In addition as I said few months back that A$ will be under...

In addition as I said few months back that A$ will be under pressure as China decrease the stimulus. It is playing out well and truly now with iron ore at $100 per tonne. Same thing happened in after GFC when chine went out with biggest stimulus. Troubled Chinese construction company alone has us$400B debt. You can’t build your economy based on construction as it grows toward higher income economy. With this scenario playing out for next 5 to 10 years, Australian economy is under pressure and so is A$. Also investors are getting out of material related shares like Bhp, Rio,Fmg. Where will the money go? Magellan is definitely one company that is going to benefit as 90% of investments are in US and US$ companies with impeccable BS. As I said in my earlier note, Barrenjoey is doing extremely well too, I think IB will have to change the view quickly over next 6 months on MFG.