Ranking the Analysts

special report

OVERVIEW

Reforms will lure investors

Fund managers are looking to the post-election government to rebuild confidence in the private sector

ý Standard Bank/SBG Securities, SA’s top-rated research firm for the fourth consecutive year, has issued a strong call to the post-election government to rebuild the confidence of the private sector, especially the consumer.

This comes as institutional research and broking firms are being squeezed by low liquidity levels and trading volumes as fund managers pare back their equity holdings, as well as margin compression on commissions as they reduce the number of research houses they use.

Fund managers, generally, are “maxed out”on their offshore holdings, because they are restricted by prudential regulations from too great an exposure offshore, in the face of a suppressed economy stunting growth in all business sectors.

Still, there is no small degree of optimism in the post-elections climate that market-boosting policies are indeed the low-hanging fruit to kickstart an economic revival and boost investor confidence.

At the same time the market is still coming to terms with the consequences of Europe’s introduction of the second wave of the Markets in Financial Instruments Directive, called MiFID ll, that among other things separates research and execution services. Market sources say that while local asset managers do not want MiFID imposed on them, many have already separated research and execution and, furthermore, are cutting back on the

number of research houses they use as a way of cutting costs.

“Asset managers are asking for separate invoices because they want to show they’re getting the best execution —they need to be able to calculate their cost analysis of each trade,”says JSE director for capital markets Donna Nemer.

Those factors, worsened by the poor economic climate, are contributing to the margin squeeze being felt by the research houses.

Another feature of the market is that many offshore-based firms are downscaling their SA operations or closing them altogether. On a more positive note, this does provide opportunities for those who stay to increase their market share.

The overwhelming sentiment is the hope that the ANC’s victory in the elections earlier this month will spur the government to introduce market-boosting reforms and work hard to rebuild investor confidence in the economy.

Rankings

SBG Securities was the best performer in the analyst rankings, taking 17.4% of the votes, up from 12.1% last year. It took 25% of the top spots of the 40 research sectors in both the team and individual analyst categories.

RMB Morgan Stanley remains in

What it means:

Industry hopes the marketboosting policies will improve the prospects of an economic revival and investor confidence

second place ahead of UBS SA, the highest-ranked foreign firm, which moved up from fourth last year. A notable improvement came from Citigroup Global Markets, which climbed to fourth position from 10th last year. A conspicuous absentee from the top 10 is Deutsche Securities —affected by the scaling down of its SA operations and deciding not to submit analyst names to the FM process — dropping to 14th position from third. Similarly, JPMorgan fell to 10th from fifth.

Despite the tough investment environment, Marc Ter Mors, head of equity research at SBG Securities, is confident of a gradual economic recovery in 2020-2021. “Now, post-elections, we expect a more supportive environment for a growth recovery,”he says. To achieve that, it is imperative to rebuild the confidence of the private sector in SA and especially among consumers. “That would provide impetus to some economic recovery. When that happens, a secondary effect will be increased

foreign direct investment —and FDI already started to improve last y e a r .”SA’s FDI more than doubled in 2018 to R70.7bn from R26.8bn in 2017, the highest since 2013.

Another important element is go v e r n me nt ’s infrastructure plan, says Ter Mors. “Government is overindebted, but the public sector underspent by 23% last year, by our estimates. Municipalities particularly are not spending their share of budget allocations —so even if they don’t receive extra funds in the budget but just spend what they get, it would provide impetus to a growth recovery.

“We expected a stronger hand for [President Cyril] Ramaphosa and a reform agenda after the elections. We now want to see confidence being rebuilt, which will be very positive for an improvement in liquidity in the equity market.”

In the face of the low liquidity levels, SBG has been investing in its prime broking platform for absolute return and hedge fund clients. “We’ve also continued to invest in our DMA [direct market

special report ranking the analysts

WINNING ANALYSTS

access] platform to provide lowtouch, low-cost trading capabilities, as well as algorithmic execution abilities on global equity markets.”

Beleaguered market

The statistics reflect the lack of confidence: JSE trade values are about 22% lower in the first quarter of this year from Q1 2018, says Ter Mors. “Last year the total inflow of institutional funds amounted to about R278bn, broadly in line with nominal GDP growth. Institutional cash flows make up about 6% of GDP and we expect a robust flow of domestic funds of about R295bn over 2019.”

He notes an interesting switch: in 2018, the source of funds from long-term insurers overtook the total from unit trusts: 40% for longterm insurers and 35% for unit trusts.

“That’s an anomaly historically because unit trusts have been growing more rapidly in prior years, but it likely reflects the low levels of confidence by consumers who are electing for increased exposure to guaranteed products.”

Another telling statistic reflecting the lack of confidence lies in bank deposits, which are at a record high. Bank deposits were at 18% of GDP in 2011 but in 2018 stood at 24%. And the equity exposure of fund managers is low at 48% against 57% historically.

“Those indicators paint a picture of the past few years where confidence has been so suppressed it has negatively affected equity holdings and liquidity,”he says, “so an improvement in confidence in SA’s economic growth potential is expected to result in better liquidity for equities.”

Low valuation levels will also provide a springboard for strong equity gains “if confidence rebuilding materialises”. The all share index is on a price:earnings ratio of 17.6 and a forward p:e of 13.5 times; while the industrial index is on a p:e of 21.6 and a forward p:e of 10.8 times. These are below their historic averages. “If confidence comes back those levels provide re-rating potential that could become very material.”

Ter Mors says though cash holdings of institutional fund managers are low, there is switching potential from relatively large bond holdings by investors and the large cash deposits in the economy.

“So existing investors would certainly benefit from a change in sentiment. And that cash can’t really go offshore because domestic investors have 28% of their funds offshore, very close to the offshore limit of 30%.”

Foreign firms cutting back

The effects of MiFID ll are of course not unique to SA and are

OVERALL FIRMS FOR RESEARCH

particularly acute in Europe. Numerous foreign firms are subsequently scaling back on the SA operations with Credit Suisse having exited completely. Deutsche Bank, after terminating its advisory, corporate broking and sponsor services in SA in June last year, is now rebuilding in fixed income and corporate treasury.

One source likened the stock broking market to austere dining: “There’s no first course or pudding, just stick with the main course.”

Nemer describes how the market drifted into this state, spurring many of the foreign firms, particularly European-based ones, to cut back on their SA operations.

As MiFID discussions started coming together, a few things started happening, she says. “There was significant spread compression from the sell side to the buy side. The buy side had purchasing power and managed to drive down fees quite significantly.”

The buy side market is large, with the assets of nonbank asset managers in SA larger than the assets of banks by a ratio of 2:1, so there’s a large liquidity pool for research and trading. “The buy side’s pricing power has increased; it also enjoys high liquidity, with several large firms operating. Conversely, the sell side was highly competitive, so they had to have good positioning with the big buy

side firms. That resulted in the margin compression that is putting a lot of pressure on the sell side firms’r e s e a r c h .”

At the same time Europe started outlining MiFID ll, including the requirement to unbundle research from execution fees. “Then, globally, these large firms have had to look carefully at what their business proposition is. Is it research or is it more specialised on the execution side?”

Those factors resulted in a trend towards specialisation, where some firms globally have opted to retain research, while some buy side firms are also setting up their own research capabilities. “We’ve seen that in SA with some big asset m anage rs,”Nemer says, adding that many of the European-based investment houses are not necessarily globally based but operate most extensively in Europe and to some degree in the US and Japan.

