90 4.38 6.40

Performance data on offshore funds is shown up to the last market close minus 2 days.
Some data may be delayed, the above table reflects the latest information available from Morningstar.
Please note performance reported during the first week of each month may be impacted by distributions. Distributions are fully accounted for by the second week of each month.

Invest in other currencies

The following funds invest internationally using foreign currency

Morningstar CategoryFund nameNAV (Rands)
at 03 Jun 2025
Performance –As at 2025/05/31
1 year %3 year %5 year %Inception %
EAA Fund GBP Cautious Allocation PSG Wealth Global Preserver FoF (GBP) Class D 2.06 0.98 1.82 1.93 4.64
EAA Fund GBP Flexible Allocation PSG Wealth Global Flexible FoF (GBP) Class D 3.93 5.28 4.11 4.75 8.93
EAA Fund Global Flex-Cap Equity PSG Global Equity Sub-Fund Class A 2.45 6.49 7.75 18.48 6.12
PSG Global Equity Sub-Fund Class B 2.54 7.02 8.36 19.08 7.51
EAA Fund Global Large-Cap Blend Equity PSG Wealth Global Creator Fund of Funds Class D 3.20 9.90 10.17 10.53 9.65
EAA Fund USD Cautious Allocation PSG Wealth Global Preserver FoF (USD) Class D 1.79 6.88 4.16 3.78 3.70
EAA Fund USD Flexible Allocation PSG Global Flexible Sub-Fund Class A 21.20 7.36 6.96 16.18 6.13
PSG Global Flexible Sub-Fund Class B 22.58 7.85 7.46 16.55 6.76
PSG Investment Management Global Flexible Fund of Funds (Dollar) 1.73 8.72 4.28 4.36 2.94
PSG Wealth Global Flexible FoF (USD) Class D 3.38 10.19 5.70 6.17 7.90
EAA Fund USD Moderate Allocation PSG Wealth Global Moderate Fund of Funds Class D 2.21 8.43 5.69 6.42 5.41

Performance data on offshore funds is shown up to the last market close minus 2 days.
Some data may be delayed, the above table reflects the latest information available from Morningstar.
Please note performance reported during the first week of each month may be impacted by distributions. Distributions are fully accounted for by the second week of each month.

House view equity portfolios

Fund display name Performance –As at 2025/06/05
1 year %3 year %5 year %Inception %
PSG Wealth Income Growth Equity Portfolio 21.34 8.14 9.99 3.72
PSG Wealth Offshore Equity Portfolio (USD) 9.49 6.57 10.48 11.31
PSG Wealth SA Equity Portfolio 29.29 7.70 10.19 5.61
PSG Wealth SA Property Equity Portfolio 32.51 15.75 15.92 0.52

* PSG Wealth equity portfolio performance are shown gross of management fees, but net of brokerage and other trading costs.
The House view portfolios are bespoke solution portfolios and not part of the Collective Investment Schemes’ portfolios.

Recent investment ideas

Renergen’s FY25 results for the period ending 28 February 2025

  • In this report, we review Renergen’s FY25 results for the period ending 28 February 2025, released on 19 May 2025, as well as the offer by ASP Isotopes Inc to purchase all the outstanding shares of Renergen. Financials: Revenue improved by 80%, from R29 million in FY24 to R52.1 million in FY25. The increase was driven by improved production and higher LNG prices. Cost of sales rose by R61.3 million to R80.2 million, mainly due the following:
    • Depreciation increased by R32.7 million.
    • Fuel and lubrication costs rose by R9.7 million, due to a larger asset base leading to increased machine hours.
    • Utility costs increased by R14.7 million, impacted by increased machine hours and the commissioning of the LHe production plant.
    Our research supports a sell recommendation.

