Ann: Funds Under Management - August 2022, page-99

Thanks lost.

For perspective l try to look at long term macro and individual company financial conditions when assessing my long term positions.

Monthly data means absolutely nothing to me when l already have penciled in the next 6 -12 months in my forecasts which already discount FUM way below current levels.

The more important investment data l look to is the company response to those things it can control, not global markets that it cannot.

As l have said many times, in the right set of MFG circumstances, l will back up the truck below $10. I can sleep easily with a 15% fall from current prices.

l dare say many heavily geared Australian property investors facing the same downside risk may not be sleeping so easily.

My overweight cash position is my cushion. The July/August market rally and U3O8/green energy blow off allows me to look forward to markets bec oming more attractive.

This week the capitulation in junior gold miners delivered a 10% return within 4 days in companies l know very very well. Have added to existing positions and traded out of older lines, having added to my cash reserves, reduced my average costs, booked a cash profit and realised a tax loss.

l had no idea this time last Saturday, such a sweet opportunity could present itself. That is the fun that sometimes comes from oversold markets.

I am not worried about MFG. It will not remain listed within 3 years and will not be acquired cheaply by thr purchasers who will be rhinking in years not months.

Each to their own. In my life, financial accomplishment has demanded enough courage to stare fear in the face and not walk away, even if it could result in a loss. Ditto when selling except replace fear with greed.

lt has taken me a long time to reach this point. So l suggest or caution or warn young investors to be more cautious as every lesson has cost me money. This is not advice it is my experience.

GLTASH.