“But they did not brand traditionally as being broad-based globally. Their operations in SA were to some degree outliers. So when they focus on their cost-to-income ratios, they have to look at the margins in different geographies and the scale of the businesses; and whether you can service clients in different ways.

“A lot of these European-based institutions found that their presence in SA was not part of a broad

2RMB

3UBS

4Citigroup

5Renaissance

6Macquarie Securities Group7.6%68.4%76.1%77.6%68.3%76.2%67.6%68.2%76.4%

7Avior Capital Markets7.4%77.4%57.9%68.0%58.3%47.9%310.4%310.9%310.8%

8Absa Capital3.9%102.6%84.0%84.4%103.0%84.4%84.7%103.5%84.7%

9Arqaam Capital3.5%83.9%103.1%103.1%93.5%n/a2.6%103.8%94.2%103.4%

10JPMorgan3.2%93.7%n/a2.6%93.5%83.9%103.1%94.2%84.7%93.7% n/aNedgroup Securities2.4%n/a1.2%93.5%n/a2.6%n/a1.3%93.8%n/a1.8%n/a0.8%n/a2.5%

special report ranking the analysts

global sector; rather the SA operation was the outlier to a degree. Also, they couldn’t leverage off a global footprint because they didn’t have one.

“A lot of them decided in this environment with the margin squeeze that they could probably satisfy their client needs as easily by trading from one of their hubs, such as London or Paris. In my view that’s the biggest driver of downsizing in SA.”

She emphasises the significant contribution to SA’s investment market those firms have made.

“These firms brought in global clients and international skills, and over time that has done a lot for us,”she says. “SA has always been an attractive market for global participants. In 1997 the equities market in SA was deregulated and commissions were no longer fixed. We then saw a significant number of global players entering the market —primarily through acquisi-

tions of local firms. They used SA as an important spoke in their approach to global research and training. They also focused on people —on developing the right talent to cover the right stocks. They saw that as an important differentiator in attracting business from the buy side. I believe the investment (by global players) in the industry was very good for the market in SA; they brought in investments and were willing to invest in skills development and also brought exposure to global best practices. That helped SA to feature prominently in global markets.”

Nemer says they also helped develop SA’s research capabilities as they served as benchmarks for local players.

Unintended consequences

An unintended consequence of MiFID, combined with the effects of the prevailing market conditions, is that the coverage universe of

brokers is diminishing —they are covering fewer stocks. “The refo re, the quality of consensus forecasts is deteriorating, which is negative for price discovery and market efficiency over time,”says Ter Mo r s .

As asset managers are also using fewer research houses, they tend to gravitate towards the larger, established ones —d i m i n i s h i ng the opportunities for small and black-owned firms. This is squeezing out many small research and brokerage firms and hindering transformation in the sector.

In a study of the 2017 FM analyst rankings by Primaresearch on behalf of the Association of Black Securities & Investment Professionals, it was found that 66 of 465 analysts were black. Excluding those included as part of teams, there were only 33 black SA analysts individually ranked in 2017, and only nine were black Africans. Providing significant support to

black-owned brokerages is the JSE’s Enterprise Development Programme. Launched in 2016, 33% of the equity trading and connectivity fees paid by stockbroker members of the JSE are paid to black-owned firms. So far nearly R22m has been d i s t r i bu t e d .

JSE head of corporate social investment Idris Seedat says the aim is to help them achieve turnover of more than R100m. Currently 15 black-owned firms receive support from the programme while one no longer does because it achieved the R100m turnover mark.

Dominique Laroque, who with other experienced researchers Syd Vianello and Steve Burrell founded Integram Research in 2017, outlines the challenges faced by small firms. “Breaking in to the competitive investment research arena is very tough and new entrants are not given any leeway on account of their small size and/or inexperi-

ence,”she says. “Research is expected to be of high quality in terms of content and appearance and able to compete on merit with that of large, established players.

“In addition, the dynamics of our industry are peculiar and very challenging as it can be extremely difficult to get access to the large institutions: the heavyweight asset

managers prefer to talk to rated firms [in FM rankings]. “It’s such a tricky business model for the whole industry inasmuch as you need to be ranked by the FM to get in the door, but unless you get through the door you won’t be ranked. The unintended consequence of this peculiar dynamic is that large institutions can almost

serve as barriers to entry.”

One of the reasons Integram was able to make headway is because the founders had a strong, wide network. Laroque is former head of research at Nedgroup Securities, where Vianello was her colleague, and Burrell was a cofounder of Avior.

“But the main reason we were able to break into this market is that we developed from scratch a unique research model with a focus on governance (sustainability). Governance is becoming more and more topical globally in the wake of some high-profile corporate scandals. Our methodology enables us to put mathematical scores on overall governance strength as well as governance in separate areas such as controls, ethical culture and financial performance. Our scoring is transparent and consistently applied, so we can rank companies and compare them on a level playing field.”

Based on her experiences with Integram, Laroque emphasises the need not only to improve access for smaller research firms but also to develop a more collaborative relationship between clients and brokers. “Part of our business model is helping trainees to build their own networks as soon as possible. They become an asset to their employer much more quickly if they have a network and this will then translate into quicker, steeper career growth.”

There is, she says, an added — often unrecognised —benefit in face-to-face contact with institutional clients on roadshows, for example. “The institutions ask tough questions and really make us think and consider different angles. This is very exciting and inspiring for sell side analysts and I don’t think clients always realise how much value they add to us, especially our young trainees, by seeing us.”A more collaborative relation-

special report ranking the analysts

ship between brokers and clients would, she believes, improve the level of insight in the research.

Market trends

In any market with conditions tightening, participants seek out new revenue streams, and two trends in the research sector have been manifesting themselves: corporate-commissioned research and deep-dive research.

Ter Mors says corporate-commissioned research is developing as a new potential revenue stream for brokers and is another unintended consequence of MiFID.

“It’s increasing rapidly in Europe because of the reducing coverage universe, the lowering quality of consensus estimates and perhaps because it is turning out to be more lucrative than the independent research model, at least for midand small-cap coverage.”

While in SA this is not yet well developed, he says there have been increased inquiries from corporations which would like to entice brokers. “It’s not really the major players —more the medium-sized listed companies.”

With only the top 80 companies on the JSE getting extensive research coverage, “many of the smaller listed companies are looking for ways to raise their profile, including a commissioned research model as it could arguably influence liquidity and valuations over t i me”.

Ter Mors stresses the importance of separating this from independent research. Laroque says increasing demand for deep-dive research, usually bespoke research, is also a result of the tight market conditions “where decisions are probably made more carefully, so sustainability becomes more important”.

She says Integram has benefited from this trend which usually “slides under the radar”because of confidentiality. She believes clients are reluctant to commit to high research subscription fees but will pay more for one-off, more detailed reports. “I think that generally the market is moving in that d i r e c t io n .” x

YOUNG ANALYST AWARD

Equities takes the top honours

Overall, judges were impressed, but also identified certain areas where room for improvement exists

ý Independent thinking and good knowledge of their subject matter stood out in this year’s entries for the Young Analyst of the Year award, which is open to analysts under 30.

Arqaam Capital’s André Bekker is the top Young Analyst in the equities category for his paper on Aspen: Small Fish in a Big Pond. Avior’s David Talpert is runner-up for his research on Curro, with Silha Rasugu of EFG Hermes’s paper on Safaricom in third place.