Harmony Gold’s interim results for the period ended 31 December 2024

  • In this report, we review Harmony Gold’s interim results for the period ended 31 December 2024, released in March 2025, alongside the current global macroeconomic environment. Financial:

    • Gold revenue increased from R29 705 million to R35 447 million, an increase of 19% over the period.
    • Headline earnings per share increased by 33% to 1 270 cents in 1H25, up from 956 cents in 1H24.
    • An interim dividend of 227 cents was reported for 1H25.
    • AISC increased by 20% from $1 403/oz (R843 043/kg) to $1 686/oz (R972 261/kg) mainly due to inflationary cost increases in operations and lower production numbers. The AISC remains well within the guidance provided by management, as outlined below.
    • The average gold price received improved by 28% to $2 437/oz during the period.

Capitec Bank full-year 2025 results summary

  • In this report, we will look at the full year 2025 results:

    • Headline earnings leaped 30% to reach a record high of R13.7 billion.
    • Net interest income increased by 23% to R20.2 billion, up from R16.5 billion.
    • Net interest income after credit impairments increased by 54% to R11.9 billion and contributed R2.7 billion to headline earnings growth for the year.
    • Gross loans and advances grew by 12% to R116 billion with business banking growing by 22% and the private banking sector by a lower 7%.
    • Net non-interest income increased by 22% to R23.9 billion. Net transaction and commission income, including VAS and Capitec Connect, increased by 25% to R18.5 billion, accounting for 78% of net non-income (FY2024: 76%). Digital transactions and card payments accounted for 90% of transaction volumes and grew by 17% and 20%, respectively.
    • Credit impairments decreased by 5% to R8.3 billion, despite the inclusion amount of R830 million of credit impairments from AvaFin.
    • Operating expenses increased by 30% to R18 billion, of which 7% is attributable to the inclusion of AvaFin, 9% to increased employee incentives from higher earnings growth, 8% due to higher employee headcount, and 6% from employee increases.

    Our research supports a sell recommendation.

Corporate Actions

Date Company Share code Expectation
04 June 2025 AECI Limited 5.5 percent Cumulative Preference SharesAFEP

Cash Dividend

04 June 2025 Afrimat Limited AFT

Cash Dividend

04 June 2025 Assura PLC AHR

Cash Dividend

04 June 2025 COLLINS PROPERTY GROUP LIMITED CPP

Cash Dividend

04 June 2025 Dipula Properties Limited DIB

Cash Dividend

04 June 2025 Equites Property Fund Limited EQU

Cash Dividend

04 June 2025 Kaap Agri Limited KAL

Cash Dividend

04 June 2025 Newpark REIT Limited NRL

Cash Dividend

04 June 2025 We Buy Cars Holdings Limited WBC

Cash Dividend

04 June 2025 Oasis Crescent Property Fund (REIT)OAS

DRIP

02 June 2025 Anglo American PlcAGL

Unbundling

The information above is to the best of our knowledge correct.
The Corporate Actions are updated weekly.

Fund performance

Collective Investment Schemes in Securities (CIS) are generally medium-term to long-term investments. The value of participatory interests (units) may go down as well as up and past performance is not a guide to future performance. Collective Investment Schemes are traded at ruling prices and can engage in borrowing and scrip lending. A schedule of fees and charges and maximum commissions is available on request from PSG Collective Investments (RF) Limited. Commission and incentives may be paid, and if so, are included in the overall costs. Forward pricing is used. The Portfolios may be capped at any time in order for them to be managed in accordance with their mandate.

Performance is calculated for the portfolio and individual investor performance may differ as a result thereof. Different classes of participatory interest can apply to these portfolios and are subject to different fees, charges and possibly dividend withholding tax and will thus have differing performances. Annualised performances show longer term performance rescaled over a 12-month period. Individual performance may differ as a result of initial fees, the actual investment date, the date of reinvestment and dividend withholding tax. The portfolio is valued at 15h00 daily. Income distributions are net of any applicable taxes. Investment performance data is for illustrative purposes only. Actual performance figures are available on request. Always refer to the fund fact sheet (Minimum Disclosure Document) for full details, fees and risks of the fund.

PSG Financial Services +27 (21) 918 7800

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