Thursday, 14 November 2013 02:52

"Nein" to Nine

Channel-Nine-LogoChannel Nine is being floated on the share market shortly, and for many investors the thought of investing in a household name might be appealing.

Here we outline some of the reasons that investors should be wary of this listing:

1. TV advertising spending has gone nowhere over the last 5 years - here is a chart sourced from the Channel 9 prospectus

 

 

 

 

 

 

 

 

2. Traditional TV is facing a significant threat from the internet such as YouTube, Apple and Google TV just to name a few.

3. Channel Nine's price to earnings ratio is 14-15 - which doesn't strike us as cheap for a business that is being structurally challenged.

4. Current owners are selling 40% of their shares in this offer, and only have to hold their other shares for 12 months.

 

Before subscribing to shares in Channel Nine, investors should seek professional advice.

 

DISCLAIMER: The above information is commentary only (i.e. our general thoughts).  It is not intended to be, nor should it be construed as, investment advice.  To the extent permitted by law, no liability is accepted for any loss or damage as a result of any reliance on this information.  Before making any investment decision you need to consider (with your financial adviser) your particular investment needs, objectives and circumstances.

 

 

 

Published in Investment Advice
Friday, 18 October 2013 20:00

Global Investment Update - October 2013

Hamish Douglass (CEO Magellan Financial Group) talks with Mark Draper (Adviser, GEM Capital) about his views on the current state of global financial markets.

In particular Hamish discusses:

1. How he does not believe that the US will default on their debt

2. Withdrawal of US stimulus in the form of Quant Easing and what investors should be watching in this process

3. How the Magellan Global Fund is positioned to generate returns for investors over the next 3 years

 

http://www.youtube.com/watch?v=MTI0JH-OmaQ&feature=c4-overview&list=UUF9H8uLExyIl1s4llFYleow

 

For more information on our views http://www.gemcapital.com.au

Published in Investment Advice

Should investors be concerned that the Australian share market has run too far, too fast?

Mark Draper (GEM Capital Adviser) talks with Paul Xiradis (CEO Ausbil) to answer this question.

 

http://www.youtube.com/watch?v=tP9C0truzng

 

Paul believes that the share market response is in reaction to the belief that the worst from the Euro Debt Crisis is now behind us (from a financial market perspective).

Published in Investment Advice

If you could go back and give your younger self some advice about money, what would it be?

This is a superb new edition of the What I Wish I Knew series by best selling author, Marty Wilson, produced in collaboration with GEM Capital, that gets a broad range of financial experts and an inspirational collection of successful people to pass on the wisdom of their financial experience.

The book has a healthy attitude towards money and more particularly the role it can play in achieving one’s life goals.  You will find the book pleasurable, informative reading that you don’t have to read from cover to cover if you don’t want to.

For your copy of this extraordinary new book that shares tips, strategies and stories to help fast track your financial independence, please contact us at:

GEM Capital

154 Goodwood Road, Goodwood, SA 5034

Ph (08) 8273 3222

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Published in Investment Advice