The debate over whether a value or a growth style produces better long term investment returns continues, with staunch advocates on both sides. Certain high profile investors such as Warren Buffett continue to champion the Benjamin Graham school of value investing while, in contrast, recent BAML fund managers’ surveys have... Show More
One of my all-time favourite movie scenes is when Woody Allen stands in the queue in Annie Hall (1977) and he ends up having a discussion with the loudmouth academic behind him who professes to know everything there is to know about Marshall McLuhan. Show More
For decades, traditional wisdom held that value investing is the only way to outperform, and with good reason. Until the GFC, value had outperformed growth in all but a few brief periods, and those periods immediately preceded a major bear market. But for nearly a decade now, growth has produced... Show More
When Warren Buffett first started buying businesses with ‘moats’ in the 80s, such as Coca Cola, his disciples thought he was crazy. More than 30 years later, buying businesses with a moat is accepted wisdom. Morningstar even offers a 'moat rating' on thousands of stocks from around the world. Show More
Many textbooks and articles tell you how successful fund managers go about analysing companies when they invest. However, what they don’t tend to disclose is that a lot of investment success is also a result of never doing certain things. Show More
Will a ‘growth’ or ‘value’ regime dominate in equity markets from here? After ten years of ‘growth’ leadership, the debate around style timing is intense. Following the financial crisis, ‘growth’ stocks have clearly been a better option than ‘value’ stocks. The main explanations offered for this is lacklustre global economic... Show More
Owners of high-quality, growing business are starting to look a little nervous following the high-profile falls of Aconex, Bellamy’s, Blackmores, and more. Hyperion Asset Management likes to invest in these kinds of quality, growing businesses, so we spoke to Managing Director, Tim Samway, to hear how he’s been handling sell-offs... Show More
Despite the difficult political environment, things are beginning to look “less bad” on the macro front, says Nick Griffin, Head of Investments at Munro Partners. Emerging markets, Europe, resources, and banks have all recently bottomed out and beginning to improve, while Europe appears to be doing the same. “If you... Show More
Despite (or perhaps because of?) being the final full week of Reporting Season, it's been a slow week in the markets. Even the Bloomberg editors thought so, as they released multiple articles this week lamenting how quiet markets were. There's no need to join them, however, as we've got your... Show More
Nick Griffin, Head of Investments at Munro Partners says he has spent many years working to define the key characteristics of true growth companies. From a universe of over 24,000 stocks globally he says there are only 800 companies that truly meet his ‘growth' criteria. Griffin says of these 800... Show More
Dean Fergie, Director & Portfolio Manager at Cyan Investment Management, has a focus on growth companies in the $50m-$100m range. In order to meet his standards, the companies need to be generating revenues. “There’s a number of stocks out there that are really not generating any revenues at all –... Show More
Redundancy is the excess capacity or capability that enables systems to withstand or exploit volatility. Show More
Growth has been hard to come by in the post-GFC world, especially amongst the ‘blue-chip’ names. It has been a stock picker’s market, where many mid and small cap managers have regularly achieved significant outperformance. Markets have generally rewarded those who have invested in companies growing faster than the rest,... Show More
A growth stock we are excited about is Xenith IP (XIP), which is a newly listed small-cap stock with a market cap of approximately $130 million. Xenith IP is an intellectual property firm specialising in the filing and prosecuting of patents and trademarks in Australia on behalf of both international... Show More
We are interested in the growth potential of G8 Education Limited (GEM), the second largest player in Australian childcare. Over the past four years, the company has grown revenue by 294%, while expanding their EBIT margin from 16% to 21%. GEM has been very successful in consistently adding value to... Show More
APN Outdoor (APO) looks to have continued long-term growth. Outdoor advertising spend continues to increase, with a ten-year annual growth rate of 6.7%, against just 2% for ad spend overall. Australian outdoor advertising is 5.6% of ad spend, behind the global average of 7.5%. Last year saw a particularly strong... Show More
2015 was a great year for growth stocks. Despite the ASX200 returning less than 3% including dividends, many small-cap growth managers racked up large double-digit returns. The poster children for these trends, Blackmores and Bellamy’s, returned 534% and 715% respectively. Meanwhile, many traditional value stocks like Origin and South 32... Show More
Denver Based Marsico Capital Management’s top performing Global Equity Fund is now available to Australian sophisticated investors. Tom Marsico, the veteran consumer, tech and healthcare portfolio manager runs the strategy and typically invests in innovative growth franchises that exhibit above-trend growth, strong returns on capital that are gaining market share... Show More
Tim Samway, the Managing Director of Hyperion Asset Management says that he likes a number of Investment Managers - particularly those with exposure to Europe and its QE program. We like them because there’s underlying growth in markets over long periods of time. Revenue tends to go up as FUM... Show More
Tim Samway, the Managing Director of Hyperion Asset Management believes that the next REA Group is… REA Group. He thinks the stock price could triple from here. In this exclusive interview with Livewire, Samway says “The opportunity for price rises and building out their offering to encompass other advertising” such... Show More