RBA Rates, page-17

It would be difficult to find a better inflation hedge than SWF at the moment.

Consider the following (reasonable I hope) assumptions:

• Cash rate at 1.85% by end of 2022 (lower than most banks now expect)
• Cash rate at 2.6% by July 2023 (lower again than most expect)
• Modest 5% quarterly growth in cash holdings by SWF
• Management does absoluetly nothing between now and the end of FY23.

The FY23 result looks to be around a $14M positive operating result, and $26M in cash, by doing nothing. Imagine if management actually does something, what it could be.

It's been more than 3 years since I topped up on SWF at 7.5c, but now sorely tempted again given these circumstances.