Clear market notes built around the JSE, the rand, and what matters locally.

2026-10-25 04:41 • The Motley Fool Positive Axe Cap view: Selective

Warren Buffett's 2008-2017 bet proved that a low-cost S&P 500 index fund (125.8% return) significantly outperformed five hedge funds of funds (2.8%-87.7% returns), primarily due to high fees. Since the bet ended in 2017, the same index fund has more than tripled, gaining 233% through 2026. Excluding 2008's financial crisis, both periods showed similar ~15% annual returns, supporting Buffett's case for passive index investing over active hedge fund management.

Axe note: The S&P 500’s strong post-2017 gains highlight the advantages of passive investing over hedge funds.

2026-10-25 02:45 • The Motley Fool Positive Axe Cap view: Selective

The article predicts that the stock market will experience strong performance following the midterm elections on Nov. 3, citing historical data showing the S&P 500 has been positive in the 12 months after every midterm election since 1950 with an average gain of roughly 15%. The author notes that while recent midterm cycles have shown more modest gains (4-7%), political gridlock following the elections could create a favorable near-term environment for stocks. Democrats are favored to control both chambers of Congress, which could end the Iran war and lower inflation, though it may create headwinds for AI-related stocks.

Axe note: US midterm elections historically boost the S&P 500, but South Africa’s market reaction is less clear.

2026-10-25 02:15 • The Motley Fool Positive Axe Cap view: Selective

Three companies are positioned to benefit from AI-driven electricity demand growth: Constellation Energy and Vistra are independent power producers selling electricity at market rates, while GE Vernova manufactures turbines for power generation. Constellation is recommended for conservative investors due to its scale and dividend growth, GE Vernova appeals to growth investors with its $176 billion backlog, while Vistra ranks third due to its higher debt-to-equity ratio.

Axe note: As AI drives electricity needs higher, choices between power producers and turbine makers sharpen.