Insightful Insights

In our domestic funds at Montgomery, one of the reasons we have had a very pleasing year both in absolute and relative terms, is largely due to the fact that we have been able to avoid having our portfolios exposed to businesses facing significant economic headwinds. continue…

by Russell Muldoon Posted in Insightful Insights.

• 7 Comments
• save this article
• POSTED IN Insightful Insights

Disruption is a topic of continual discussion in financial markets these days. Digital disruption works best when a new process is able to effectively provide the same or better service at substantially lower cost. This cost advantage can be the result of efficiencies from technology, or a new model that is able to bypass artificially imposed costs, such as regulatory costs. continue…

by Stuart Jackson Posted in Financial Services, Insightful Insights.

• save this article
• POSTED IN Financial Services, Insightful Insights

We often discuss companies that we don’t like. Indeed in about thirty-odd cases, we are so disenchanted with them, that our Montaka Global Fund, sells short these companies in anticipation of profiting from a decline in their share price. And in the five months since July 1 this year, not liking something has been very profitable. What with the iron ore, retailing and coal industries all being resculpted (read; ‘made smaller’) by the invisible hand of disruption, investors have achieved returns in excess of fourteen percent, a not insignificant proportion of which has come from the share price declines of deteriorating businesses. continue…

by Roger Montgomery Posted in Insightful Insights.

• 11 Comments
• save this article
• POSTED IN Insightful Insights

New listings have added some interest to the local equity market in recent times. There have been some outstanding successes, like Aconex and Veda, and some major disappointments like Dick Smith and Spotless. Most have been somewhere in between. continue…

by Tim Kelley Posted in Insightful Insights.

• 10 Comments
• save this article
• POSTED IN Insightful Insights

It seems to many that the year about to conclude has been a tough one for investors. On a macroeconomic level the US Federal Reserve’s warnings of rate rises, followed by inaction, made uncertainty a given, while China’s deepening slowdown combined with a local chase for yield, set many investors up for a painful reckoning. continue…

by Roger Montgomery Posted in Insightful Insights, Investing Education.

• 8 Comments
• save this article
• POSTED IN Insightful Insights, Investing Education

In this interview with Marty Switzer, Stuart Jackson gives his view on the Australian share market. He highlights the importance of a disciplined investing approach that focuses on companies with strong prospects and the ability to reinvest in their business for growth.

You can listen to all of the team’s television interviews through browsing our media library, view more clips here.

by Stuart Jackson Posted in Insightful Insights.

• save this article
• POSTED IN Insightful Insights

A lot has been written about the woes of the resources sector recently with a similar amount of energy spent trying to work out when is the right time to expect ‘mean reversion’. A simple theory that although sounds complex, really just suggests that prices and returns eventually move back towards the mean or average as time periods are extended. Given the resource sector has been a material underperformer of late, the theory suggests you should reallocate a portion of your portfolio to such businesses in the expectation (or hope) that if such an event occurs, recent underperformance will lead to outperformance.

Sounds good in theory.

continue…

by Russell Muldoon Posted in Energy / Resources, Insightful Insights.

• 7 Comments
• save this article
• POSTED IN Energy / Resources, Insightful Insights

APRA and the RBA released their October 2015 statistics on the growth in lending and deposits in the banking and non-banking system last week. continue…

by Stuart Jackson Posted in Insightful Insights.

• save this article
• POSTED IN Insightful Insights

We last spoke about Vocus Communications Limited (ASX: VOC) at the end of October and it’s rallied nicely since. The firm in November held its investor day in New Zealand and provided some material which we thought was interesting. continue…

by Scott Shuttleworth Posted in Insightful Insights, Technology & Telecommunications.

• 6 Comments
• save this article
• POSTED IN Insightful Insights, Technology & Telecommunications

Blenheim Partners have summarised the senior appointments and Board movements across the market for the month of November. continue…

by Roger Montgomery Posted in Insightful Insights.

• save this article
• POSTED IN Insightful Insights