In the nonequities category, Odwa Sihlobo of Prescient Securities takes top spot with an analysis of the risks facing the SA bond market. Because there were few entries in the nonequity category this year, the CFA Society SA, which runs this process and coordinates the judging, decided to move property into nonequities.

Renaissance Capital’s Phago Rakale takes second place with his paper on Nepi Rockcastle, while Noko Mantome of Thebe Stockbroking is third with her research into Artificial Intelligence: A Con-

trasting View. Judges score the papers without knowing who the authors are. Jennifer Henry, who co-ordinated the judging, says the overall depth and breadth of the research put forward was impress iv e .

“This year there was an increased sense of independence of the young analysts’views with fresh thinking around industry analysis and factors such as artificial intelligence,”Henry says. “The quality of reports was excellent, making it difficult to discern a clear winner. In the end it came down to the winning [equity] analyst’s indepth assessment of the quality of a company’s earnings and questioning of risky accounting pract ice s.”

Fellow judge Franita Neuville, investment & advisory market development manager for Middle East & Africa at Refinitiv, says it was clear that the analysts who submitted entries were knowledgeable about the industry and the company that they were covering. “Most of the reports came

YOUNG ANALYST OF THE YEAR

EQUITIES

1André BekkerArqaam CapitalAspen: Small Fish in a Big Pond

across as being done by a very mature analyst.”

The judges also provided some guidance on aspects that could be improved. Henry says the research

2David Talpert Avior Capital MarketsCurro Holdings: Educating the Middle Class

3Silha RasuguEFG HermesSafaricom: Spearheading Kenya’s Telecom-Technology Revolution

NONEQUITIES

1Odwa SihloboPrescient SecuritiesDisentangling South African Nominal Bond Risk

2Phago RakaleRenaissance CapitalNEPI Rockcastle PLC: Solid Value-Creation Track Record

3Noko Mantome Thebe StockbrokingArtificial intelligence: A Contrasting View

special report ranking the analysts

on property companies, for example, seemed to be becoming commoditised with each analyst’s approach being very similar. “I would encourage the sell side houses to find new angles to industry research to help these young analysts stand apart.”

Neuville was impressed that a few analysts included alternative data, such as ESG (environmental, social and governance) factors in

METHODOLOGY

their reports. However, she says it was disappointing not to see the use of more alternative data in the analysis process and those who did use it only briefly touched on it in a couple of lines. “Globally we are seeing a movement where more alternative data is being incorporated into the investment decision-making process and young analysts should be brave and look more towards alternative

Stringent and consistent

Ratings and rankings are based on foolproof processes from credible research institutions

ý The rankings and other results presented in this survey are drawn entirely from a confidential questionnaire process conducted with the domestic institutional clients of investment research and stockbroker firms.

The structure of the survey is developed by the FM in conjunction with research house Intellidex. The survey is conducted through an online questionnaire. The Intellidex team collects the results and analyses them to determine the rankings and ratings.

The intention of the survey is to capture each institution’s house view of the brokerage services it obtains, rather than the views of its individual fund managers. However, the online questionnaire makes it possible for multiple individuals at an institution to complete different sections. This allows for specialists to contribute their insights in their relevant sectors.

Before compiling the questionnaire, Intellidex asked all institutional brokers to submit a list of their analysts and the sectors they covered in the past year. This year 33 firms submitted lists, one less

than last year. Those names and sectors were then placed into lists on the online questionnaire.

In the case of firms that did not submit nominee analysts, institutional investors were encouraged to insert the names of analysts into our questionnaires and the resulting rankings reflect the firms’performance on that basis.

Questionnaires were completed by 40 (41 in 2018) institutional respondents before the deadline. Respondents included asset managers, life insurance companies, some wealth managers and hedge funds. We attempted to include all of the largest fund managers by assets. Based on information submitted by 28 of the firms, we calculate domestic assets under management by participating firms to be R3.69-trillion. On a like-for-like basis of the 18 firms that provided data in both periods, domestic assets under management increased 0.4% from last year.

For each research sector, respondents were asked to rank the five best firms and, separately, the five best analysts, using the following criteria: quality of written

ways of analysing companies.”

A notable gap in the reports, she says, was on sustainable and responsible investment. “This is a key theme that is taking over the global investment world, but very little attention was given to this theme. It will be encouraging to see more focus being placed on a co mp any ’s SRI (socially responsible investment) performance in research reports so that investors

fundamental research in terms of content and value; accuracy of forecasts and buy/sell recommendations; useful ideas; effective communication, both written and verbal; and consistency over the past 12 months.

Points were then awarded to each analyst according to the rankings, ranging from five points for

can include that in their decisionmaking process.”

The CFA Society SA judging panel Aadil Omar; Hugh Hacking: Rosanne Howarth; Musimuni Dowelani; Caroline Cremen; Lwando Moni; Kelvin Chinyamutangira; Gandy Gandidzanwa; Lungile Luvuno, Franita Neuville; and Jennifer Henry (convener). x

first place to one point for fifth. The a naly sts’rankings are derived from the votes specifically for individuals, while the firms’rankings are derived from the votes for firms. Votes for individual analysts were not transferred to the firms.

In the sections covering institutional sales teams, corporate access, dealing and back-office administration, the respondents were asked to nominate and rank the firms they considered to be the best 10. There are no rankings for individual traders or sales specialists.

Results were weighted in the first instance by brokerage paid to the sell side. We also included weightings by domestic assets and unweighted results. This ensures the survey correctly reflects achievement in the industry according to its own business o bj e c tive s .

The brokerage weightings were determined from two sources. We asked brokers to place their clients into different brokerage “bu c ket s ”. In addition, we asked the institutions to tell us how much they paid in brokerage —broken down into equity, fixed interest and derivatives or other. On both the sell and buy sides, some firms would not disclose this information. Data was provided by 14 firms and they spent a total of R625m. About 58% of commission was spent on execution and 42% on research.

Figures for each broker were added together to get an indication of the total paid by each institution. This was compared to the institut io n s ’disclosure, where we had it.

special report ranking the analysts

Where we had no information, assets under management and our own market insights, drawn largely from previous studies, were applied to give a subjective weighting. All institutional respondents were categorised into 10 bands which were used to weight their responses. A similar process was used for the assets under management (AUM) weighti ng s .

ings were adjusted to give greater weight to those firms that indicated that derivatives and fixed interest trading was a greater priority for them. This attempts to cater for the distortion that arises from the fact that most brokerage and assets are connected to equity instruments.

All of the sectors, equity dealing, sales teams, corporate access and administration tables are presented without further amendment. However, in the case of the derivatives and fixed-interest securities dealing tables, an additional weighting was applied to firms that indicated they make extensive use of derivatives and fixed interest research and trading. The AUM and brokerage weight-

In the case of the overall rankings for research, an additional layer of weightings was applied. Equity sectors were weighted according to their market capitalisation as at December 31 2018, using the Swix capped index constituent weightings. The rankings with this weighting applied are presented in the column “Equity sectors w e ig ht e d ”by market cap. Nonequity sectors, such as quantitative analysis and risk management, were weighted according to the institutions’ feedback on how important

NEW COLLABORATIONS BAML leads in Extel rankings

This year, we release the ratings of SA firms by global investors. Thanks to a collaboration between the FM, Institutional Investor (Extel) and Intellidex, we are releasing the SA results of the worldwide Extel/Institutional Investor Survey here. While the FM rankings are based on the opinions of SA fund managers, the Extel II survey is based on the views of asset managers globally. As SA’s capital markets have become increasingly traded by foreign investors, their opinions on the best institutional brokers have become important.

