Grade 12 Business Studies: Functions of the JSE (Johannesburg Stock Exchange) – Week 7 Term 3

1. JSE (Johannesburg Stock Exchange)

Africa’s largest stock exchange where securities are bought and sold, facilitating capital raising and investment opportunities.

2. Securities

Financial instruments representing rights to financial assets, including shares, bonds, and debentures.

3. Primary Capital

Initial funding raised by companies through issuing new shares to investors for the first time.

4. Market Regulation

Rules and oversight mechanisms that ensure fair, transparent, and orderly trading activities.

5. Liquidity

The ease with which securities can be converted to cash through buying and selling on the exchange.

Hook Activity:

Display current JSE top 40 companies (Shoprite, MTN, Standard Bank, etc.) and ask learners to identify which companies they recognize and use their products/services daily.

Introduction Activities:

• Show a short video clip of the JSE trading floor or virtual tour
• Discuss: “Why do you think companies list on the JSE?”
• Introduce lesson objectives and key vocabulary

Direct Instruction (15 minutes):

Present the 12 Key Functions of the JSE:

1. Provides opportunities for financial institutions to invest surplus funds
2. Mobilizes funds from insurance companies and other institutions
3. Creates a market for buying and selling securities
4. Facilitates capital formation for economic growth
5. Provides liquidity for investors through continuous trading
6. Enables price discovery through supply and demand
7. Ensures transparency through disclosure requirements
8. Enforces strict investment rules for orderly markets
9. Raises primary capital by encouraging new investments
10. Regulates market trading activities
11. Provides research and advisory services
12. Facilitates economic development through capital allocation

Guided Practice (15 minutes):

Activity 1: JSE Function Matching Game

• Provide scenario cards describing real business situations
• Learners match each scenario to the appropriate JSE function
• Example: “Sasol needs R50 billion for a new plant” → “Raises primary capital”

Independent Practice (10 minutes):

Activity 2: Create Your Own Examples

• Learners work in pairs to create one real-world example for each JSE function
• Use current South African companies and situations
• Present examples to class for peer evaluation

Consolidation Activity:

“Functions in Action” Quick Review: Rapid-fire questions where learners identify which JSE function applies to given scenarios. Include current events like recent IPOs or rights issues by South African companies.

Exit Ticket:

Each learner writes down: 1) The three most important JSE functions in their opinion, 2) One real company that could benefit from each function, 3) One question they still have about the JSE.

📝 Formative Assessment

• Observe learner participation during matching game activity
• Check accuracy of scenario-function connections
• Listen to peer discussions for understanding of concepts
• Review real-world examples created by learner pairs

📋 Summative Assessment

• Exit ticket responses showing understanding of key functions
• Quality of company examples provided by learners
• Homework assignment completion and accuracy
• Participation in class discussions and activities

🤝 For learners who need support:

• Provide simplified function descriptions with visual aids
• Use familiar company examples (Shoprite, Pick n Pay, MTN)
• Pair with stronger learners for collaborative activities
• Provide pre-written scenario cards for matching activity

🚀 For advanced learners:

• Research current JSE listings and recent IPOs
• Compare JSE functions with other international exchanges
• Analyze impact of JSE on South African economic growth
• Create presentation on JSE’s role in BEE and transformation

♿ For learners with barriers:

• Use visual diagrams and infographics for JSE functions
• Provide audio recordings of key content
• Allow verbal responses instead of written work
• Extend time for completion of activities

✅ What worked well:

[To be completed after lesson – Note learner engagement levels, effectiveness of activities, time management]

🔧 What could be improved:

[To be completed after lesson – Note areas where learners struggled, activities that need adjustment, pace issues]

📝 Notes for next lesson:

[To be completed after lesson – Note concepts that need reinforcement, learners who need extra support, connections to make]