Just finished reading a recently issued report by one of the major broking houses in Australasia on NZ's Retirement Village sector.
Nothing really new which have not been discussed and debated ad nauseam here in the Meet, Sum & Oca threads.
Nevertheless, a few key points to note from the report (report goes to their institutional & international client base so bound to have some influence) :
1. Demographics trend continue to provide strong tailwind for long term performance of the sector, population of 75+ to double over next 10 years (250,000 more), and
2. Short term headwinds of increased costs and lower unit resales to adversely impact on profits in 2020/21.
Sensitivities:
1. Increased costs in order of biggest impact - OCA, ARV, RYM, SUM & MET
2. Devaluation of asset values when gearing hits 50% (trigger point for debt concerns) - RYM (14%), SUM (15%), OCA (25%), ARV (26%) & MET (38%).
3. Most highly geared so likely to require capital raising - RYM (40%), SUM (33%), OCA (31%), ARV (27%) & MET (16%).
I value your barking very very much, Beagle. imo, you have been very transparent with your holdings and always give substantial analysis to back your opinions.
p.s. just a newbie showing support I'm very clear that I'm still fully responsible for my investing decisions
The forum is a lot stronger because of Beagles perceptive analysis and I would certainly buy units in his mutual fund
Originally Posted by dameofdiv
I value your barking very very much, Beagle. imo, you have been very transparent with your holdings and always give substantial analysis to back your opinions.
p.s. just a newbie showing support I'm very clear that I'm still fully responsible for my investing decisions
Hear, hear! Where is he? It's too quiet around here without the odd dog fight to stir things up.
Hear, hear! Where is he? It's too quiet around here without the odd dog fight to stir things up.
Probably doing his homework on a few depressed stocks prior to making a re-entry into the market at some point. Remember, Beagle sold up recently, apart from his small flutter on the outcome of the MET takeover tussle. Expect to hear more in due course!
I wish the legend who came up with that gold standard 50% relativity theory would come back. I miss him
Ecclesiastes 11:2: “Divide your portion to seven, or even to eight, for you do not know what misfortune may occur on the earth.”
Ben Graham - In the short run the market is a voting machine but in the long run the market is a weighing machine
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