The Extel survey assesses teams for SA, rather than individual analysts as the FM rankings do. The results are derived from an online survey

these nonequity sectors were to them. Investment strategy and both international and domestic economics carried the largest weightings of the nonequity sectors. We then gave the equity sectors a 70% total weight and the nonequity sectors a 30% total weight to determine the results presented in the all sectors weighted column.

We will continue to develop the methodology in future surveys and welcome feedback. Intellidex

The following buy-side firms voted in this year’s rankings: Absa Asset Management; Aeon Investment Management; Afena Capital; Allan Gray; Allweather Capital; Aluwani Capital; Ashburton Investments; Citadel Asset Management; Coronation Asset Management; Eskom Pension

Fund; Fairtree Capital; First Avenue Investment Management; Foord Asset Management; Futuregrowth Asset Management; Gryphon Asset Management; Investec Asset Management; Kagiso Asset Management; Laurium Capital Matrix Fund Managers; Meago Asset Management; Melville Douglas Investment Management; Mergence Investment Managers; Metal Industries & Benefit Funds Administrators; Momentum Asset Management; Nedbank Private Wealth; Nitrogen Fund Managers; Northstar Asset Management; Peregrine Capital; Prescient Investment Management; Prudential Portfolio Managers; PSG Wealth; Public Investment Corp; Sanlam Investment Management; Sasfin Asset Management; Sasol Pension Fund; Sesfikile Capital; Stanlib Asset Management; Tantalum Capital; Truffle Asset Management; Visio Capital. x

conducted in March and April covering asset managers in about 55 countries.

This year, the ranking is led by Bank of America Merrill Lynch (BAML), followed by HSBC. The two global brokers have clearly used their worldwide distribution strength to impress international investors with their SA capabilities. BAML took the lead position this year, swapping with HSBC from last year, while UBS maintained its third place ranking, a place it also holds in the FM rankings. BAML is continuing its SA push, having this year lured Alec Schoeman to head its equities business from Citi.

Interestingly, neither BAML nor HSBC rank highly in the FM rankings. This is in part because neither firm submits its names of analysts in the FM rankings process, but asset managers locally tend to not prioritise votes for analysts from either firm in the free-form sections of the survey. The real standout

SECTION TEAM RANKINGS (NONRESEARCH)

special report ranking the analysts

performance in the Extel rankings, however, has been delivered by SBG Securities, which has rocketed up the rankings, from 14th last year to fourth this year. The Standard Bank subsidiary has dominated the votes from domestic clients, as shown in its first place in the FM Rankings this year, which it

GOLD MINING

1Adrian

4Yatish

has held for four years. But the international rankings were always a tougher order, given that it has to compete with the global reach of international majors, particularly after Standard Bank reversed its international expansion ambitions and began exiting international relationships after

the global financial crisis. SBG has done well to feature highly on the radar of international asset managers, building its global reach through its London joint venture ICBC Standard Bank.

Note: The Extel rankings are based on market share, which is determined by the percentage of

votes received by respondents, weighted by the size of the commission wallet of each respondent. x

Special report written by Colin Anthony

Advertising executive: Cris Stock Cover: 123rf Image/Nelli Valova

1ChristopherNicholsonandJaredHooverRMBMorganStanley19.3%218.6%116.7%1RMBMorganStanley19.6%218.7%116.1%

2JohannSteynCitigroupGlobalMarkets18.1%119.4%412.5%2CitigroupGlobalMarkets19.0%120.4%314.0% 3StevenFriedmanRenaissanceCapital15.2%311.8%316.4%3RenaissanceCapital12.7%59.7%412.0% 4LeroyMnguniStandardBank/SBGSecurities12.1%511.1%116.7%4StandardBank/SBGSecurities11.7%410.8%215.2% 5HurbeyGeldenhuysVunaniSecurities8.6%411.3%65.7%5VunaniSecurities9.4%312.0%n/a6.1% 6LeonEsterhuizenandArnoldvanGraanNedgroupSecurities8.4%68.3%57.1%6NedgroupSecurities7.5%n/a7.3%n/a5.8% n/aReneHochreiterandLuvuyoBooiNoahCapitalMarkets6.4%n/a5.0%65.7%n/aNoahCapitalMarkets7.2%68.2%58.5% n/aAviorCapitalMarkets2.6%n/a3.8%66.7% Numberofanalystswhogotoneormorevotes:14Numberoffirmswhogotoneormorevotes:14 GENERAL MINING

1JohannPretoriusandSipheleleMhlongoRenaissanceCapital28.3%127.2%225.5%1RenaissanceCapital26.7%126.5%222.7% 2TimClarkandThabangThlakuStandardBank/SBGSecurities26.0%225.5%126.3%2StandardBank/SBGSecurities24.7%224.4%125.1%

3BrianMorgan.MennoSanderseand DavidProwse RMBMorganStanley16.8%316.6%313.6%3RMBMorganStanley17.2%317.3%314.4%

4GrantSporre.HaydenBairstowand

AlonOlsha MacquarieSecuritiesGroup9.4%410.7%48.8%4MacquarieSecuritiesGroup9.2%410.7%48.8%

5HeathJansenandEphremRaviCitigroupGlobalMarkets6.9%58.0%65.3%5CitigroupGlobalMarkets8.1%58.9%66.9% 6MylesAllsopUBSSA5.5%63.3%56.9%6UBSSA6.9%65.1%58.3% Numberofanalystswhogotoneormorevotes:14Numberoffirmswhogotoneormorevotes:13

OIL & GAS AND CHEMICALS

FORESTRY & PAPER

INDUSTRIAL METALS

1ThabangThlakuandTimClarkStandardBank/SBGSecurities27.1%127.1%126.4%1StandardBank/SBGSecurities27.0%125.9%126.3%

2BrianMorganRMBMorganStanley20.8%319.4%318.5%2RMBMorganStanley19.9%318.2%218.8%

3KabeloMosheshaandJohannPretoriusRenaissanceCapital20.7%223.6%222.3%3RenaissanceCapital19.4%222.2%218.8% 4HeathJansenandEphremRaviCitigroupGlobalMarkets7.7%47.8%55.5%4CitigroupGlobalMarkets6.8%47.2%64.1% 5WadeNapierAviorCapitalMarkets5.1%64.7%47.5%5AviorCapitalMarkets6.2%55.6%410.2% 5LeonEsterhuizenandArnoldvanGraanNedgroupSecurities5.1%n/a4.1%64.5%6UBSSA5.4%n/a4.6%55.3% n/aHurbeyGeldenhuysandLotyMmolaVunaniSecurities3.7%55.1%n/a3.8%n/aVunaniSecurities3.1%64.7%n/a2.6% n/aMohloanaMagwaiMacquarieSecuritiesGroup2.9%n/a2.6%64.5% Numberofanalystswhogotoneormorevotes:12Numberoffirmswhogotoneormorevotes:13

