Category: Investing

On portfolio construction

I’m building a portfolio with the goal of achieving market-beating returns over the next 5 years. This raises an important question: Should I invest all the money up front, spread it out evenly over the 5 year period, or some other strategy? Some very skilled fund managers that I follow invest their cash quite quickly when they …

Dodging a bullet: Automotive Solutions Group

I’ve been doing a lot of research into a beaten-up company, Automotive Solutions Group Ltd (ASX:4WD) recently. This company raised funds and bought a group of 8 separate businesses in a variety of 4wd and automotive retailing and manufacturing segments, with the idea of vertically integrating and cross-selling each business’ products to customers of the …

PS&C Ltd

Following a suggestion from a reader, I had a look at PS&C Ltd (ASX: PSZ), the IT and security consulting/services firm. I can see the investment case quite simply – the market capitalisation is ~$20m, whereas the people + security divisions are worth $15m and $10m on the books respectively. There is the pending spin-off of the security + communication …

Mea Culpa: RNY Take 2

I made a mistake in my analysis of RNY Property Trust (ASX: RNY). You can find out more about that in my original post.

Purchase #2: RNY Property Trust

Note: The original version of this post contained some serious calculation errors and the post has been substantially edited since then. First, thanks to reader Daniel for pointing out that my calculations were inaccurate. Due to sloppy spreadsheeting on my part, I was basing my worst/best case calculations on the expected equity to be received, not on the property …

Purchase #1: Thorn Group Ltd (ASX:TGA)

My first purchase for the portfolio was Thorn Group Ltd (ASX:TGA), a financial company that primarily provides leases to retail and some business customers. It is an ugly company, with an unspecified regulatory penalty from ASIC hanging over its head (although they have set aside $4 million in provisions for this), recent regulation which capped the …

Disclosure

I’ve made the first purchase for my portfolio! It happened much sooner than I expected, as I have been thinking that there are relatively few opportunities out there. However, things change, I made a snap purchase (I have been watching the company for a while), and this unfortunately brings me to another dilemma that I had …

Setting up a portfolio

To take my investing to the next level, I have decided to build a small portfolio using real money. I will gradually add companies to the portfolio, write theses on them, and track their performance and the performance of the portfolio over time. I do not have a huge amount of experience with portfolio management, …

First post

After a few tricky moments, I have set up a basic skeleton of my website.  More to come.