Top market commentator and Vestact Director Sasha Naryshkine popped over to the Biznews.com studio today and in this short video offers his perspective on the London Sunday Times selecting Old Mutual as one of the best stocks to buy in 2015; offered his thoughts on a possible Sasol price recovery – and shared his number one stock pick for the new year.
ALEC HOGG: Sasha Naryshkine from Vestact is with us in the studio. Sasha, it’s been an interesting 2014. I was looking back – September 52 000. The All Share Index down to 49 000 today – one of the first trading days of the year. What does 2015 look like to you?
SASHA NARYSHKINE: Obviously, the positive impact of oil prices almost being a reduction in tax for consumers … I think that’s going to be a massive story this year. Maybe the other one to be played out in the first part of the year is how the ECB are going to integrate with the Germans. What’s going to happen to Greece? What’s going to happen to the UK?
ALEC HOGG: So a lot is happening outside of our borders.
SASHA NARYSHKINE: yes.
ALEC HOGG: I suppose that one should always, when you’re talking about shares, be a stock picker. The Sunday Times of London tipped 10 shares over the weekend, I think. One of them was Old Mutual. Would you go with that?
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SASHA NARYSHKINE: I’ve never been a fan of financial services because there are too many black box investment-type activities happening in the background. There’s not enough clarity, but you make a good point because I don’t think Aspen are going to look to sell any fewer drugs in East Asia if Greece exits the Eurozone. Maybe there’s been an impact on Richemont’s jewellery sales in Hong Kong as a result of the protest. You can just say ‘it doesn’t have an impact’, but in the long run, the quality businesses keep doing what they’re best at.
ALEC HOGG: Stock picking. Old Mutual: well, the Brits are going for it. Here in South Africa, many people own Sasol – probably the most popular share amongst private investors anyway. Is there any hope after the collapse in the share price in the last six months?
SASHA NARYSHKINE: I think there is although there’s more natural gas and oil as a result of North American fracking, than at any other point. On the supply side, the North American market looks to remain well supplied for as long as possible.
ALEC HOGG: So it might be bumping along at the 420 level.
SASHA NARYSHKINE: It might be, but in the long run, I think it’s quite good for them to receive low gas prices in order to translate that to the chemicals market in North America.
ALEC HOGG: What’s your tip for 2015?
SASHA NARYSHKINE: I think Naspers is going to continue to surprise. That is what I think. I think Naspers and maybe a recovery in Richemont.
ALEC HOGG: Sasha Naryshkine is with Vestact.
* Fin24 is part of Media24, a subsidiary of Naspers.