A positive shortened trading week for both EGP Fund No. 1 Pty Ltd (up about 1.6% to a new all-time high) and for our benchmark (up about 1% to the highest level since the inception of EGP). There is one shortened trading day left in the period and barring an inexplicable collapse in the value […]
A positive week led to a 1.33% rise in the EGP price to $1.20462, less than 0.5% behind the all-time high. This came against an also impressive 1.05% rise for the ASX200 (it sits the highest ever since EGP’s inception). It will be interesting to see if the strong performance over the last few months […]
You can now follow me on twitter @EGPtony I will probably be an infrequent tweeter, but will try to let quality rule over quantity. From next year, I will ‘tweet’ the EGP Fund No. 1 price per share & how we’re going against the benchmark and a link to the blog each week after I […]
In the last 2 years, with interest rates at or very near historic lows, Australian holdings of “Term Deposits” have more than doubled. This was from a story in the Australian Financial Review perhaps Wednesday this week. From memory, it showed since 2010 Australian TD’s have gone from around $300B to about $600B currently. Looking […]
Set out below is a letter sent out to all shareholders this week: Dear XXXX, Please read to the end, there is important information for all holders. This communication comes a little earlier than usual because once again, I will find myself traveling over the end of the current investment period (December 31st). I (and […]
It was an interesting week; a large decline (on no news) in one of our largest holdings was mostly offset by positive movements across much of the rest of the portfolio, leaving us down about ½ of 1% on the week. Once again, there was some excellent buying that continued the building of intrinsic value […]
I came across an article in the Sydney Morning Herald a few weeks ago by a fund manager, which discussed the alignment of shareholders with management via management holding a large stake in the business. Specifically they looked at situations where the CEO derives more than his/her annual salaried remuneration in dividends, from the article: […]
I have said previously many times I will talk minimally about our holdings. I do this for two primary reasons. Firstly, I think if I give away too much information about what we hold and in roughly what proportions, it would be relatively easy for readers to just mimic our holdings and achieve approximately similar […]
It is widely accepted that we are in a global ‘deleveraging’ period.At least at a private level, public finances are different with many governments driving their debt to GDP ratios up. This graph was on Paul Krugman’s blog a few weeks back and demonstrates what I am sure is happening across virtually all developed economies: […]
I have linked many times previously to Scott Sumner’s blog; he is my favourite economics blogger, an enviable thinker. His new paper on NGDP targeting (pdf) is a breath of fresh air, particularly how it envisions dealing with bail-outs & moral hazard.He also had a post a month ago about inflation and market perceptions. As […]
Our holdings spiked up nearly 2.5% this week to a record high of $1.20803 per share. This outpaced the not unimpressive weekly rise in our benchmark. I don’t have too much more to say, except blame AGM season; a few of our holdings have presented well at AGM and consequently improved their recognised value at […]
I am an unashamed value investor. Value dictates virtually everything I do (economically), I consider myself the textbook definition of ‘rational expectations’ with a personal skew away from value other market participants might place on intangibles like brands and others perceptions of them. Utility for me derives almost exclusively from function. I always purchase second-hand […]
Our opponent (the S&P ASX200TR index) soundly beat us this week, up nearly 2.5%. Our holdings also advanced soundly, up 1.34% on the week, dividends have started rolling in, meaning we are growing our cash holding, as always with an eye to any opportunities that should arise. The benchmark is now within a hairs breadth […]
The weeks moves in underlying market prices for our holdings saw about a 1/3 of 1% rise in EGP, which was better than the nearly ½ of 1% drop experienced by our benchmark. As I touched on last week, a full 18 months of operation has passed for EGP Fund No. 1 Pty Ltd, and […]
The value of our holdings spiked up this week, and then faded slowly to end up about 1.1% for the week. At the end of next week EGP fund No. 1 Pty Ltd will have operated for 18 months. If EGP & index levels are flat next week, we will be able to lay claim […]