RESOURCES

1TimClark.ThabangThlaku.Leroy MnguniandAdrianHammond StandardBank/SBGSecurities20.0%119.0%123.1%1StandardBank/SBGSecurities21.0%119.8%124.4%

2JohannPretorius.StevenFriedman. KabeloMoshesha.SipheleleMhlongo andDerickDeale RenaissanceCapital19.5%218.1%216.2%2RenaissanceCapital18.2%217.3%214.2%

3ChristopherNicholson.BrianMorgan andJaredHoover RMBMorganStanley18.7%317.2%314.5%3RMBMorganStanley17.3%316.5%313.8% 4LeonEsterhuizenandArnoldvanGraanNedgroupSecurities14.2%414.8%57.7%4NedgroupSecurities14.4%414.8%67.3% 5JohannSteyn.HeathJansenandEphrem Ravi CitigroupGlobalMarkets6.4%n/a5.4%n/a3.4%5CitigroupGlobalMarkets5.6%n/a5.0%n/a2.4%

6HurbeyGeldenhuysandLotyMmolaVunaniSecurities4.8%66.4%n/a4.7%5VunaniSecurities5.6%66.2%n/a4.9% n/aYatishChowtheeandMohloanaMagwaiMacquarieSecuritiesGroup4.6%59.8%66.8%n/aMacquarieSecuritiesGroup5.0%510.2%57.7% n/aWadeNapierandMahewShieldsAviorCapitalMarkets4.2%n/a3.6%49.0%n/aAviorCapitalMarkets3.5%n/a3.1%48.1% Numberofanalystswhogotoneormorevotes:16Numberoffirmswhogotoneormorevotes:16

CONSTRUCTION. BUILDING MATERIALS & MACHINERY

1RowanGoellerMacquarieSecuritiesGroup25.7%125.0%125.5%1MacquarieSecuritiesGroup26.9%125.8%124.5% 2BrentMadelRenaissanceCapital21.6%319.8%319.8%2RenaissanceCapital22.6%319.9%319.6% 3MarcTerMorsStandardBank/SBGSecurities21.3%224.2%223.6%3StandardBank/SBGSecurities20.7%223.6%222.9% 4RoyCampbellRMBMorganStanley10.2%59.2%410.4%4AfrifocusSecurities9.7%413.5%66.1% 5TinasheKambadzaAfrifocusSecurities9.8%411.9%68.0%5AviorCapitalMarkets6.8%57.2%410.6% 6GariChigwedereAviorCapitalMarkets5.7%65.4%59.0%6RMBMorganStanley6.1%64.1%58.2% Numberofanalystswhogotoneormorevotes:8Numberoffirmswhogotoneormorevotes:9

BANKS

ANALYSTS’RANKINGFIRMS’RANKING

1StephanPotgieterUBSSA27.2%125.4%123.8%1UBSSA25.2%123.4%120.6% 2ElanLevyandKhayelihleMthembuRMBMorganStanley13.3%214.0%213.6%2RMBMorganStanley12.2%313.1%214.6% 3CharlesRussellandRonitGhoseCitigroupGlobalMarkets10.7%410.1%67.8%3CitigroupGlobalMarkets11.7%511.2%68.9% 4IlanStermerRenaissanceCapital10.2%312.4%311.6%4StandardBank/SBGSecurities11.5%213.9%312.6% 5JamesStarkeStandardBank/SBGSecurities8.4%510.0%411.4%5RenaissanceCapital10.6%313.1%412.3% 6HarryBothaAviorCapitalMarkets7.1%67.9%510.8%6AviorCapitalMarkets8.6%610.2%511.7% Numberofanalystswhogotoneormorevotes:14Numberoffirmswhogotoneormorevotes:13

special report ranking the analysts

GENERAL FINANCIAL

1MichaelChristelisUBSSA24.4%123.2%122.5%1UBSSA21.7%120.7%219.9%

2FrancoisduToitCitigroupGlobalMarketsand RenaissanceCapital 23.2%220.7%318.6%2CitigroupGlobalMarkets20.3%417.2%316.0%

3MusaMalwandlaStandardBank/SBGSecurities18.1%318.2%221.5%3StandardBank/SBGSecurities20.0%219.4%120.3% 4LarissavanDeventerMacquarieSecuritiesGroup17.3%417.6%416.4%4AbsaCapital14.6%317.8%512.8% 5GrantDavidsAbsaCapital12.2%513.9%511.9%5MacquarieSecuritiesGroup13.9%513.9%413.9% 6WarwickBamAviorCapitalMarkets4.2%65.5%66.8%6AviorCapitalMarkets7.2%68.9%611.0% Numberofanalystswhogotoneormorevotes:8Numberoffirmswhogotoneormorevotes:9

& TOBACCO

1ReyWiumStandardBank/SBGSecurities23.5%126.0%127.7%1StandardBank/SBGSecurities21.9%124.6%126.0% 2NicOliverUBSSA20.1%318.7%218.1%2UBSSA19.2%218.0%216.3% 3AdamSpielmanandSimonHalesCitigroupGlobalMarkets18.5%414.7%314.3%3CitigroupGlobalMarkets17.3%413.2%511.5% 4RupertWilsonNoahCapitalMarkets17.4%218.7%314.3%4NoahCapitalMarkets13.6%314.5%412.4% 5VikhyatSharma.RichardTaylorand OlivierNicolai RMBMorganStanley7.2%57.0%58.7%5RMBMorganStanley11.3%512.0%312.7% 6JaninevanWykandRossHindleAviorCapitalMarkets3.6%n/a2.7%65.5%6AviorCapitalMarkets4.2%n/a3.4%66.5% n/aCallumElliotBernstein2.9%63.2%n/a1.5%n/aBernstein3.2%63.6%n/a1.5% Numberofanalystswhogotoneormorevotes:15Numberoffirmswhogotoneormorevotes:15

FOOD PRODUCERS

PROVIDERS & PHARMACEUTICALS

LUXURY GOODS

GENERAL RETAILERS

1SeanHolmesRMBMorganStanley/

2KaeleenBrownandYa’eeshPatelStandardBank/SBGSecurities16.0%312.9%216.8%2StandardBank/SBGSecurities19.3%316.3%218.7% 3ShamilIsmailPrimaresearch12.1%214.1%57.6%3Primaresearch15.1%217.0%310.3% 4BjornZietsmanUBSSA10.4%411.0%311.6%4AbsaCapital7.8%49.4%49.2% 5ZaheerJoosubRenaissanceCapital5.8%66.0%n/a4.9%5UBSSA6.6%57.0%66.0% 6DarrenCohn.Sa’adChothia.Samantha NaickerandRodSalmon AbsaCapital5.6%56.1%47.8%6HSBCSecurities6.0%n/a3.2%n/a4.6% n/aJasmineLinPrimaresearch5.6%n/a4.9%n/a3.8%n/aAviorCapitalMarkets5.4%n/a5.3%56.9% n/aNatashaMoolmanandFatimaLaherMacquarieSecuritiesGroup5.1%n/a5.0%n/a4.3%n/aRenaissanceCapital4.9%66.0%n/a3.7% n/aJitenBechoo.AtiyyahVawdaandPratish Soni AviorCapitalMarkets4.2%n/a4.0%65.7%n/aArqaamCapital3.9%n/a4.3%66.0% Numberofanalystswhogotoneormorevotes:16Numberoffirmswhogotoneormorevotes:15

