Archives: Questions And Answers
Thoughts on GQG after lower FUM?
Is this pricing overdone?
Hi MM,
In last week’s report you mentioned WAM and your views there, which is very much appreciated,
I’m seeking your insights on the implications for the Japanese stock market on Scott Bessant’s US support for the Japanese bond market. I’ve read a lot about how his fairly brazen efforts to lower the high US bond yields can be described as “bringing a knife to a gun fight” but what has changed is that an unhedged Japan fund (IJP – up 13.3% so far this FY) has significantly underperformed a hedged fund (HJPN – up 0.3%) reflecting the changed currency rates. Normally these two funds are a close match or HJPN performs much better, as in 2025 (up 25.6% vs 11.1%) or FY 2025/26 (up 58.7% vs 19.3%. Based on Trump’s entrenched war against Iran and US’s ever enlarging deficit it seems that IJP will continue to grow. But I’m very good at getting these things wrong!
America’s attempts to hold up their own government bonds are failing. The world is abandoning them. No one trusts US debt any more. What are the consequences of that here at home, both in bonds and our own stock market? And what is this talk of their using crypto as a way out? Why would that work if the rest of the world wasn’t interested in following suit?
Dear Team
Hi Guys
Interested in your preference in relation to income generating asset classes (excluding equities) at the moment.
Private Credit particularly with property development exposure is obviously becoming increasingly risky. RMBS typically has less development risk but still has exposure to rapidly declining residential property prices. Bank hybrids are drawing to a close. Term Deposits are now offering north of 5% p.a. for 3 months.
Would you please provide your thoughts on where the best risk adjusted returns can be found in the income generation space?
Appreciate your thoughts.
Cheers
Tim
With NEC & GQG looking at the financials – are these stocks in the oversold territory.
MM owns GQG and has sold NEC in Jan.
Are you considering picking up NEC at the current level ?
On a side note – what do you think about POW which is a new uranium player and recently IPO`ed ?
Hi – interested in your thoughts on LYC, ILU, ARU (& any others) which are all correcting back after last year’s jolt. How do you rank them and do you see any of them as good value? The underlying “reliance on China” issue has moved out of the headlines but hasn’t really changed.
And thanks for all your efforts and insights – great stuff.
Cheers
Derek
