Wry & Dry #22 FY-24. Emeritus Chairman Dan’s resume. Hamas: making money. GDP per capita falls.
It was feeding time at the media zoo on Wednesday. Hot on the heels of the PISA report showing that 26% of Victorian 15-year-olds’ educational proficiency was too low “to enable them to participate effectively and productively in life,” the long-awaited Ombudsman’s report into the Victorian public service under Emeritus Chairman Dan Andrews was fed to the salivating media mouths.
There was more than enough for indigestion. Victoria’s public service, the Ombudsman’s massive report said, is “ruled at the highest level by a culture of fear.” No subtlety there.
Wry & Dry #21 FY-24. Heaven: a busy week. Dubai: COP that. US: Haley’s comet.
It’s been a busy week at the Members’ Entrance to the pearly gates to heaven.
On Tuesday Charlie Munger arrived in a limmo longer than a bus. Charlie was Warren Buffett’s conservative investment alter ego. He arrived and immediately began arguing with St Peter about heaven’s recent investments (remembering that time doesn’t matter in heaven): “That St Peter’s Basilica property development in Rome was a waste of money.”
Wry & Dry #18 FY-24: China: Echo Wall. Epidemics: RDS. Iran.
The news last week that former PM Keating had lost it completely with a recurrence of RDS was only a modest surprise. The bad news this week is that RDS is spreading.
Readers will recall that former PM Scott Morrison hailed his 2019 election victory as a miracle, for which he himself was entirely responsible. Clearly hoping to repeat the miracle in the epicentre of miracles, Morrison flew into Israel over the weekend.
Wry & Dry #17 FY-24: China. Keating. Anti-Semitism.
Some weeks ago, Wry & Dry suggested that the incoming head of the Productivity Commission Ms. Michelle Wood might get the DCM before starting her job. Her then sin was proposing an inheritance tax.
Wry & Dry mused then that perhaps she suffered from RDS. Proposing an inheritance tax certainly got the headlines.
But then on Wednesday, she again put her head above the parapet.
Wry & Dry #7 FY-24. “No child will live in poverty.” Trumpster the mobster. VinFast what?
When the Indians are circling your wagon, the lessons of Politics 101 are clear. Divert attention away from the Indians until the cavalry arrives. What better diversion than a big, ‘nation building’ policy.
Former PM Bob Hawke was a master at this. Readers will remember either of “no Australian child will live in poverty” and/or “we will plant one billion trees.”
Wry & Dry #3, FY-24: Through Dan’s eyes. Ski lodges. Superannuation funds fail.
Anthropologists believe there may be tribes living in the farthest reaches of New Guinea who have yet to hear that Chairman Dan has cancelled the state of Victoria holding the upcoming Commonwealth Games.
Company Profit Reporting Season: Peak Week
The ‘peak’ week of company reporting season has just gone by. We provide some of the more relevant company-result takeaways.
Company Profit ‘Reporting Season’
The second substantive week of company reporting season kicked off last week. We provide some of the more relevant company result takeaways.
Company Profit ‘Reporting Season’
The first substantive week of company reporting season kicked off last week. We provide some of the more relevant company result takeaways.
Company Profit ‘Reporting Season’ preview
It’s an intense time of year for equity market professionals. But one that is welcomed because of the opportunity to review financial data, hear about company strategy, assess management and operational performance, and to review one’s own stock selection and analytical prowess.
Lull before company profit reporting season
Late July is when there is a lull in company news, as industrial companies are in communication lockdown before company profit reporting in August. Mining companies are busy releasing production reports and not much else, also ahead of profit reporting.
Out with the old, in with the new
There has been a significant period of de-equitisation in the Australian equity markets in the past couple of years. Our portfolios, and performance, have been the beneficiaries of this phenomenon. Several stocks we own are subject to takeover bids:
Selectivity and Productivity
This week we discuss two major topics. Japan and why we are more heavily invested than global benchmarks and Productivity: why is this a problem for Australia and how does it impact returns?
Going, Going, Gone – the de-equitization of the Australian Equities Market
Two of our investments, Costa Group and United Malt, received confirmation relating to takeover bids this week.
Both takeovers provided support for our investment strategy. This strategy concentrates on finding opportunities where the market fails to price either the long-run asset or the franchise-based value of a company, and instead focuses on short-term earnings fluctuations. In such cases it is often an external party, via a takeover, that unlocks the value.
A deep dive and a frustrating ACCC rejection
This week, we have decided to present a (a) deep-dive on a company we have held for several years and (b) a comment on failed takeover.
Did Aussies just stop spending?
In addition to the usual market updates, this week’s Investment Matters provides updates on two companies in client portfolios: Costa Group and Aristocrat.
Some interesting introductions
We’re always looking for new ideas to introduce into the investment portfolios. A spate of recent takeovers within the portfolio (think Newcrest, Origin, United Malt, Pushpay, Eildon Capital) has accelerated the need for fresh ideas to replenish building cash positions.