Investor Insights

As an investment manager our number one goal is to compound the wealth of our investors in a prudent manner while trying to protect against the permanent loss of capital. If we can achieve this then we as investors alongside our clients will be not only successful but should also be happy.

Some time back, our Montaka global fund took a short position in iRobot (Nasdaq: IRBT), which makes Roomba robotic vacuum cleaners (RVCs).   So far, our strategy is paying off, with the IRBT share price collapsing over the past six months.

Earnings season for the third calendar quarter of 2019 is well under way. While the team at Montaka are busy analysing the results of many global businesses, here are five key numbers that have stood out to us over recent days.

Earnings season for the third calendar quarter of 2019 is well under way. While the team at Montaka are busy analysing the results of many global businesses, here are five key numbers that have stood out to us over recent days.

The new low interest rate world in which we find ourselves is strange. Why does it make sense that an investor should have to pay for the privilege of lending to the German government for 20 years, for example? And yet, the yield on German 20 year bunds is negative – effectively implying exactly this.

Avita Medical (AVH:AU) is a regenerative medical device company that produces the RECELL device for the treatment of burns. It is a company I have written about previously  and whilst being a recent addition to the Montgomery fund’s portfolios, it has been one of its better performers.

These days, I hear many commentators say it’s hard to find value in the market. But if you look hard enough, it’s still possible to find a gem. One of these is IMDEX (IMD), a global mining-tech company.

In my video blog last week, I discussed why the major banks had not passed on the recent RBA rate cuts in full. This is due to an increasing proportion of each bank’s funding base approaching zero or close to zero interest rates.

The concept of negative interest rates makes the mind boggle. And yet, over recent years many central banks around the world have set their policy rates to negative levels.

While many lament the sad state of the U. S. healthcare system, with U. S. healthcare expenditure being multiples of other developed nations on a per capita basis, attempts to reign in this inflating healthcare expenditure have been ineffective, with the gap widening between U. S. healthcare spending and that of other comparable countries.

I have written previously about our view that interest rates are likely to remain low for a protracted period.

IDP Education (ASX: IEL) places international  students into Australia and other key English speaking destinations, while also administering English language proficiency tests. With defensive earnings, a long runway for growth and strong industry tailwinds, we think there’s plenty to like about this Australian-based global business. Exclusive Content This is exclusive content to subscribers on rogermontgomery. com.