The impact of Steinhoff and Naspers on client portfolios

Yesterday’s surprise news around financial accounting irregularities within Steinhoff has resulted in a 60% drop in the share price on the day, which makes the fall 82% off its highs in 2016. It is not yet clear what the real ramifications of this event will mean for the share, however with it being widely held across local managers we have assessed the impact across client portfolios given what has happened so far. Naspers has also come off around 15% from its highs over the past few days so this is also likely to have an impact on shorter term returns given the magnitude of its holding across funds, bearing in mind Naspers is still up 64% year to date.

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