Forum Archive Index - June 2001

["G Stolwyk" <stolwyk@wave.co.nz>]

 

Mike,

 

Sorry, I can't help you here. I am a long term holder but have always been a stock picker.

 

I would compare Australian- and some other stocks to derive at a choice.

Normally, one would say that power companies would be a reasonable bet: Everyone uses power! Unfortunately, Max changed the structure completely!

 

I am very stock specific in my choice but rate MIG highly!:

Look for yesterday's post: " Shares-roundup ". Click on the given web site, click on News, click on Presentation, 2001, ( Right side of page ).

 

It is a PDF file. You can read it on site or save it! One of the best simplified presentations, I have come across!   

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The NZ market reminds me of a pond: There are a lot of fish ( investors) in it. Unfortunately, it has leaks ( Consequence of takeovers by foreigners ). And so, the fish keep swimming in an ever decreasing amount of water.

 

The water is also getting warmer as the cooling effect is now less.( exposure to a low NZ currency ).

 

And so it goes on till little water is left. The pond now stops leaking ( Foreigners can't see any good takeover prospects any more). The fish are blocking the holes.

 

They now have a lot less oxygen to live on. ( A poor economy ).

 

It so happens that there is a second pond situated close to the first one: This is a big one ( Bigger market with better prospects ). 

 

While the first pool was relatively full, some fish noticed that it was leaking and at high speed managed to jump into the second one. This one is also leaking but at a much slower rate!

 

The fish in the second pool see other pools very close buy and jump into them, to and fro.( Other markets ).

 

Some of these have high temperatures ( Bad economies ). But these fish select those pools which suit them.

 

Are you one of these selective fish?

 

Gerry