Bank rally post Royal Commission
Thursday, February 7th, 2019The Royal Commission’s (RC) final report was incrementally positive for the major banks because there were no unexpected, material or adverse outcomes and the core business of taking deposits and making loans was untouched. This explains Tuesday’s powerful relief rally,... Continue reading
Market Wrap: Pre-reporting insights
Thursday, February 7th, 2019 Clime Group owns shares in AD8, CCP, RIO, BHP, JIN & APT.... Continue reading
Super for some
Thursday, January 31st, 2019Just before Christmas, the Productivity Commission presented its final 700-page report to the Government titled “Superannuation: Assessing Efficiency and Competitiveness”. The Government released it to the public in early January. The Commission was instructed to “assess the efficiency and competitiveness of... Continue reading
Commodity Stocks Update: RIO & BHP
Thursday, January 31st, 2019After sliding during the December quarter market selloff, BHP shares bottomed on 26 November and RIO shares on 10 December. The subsequent rally reflects: The freeze of US tariffs on China at the November G20 meeting and subsequent US-China trade... Continue reading
End of Year Investor Briefing 2018 – Video Series
Thursday, December 20th, 2018Recorded in Sydney on the 23rd November 2018 Agenda Welcome and Introduction – Rod Bristow A Macro View for 2019 – John Abernethy Going global means growth – Pieter Fourie How we invest your money – Anthony Golowenko Clime Private... Continue reading
Final Market Wrap 2018
Thursday, December 20th, 2018 Continue reading
Finding steady performers amidst volatile times
Thursday, December 20th, 2018As an aggregate basket of stocks, ASX-listed small-caps have continued their downward spiral in recent weeks. The Small Ordinaries Accumulation Index has now fallen by about 13.1% in the financial year to date, largely reflecting growing macroeconomic concerns. In some... Continue reading
Company Update: Navigator Global Investments
Thursday, December 13th, 2018Navigator Global Investments (NGI) held its AGM last week, giving us an opportunity to review our investment thesis. NGI was an early Model Portfolio holding within the Small Cap sub-portfolio, and one for which we have enjoyed a successful return... Continue reading
A perspective on the weak investment returns of 2018
Thursday, December 13th, 2018Prior to the post-G20 weekend meeting, 2018 was tracking to be the worst year for investment returns in USD terms on record. With just one month to complete, the chart below presents the unsavoury truth that returns right across the... Continue reading
Bunnings, and acquisitions, to define Wesfarmers’ future after Coles
Thursday, December 13th, 2018Our last article covered the prospects for Coles after its demerger from Wesfarmers. Today we explore the new, post-Coles Wesfarmers itself and define what will determine its share price. We have long argued Wesfarmers should never have acquired Coles. The... Continue reading
Market Wrap: Interesting portfolio addition
Wednesday, December 5th, 2018 Clime Group owns shares in LYL, CKF, BHP, APX and WES.... Continue reading
Why are banks beginning to rally?
Wednesday, December 5th, 2018The market prices banks within a range of price-earnings ratios (PERs); our view is this range should be lower than post-GFC when the four majors emerged with 90% of the mortgage market and a home lending boom ahead. Banks have... Continue reading
Perspectives on Elevated Market Volatility – What happened?
Wednesday, December 5th, 2018The use of hindsight can be a convenient approach when attempting to write knowledgeable explanations of market movements. However, these explanations generally oversimplify what happened and often ascribe reasons for price changes which have no actual causal relationship with the events.... Continue reading
Market volatility continues
Wednesday, November 28th, 2018Most global share markets have been weak since end September, with all majors now in negative territory since Jan 2018. The YTD performance of various indexes (at time of writing) has been as follows: Dow Jones -1.1% Nasdaq -1.5% S&P500 ... Continue reading
Pieter Fourie interviewed by John Abernethy
Wednesday, November 28th, 20181. Ten years after the GFC what is your view of the outlook for European equity markets? Is there any compelling value in the European market after the recent pullback in equity prices? Any sectors of interest? The chart below illustrates... Continue reading
Company Update: APN Property Group
Wednesday, November 28th, 2018With the tide receding on global markets, investment selection based on company-specific fundamentals is increasingly important. Individual secular opportunities can be found in cyclical sectors. Although real estate is now enduring the impact of rising interest rates, there remains much... Continue reading
What to expect from Coles as it returns to the ASX
Tuesday, November 27th, 2018Coles Group is back on the ASX for the first time since 2007, when Wesfarmers acquired it, and Wesfarmers shareholders will be wondering what to do with their new Coles shares. Many Coles shareholders will also own Woolworths shares, raising... Continue reading
Company Update: HUB24
Thursday, November 22nd, 2018HUB24 (ASX code: HUB) is a provider of one of the leading independent wealth management platforms in Australia. The platform is used by financial advisers to administer client funds across a range of investment products, including managed accounts, managed funds,... Continue reading
BHP buyback and franking debate
Thursday, November 22nd, 2018In today’s report, we republish two articles written for publication in the Australian Financial Review that were penned in recent weeks. The articles are related because they both touch on franking. The first (a letter to the AFR) concerns the... Continue reading
