Viewpoint: Bullish
We talked about selling MFG above $60 and were simply too slow, no excuses. However today we believe the markets treated Hamish Douglass’s business too harshly following its report which showed solid inflows but a fall off in performance fees, we don’t believe this will be a long term phenomenon fund managers cannot kick big goals every time.
The Aussie has maintained its assault on the 80c level which we believe will be scaled in the coming months, the question we keep hearing is when will it top out?
MM has been long the Global X Copper ETF in its Global Macro ETF Portfolio since October 2019, a position which is in line with our reflation outlook over the coming years
Centuria Capital Group (CNI) is an Australasian funds manager of real estate and investment bonds. The Company’s assets span across commercial office, industrial, and healthcare sectors throughout Australia and New Zealand. Centuria manages real estate fund types such as listed, unlisted fixed- term, and open-ended funds sourcing capital from listed, wholesale, and retail equity.
Media giant NEC has enjoyed 40% EBITDA growth for the last half year with most sectors of the business firing well although 90% of earnings still comes from Channel 9 who enjoys over $1bn in advertising revenue.
REA needs no introduction with 6.6 million Australians visiting realestate.com.au each month and in todays strong market I’m sure they are enjoying the trend unfolding
Media Group NWS have more than doubled since the panic COVID-19 lows, in its recent company report we saw revenue improve across all its businesses compared to last year and EBITDA rip up by 40%.
The company we do own in our International Equities Portfolio that is a play on the higher use of streaming and the changing dynamics of advertising i.e. with advertising moving more online and into different areas like video games is The Trade Desk which is an advertising market place allowing purchases real time insights into how they should be spending their advertising $$ online.
Insurance Australia (IAG) has reported well today, and shares are rallying, currently up 6% on the session, the obvious question being, could this be a major inflexion point for the insurer that has been under immense pressure falling from ~$8.50 to nearer $5. Today they reported cash net profit after tax (NPAT) of $462m, smashing consensus of ~$280m. Margins were a lot stronger than expected, largely from lower reserve top-ups.
Insurance Australia Group (IAG) is an Australian-based international general insurance group with operations in Australia, New Zealand, and Asia. The Group provides a range of personal and commercial insurance products, primarily motor vehicle and home insurance.
