What could Updater be worth?

Tim Hannon

While most of our positions are in companies in the traditional real estate and infrastructure sector, we are also able to make investments in real estate technology companies. One company that earned our interest was Updater (UPD), a company solving a real problem that we could relate to. Show More

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The long awaited recovery in the US housing market

Tim Hannon

Significant household investment decisions depend on confidence, or ‘animal spirits’, which are clearly emerging in the USA. As per history, this confidence will manifest in households making high-value purchases – particularly new residential housing. While market analysts are expecting construction of new US housing to take four years to grow... Show More

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Resources and the Cycle

Tim Hannon

The resources industry performed well over 2016 and it may appear to some that it is ‘too late’ to increase exposure to the sector. Our analysis suggests that the recovery remains in its early stage. In making our case we have written the following research piece providing eight justifications for... Show More

Why the RBA shouldn’t cut rates

Tim Hannon

Central banks want prices to rise consistently and with low volatility, normally in a range of 2 to 3% per annum. Prices growing at greater than 3% per annum apparently signal capacity constraints in an economy, so the central bank raises interest rates to crimp consumer spending and investment -... Show More

Thank you for the feedback. We have not done sufficient research on the graphite market to give you a considered opinion - apologies.

On A good year ahead for resources -

Terrific response Max and some great points raised. We will certainly review and revert.

On What could Updater be worth? -

Excellent question. You are correct that BLD has significant exposure to the Australian housing construction market, which we believe will experience a typical cyclical downturn. We believe that this downturn will be offset by BLD's exposure to the non residential construction market, which is experiencing strong growth. To answer your broader question, I am sure there are more pure exposures to the US housing construction market recovery, but we have confined out investment universe to those companies listed on the ASX.

On The long awaited recovery in the US housing market -

Thanks for the comments. Obviously I can only be general with such a short video. It was meant to be a word of caution, that's all. We have seen some very poor quality business models come to the market with very high valuations, not a good combination for investors.

On A disaster could be brewing in tech -

Hi Patrick, different types of electricity generators run at different rates. Because mainstream renewable sources are variable (wind blowing, sun shining) - their actual output can range from 20-50% of installed capacity. Conversely, base load generators such as nuclear and thermal run close to 100%.

On Infigen (IFN) - an exciting pure play exposure to elevated renewable energy prices -