Share Instalments

Share Instalments are financial instruments that allow investors to gain exposure to shares without having to pay the full purchase price upfront, while still benefiting from dividends and capital growth. The purchase price is basically paid in instalments.

Benefits

• Faster wealth creation. Investors have the opportunity to earn profits/dividends on a larger investment portfolio of shares than usual
• No margin calls or need to take up the underlying asset at expiry
• Easily accessible, share instalments can be bought and sold on the JSE just like any listed share
• Diversify your share portfolio by changing your existing shares into share instalments, which allows you to invest in additional shares
• Cost-effective way of borrowing to invest in shares

Who should use this product?

• Traders with a slightly longer-term view
• Investors who understand the risks and implement risk controls. Investors are able to trade stop losses when trading geared instruments
• Investors looking to gear their exposure to equity markets by making only a part payment for shares upfront
• Conservative investors will like the margins of gearing available through trading these products

How to use this product?

• Gain exposure to the underlying shares with an initial upfront payment
• An optional payment (for the exercise price) can be paid at any time up to the share instalments expiry date
• The owner of the share instalment will take ownership of the underlying shares once the exercise price is paid
• The share instalment price will track the performance of the underlying share price