Forum Archive Index - August 2001

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

Thank you Brian!

I shall post the results from a full year's investing on Dec. 6, 2002.

 

I wanted to use the 2 main tables comprising NZ and Aus. investments in the " Learn. to invest" series, That objective has been achieved and I see no reason to continue posting these results after Dec 6.

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Discussing the stocks referred to in these tables: Refer to: http://www.sharechat.co.nz/archives/current/msg00405.shtml and:

http://www.sharechat.co.nz/archives/2001/07/msg00029.shtml

 

The first site lists the selected stocks while the last web site discusses these in item 6 of the post dated July 2, 2001.

It says that WAM has encountered more competition. Philip's Robinson's summing up is quite correct.( This included the first full year's income from the Waste Care business).

 

I paid $ 3.30 per share in March 2000 because I thought that the acquisition of the large Waste Care business would produce the wanted results after Jan 1, 2001. In addition, some other landfills were to be closed in 2002/2003, with the result that WAM's landfills would get greater use.

 

Due to competitive elements and the sluggish economy, some of the benefits of this acquisition have not come to the fore and the forecast is now for a flat year. Being a realist, I don't take too much notice of their acquisitions in Australia at present: 

http://www.wastemanagement.co.nz/

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I do rate the following stocks highly: AIA, MIG, QBE and CLH:

 

AIA: Underrated based on price and performance. A solid monopoly with an excellent property as a subsidiary. There may be some price control on landing fees.

 

A price control is not a price freeze; in any case it affects not a major part of the operation. We shall know more about this once we have their announcement on Sept.4?: http://www.auckland-airport.co.nz/Welcome.html

 

MIG: The second largest infrastructure company in the world and registered in Australia. The price keeps increasing slowly over time so as to imbed the full asset value of their Midland project.

It has the roads built and operates the tolls. As far as I know, there are no direct controls on toll fees.

 

A very smart thinking outfit and is in a quality class of its own:< http://www.macquarie.com.au/mig/mighome.htm >

 

QBE: The share price came down because of an expected lower income of their interest- sensitive investments.

In my opinion, that is well counteracted by their superior returns from their other operations.

 

The insurance cycle has started a strong uptrend and they are to benefit.

Their direct exposure to NZ operations is not that great, I think:< http://www.qbe.com.au/news/index.html >

 

CLH: Much discussed on this Forum, an excellent Annual result!:< http://www.collectionhouse.com.au/www/welcome.cfm >

 

CLI or Challenger: Although recommended, we need to wait till their Annual announcement: http://www.challengergroup.com/default-new.asp  

 

Gerry