Best JSE Shares to Invest in South Africa

Investing in Johannesburg Stock Exchange (JSE) can be the best thing you can do today to secure your future financially.

You do not have to be wealthy to start as you can start small from at least R5000 to see the best results. If you do not have such an amount right now you can start by saving from the little you are left with from your monthly income till you have the recommended start-up amount.

There are several ways that one can invest in the JSE, you can either invest via a stockbroker, through a Financial Services Provider (FSP) like Standard Bank, ABSA, etc., or via an Exchange Traded Fund (ETF) like Ashburton or Stanlib. With all the risks that can be incurred in investing it can be extremely hard to decide on the best stock to invest in.

In this article, I will be stating the best JSE shares that you can consider investing in this year. 

British American Tobacco PLC (SA)

Established in 1902, British American Tobacco is one of the strongest buys, ever since it has been listed in the JSE it has been doing well – it has not seen any downfall, making it the best to invest in.

It is ranked high as a leading multi-category consumer goods company that manufactures and sells cigarettes, tobacco, and other nicotine products.

As of today, its current share price is 2,850.0 with a 5.27% return in investment and 24.95% net profit margin. 

Naspers Ltd

Naspers is one of the largest technology investors in the world and a global internet group.

Founded in 1915, it has yielded great results and reached new heights and it currently operates in over 80 countries and markets with long-term potential growth.

Due to its consistency, it has earned the trust of most investors as the company’s future is really promising and it is one stock worth investing in. 

Anglo American PLC (SA)

Founded in 1917, Anglo American PLC is a mining company that operates worldwide. It deals with copper, platinum, rough and polished diamonds, alloys, metallurgical and thermal coal, iron, nickel, manganese ores, platinum group metals, and polyhalite.

Looking at Anglo American’s year market trend on returns vs industry it has exceeded the ZA metals and mining industry with a return of 40.8% over the past year.

Its share price has been stable, moving at +/- 5% a week and its estimated annual growth in the next 1 – 3 years is set at 9.0%

MTN Group Ltd

MTN Group Limited is one of the companies that are currently doing well in the market – it is currently sitting at 9.5% net profit margins, which is higher than last year (6%).

Together with its subsidiaries, MTN Group operates in the telecommunications industry offering mobile voice, enterprise bundle, reverse bill URL, dedicated internet, enterprise mobility services, and international calling.

According to Simply Wall, MTN is not as volatile as the rest of ZA stocks over the past 3 months, typically moving at +/- 5% a week.

It is predicted that in the next 1 to 3 years its annual earnings growth will be 12.7% which is way above the 9.2% savings rate. 

Gold Fields Ltd

You can bank your money on Gold! Gold Fields is one of the world’s largest diversified gold mining companies.

It has nine operating mines and projects in Australia, Chile, Ghana, Peru, and South Africa. Gold Field is a JSE top performer as it has been doing great in the market with positive potential growth. 

Other companies listed in the JSE that you can also look into investing in are Afrimat Ltd, Remgro Ltd, as well as Investec PLC (SA).

You should know that no matter how well a company is currently doing right now, there are always risks that come with investing.

It is advisable to invest in stable companies that have a good track record and shows continuous growth.

Also, avoid investing in one company because if anything goes wrong with that one company you might lose all your money with no returns so, rather spread your money amongst various companies so you always have something to fall back on if one fails.