Starbucks China - The Opportunity
Starbucks is an American coffee company founded in Seattle in 1971. The company operates 27,339 locations across the world. Starbucks serves an assortment of hot and cold beverages, pre-packaged food, and snacks. Following a sustained period of above average growth, Starbucks is experiencing a slow down in comparable store sales... Show More
Bank Hybrids: The devil is in the detail.
We are often surprised that retail investors with whom we speak, are blissfully unaware of the risks involved in owning hybrids. ASIC and the banks have done a great job disclosing the risks, however, the message does not seem to be relayed effectively by financial intermediaries. We hope this note... Show More
The dirty secrets fund managers don’t want you to know!
I hope to enlighten potential investors about the tricks used by fund managers to ‘window dress’ their performance. Some of these tricks can be backed out and where possible I have provided the math below. Show More
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Alphabet, just another internet stock? Think again.
The ‘Dotcom’ crash of 2001 was a good old fashioned bubble. Many people were swept up in the euphoria as their expectations about future profits turned out to be nothing more than unfounded hope. For many Australians, it is a case of once bitten, twice shy. Roll forward 17 years,... Show More
Clear Sky ahead for Catapult
Just a sensor stitched into a shirt? Well, not quite. Catapult provides sophisticated analysis to help understand player load with a view to preventing soft tissue injury. The technology also assists team management understand their players bio-mechanics in an objective way. The real smarts are in the algorithms that process... Show More
Australia in Transition
Over the next few years we expect a transitory period where the economy rebalances and new industries take up the slack from the subsiding mining boom. Government can assist this transition a little, and they can damage this transition a little – however the primary driver will be the ingenuity... Show More
Praemium - A Technology Company poised for growth
We like companies where the numbers obscure the underlying value. This is the case with Praemium. At a headline level, Praemium looks to have delivered A$2.2m in EBITDA in FY15. On further inspection, you would uncover a business that is making A$8.2m EBITDA in Australia (net of corporate overheads). So... Show More
Empired: Winning in the New World
Coming off a record FY15 result Empired (ASX:EPD) carries solid earnings momentum into FY16. On the back of several acquisitions it is now positioned as one of Australia’s leading providers of IT services and infrastructure. Sustainability of its earnings have improved dramatically through diversification of operations both geographically and by... Show More
RedHill Positioned for Growth
RedHill (ASX:RDH) operates a number of specialist businesses in the private tertiary education market in Australia. It delivers vocational and higher education courses in English language, creative digital technologies, and interior design to over 4,000 domestic and international students each year. Show More
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Great note Wayne - thanks for sharing.
@Michael, a very good point. Thanks for sharing.
On The dirty secrets fund managers don’t want you to know! -
@Adrian Thanks for your question Adrian. You raise an important point. Best practice is to accrue the performance fee daily, crystallise annually (subject to beating index) and apply a high water mark. The accrual ensures new investors aren’t being penalised for prior performance. This is important. However, it doesn’t help existing unit holders, who would have still paid a fee in my example.
On The dirty secrets fund managers don’t want you to know! -