1KaeleenBrownandYa’eeshPatelStandardBank/SBGSecurities24.4%220.2%222.1%1StandardBank/SBGSecurities26.4%124.8%122.9% 2SeanHolmesandVikhyatSharmaRMBMorganStanley23.3%125.1%124.2%2RMBMorganStanley21.2%220.5%122.9% 3JasmineLinPrimaresearch10.5%511.0%n/a5.3%3AbsaCapital10.3%312.3%310.7% 4DarrenCohn.Sa’adChothia.Samantha NaickerandRodSalmon AbsaCapital10.4%312.5%311.1%4Primaresearch10.0%410.5%n/a5.4% 5BjornZietsmanUBSSA9.8%411.5%57.9%5MacquarieSecuritiesGroup7.7%66.4%49.3% 6NatashaMoolmanandFatimaLaherMacquarieSecuritiesGroup8.4%68.1%49.5%6UBSSA7.4%57.9%n/a5.9% n/aMarkHodgsonAviorCapitalMarkets3.3%n/a3.1%57.9%n/aJPMorgan5.4%n/a5.1%66.3% n/aAviorCapitalMarkets3.5%n/a4.3%58.3% Numberofanalystswhogotoneormorevotes:13Numberoffirmswhogotoneormorevotes:12 HOTELS. TRAVEL & LEISURE

1MicheleOlivierRMBMorganStanley30.7%130.8%231.9%1AviorCapitalMarkets29.0%128.3%135.3% 2JaninevanWykAviorCapitalMarkets24.4%320.8%133.1%2RMBMorganStanley25.2%322.5%226.7% 3JasmineLinPrimaresearch20.8%225.1%315.1%3CitigroupGlobalMarkets21.6%416.5%412.7% 4KgosiRahubeCitigroupGlobalMarkets16.7%413.4%49.6%4Primaresearch20.5%227.1%316.0% 5SvenForssmanandKhanyiTshabalalaNavigareSecurities6.5%57.7%56.6%5NavigareSecurities2.5%52.7%55.3% 6MahewCalvocoressiJPMorgan0.8%61.9%63.0%6JPMorgan0.9%62.4%63.3% Numberofanalystswhogotoneormorevotes:7Numberoffirmswhogotoneormorevotes:7

DIVERSIFIED INDUSTRIALS

1BrentMadelRenaissanceCapital18.4%315.3%118.8%1RenaissanceCapital17.0%413.7%215.9%

2MuniraKharvaStandardBank/SBGSecurities17.4%118.7%217.6%2StandardBank/SBGSecurities15.9%118.0%116.5%

3RowanGoellerMacquarieSecuritiesGroup14.6%215.6%412.6%3RMBMorganStanley15.4%314.8%312.9% 4RoyCampbellRMBMorganStanley14.1%413.6%313.6%4MacquarieSecuritiesGroup14.1%214.9%412.3% 5MichaelJacksBankofAmericaMerrillLynch andArqaamCapital

6CeriMoodieCeriMoodieInvestment Research

6.7%66.5%n/a3.2%6AbsaCapital5.3%55.8%58.7% n/aChristinaSteynandJeandreImmelmanAbsaCapital4.4%n/a4.5%57.4%n/aAviorCapitalMarkets3.4%n/a3.9%66.3% n/aBankofAmericaMerrillLynch3.3%65.7%n/a3.6% Numberofanalystswhogotoneormorevotes:18Numberoffirmswhogotoneormorevotes:16

special report ranking the analysts

INVESTMENT COMPANIES

COMPUTING & ELECTRONICS

1RuhanduPlessisAviorCapitalMarkets27.1%224.2%126.8%1PrescientSecurities29.0%128.3%219.8%

2IrnestKaplanKaplanEquityAnalysts25.6%126.0%419.1%2AviorCapitalMarkets26.1%223.4%130.5% 3MuneerAhmedPrescientSecurities20.7%321.8%219.7%3KaplanEquityAnalysts15.5%414.2%412.3% 4JonathanKennedy-GoodandPreetiSukhaStandardBank/SBGSecurities18.8%421.0%219.7%4StandardBank/SBGSecurities12.4%314.3%317.1% 5ChrisGrundbergUBSSA2.7%61.8%63.2%5VunaniSecurities9.0%59.1%n/a2.7% 5IanDoyleandJamiePeggRMBMorganStanley2.7%52.6%55.1%6NavigareSecurities2.7%63.3%n/a1.6% n/aJPDavidsJPMorgan1.2%n/a1.3%63.2%n/aJPMorgan1.6%n/a2.4%54.8% n/aDavidSmithInvestecSecurities1.2%n/a1.3%63.2%n/aUBSSA1.1%n/a1.1%63.2% Numberofanalystswhogotoneormorevotes:8Numberoffirmswhogotoneormorevotes:11

1DavidFergusonRenaissanceCapital20.9%122.2%117.9%1RenaissanceCapital20.4%123.4%216.7% 2KevinMaisonandCharlWolmaransAviorCapitalMarkets13.6%214.3%216.3%2AviorCapitalMarkets16.7%220.5%120.4% 3CatherineO’Niell.AliciaYap.PaulShin andTeam CitigroupGlobalMarkets11.9%510.0%68.3%3StandardBank/SBGSecurities12.3%49.7%316.0%

4JonathanKennedy-GoodandPreetiSukhaStandardBank/SBGSecurities11.8%310.9%313.9%3UBSSA12.3%310.6%49.5% 5JohnKimUBSSAand DeutscheSecurities 10.2%410.7%410.4%5MacquarieSecuritiesGroup8.7%66.3%58.4%

6WendyHuangMacquarieSecuritiesGroup9.7%68.7%59.1%6CitigroupGlobalMarkets8.2%n/a4.8%n/a5.1% n/aDeutscheSecurities7.0%57.4%n/a5.5% n/aRMBMorganStanley5.7%n/a5.5%68.0% Numberofanalystswhogotoneormorevotes:12Numberoffirmswhogotoneormorevotes:12

1SumilSeeraj.MarcTerMors.MagdelNeale andMuniraKharva StandardBank/SBGSecurities15.7%116.4%213.1%1AviorCapitalMarkets14.6%117.1%113.2%

2BrentMadelRenaissanceCapital11.3%n/a7.9%n/a8.0%2StandardBank/SBGSecurities13.8%314.3%212.0% 2AnthonyClark@SmallTalkDailyResearch11.3%211.7%115.1%3Primaresearch11.8%216.5%310.9% 4RowanGoeller.FatimaLaherandSven Thordsen MacquarieSecuritiesGroup10.9%59.7%311.6%4AbsaCapital10.0%410.7%49.3% 5ChristinaSteynandJeandreImmelmanAbsaCapital10.7%211.7%510.1%5RenaissanceCapital9.3%58.2%n/a7.0% 6RoyCampbell.MicheleOlivier.ElanLevy andVikhyatSharma RMBMorganStanley10.5%n/a4.5%68.5%6MacquarieSecuritiesGroup8.4%67.4%68.5% 6MphoMokotsoAviorCapitalMarkets10.5%410.7%410.6%n/aRMBMorganStanley8.1%n/a4.4%58.9% n/aShamilIsmailPrimaresearch4.9%69.5%n/a4.5% Numberofanalystswhogotoneormorevotes:18Numberoffirmswhogotoneormorevotes:17

