Investor Insights

  In this week’s video insight, Sean Sequeira and I discuss the strategic decisions within the mining sector, highlighted by BHP’s latest bid for Anglo American. This move, part of a broader trend of significant acquisitions, could reshape the competitive landscape by boosting BHP’s (ASX:BHP) production in iron ore, copper, and metallurgical coal.

For almost a decade, I have described Australian residential property owners as a “protected species”; Whether we look at the banks, the banking system in its entirety, regulators, including the Australia Prudential Regulation Authority (APRA), the government and even individual politicians – many of whom own multiple residential investment properties – nobody wants to see property prices fall.

  In this week’s video insight, I discuss how private credit funds can be an effective strategy for Australians, especially during the current cost–of–living crisis. I delve into why these funds might be a helpful addition to your investment portfolio, particularly in these challenging economic times.

It has been a while since we reported on the major banks, which have now all provided half-year updates to their operating performance.   Before reporting on their results, I think it worthwhile to provide you with a usefully simplified framework for analysing or comparing a bank’s performance.

Recent data from the Reserve Bank of Australia (RBA) on the Australian non-bank financing sector alluded to the fact that businesses are continuing to turn to non-bank providers for funding. As evidenced in the graph below, the non-bank share of business credit is trending upwards.

Whilst Polen Capital, our investment partner in global equities, has been operating since 1979, manages 15 underlying investment strategies, has U. S. $65 billion in funds under management, and over 250 staff world-wide, it is fair to say it is not yet a household name in Australia. Montgomery partnered with U. S.

The long-awaited quarterly consumer price index (CPI) figure was reported this week. Over the March quarter, CPI rose by 1. 0 per cent, which follows the previous 0. 6 per cent December quarter increase. Over the 12 months to March 2024, CPI rose by 3. 6 per cent.

Successful business owners are often said to be able to feel the pulse of the companies they lead. For instance, great restaurateurs know what dishes are most popular on the menu, who their regular patrons are, when food suppliers will deliver fresh ingredients, and how much revenue is needed to cover operational expenses such as salaries and rent.

In the March 2024 quarter, we strategically added new positions to our portfolio, including Sage Group, Airbnb, and Paycom. We believe the Polen Capital Global Growth Fund’s valuation is currently fair for what we consider to be a collection of some of the best companies in the world.

The Australian superannuation system is often seen as one of the envies of the world. With assets totalling $3. 7 trillion, our system is the fourth largest in the world and grew by 10 per cent over 2023 from a combination of contributions made to superannuation and underlying investment performance.

In the dynamic landscape of investing, uncovering hidden gems amidst the sea of opportunities often requires a keen eye for potential change and growth catalysts. Telix Pharmaceuticals (ASX:TLX), despite its relatively short tenure on the ASX, emerges as a beacon of promise in the realm of biotech ventures.

During the March 2024 quarter, the Polen Capital Global Growth Fund (the Fund) increased by 12. 49 per cent in Australian dollars, while its benchmark, the MSCI ACWI Net Total Return Index, in Australian Dollars, returned 13. 10 per cent.