B-BBEE Share Scheme Stokvel
Most companies listed on the stock exchange have BEE schemes associated with them, and many of these BEE schemes have earned attractive returns for their investors over the years.
Examples include SAB Zenzele that invested into South African Breweries or MTN Zakhele into MTN. Many people want to invest in these BEE schemes, but don’t know how to go about it, or even where to start, let alone know which ones are worth investing in, and which ones you should avoid?
The BBBEE Share Scheme Stokvel aims to solve these problems for its members by investing into TIP One Ltd through buying shares in TIP One Ltd. TIP One Ltd (a share listed on the ZARX Stock Exchange) in turn does all the work by researching and analysing the many BEE Schemes in the market and identifying which BEE schemes look attractive. It will than buy into them. Critically, rather than putting all its eggs in one basket and investing in just one BEE scheme, TIP One Ltd will invest in many different BEE schemes thereby spreading the risk for its shareholders.
Because TIP One Ltd is a listed share, the value of members’ investments in the BBBEE Scheme Stokvel will rise and fall with the TIP One Ltd share price. If the TIP One Share price does well, the members’ investments in the BBBEE Share Scheme Stokvel will also do well, and visa versa.
At the end of the investment period, the BBBEE Share Scheme Stokvel will sell its shares in TIP One and return the proceeds to its members. If the TIP One share has gone up in value, members of the BBBEE Share Scheme Stokvel will make a profit, and if TIP One share has gone down in value, members of the BBBEE Share Scheme Stokvel will make a loss. If TIP One pays out any dividends, those dividends will be paid out to members of the BBBEE Share Scheme Stokvel. However, investors should take note that TIP One’s aim is to grow the value of its shares (i.e. capital growth) over time rather than pay dividends. Hence if you are seeking an investment with a stable price or one that pays out a dividend, the BBBEE Share Scheme Stokvel may not be appropriate for you.
Member should be aware that over the long term, the TIP One Ltd share price will be influenced by the value of the underlying BEE schemes it investments into, and if these various BEE scheme value’s rise, so should the value of TIP One Ltd Shares. However, if the value of the various BEE Schemes fall, so should the value of the TIP One. Members can read more about TIP One at https://www.tiponesa.com/
Hence there are many things that can influence the value of an investment in the BBBEE Share Scheme Stokvel, and you should view any investment in the BBBEE Share Scheme Stokvel as a long term investment.
This is also important as Tip One only realises and unlocks the intrinsic value in the BEE Schemes it invests in on the maturity and unwinding of the BEE schemes in which it is invested. Given that many of these schemes take a long time to mature, investors should also align their investment horizon for the long term
Minimum of R1 000.00 per month (higher monthly amounts accepted) for a minimum of 5 months
A minimum of R10 000.00 and no maximum limit
Minimum of R1 000.00 per month (higher amounts accepted) for a minimum of 5 months
Heading *The stokvel must nominate an Executive and provide a power of attorney that they may transact on behalf of the investing stokvel1
A minimum of R10 000 and no maxiumum Limit
*The stokvel must nominate an Executive and provide a power of attorney that they may transact on behalf of the investing stokvel
The Stokvel Executives may amend the subscription rules at their discretion