Weekly Thoughts 24 April 2015

This was supposed to go out yesterday, but yesterday came and went.

I was invited to join a small group – literally three of us – at a presentation last week to listen to a relatively new asset management business. It was the major shareholder and chief investment guy presenting to us. It’s my job, on your behalf, to give time where I deem fit to listen to other asset managers or to look at other funds and see where I would want to use them, if at all.

He spoke a lot about having commodities, industrials and financials in their equity fund. I asked him about owning consumer stocks, because he never mentioned any. Consumer companies are important to have because they are where we spend a lot of our money. I also asked questions about the business itself and who owns it. It comes down to whether I think they offer anything new with a lower level of risk. If I want to take it further then the next step would be to visit their head office in Cape Town as part of my regular due diligence process when using an asset manager.