Phew, there sure have been some stinkers on the JSE

Business

Phew, there sure have been some stinkers on the JSE

Pity the poor folks who bought into the overblown promises of investment company Ecsponent

Marc Hasenfuss

There is one market adage that retail investors repeatedly overlook: “If it seems too good to be true, then it is probably too good to be true.”

Every so often investors in and around the JSE are offered investment instruments that promise impossibly generous returns. There is seemingly never a shortage of punters tempted by richer returns … even though it is rare that the outcome is not third-degree wallet burns.

This week’s admission by investment company Ecsponent (https://www.sharenet.co.za/v3/quickshare.php?scode=ECS) – that it was unlikely to be in a position to pay dividends or redeem certain tranches of its high-yielding preference shares – is likely to be another expensive lesson...

This article is reserved for Sunday Times Daily subscribers.
A subscription gives you full digital access to all Sunday Times Daily content.

Sunday Times Daily

Already subscribed? Simply sign in below.

Questions or problems?
Email helpdesk@timeslive.co.za or call 0860 52 52 00.

Previous Article

Calm down! The queen knew about the royal divorce for months

By Camilla Tominey and Steve Bird
2 min read