James Marlay

At age 37 Chris Stott has called time on his investment career at Wilson Asset Management. Given the current state of markets I took the opportunity to have one final chat to hear his views on the year ahead. He presents a bearish outlook for the Australian economy fuelled by falling house prices and weak consumer sentiment.

“You’ve seen companies like CSR have halved, Adelaide Brighton is 40% off its highs and Boral has come back ... The share market normally moves 6 to 9 months ahead of the economy, so the share market is telling you that domestic economic conditions are going to be hard next year.”

But that doesn’t mean you can’t find good companies to invest in and make a return...

Tune in to hear about the attributes that Stott seeks out in difficult markets, lessons from his best and worst trades and one last call on a stock that can deliver regardless of the economic backdrop.

Topics discussed

  • Buying Credit Corp following a massive profit downgrade and learning the lesson of backing good management teams.
  • The ‘fast money’ and euphoria that engulphed markets leading into the GFC and how that element is missing from the markets today.
  • The outlook for 2019 and the reasoning behind his bearish views on Australia’s economic conditions.
  • A stock that he thinks can deliver in a challenging economic environment over the next 5 years.
  • Lessons from his best and worst investments during 12 years at Wilson Asset Management.
  • The curious art of reading body language to figure out when management are telling lies.


Comments

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Russell Muldoon

Great interview guys. Enjoy your break Chris, they (the kids) really do grow up fast. A good move given the markets current outlook, but as per usual, setting up a period of exciting return potential when the narrative turns.

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Ruth Alvarado

Wishing you all the best Chris. Over the years I have enjoyed listening to your presentations at WAM yearly investors shows. I am sure your kids will enjoy having you around. ( On another note Russell Mundoon are you still in Adelaide?)

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Jim Trimboli

Very good interview. His views and insights very solid. Thanks

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Peter Milwidsky

Terrific interview guys and all the best for the future Chris..

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Danny Blight

Why wasn’t this released as a podcast?

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James Marlay

Hi Danny, this series is always released as a video. We've uploaded a few to our Soundcloud account and we can get this one added on Monday.

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Jason Barnett

James and Chris great interview. Thanks for sharing.

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judiblun@tpg.com.au Blundell

Need more honest and astute investors like Chris.

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Emma Davidson

Chris, you have shown such poise and professionalism in the time that I have known you and I admire the move that you are making now. Well done on an excellent 'exit interview' and shout out if you ever need anything from Miles and I. Great work here James.

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Alex Livshiz

Great interview. Should be nominated for the "Best interview of the 2018". Chris, all the best for the future.