Firering Strategic Minerals: From explorer to producer. Watch the video here.
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Let's hope all of the catalysers keep catalysing! There is a lot of untapped potential in SMT.
Just hit break even point on my small purchase (£100k). Onwards and upwards.
Filled my boots at 650 range. Never thought I would get an opportunity like that again.
Long term hold for me.
Good to see UK CPI also fall today. Hot on the heels of the lower inflation read in the USA. I think we may see that soft landing, but it's all up for debate and both UK and USA could still hit a mild recession next year. However, I am relieved to see SMT climb above the £7 for the first time in months. Above £7 is where I stop buying, so going to let it sit for now and may buy any future dips. GLA.
I find the chicken licken doom mongering about another Trump presidency kind of incredible. For the four years that Trump was president, there were no major wars. In the three years since Biden replaced him there have been two. Now I'm not saying that you can simplistically attribute cause and effect here. I'm far from being a fan of the guy. But purely on a factual basis, the world under Trump was a more peaceful place (and therefore a better investment environment). Volatility in global markets was also virtually zero during his presidency, except for a brief spell in 2018 and of course the covid crash, neither of which had anything to do with his policies.
LLL. I agree that further world events will continue to add upsets for sure, especially in an overcrowded world with tensions where they generally are right now.
As ever I remain more optimistic however on the basis that I believe there to be a great many years to go before investing is an unprofitable enterprise.
I remain convinced that their is no better investment than our technological future.
I know that I must sound like a stuck record but believe that the median line will always increase proportionately to man's continuing ambitions and propensity for survival.
The only thing I'd add to that is to only buy into SMT if you have the spare cash in order to profit beyond the 5 year timeline (right now and obviously not 5 years ago).
I can't imagine drier powder in the current SMT investment magazine.
World events will continue to hamper things (I agree), but the COVID years were a frothy aberration prior to one hell of an inflationary bummer that has led us all (unfairly) to question the worth of it all. Ignore them and the median line creeps up and will continue to do so.
Things will go wrong, things will go right, but in the end (and for now at least) sensible and measured technological investment will bring returns..
I'm can't see that I'll be eating my hat, but may do eventually (but not just yet I feel).
The world is on fire but not (as yet) into negative feedback territory when things go backward.
Given the crocked up world, I fear for my children and grandchildren,but equally believe my investments will be worth far more to them in the future than they are now.
Wins.
When DT wind 2024 tha Dow will rise.
Let's hope that this is the shape of things to come.
Ubik_Fresh - the evidence increasingly suggests rapid interest rate hikes in the US & elsewhere have tamed inflation for now.
But what we don't yet know is whether any further world events are imminent, to knock things off course again. The world still feels a fragile place right now, with a lot of discontent & racial/religious infighting bubbling under (& sometimes boiling over).
Hopefully things will settle down again soon. Either way, it'll take a few months before there's any sustained improvement in global market sentiment. And that's assuming we don't get another war/pandemic to derail everything again. For now, I'm cautiously optimistic though. But if Trump were re-elected in 2024/5, all bets would be off.
3.2% inflation in the USA, markets happy. Do we get the soft landing? Good to see this over £7 again, even if it may be brief?
I think you have to be careful to distinguish between the impact of inflation/interest rates on SMT’s own debt & its likely impact on some of their holdings.
Higher interest rates will generally disproportionately hit growth stocks, which SMT heavily focuses on. That said, I agree it WAS good judgement/luck (?!) that led SMT to fix borrowing at very low long term rates.
MrFrogster
My thoughts exactly, quite plucky timing with the leverage, which is why I don't think that the fund managers are overly concerned with inflation/interest rates. Despite all of the doom n gloom around private holdings valuations, I would say that money invested is in fairly safe hands, from what I understand.
Yes MrA, it's a very good thing - assuming interest rates on average are above 3% until 2036. Fixed rate borrowing is always a gamble though but for the sums they are talking about, it makes perfect sense to do what they've done. Maybe a bit of luck in there as well as no one could really have predicted with any accuracy the extent of the recent interest rate rises.
Hi All
I have been reading TS interim report and I quote the following:
"Rising rates have little impact on our company. During the years of exceptionally low interest rates we proactively extended the term of our debt. The majority of our borrowings do not come due until after 2036 and our interest cost is below 3 per cent"
This is a good thing surely?
Have a great week everyone!
Thanks MrAmericano - some interesting comments from the managers there, especially relating to P/E ratios.
But of course, paying a premium in the hope of higher than average future growth can also backfire. Only as good as the managers’ judgement….
Billionaire investor Ron Baron told CNBC on Friday that he expects SpaceX to IPO its Starlink satellite internet service “in 2027 or so.”
“We think that by the time they go public with SpaceX, with Starlink … in 2027 or so, four years, the company will be worth $250 billion to $300 billion,”
Walp - Agreed about Suella.
She just likes being controversial to stay in the limelight. Probably doesn’t even believe half the rubbish she spouts herself.
I can barely wait for her to be our Opposition Leader, whilst Trump becomes the first POTUS to operate behind bars….
I'm absolutely with you Mr Nimrod. Sure it's been out of favour down to the recent obvious factors, but that ain't going to be static. It may take some time, but I firmly believe that the losses bemoaned upon down to the fallout due to the obviously frothy excesses ridden in the COVID years will reverse. Eventually..
It will come around as it always have.
We are not about to stop buying new ideas.
It just isn't the way humankind operates.
Against this, I do also believe in generally hardening conditions . The world has too many people right now, and whilst the accompanying problems we have seen of late will I believe necessitate new technological solutions, there will also be more strife and trauma that lead to a greater chance of continuing economic instability.
Despite all of that I believe in the natural gravity of man's will to overcome and develop, and for that reason I for one am going to leave my money on the table.
And then there is Suella Braverman LLL.. Words fail me as to the disgust I feel for the woman . Incompetent buffoons in general I agree, but this woman takes the absolute biscuit re Palestinian, homelessness and the poor souls risking everything to arrive in our democracy.... Anyone would think she couldn't possibly have a familial history of immigration to the UK herself. I thought Patel was the pits, but little did I realise that such a creature would follow in her steps ..
Words absolutely fail me and the woman makes me feel ashamed to be British...
Sorry...
Back to discussion around SMT I guess...
Hi there Mr Nimrod
Purchasing some SMT shares at a current steep discount maybe a great long term growth strategy, however you equally need to have an exit plan for them.i.e. when to sell. That's one of the (hard) lessons I have taken away from this particular Investment Trust.
Good article today in well known pink newspaper. It refers to the last time that discounts were so large (re investment trusts), and that returns for investment companies were 39% over the following year, and 119% over the next five. Although I've been negative about SMT in the the past and their lack of agility to act in changing circumstances, it appears that now maybe a time to start drip feeding some cash in on the assumption that its bottomed or close to it.
Thanks Ubik_fresh
Divi yield is pretty poor, but that's not why most of us bought SMT.
1.6 pence per share.
https://www.dividendmax.com/united-kingdom/london-stock-exchange/investment-trusts/scottish-mortgage-investment-trust-plc/dividends