Category: Uncategorized

PAYING $1 FOR 50 CENTS WORTH OF ASSETS?

The objective you hear from many value investors is to buy $1 of assets for 50 cents. The headline I used here is the opposite, what we should be avoiding.

Trading in a couple of wind-up situations I have observed this year has left me scratching my head. It has looked to me like investors paying around $1 for 50 cents of cash!

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SHOULD ASX LICs / COMPANIES WIND UP AND DO THEY HAVE THE RIGHT “SKIN IN THE GAME”?

Should Australian Leaders Fund Limited (ASX:ALF), Contango Income Generator Ltd (ASX:CIE) & Thorn Group Ltd (ASX:TGA) wind up most of their operations and return cash to shareholders?

For full disclosure I own shares in (ASX:ALF) and (ASX:TGA) at the time of writing. I do NOT own shares in (ASX:CIE).

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Guest Post – How to determine if the trend is your friend

This is a guest post that I thought would be of interest to my readers. Please read below to find out more about the author. (Note I have no affiliation with the below author / business).

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AVOID ASX LIC IPO CONFLICT OF INTEREST & BUY FGX ASX?

Should I buy the Future Generation Investment Company (ASX:FGX)?

  • I shall later note how the Future Generation Investment Company Ltd (ASX:FGX), can be a cost efficient way in getting exposure to Australia’s best fund managers.
  • The management expense ratio is effectively very close to a maximum of 1%. The fund managers therefore stand a decent chance of outperforming after fees in this vehicle.
  • You can expect a fully franked yield of circa 4% and a steadier ride compared with most equity funds.

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Unusual Fees in LICs?

There are now well over 100 ASX LICs. I must have looked reasonably closely at the fee structures of more than half of the current crop and have noticed a couple with unusual structures. I would be interested in the view from others about these features, and also if other LICs follow a similar arrangement? Continue reading “Unusual Fees in LICs?”

How to invest efficiently for tax in Australia.

How to invest for a living

Before you go “all-in” on a portfolio full of the highest franked dividend payers on the ASX, read below to consider being diversified from a political and taxation standpoint. Likewise be wary of going “all-in” to other investments based solely on current taxation incentives in place.

When I come across articles about how Australian investors need more diversification it often does not refer to potentially changing tax laws. There is a bit of overlap with these themes but there are different issues to consider.

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What do retail investors want to hear from their fund manager?

This blog post topic came to mind after I read a post from another blogger. The post I refer to discusses whether fund managers are doing a good job communicating their ideas to attract retail investor demand. Continue reading “What do retail investors want to hear from their fund manager?”

AVOID THIS ASX LIC IPO!

How to buy ASX Listed Investment Companies (LICs)

Or not to buy?

Don’t fall for the hype of conflicted advice on ASX LICs IPOs and get hit with commissions

Warning fictional post about an IPO of an ASX Listed Investment Company (LIC). There is so much cheap money around I fear that if I don’t include such a warning, some will think this is real and want me to send them the prospectus! Continue reading “AVOID THIS ASX LIC IPO!”