Ann: BMX pre-auction bid, page-158

I think we agree on diversification. As part of one’s investment strategy you can pick businesses that have clear intentions informed by many factors including “capital management”. You can also pick businesses that have the opportunity to invest, even if the exact strategy is not yet known, but enabled by cash and when they operate in an industry/market with growth tailwinds. I would argue PLS ticks those boxes and has a good chance of capitalising on the opportunity.

You could argue that diversified and “established” businesses such as the ones you mentioned, are less agile now and are unable to play the role of the disruptive or genuine innovator, and they rely on their scale to drive revenue.

I have a few of those companies in my portfolio, and they carry less risk (in my opinion) but less potential. Each to their own, but I would just caution being too focused on dividends, and consider how markets may change and how this represents a different opportunity.