what was the reason for the big fall after the big rise, page-57

what is the difference between codan now and codan 3 months ago ?

1) price drop of 40%
2) less optimistic guidance
3) recent acquisitions appears to be a good decision and are on track, I would say the risks associated with the acquisitions are lessened over this period


we know codan has a history of giving low and confident guidance and over delivering, I have full trust in management, they are proven to be good allocators of capital, demonstrated by buying two good known businesses with cash and not a capital raising, paid out record dividends…. More diversified business and excellent return on equity

I can think of many companies much worse than codan and can’t think of many that are better on the asx…. What does the market expect ? They can’t really expect codan to buy businesses and grow organically at 40% plus pa… that is ridiculous, especially in this low rate competitive environment…..

tailwind might not be as strong as before …. But with inflation numbers coming in, gold will hit another record soon as people
shift their asset allocation to combat inflation….

all these are just guesses , but what codan has demonstrated over the past decade has earned my trust…. The seem to deliver on what they promised and go beyond that on many occasions…. They also seemed to be shareholder friendly and honest… such qualities are hard to come by….. recent director buying enforces my view …..

it’s hard to watch our wealth evaporate 50% in such a short time but market volatility is just part of the game in investing….the only certainty in investing is uncertainty…. I have no idea what codan will trade at 6 months from now… might be much lower but unless I have seen evidence contrary to my investing thesis… it will remain a buy