REAL ESTATE

AFRICA NONEQUITIES RESEARCH (EXCL SA)

1DavidCowan.GinaSchoemanandDavid Lubin CitigroupGlobalMarkets22.6%118.9%217.1%1RenaissanceCapital24.1%123.1%124.1%

StandardBank/SBGSecurities16.7%317.4%316.2%3CitigroupGlobalMarkets17.6%315.6%313.0%

2YvonneMhangoRenaissanceCapital19.3%218.4%118.9%2StandardBank/SBGSecurities19.4%218.7%221.0% 3PhumeleleMbiyo.JibranQureishi.Dmitry Shishkin.FausioMussaandGbolahan Taiwo

4MohamedAbuBashaEFGHermes9.6%68.7%59.9%4EFGHermes13.4%413.2%411.7% 5NevilleMandimikaRandMerchantBank9.5%59.0%412.6%5AbsaCapital6.2%56.7%57.4% 6RidleMarkus.SamSinghandEmily Chimpanzi AbsaCapital8.5%49.5%59.9%6RandMerchantBank4.8%n/a5.6%65.6%

n/aNKC2.9%65.8%n/a3.1% Numberofanalystswhogotoneormorevotes:10Numberoffirmswhogotoneormorevotes:13

AFRICAN EQUITIES (EXCL SA)

1EFGHermesResearchTeamEFGHermes28.3%129.8%127.9%1EFGHermes25.2%126.6%123.1% 2DayoAyeni.TemiAdurojaandOla Ogunsanya RenaissanceCapital19.7%220.3%219.2%2RenaissanceCapital19.6%319.7%319.4%

3EfemenaEsalomi.KuriaKamauand GregoryWaweru StandardBank/SBGSecurities17.7%317.6%318.3%3StandardBank/SBGSecurities19.0%220.4%220.9%

4AndrewHowellCitigroupGlobalMarkets9.4%58.2%56.7%4CitigroupGlobalMarkets11.8%410.9%410.4% 5JaapMeijerArqaamCapital8.9%410.7%410.6%5ArqaamCapital7.7%59.3%59.0% 6CraigMetherell.RossHindleandGari Chigwedere AviorCapitalMarkets4.5%63.1%63.8%6AfricanAllianceSecurities3.7%n/a2.4%63.7% n/aTimothyWambuandLouisePillayAbsaCapital4.2%n/a2.5%63.8%n/aRMBMorganStanley3.5%64.0%63.7% n/aGbengaSholotanRandMerchantBank3.5%n/a2.0%63.8%n/aRandMerchantBank3.1%n/a2.5%63.7% n/aDavidCowanCitigroupGlobalMarkets1.7%63.1%n/a1.9%

Numberofanalystswhogotoneormorevotes:11Numberoffirmswhogotoneormorevotes:11

COMMODITIES

1JohannPretorius.StevenFriedman.Kabelo Moshesha.SipheleleMhlongoandDerick Deale RenaissanceCapital16.9%513.8%215.2%1RMBMorganStanley16.8%118.6%215.6%

2SusanBates.ChristopherNicholson.Brian MorganandMennoSanderse RMBMorganStanley16.2%116.6%215.2%2RenaissanceCapital15.4%612.0%511.5% 3ThabangThlaku.TimClark.LeroyMnguni. AdrianHammondandMarcusGarvey StandardBank/SBGSecurities14.6%314.5%116.3%3StandardBank/SBGSecurities14.3%413.7%117.0% 4TomPrice.MaTurner.VikasDwivedi. YatishChowtheeandGerhardEngelbrecht MacquarieSecuritiesGroup13.6%215.7%413.5%4UBSSA13.2%513.1%411.8% 5EdMorse.MaxLayton.HeathJansen. JohannSteyn.EphremRaviandTeam CitigroupGlobalMarkets12.7%414.1%59.9%5MacquarieSecuritiesGroup12.4%215.0%312.9%

6GlynLawcockUBSSA4.4%65.3%n/a4.1%6CitigroupGlobalMarkets11.6%314.2%68.8% n/aMylesAllsopUBSSA4.0%n/a3.7%65.5%

Numberofanalystswhogotoneormorevotes:20Numberoffirmswhogotoneormorevotes:16

special report ranking the analysts

ENVIRONMENTAL. SOCIAL AND CORPORATE GOVERNANCE

1Waseem Thokan and Rob Worthington-Smith

2Mark Hodgson. Warwick

and Team

3Dominique Laroque. Bulelwa Ndara. Syd Vianello. Sibongile Chiumie and Steve Burrell

4Arqaam FirmArqaam

5Shamil IsmailPrimaresearch5.0%64.0%65.1%5UBS SA6.4%56.1%n/a3.6%

6Charles RussellCitigroup Global Markets4.3%54.8%n/a1.9%6Arqaam Capital5.9%n/a2.5%n/a5.3%

6Julie HudsonUBS SA4.3%n/a3.6%n/a2.8%n/aPrimaresearch5.1%64.2%46.7%

6Kate RushtonAbsa Capital4.3%45.1%46.0%n/aAbsa Capital3.3%n/a4.1%55.8%

CREDIT ANALYSIS

1ElenaIlkovaandKateRushtonRandMerchantBank27.4%128.4%123.9%1RandMerchantBank28.9%129.3%127.0%

2KateRushtonandSivenathi Marwarwa AbsaCapital22.3%321.1%320.0%2StandardBank/SBGSecurities22.4%226.8%224.6%

3RobynMacLennanand SteffenKriel StandardBank/SBGSecurities19.7%224.1%220.5%3AbsaCapital21.1%319.4%317.5%

4RenePrinslooandPetrus Bosman AviorCapitalMarkets15.2%413.0%411.7%4AviorCapitalMarkets15.9%413.2%415.2%

5JonesGondoandNthulleng Mphahlele NedgroupSecurities7.6%58.7%69.3%5NedgroupSecurities5.6%58.3%56.2%

6MinDai.JamesLordand SimonWaever RMBMorganStanley5.6%64.0%511.2%6RMBMorganStanley3.8%62.3%56.2%

Numberofanalystswhogotoneormorevotes:7Numberoffirmswhogotoneormorevotes:7

DERIVATIVES ANALYSTS’RANKINGFIRMS’RANKING

1EmlynFlint.FlorenceChikurunhe.AnthonySeymourand SamanthaJones LegaePeresec23.7%132.0%219.2%1AviorCapitalMarkets29.6%225.2%129.6%

2PetrusBosman.ShivaanGurayahandMarkSarembock

AviorCapitalMarkets19.3%215.3%124.7%2LegaePeresec18.9%125.7%315.8%

3ChrisCraddockPrescientSecurities15.1%313.4%313.7%3PrescientSecurities15.3%411.6%413.3% 4AveshenPillayUBSSA12.0%59.4%513.2%4UBSSA14.6%313.3%216.3% 5ConstellationCapitalTeamConstellationCapital10.1%410.5%313.7%5ConstellationCapital9.9%59.5%512.2% 6LoganNeels.MphoMokgoro andSashaKangleas MergenceAfricaCapital5.3%66.2%n/a2.2%6StandardBank/SBGSecurities5.9%67.5%n/a3.6% n/aOdwaSihloboPrescientSecurities4.6%n/a3.9%62.7%n/aRandMerchantBank3.5%n/a4.9%64.6% Numberofanalystswhogotoneormorevotes:13Numberoffirmswhogotoneormorevotes:10

