Simon’s Weekly Wrap: Strong results, a new entity and the dangers of inflation

The announcement that 10X Investment is buying local ETF provider CoreShares has raised many questions from clients. I spoke with CoreShares MD Gareth Stobby and he assured me that there would be product line. Branding will change over time, and fees may be even lower because the combined entity will have a better scale and clients should benefit from it. (Read transcript)

I talked to Alan Gray’s Thalia Petusis about inflation, especially food inflation. He noted that food inflation has been a political tipping point many times over the years, but it is not easy to resolve. We also see second-tier effects as bond yields are higher and of course higher interest rates. (Read transcript)

Afrimat is a very different company from what it was when it was listed in 2006 and I talked to CEO Andreas van Harden about its recent annual results. It has become a bulk commodity mine, but it keeps things simple, purchases quality assets, manages it more efficiently, and therefore makes strong profits. (Read transcript)

Astral Foods had strong results in the interim, but outside the lower base of the previous lockdown period. CEO Chris Schutt noted that volumes were ahead of epidemic levels in part due to demand, but also due to better production. Of concern is the price of maize which is about 70% of the production cost of one kg of chicken at a record level. (Read transcript)

Also this week:

Imagine going to a doctor who charges a fee for your total cost. Rory Brachner, founder of DoshGuide, explains a similar concept for flat-fee leisure investing. (Read transcript)

Leave a Reply

Your email address will not be published.