ABOUT ANGLO AMERICAN PLATINUM
📊 Anglo American Platinum Corporation Limited, the world’s largest primary producer of platinum, was founded in 1995 when Johannesburg Consolidated Investments unbundled and its platinum interest became Amplats. The company was later renamed to Anglo American Platinum. Today it produces about 38% of the world’s platinum.
📊 Anglo American Platinum Corporation Limited is a holding company for a number of companies that operate platinum mines. The group also produces group metals such as rhodium, iridium, palladium, ruthenium, osmium, nickel, cobalt and copper.
📊 The company mainly operates in the northeast and –west of the city of Johannesburg, Gauteng, in South Africa. The region of its operation contains extensive mineral commodities such as chromium, titaniferous magnetite, vanadium and platinum group metals, and is known as the Bushveld Igneous Complex.
The company serves a global clientele. Its headquarters is based in Johannesburg, but it also has marketing offices in London and Singapore to serve its international network of customers. Anglo American Platinum – also known as Amplats – trades on the Johannesburg Stock Exchange (JSE) under the ticker symbol “AMS”.
📊 Although the largest part of Amplats’ asset portfolio is situated in South Africa, the company is also expanding internationally through the purchasing of a number of smelting and refining facilities. It also has exploration partners in Brazil, China, Russia and Canada.
📊 Over the past few years the company was, however, forced to make a number of tough business decisions in order to stay profitable, due to serious labour unrest and an unstable economic climate. In July 2014 it announced the sale of many of its South African Mines due to the hazardous effect of five months’ worth of strikes on the company’s profitability. It also made more than 12 000 striking South African miners redundant in October 2012.
📊 Today, Anglo American Platinum employs approximately 45 000 people.
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ANGLO AMERICAN PLATINUM SHARES GROWTH DRIVER
- Anglo American Platinum is synonymous with high-quality products and renowned for its commercial success and stellar executive management structure. The company succeeds in delivering purity levels that exceed global market requirement. For example, its platinum and palladium typically achieve 99.99% purity. Clients are assured of 99.95% purity in all rhodium, iridium and ruthenium products. The exceptional quality of these products makes the company’s clientele eager to purchase company products, which in turn stimulates growth.
- The company’s decision to sell off some of its mines in order to stay profitable is a clear indication of its executive prowess and ability to navigate difficult market conditions in order to stay profitable and provide optimum value for its shareholders.
- The company’s membership of the World Platinum Investment Council, which aims to stimulate global demand and promote the sustainability of the industry, further boosts investor confidence. Anglo American Platinum also endorses Platinum Guild International which focuses on high potential jewellery markets in India and China.
ANGLO AMERICAN PLATINUM INVESTOR TIPS
- Anglo American Platinum’s mission is to mine the materials that make modern life possible through operations that are safer, smarter, more responsible and more cost effective. This mission resonates with everyone in the world seeking to enrich their lives.
- The company has evolved from a growth-driven to a value-driven strategy which ensures a stable, competitive and profitable business that will be sustainable long into the future, and will deliver value to all stakeholders.
- Today, the company’s liveonline stocks charts shows a strong recovery in the Anglo American Platinum shareprice after a number of years of poor performance. Investors are regaining their confidence in the company’s performance. The company’s return on capital employment in 2017, for example, doubled to 18%, clearly indicating an upward growth curve.
- Anglo American’s highly experienced management team’s implementation of effective capital expenditure control measures and streamlining processes over the past few years have enabled the company to stay profitable. The success of their efforts has maintained shareholders’ confidence in the company.
- The fact that Amplats is the largest global producer of platinum remains an appealing investment opportunity to global investors. Although the market remains volatile, investors are encouraged to buy and sell company shares, as they can expect solid dividends.
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Before buying any stock or share one has to consider a few factors.
STEP 1: PROPER RESEARCH IS ESSENTIAL
Upon deciding you want to buy ANGLO AMERICAN PLC Stocks / Shares, it is critical for the serious investor to do proper research into the said company. Its values should align with those of the investor’s current portfolio. An investor needs to familiarise himself with the basics and history of the company, as well as its leadership and performance in the market. Its company reports should also be scrutinized.
Consultation with a brokerage firm can also assist in determining whether investing in a specific company will complement the investor’s current portfolio. The investment “risk ladder”, which identifies asset classes based on their relative riskiness, is another useful tool when determining which company’s stock / share is the best to buy.
STEP 2: CALCULATE THE AMOUNT OF INVESTMENT IN ANGLO AMERICAN PLC STOCKS / SHARES
It is important for an investor to monitor his total investment in stock in order to keep his portfolio aligned to his investment strategy. The overall value of his holdings will change with the fluctuation in stock prices, which can throw his portfolio off balance. To determine the amount to invest, multiply the number of shares of each stock by its current market price to determine the total investment in that specific stock. For example, if you own 100 shares of a $5 stock, multiply 100 by $5 to get $500.
STEP 3: DECIDE ON THE STOCK / SHARE ORDER TYPE
Investors can choose from a market order, a limit order, a stop order (also referred to as a stop-loss order) or a buy/sell stop order. It is important to familiarise yourself with each type’s pros and cons before deciding which one will suit your current stock profile best. An investor should be guided in this choice by his investment objective.
STEP 4: OPEN A BROKERAGE ACCOUNT
A brokerage account – also known as taxable investment account – is similar to a retirement account, but more flexible. Where a retirement account has limitations on the amount of money that can be contributed annually, and restrictions on when funds can be withdrawn, a brokerage account is more flexible. The latter has no income or contribution limit and the investor can withdraw his money at any given time. This flexibility, together with its potential investment gains, makes a brokerage account more attractive to serious investors. Brokerage accounts are ideal for goals or savings that are further than five years away, but closer than retirement. It can also supplement an investor’s emergency savings.
STEP 5: COMMIT AND PURCHASE ANGLO AMERICAN PLC STOCKS / SHARES
Lastly, commit to the stock. Pro Tip: Monitor the value of your stock to ensure you have a growing stock value and dividend pay-out. Regularly check the share price online to ensure your investment delivers a positive return on investment. You are now a proud owner of ANGLO AMERICAN PLC stocks / shares.
5 Questions to ask yourself before purchasing any stocks or shares.
- Is it the best time to buy this stock / share?
- Should I buy ANGLO AMERICAN PLC stocks / shares in the current economic climate?
- Can I afford to buy this stock / share?
- What is the forecast of the stock / share growth?
- What is the current price per earning ration on the stock / share?
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