STEINHOFF LOSSES
Once bitten, twice shy for Coronation after Steinhoff bloodbath
Coronation, whose losses from the retailer's share price collapse spread across 11 portfolios, has vowed to exercise greater scepticism
Coronation, bloodied from a R14bn loss on Steinhoff, was applying a "higher level of scepticism" to its investment approach, CEO Anton Pillay said on Tuesday. "Investors’ best defence is to increase the level of scepticism and to understand the ways in which these bad actors can deceive governance structures," Pillay told Business Day, following the announcement of Coronation’s financial results for the six months to March 2018. The asset manager, one of the country’s largest, continued to suffer outflows from its retail and institutional funds over the period but at a slower rate. Coronation’s losses from Steinhoff’s share price collapse spread across 11 portfolios. Fund managers across SA suffered hard knocks to their portfolios in December, following the collapse of Steinhoff’s stock. The counter lost more than R200bn in value within days of admitting to accounting irregularities and announcing the departure of long-time CEO Markus Jooste. Coronation held 5%-6% of Steinhoff in ea...
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