A swathe of microcaps put in some truly remarkable gains last year. The share prices of Bubs, Jervois, and MyFiziq increased 12, 16, and 30 times respectively, and there were scores more that tripled or quadrupled. Yet many of these stocks have business models at very early, or even conceptual,... Show More
A great deal of inefficiency exists at the small end of the market. And where there is inefficiency, there is opportunity. The trick is in knowing how to identify the genuine opportunities, while avoiding the risks. If you are able to do that, there is a great deal of alpha... Show More
Markets can be prone to overconfidence at times, and when these ‘certainties’ don’t come to pass the results catch investors off guard. In 2011, markets had priced in never ending growth in Chinese demand for Australian commodities. By the time 2015 rolled around, those investors who had bought into this... Show More
In this latest Buy Side Brief we ask Sean Fenton of Tribeca Partners, James Williamson of Wentworth Williamson Partners and David Allingham of Eley Griffiths Group to identify a company they believe has been oversold in the recent market correction? Show More
Stocks in the automotive retailing and fleet management space have enjoyed a very strong re-rating this year, A.P. Eagers (ASX:APE) , SG Fleet (ASX:SGF) and Eclipx Group (ASX:ECX) are good examples. Money has rotated into these stocks as they have strong valuation support and are delivering sustainable earnings growth. Finding... Show More
Background to the consensus Short FMG trade and why we are Long FMG. Show More
Goldman Sachs says a combination of yield + growth has significantly outperformed a pure high yield strategy in the past 15 years. Livewire asked 4 contributors “What’s one stock in your universe that best fits the bill of yield + growth and why will it continue to flourish?” Show More
In Australia, business confidence tends to be positively correlated to share price movements. Unfortunately, business confidence also tends to lead corporate investment expenditure. This is not the ideal feedback loop. By way of example, from the start of 2003 through to mid 2007 the ASX 200 Industrial index rose by... Show More
Australia's ability to attract investment capital for energy projects is frustrated, Nathan Lim, Australian Ethical. Repealing the carbon tax is just another reason to justify the avoidance of the conventional and renewable energy sector in Australia. With overseas jurisdictions like California, China, Germany and Japan offering greater regulatory certainty, Australia's... Show More
The winners from the tax repeal are those groups that bore the incidence of that tax, Jeremy Bendeich, CIO, Avoca Investment Management. Will repealing the carbon tax impact or change investor sentiment? The repeal of the carbon tax will not alter general investor perceptions. The key policy objective of the... Show More