Equities
Do not attempt to adjust your set – your TV has been forever changedRemember when TV went to colour, from black and white? Or when TEN launched as the third commercial network? What we are now witnessing is the biggest change to come to television since, well, the... Show More
Investment Theme
In just under five months Loftus Peak will have been operating for five years, so it seems like a good time to review some of the more important positions for us - like Amazon, Xilinx and Nvidia, among others. Show More
Investment Theme
What should be made of all this volatility? Is it logical for the global markets to be down 5% one day, and then up the same amount the next? And then to repeat the process, broadly, for months, as we have seen? Show More
November was another difficult month for investors. But it is useful to note that as recently as five years ago investing in high growth companies as a mainstream strategy seemed risky. The idea that a Fortune 500 business would begin moving its IT department (as for example Kellogg’s did) in... Show More
Why is disruption working as an investment strategy? Is it actually different this time or just an extended build-up to a new tech crash? Show More
Broker calculators have been running red hot over the past week working through the implications of the large cash balances of some of the world’s largest companies, now that Apple (which is now up 10% in the past month) has told everyone that it is going to undertake what looks... Show More
In the twelve months to Monday of this week, the S&P500 index is up 15.02%, while Alibaba is up 80%, Google is up 29.3%, Amazon is up 71% and Apple is up 24%. By contrast, Exxon is down 5.6%, Coke is up 7.6% and General Motors is up 11%. To... Show More
Podcasts
Disruption is everywhere these days. Whether it’s Amazon and Kogan disrupting traditional retail, Facebook and Google disrupting print and television advertising, or Netflix disrupting pay TV, it’s impossible to avoid. Incumbents face the dilemma of disruption: adapt to new ways and risk hurting their existing business, or stick to their... Show More
This is happening - just not in America. A syndicate of Chinese investors has raised US$240m in first round funding for a US$1.1b car factory in Nanjing, China, and is launching a US$45k, 500 kilometre-range electric, autonomous vehicle for mass production in 2019 (in China) and 2020 (in the US... Show More
“The last 10 years have been about building a world that is mobile-first. In the next 10 years, we will shift to a world that is artificial intelligence (AI) first.” - Sundar Pichai, Chief Executive Officer, Alphabet (Google) Show More
Whether etf or active, the better option is to choose the product which provides the higher risk adjusted performance, net of fees.
David. Thanks, but that is not the issue. The question is at what weight? The index isn't forward looking, and this is the problem - there is no set-and-forget for value capture, as my colleague Anshu Sharma explained here on Livewire: https://www.livewiremarkets.com/wires/amazon-google-report-tomorrow-here-s-why-they-keep-getting-bigger
Henry, Michael... comments noted. Please note that gross profit margins exclude R&D, as they do for all car companies, under GAAP accounting.
On Tesla raises US$1.5b senior debt, Musk flags slowdown on equity issues -
David: Maybe. But Google revenue was up over 20% in the most recent quarter. How should we price this? And what other companies are growing like this? If I could find them, we would buy them...
great piece steve
Actually, Graeme, its a great question. The Reserve Bank will continue to be the lender of last resort, i am sure, but this is question of how profitable the banks should be, not how secure - which is why the political climate is important. As well, regulators having been stepping away from heavy handed controls in recent years, for example of Visa and Mastercard, on the basis that they were not systemically all that important in terms of total overall banking system. I would expect a similar reaction to any new payment providers too.
William - Tesla sees what a comparable car sells for, and sells accordingly - under the umbrella price, as it were. At scale, given fewer parts, it can always be more competitive than a comparable older technology ICE car Of course, any start-up, which is what Tesla is, has to overcome the high fixed costs involved, and Tesla is no different. But the company's rising share price means its easy to attract new investors (so hardly desperate, given Tencent etc) Ted - quite right Henry, $25b+ in sales is hardly Kool-Aid