Member Info for BusPassGuru

Not sure why the EMA is relevant. It is the adoption of new tech on a global basis that drives the share price. Six months ago people were more optimistic about Covid and that was reflected in overall market sentiment.

Got any ideas for reinvestment or are you going on a cruise?

The Woodford fund was open-ended which meant that if a large number of investors wanted out the manager had to sell the underlying assets. That was a problem as in effect there was no market for the amount of unlisted stocks which were part of the ensuing fire sale. SMT is a closed end fund, so If a whole batch of SMT investors want to sell there is an interaction with potential buyers who are willing to pay whatever price, but the managers don't have to liquidate parts of the portfolio.

You're wrong. Your arguments need work.

Robleo's post re BG reputation: is as follows: "Buspass, well Neil Woodford , had a good reputation at one time...." Either you reckon SMT's managers are reputable, or you do not. If you do not trust them the only rational action is to sell and re invest in something with a better ethos and management.

The SMT managers will only invest in an unlisted company if it has a value of over $1bn. If anyone thinks the SMT strategy is similar to that of Woodford, the obvious solution to to sell out asap. I have faith in the SMT strategy as being thought through. I seem to recall a conversation with Tom Slater and he indicated that they get many offers for unlisted investments and take about one in a hundred.

The key driver of SMT appears to be whether its 'big bets' will disrupt their sectors. The big bucks they made out of Amazon and Tesla moved the needle. If Moderna/ASML/Illumuna blow away competition, SMT will do well. Seems a shame to miss out on long-term potential for a point of two of premium. If you don't think managers have ability to pick companies with the potential of explosive growth, SMT is not for you.

Not a good idea to hold SMT if you take the view (as does Robleo?) that Baillie Gifford's reputation is ill-founded, a la Woodford.

I thought the fact that SMT was covered in this way shows that it is in the premier league of collective investments. The comment about the Chinese investment was new to me.

Can SMT make bad investments and is the Woodford experience relevant? Yes, sometimes they sink their teeth into a lemon. On the other hand, they wiLl not invest in a privately held company unless it has a market cap of over $1 billion, so it's not a case of 'a man in a shed.' Even it it does fail, the idea is that it is counterbalanced by holdings that knock the lights out. They made huge amounts out of Amazon and Tesla.. I don't think the Woodford debacle is relevant. Baillie Gifford is reputable and the directors are high calibre people, not just placemen put in by James and Tom.

The SMT managers regularly declare that they have no insight into short-term price movements. I can't see how anyone can unless they are the modern equivalent of Mystic Meg or have access to privileged information and last time I looked, insider trading was an offence. The fact that SMT issues shares when it's at a premium and buys back to prevent large discounts is one pointer. But anyone doing that is presuming that one of the larger holdings is not on the verge of announcing a breakthrough in their tech - or a disaster of some kind. I think I will save on the commission and stamp duty that hit frequent traders and just sit tight.

Interesting piece in the current issue of The Economist.

I am not sure if all of the contributors here have fully grasped the notion of 'buy and hold.' The people at BG are clearly very smart, but they repeatedly state that they have no clue as to short term share movements. Who does? In the next month SMT will probably go up and down, but over a five year period it is likely to go up. SMT managers buy stocks that have the potential to grow significantly and every so often they get an Amazon or Tesla that knocks the lights out. Day traders should avoid this share - and hopefully this forum.

Yes,plenty of uncertainty in China. Things not so clear in the US either. I think there is more clarity about British companies. I hold none of those but if you know of something with Teslaish growth potential please let me know

Well, Moderna up strongly today and with a 107.59% gain over six months...

You reckon that Anderson and Slater have lost the plot? Really? You can bet against their judgement but, in the words of Sam Goldwyn, "Include me out."

On the 'down days' for SMT I reassure myself that the stocks in the portfolio are, in the main, growing like topsy. Their big stake in Tesla was very scary but in the end if paid off. I have always admired BG for their thoughtful and unflashy approach long before James Anderson reached rock star status. I have no doubts at all about Tom Slater's ability. A friend of mine who worked at BG said that it was clear from Day 1 that Tom was very talented.

Concern about China justifies ditching SMT?

Nice wee perk up after some rather flattish months. Even when SMT price is flat, I am reassured by thought that its top holdings will be piling on revenues while the good old FTSE stalwarts like oils and banks continue to struggle to shrug off the disruptors.

Are there quite a few day traders here? SMT buys stocks to hold for between '5 years and forever' and its managers have proven to be very shrewd, but even they say they have no knowledge about short-term price movements. Has anyone? I am reminded of the Buffettism that the stock market is a mechanism fro transferring money from the impatient to the patient.