Shares are Overpriced!

This week is also in a positive trend, but the slowing growth of funds has been noticed. Daniel Miksa

Nearly all analysts agree that most of the shares on the stock exchange in Croatia are overpriced (short term) and assume that a price correction will occur (some are sure of it).

Overpriced shares don’t sell.

They also consider that business could get better and that in the near future current prices could be justified by business results, and considering that there is a lot of money on the market, current shareholders dislike selling those currently overpriced shares and are prepared to wait, and some are scared that they will lose their current positions, and that to return would cost even more. CROBEX rose 1.7%, and the Varazdin VIN rose 0.79%.

Managers are turning to the East.

Fund managers are slowly turning to markets east of Croatia in order to release some pressure from the Croatian market to balance their portfolio. So how did the funds do last week? The largest gains were made by PLC companies and in the top five there was only one “mixed” fund, Aureus Balanced. The fund’s yield’s were: PBZ Equity +1,81%, Erste Adriatic Equity +1,63%, Aureus Equity 1,57%, HPB Dionički 1,48% i Aureus Balanced 1,48%. The worst results were: Global Bond -0,09%, Raiffeisen Cash +0,04%, ICF Money Market +0,05%, Select Novčani +0,05% i PBZ Novčani +0,05%. It is visible that the fall in bond funds has stopped.

The best and the worst.

By group, the best and worst results were: in share funds the best was PBZ Equity +1,81%, and the worst was Raiffeisen Activ +0,08%, in the mixed funds the best was Aureus Balanced +1,48%, and the worst was ZB Trend +0,2%, in the bond funds the best was ST USD Bond +0,43%, and the worst was Global Bond -0,09%, and in the cash funds, the best was PBZ Dolar +0,31%, and the worst was Raiffeisen Cash 0,04%.

Belgrade's BELEX15 is growing

The markets in the region are growing quite strongly. The Belgrade BELEX15 grew by +6,16%, Sarajevo SASX-10 by +5,76%, Banja Luka BIRS by +3,7%, Skoplje MBI-10 by 1,09%. As far as West European markets are concerned, they are also growing, so the DAX index grew by +0,37% and the FTSE100 grew by 1,14%. The period of business reports in getting closer, and that is a time where anything can happen. Optimists are staying on the market whilst pessimists are slowly getting out.