Insightful Insights

While I joined the speakers panel at the UBS CFO Conference in Sydney recently, several others from the Montgomery team attended the recent UBS company conference, taking notes from the presentations of many companies. The financial sector is one where we believe there is opportunity and growth and our holdings in fund managers such as Henderson, Magellan, BT Group and Challenger reflect the discovery of hitherto value in the sector as well as bright prospects. continue…

by Roger Montgomery Posted in Insightful Insights.

• save this article
• POSTED IN Insightful Insights

Index Fund investments are mirror images of the entire investing universe. For example, an Australian Shares Index Fund consists of about 200 or 300 investments in each of the largest companies on the ASX weighted by market capitalisation. People invest in Index Funds usually for two reasons. Firstly, simplicity. You do not have to choose particular investments as you own them all and secondly Index Funds, being passive investments, are inexpensive. continue…

by Scott Phillips Posted in Insightful Insights.

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

Australia’s most successful Resource service company, Monadelphous Group Limited (ASX: MND), has seen its share price decline by 75 per cent from $28.50 in February 2013 to the current $6.80. continue…

by David Buckland Posted in Energy / Resources, Insightful Insights.

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

This chart from the latest RBA Chart Pack shows (on the left hand side) the level of debt held by Australian households as a percentage of disposable income. As you can see, debt levels have been on something of a bender for the last few decades. Associated with this, we have seen excellent growth in mortgage books for the big four banks, and a generally chipper residential property market. continue…

by Tim Kelley Posted in Financial Services, Insightful Insights.

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

It’s the mantra of the value investor, we should not only examine the potential returns that an investment can generate but also the potential for downside, i.e. how much of an investment could be lost and how likely is this to occur? continue…

by Scott Shuttleworth Posted in Insightful Insights.

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

With news that retail ownership of shares are at the lowest level since the turn of the century (which is a more dramatic way of saying, in the last fifteen years), it’s quite possible there’s a great deal of opportunity. You can understand why many have lost interest. The problem for investors however is they’re focused on the index rather than individual companies.
continue…

by Roger Montgomery Posted in Insightful Insights, Whitepapers.

• 5 Comments
• save this article
• POSTED IN Insightful Insights, Whitepapers

In our review of the poker machine manufacturing industry some time ago, we learned that demographics are playing a big part of the industry’s future. Put simply, younger people aren’t playing the slots or ‘pokies’. continue…

by Roger Montgomery Posted in Insightful Insights.

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

It’s always useful to read the musings of the more reputable global hedge fund managers. continue…

by Roger Montgomery Posted in Insightful Insights.

• save this article
• POSTED IN Insightful Insights

Altium Limited (ASX: ALU) is a business we own in our domestic portfolios at Montgomery. It’s highly likely that the business is unfamiliar to most investors given it’s by no means a big business and nor would it be considered by many to be a ‘blue-chip’, but that’s probably why we like it. continue…

by Russell Muldoon Posted in Insightful Insights.

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

What would you think if I suggested you open a chain of bookstores? Would you be enthusiastic about the prospects or would you be wary?

There’s a chain of 1372 US based bookstores whose revenues are declining at a rate of 10 per cent annually. They carry between 22,000 and 164,000 titles, which is a lot of inventory. Their competitors aren’t minnows either, and include Amazon, Apple and WalMart. continue…

by Roger Montgomery Posted in Insightful Insights.

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