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<\/a><\/p>\nPolicy \u2018Noise\u2019<\/strong><\/p>\n Policies put forward by President Jacob Zuma\u2019s government have rattled investors, with mining stocks tumbling 3% on the day in June that Resources Minister Mosebenzi Zwane put forward new regulations for the industry. Slow-moving plans to introduce National Health Insurance have contributed to the local healthcare sector index dropping about 9% this year.<\/p>\n \u201cThere are good opportunities in healthcare because of all the government issues and noises around NHI,\u201d Basa said. \u201cSouth African companies have derated nicely.\u201d<\/p>\n An economy that\u2019s in its second recession in a decade, a jobless rate of 28% and the lowest manufacturing activity figures since 2009 are testing the optimism of foreign investors, who have been net sellers of $4.8 billion of local shares this year. The central bank forecasts growth of just 0.5% this year.<\/p>\n \u201cWhile the negative sentiment around South Africa is slowly starting to feed into the companies, none of these companies have derated to a level that would position South Africa as a screaming buy right now,\u201d Basa says. \u201cA continued decline of South African market performance should create better buying opportunities.\u201d<\/p>\n
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