turmOIL or Opportunity
For more than 4 decades, Saudi Arabia has acted as the ‘swing producer’ – increasing or decreasing production to stabilise the oil price. Some commentators believe that OPEC has now broken down, and that its days of dictating the oil price are over. We are not of this view. At Katana Asset Management, we believe that Saudi Arabia is setting up the next oil bull market by measuring out a dose of ‘tough love’. In particular, we see 4 outcomes that Saudi Arabia is well on the way to achieving. In this short video, we explain how OPEC normally acts, what they are attempting to achieve and why a deal of some description is compelling.
Katana Asset Management was founded in September 2003 as a boutique investment management firm. Katana employs an all opportunity investment mandate being style, sector and market cap agnostic.