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/ 3 December 2007

Passive management: beware aggressive costs

Passive investing allows investors a low-cost route to the equity market. Because the investment usually tracks an index, there are no active management fees. However, investors still need to be astute to ensure they do not pay through the nose. Exchange-traded funds (ETFs) are becoming increasingly popular, with nine ETFs listed on the JSE and two more coming on to the market next week.

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/ 3 December 2007

Recession fears as US house prices drop

United States house prices have suffered their worst plunge for two decades as defaults on sub-prime mortgages have shattered homebuyers’ confidence and lenders have withdrawn cheap loan deals. According to the key Standard & Poor’s housing index, released on Tuesday, third-quarter US prices were down 4,5% on 2006.

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/ 3 December 2007

Development needs new agenda

A significant amount of resources has been channelled into Africa since the Millennium Development Goals were adopted in 2001. Between 2000 and 2005 an estimated $97-billion has reached the continent through official development assistance. African governments themselves have set aside various percentages of their budgets for expenditure in priority sectors to effect positive change in the lives of the poor.

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/ 3 December 2007

Venezuelans reject Chávez’s bid for new powers

Venezuelans have rejected President Hugo Chávez’s bid to win new powers and run for re-election for decades to come in an unprecedented defeat that could slow his socialist revolution in the Opec nation. In a fiercely contested referendum on Sunday, voters said ”No” to reforms that would have scrapped term limits on Chávez’s rule.

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/ 3 December 2007

BEE’s bid for the news

The bid by Koni Media to buy Avusa, formerly Johncom, has highlighted a long-time BEE fascination with newspapers. From a business point of view, there are other lucrative and less troublesome areas for investment and BEE investors need cash flow to pay back the money they have raised, writes Reg Rumney.

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/ 3 December 2007

Using Winfrey’s wiles

She can sell books — but can she sell a politician? Barack Obama confirmed recently that Oprah Winfrey will join him in his campaign in three key states next month for the Democratic Party’s nomination for the United States presidential election. The Obama team anticipates a huge demand for tickets for one of the US’s most popular television celebrities.

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/ 3 December 2007

Poor oversight fuelling Aids?

A report by the Institute for Security Studies and Transparency International Zimbabwe claims that corruption and poor management are hampering the fight against HIV/Aids. The report, which will be launched on December 12, explores why the massive increase in South Africa’s HIV/Aids funding on a national level has had so little effect in halting the pandemic.

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/ 3 December 2007

Saudis spending like there’s no tomorrow

As the tiny ball of burning crimson drops behind the sand dunes it leaves a dark, almost silent landscape worthy of its name: Rub’ al-Khali, the Empty Quarter. No sooner has the sun gone down than a long necklace of golden lights flickers on in the valley below and the improbable sound of an Islamic preacher can be heard calling the faithful to prayer.

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/ 3 December 2007

MDC needs to be ‘reborn’

It has taken the Movement for Democratic Change eight years to go from a being potent symbol of change to an organisation torn apart by divisive, childish rivalries and personality cults. And as the situation deteriorates, the party’s fractious and self-important leadership may irrevocably turn the once vibrant party into an empty shell, its once inspiring name and slogans into bywords for indecision and ineptitude.

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/ 3 December 2007

No dramatic shift in Oz policy

Australians do not know whether they have just committed a very bold act or a very small one. By throwing out their conservative prime minister, John Howard, in Saturday’s election they may have dramatically tipped their nation away from the insularity, fear and materialism that he had encouraged.