After ten years of monetary experimentation, following a 30-year bull market in US bonds and equities, there is genuine excess in financial markets.
In contrast, many “old-fashioned” investment ideas are about as cheap as they have ever been. This looks like the late 1990s in many respects. Investors need to exercise caution, avoid crowded trades and think differently at present.
We are finding great opportunities where the herd is absent, as Julian McCormack discussed recently in our presentation at the Australian Shareholders Association's LIC showcase, which you can now view in full here.