Equity investors can now buy insurance to protect themselves against steep share-price falls caused by alleged management fraud, à la Steinhoff. Investors in Steinhoff, Capitec and Resilient have suffered considerable losses in recent months following actual or alleged misconduct by company management. InvestSure, the first of its kind in SA, would have paid out in these instances. InvestSure wanted to protect "innocent shareholders blindsided by management behaving unethically", cofounder Mbulelo Mpofana said on Monday. An actuarial science graduate, Mpofana, together with chartered accountant Shane Curran and IT expert Iggy Nkwinika, have been working on InvestSure since early 2017. The product is available only to retail investors on Easy Equities, the low-cost share trading platform that pioneered fractional share ownership in SA. It had 58,518 funded investment accounts at the end of February, according to parent Purple Group’s interim results. While an asset manager who spoke ...

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