Coronation Fund Managers Limited. JSE: CML

Coronation shares

Background of Coronation

  • Founded in Cape Town in 1993, Coronation Fund Managers is an investment-led, owner managed business and active investment manager with a long-term valuation-driven approach to investment, balanced by prudent capital allocation.

  • Coronation Fund shares were first available for sale on the Johannesburg Stock Exchange (JSE) in 2003 after the company unbundled from Coronation Holdings and became the first asset manager in South Africa to gain Global Investment Performance Standards compliance.

  • Coronation currently manages more than R 606 billion worth of assets, with clients including unit trusts, banks, insurers, medical schemes and pension and provident funds. The group manages assets for more than 85% of the top 200 retirement funds in the country. The Africa and Middle East region currently provides around 91% of business, but the company also has assets under management in the United Kingdom, North America, Australia, Asia and Europe. Coronation Fund share price has historically benefitted from this global expansion.

Coronation Shares Growth Driver

  • Under the control of one of the most stable and experienced investment teams in the industry, Coronation has become one of South Africa’s largest and most successful managers of institutional and retail assets. Portfolios are managed on an active basis, constructed for the bottom up and based on extensive research of trends.

  • One example of Coronation’s success has been the growth of its South African specialist equity strategy, which has grown from a R100 million investment in 1994 to total more than R4 billion. Coronation recognises that it is a cyclical business with annual revenue streams that are highly geared to the returns of the markets and the level of out performance generated on behalf of clients. Due to decline in market returns and unusually high performance fees generated in the 2014 financial year, the company experienced a 7% decline in revenue for 2015, to R 4.4 billion. This also led to a 9.7% decline in headline earnings per share.

  • Strong inflows were achieved from international products and the retail business, with net outflows being experienced in the group’s established South African institutional business. Outflows continued in the first half of 2016, with the company experiencing R 47 billion worth of outflows.

  • Shareholders who buy in to the company have however always been treated to good dividends, with Coronation Fund committed to distributing at least 75% of after-tax profit. This amounted to 516 cents per share in the 2015 financial year.

Coronation Group Investor Tip

  • The live online stocks chart illustrates that Coronation Fund share price and overall performance have suffered from extreme market volatility, and predictably weakened after previous periods of abnormally high growth. The company has however proven that it is able to endure periods of short-term under performance, and the long-term investment prospects of its funds remain highly attractive for the buy in of investors.

  • Volatility in the markets is likely to persist in the near-term, which will most likely result in muted financial growth and a stagnant Coronation Fund share price. Coronation continues to command a respectable place among fund managers, and Coronation shares are likely to bounce back to provide good long-term returns for investors who buy them.

Coronation Major Shareholders

Foord Asset Management, Government Employees Pension Fund, Imvula Trust, Berkeley Private Wealth.

  • Sector

    Financials

  • Industry

    Institutional Financial Svcs

  • Sub industry

    Institutional Brokerage

How to buy Coronation Group Shares

  • Coronation : How to buy Coronation Group Shares Online

    We have made it simple to buy JSE listed firm shares online. The easiest way to buy Coronation Group shares or stocks is to; start by submitting the ‘BUY THIS SHARE’ form. Next, one of our experienced and certified stock brokers will personally get in contact with you to discuss your custom stock request. Finally, a stock advisor will confirm the amount of shares you are looking to invest in Coronation Group and assist you with the setup and management of your stock portfolio account.

  • Here are the steps you must follow to Buy / Purchase Coronation Group shares with utmost confidence:

    1. Start by Filling in the BUY THIS SHARE form.
    2. Insert your name, email, telephone number and monthly remuneration.
    3. Then, Indicate the amount you are looking to invest in Coronation Group.
    4. Click the “ INVEST NOW” button
    5. Once we have received your info, a dedicated stock advisor will personally call you back to discuss your personal share request.
    6. Lastly, your newly appointed personal stock advisor will handle all account setups and reporting as stipulated by the financial services board of South Africa (FSB)
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