Working in the markets, sometimes you can get a real solid feeling of how various fund managers are positioned, and what their expectations are for the market in the near term. There has certainly been a feeling in an around markets that while there are some pockets of decent value, the stock market in general […]
One thing that has surprised me over the past 6 months has been the velocity of the switch from high quality, low volatility companies towards more cyclical companies. The dramatic rotational from quality/growth/yield toward value and resource stocks is something we haven’t seen in markets for the last 3 or so years. Something worth considering […]
Over the last couple of weeks, some indicators and market sectors that I watch quite closely have started to roll over, indicating a bit of turmoil in the market. At the very least, I’m expecting a regime switch from expensive defensives into some names with a bit more leverage to the economy. Unfortunately for dividend […]
In 2001 in an interview with Forbes, Warren Buffett outlined a simple methodology for gauging the attractiveness of equity markets. Simply, Buffett looks at the domestic stock market capitalisation and divides it by Gross Domestic Product. Buffett remarked: “It is probably the best single measure of where valuations stand at any given moment.” I have previously […]
With August finishing up, its time to check in on overall market valuations (my methodology is outlined here). With the market digesting FY16 results, there was a reasonable amount of dispersion between companies that managed to meet or exceed consensus estimates, versus those that disappointed. Interestingly, those that disappointed due to transient factors are starting to […]
A short post this week. Here’s a chart I look at all the...
Its nice to report that my most recent quarter saw...
An interesting article caught my eye today. The outgoing...