FIXED-INTEREST SECURITIES

INNOVATIVE RESEARCH (EQUITY & NONEQUITY)

1Mary Curtis. Chris Nicholson. Brian Morgan. Vikhyat Sharma. Michele Olivier. Roy Campbell. Elan Levy and Sean Holmes

ECONOMIC ANALYSIS (DOMESTIC)

1ElnaMoolmanStandardBank/SBGSecurities28.1%127.1%127.2%1StandardBank/SBGSecurities26.0%125.1%124.4% 2AndreaMasiaRMBMorganStanley17.5%316.3%315.6%2AbsaCapital17.8%219.4%219.7% 3PeterWorthingtonandMiyelani

Maluleke AbsaCapital16.7%217.9%217.3%3RMBMorganStanley16.9%316.3%315.5%

4GinaSchoemanCitigroupGlobalMarkets12.6%412.4%410.0%4CitigroupGlobalMarkets13.8%414.5%49.7% 5DaneleeMasiaDeutscheSecurities5.4%n/a3.9%55.1%5DeutscheSecurities4.6%n/a2.6%n/a3.6% 6SonjaKellerJPMorgan4.6%55.3%n/a3.8%6NoahCapitalMarkets3.6%n/a4.0%n/a3.6% n/aDrAzarJammineNoahCapitalMarkets4.4%64.9%64.9%6JPMorgan3.6%54.5%n/a3.3% n/aRandMerchantBank3.4%64.3%56.6% n/aNedgroupSecurities3.3%n/a3.8%64.2% Numberofanalystswhogotoneormorevotes:16Numberoffirmswhogotoneormorevotes:15

ECONOMIC ANALYSIS (INTERNATIONAL)

1MaryCurtis.IanDoyle.Jonathan Garner.AndreaMasiaandJacob Nell RMBMorganStanley21.3%120.5%121.1%1RMBMorganStanley22.0%120.5%121.7%

2WillemBuiter.DavidLubin.David CowanandTinaFordham

CitigroupGlobalMarkets14.9%215.1%210.0%2CitigroupGlobalMarkets15.9%216.3%310.3%

3StevenBarrowandJeremyStevensStandardBank/SBGSecurities6.7%37.4%46.9%3JPMorgan11.0%314.5%211.0% 4GeoffDennisUBSSA6.3%n/a4.4%46.9%4UBSSA9.6%57.9%67.6% 5JimReidDeutscheSecurities6.2%n/a4.2%46.9%5HSBCSecurities9.3%411.7%n/a4.8% 6GyorgyKovacsUBSSA5.1%45.7%n/a3.5%6DeutscheSecurities7.6%64.9%57.9% n/aNeelsHeynekeandMehulDayaNedgroupSecurities4.9%55.4%n/a4.2%n/aAbsaCapital4.4%n/a3.8%49.7% n/aPeterWorthingtonAbsaCapital4.5%n/a3.6%38.3% n/aBruceKasmanandTeamJPMorgan2.7%64.8%n/a3.5%

Numberofanalystswhogotoneormorevotes:25Numberoffirmswhogotoneormorevotes:6

INVESTMENT STRATEGY

1MaryCurtisRMBMorganStanley28.4%127.5%126.2%1RMBMorganStanley27.1%126.0%222.8%

2DeanneGordonandAdeleFermoyleStandardBank/SBGSecurities24.0%223.5%222.1%2StandardBank/SBGSecurities25.1%225.4%124.9% 3NeelsHeynekeandMehulDayaNedgroupSecurities10.2%311.8%48.0%3NedgroupSecurities9.2%410.2%35.6% 4RobertBuckland.MarkusRosgen andMaKing CitigroupGlobalMarkets7.2%47.9%56.5%4BankofAmericaMerrillLynch8.2%311.1%44.9% 5JohnMorrisandNadeemDawoodBankofAmericaMerrillLynch6.3%57.3%n/a3.0%5CitigroupGlobalMarkets6.7%57.0%n/a4.6% 6AyanGhoshAviorCapitalMarkets4.6%64.3%38.4%6UBSSA3.8%n/a1.7%44.9% n/aMislavMatejka.JohnNormandand DavidAserkoff JPMorgan3.1%n/a3.2%63.8%n/aJPMorgan3.4%n/a3.5%44.9% n/aMacquarieSecuritiesGroup2.8%63.6%n/a3.5% n/aAviorCapitalMarkets2.3%n/a1.8%44.9% Numberofanalystswhogotoneormorevotes:22Numberoffirmswhogotoneormorevotes:18

special report ranking the analysts

POLITICAL ANALYSIS

1EmlynFlint.FlorenceChikurunhe. AnthonySeymourandSamantha Jones

2JosiahRudolphandGurvinderBrarMacquarieSecuritiesGroup18.7%121.7%117.6%2PrescientSecurities23.2%122.2%118.7% 3NicoKatzkePrescientSecurities14.9%414.8%312.5%3MacquarieSecuritiesGroup16.5%319.1%413.7% 4WarrickErlank.PetrusBosmanand MarkSarembock AviorCapitalMarkets13.6%315.1%215.3%4AviorCapitalMarkets15.2%415.9%218.1%

5OdwaSihloboPrescientSecurities13.5%512.7%510.8%5CitigroupGlobalMarkets6.0%57.1%66.0% 6LoganNeels.MphoMokgoroand SashaKangleas MergenceAfricaCapital5.0%65.2%n/a3.4%6MergenceAfricaCapital4.1%64.0%n/a1.6%

n/aDeanneGordonandAdeleFermoyleStandardBank/SBGSecurities1.9%n/a1.9%68.0%n/aStandardBank/SBGSecurities3.0%n/a3.0%59.9% Numberofanalystswhogotoneormorevotes:15Numberoffirmswhogotoneormorevotes:14

RISK MANAGEMENT

1PetrusBosmanandTeamAviorCapitalMarkets25.3%127.5%122.2%1AviorCapitalMarkets29.8%130.7%125.0% 2NicoKatzkePrescientSecurities18.4%316.5%410.1%2PrescientSecurities23.8%320.9%316.7% 3EmlynFlint.FlorenceChikurunhe. AnthonySeymourandSamantha Jones LegaePeresec17.7%222.7%314.1%3LegaePeresec18.8%223.3%414.4%

4OdwaSihloboPrescientSecurities12.9%411.5%57.1%4ConstellationCapital7.8%46.5%n/a3.0% 5CharloevanTiddensPrescientSecurities10.1%57.7%n/a6.1%5StandardBank/SBGSecurities6.8%65.9%217.4% 6DeanneGordonandAdeleFermoyleStandardBank/SBGSecurities5.3%64.5%217.2%6UBSSA6.3%46.5%65.3% n/aMaryCurtisandJonathanGarnerRMBMorganStanley2.5%n/a1.9%57.1%n/aRMBMorganStanley4.0%n/a3.4%59.8% Numberofanalystswhogotoneormorevotes:12Numberoffirmswhogotoneormorevotes:9

TECHNICAL ANALYSIS

NO THOUGHT UNTURNED

At RMB and RMB Morgan Stanley, we put our clients first. And rightfully so, because we appreciate that any recognition we receive would not be possible without them. It’s why our Solutionist Thinking track record combines seasoned analytical experience, industry understanding and reliable thinking – achieving success for our clients and for us.