30 April 2021
NEWS & OPINION
PROFILE
Sithembiso Garane Head: Listed Credit, Futuregrowth Asset Management
How did you get involved in financial services – was it something you always wanted to do? I never really had a career plan; I have always wanted to do whatever I enjoyed in an environment that fulfils me. It has always been important to me to follow my passion and explore all accessible learning territories to enrich myself. I feel like it would be more appropriate, then, to say my passion for solving problems, and desire for understanding underlying drivers of what is easily observable, propelled me toward financial services. So, it was never something I had actively worked toward, but I’m glad it happened. What was your first investment – and do you still have it? My first investment was Merafe Resources. I really did not have any investment thesis nor enough money to buy a sizable amount of shares. I just remembered one of my former bosses who used to ask us to check Merafe’s share price every morning. Somehow, I just wanted to replicate his experience – classic way to lose some money. Long story short, I no longer have Merafe – nor do I have any emotionally triggered investments.
“The impact of COVID-19 will remain with capital markets for some time” What have been your best – and worst – financial moments? My worst financial moment was losing money in a trade working for a brokerage firm. I quoted an incorrect rate resulting in a substantial loss for the client. The firm I was working for at the time had to pay for the error. I learned the hard way that attention to detail is important. My best moment – other than all those ‘light bulb’ moments when one finally figures out a solution to a problem that’s been depriving one of sleep – would be all those right calls/trades I made both on behalf of clients and in my personal capacity.
What do you tell investors who are worried about their investments due to SA’s current economic environment and COVID-19? It has been a volatile period for close to a year now due to COVID-19. Even though there seems to be a slight return to normalcy with government relaxing the restrictions to life activity, it is important for investors to understand that the impact of COVID-19 will remain with capital markets for some time. In fact, the total impact of COVID-19 is yet to manifest in corporate SA’s balance sheets and thus the economy. Consequently, risk management should trump return maximisation. During these times, reckless search for yield often leads to a loose downside. What’s your view on Bitcoin and other cryptocurrencies? Bitcoin has gained major popularity especially among the contrarian financial sect. While I know very little about the technology backing these cryptocurrencies, I think the biggest risk remains regulatory. Crypto pundits have ventilated in the market a lot of advantages about the Blockchain technology on which Bitcoin is built, and have likened it to gold. But what conventionally maintains the value of the currency is government declaration, and the gold trade is highly regulated. I hold the view that when regulations come to cryptocurrency – which is a matter of time – the value may be impacted. I do think the future may be cryptocurrency, but I have doubts that it will occur without government declaration.
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VERY BRIEFLY Breathing new life into the Financial Sector Transformation Council is a top priority for Pumla Ncapayi, who was recently appointed CEO of the body tasked with overseeing transformation in Pumla Ncapayi the financial sector. Ncapayi was previously Head of the Gauteng Department of Economic Development. “The accelerated transformation of the financial sector is crucial in achieving a sustainable, inclusive and growing economy in South Africa,” she says.
The Johannesburg Stock Exchange (JSE) has the best gender balance on boards of any developing country in the G20, according to a new report. The Stock Exchanges Gender Equality Analysis Report, Leila Fourie issued by the Sustainable Stock Exchanges Initiative, looks at the gender composition of boards from the top 100 companies by market capitalisation on each of the G20’s major stock exchanges. “We are honoured to be recognised in the Report,” says JSE Group CEO, Leila Fourie. “The JSE remains committed to promoting gender equality at all levels of the organisation.” She adds that while it’s important to acknowledge this step in the right direction, “significant work remains to be done in the global quest for gender equality”.
Gudani Mukatuni has been appointed Chief Information Officer at Glacier by Sanlam. She has over 16 years of working experience and, prior to joining Glacier, she acquired her IT leadership and transformation Gudani Mukatuni experience working for organisations such as WesBank as their CIO, AIG Middle East & Africa Region as their Head of IT for Africa, and Nedbank Financial Planning / Wealth Management as the Head of IT. Her areas of expertise include leading IT transformation to achieve operational efficiencies and unlocking new distribution channels, through executing IT and digital transformation strategies in alignment with organisational goals. She has also held various management and IT advisory roles at EY, MTN Group and SizweNtsalubaGobodo.
