SalvorHardin wrote:dealtn wrote:So, has anybody got any Share Ideas, or explain what this thread is doing here?
My latest ideas, into which I've put a fair bit of money are:
1) Japanese Smaller Companies (use funds, not individual companies). A few days ago I posted on about this on the Coronavirus (macro investment aspects) thread (link below). The argument is that Japan is way behind the rest of the developed world in online commerce, but companies and politicians have realised that this needs to change. The major innovations are coming from smaller companies; the larger companies are hampered by their existing bureaucracies which are highly resistant to change (e.g. fax machines and cassette tapes are still in widespread use in Japan).
https://www.lemonfool.co.uk/viewtopic.php?f=76&t=21665&p=342218#p342218
The JPMorgan Smaller Companies AGM presentation is on its website (under documents), but I still can't find the video where the lead manager talks about it.
2) Consolidation of the online streaming business, with the smaller players eventually being bought at a substantial premium by those looking to acquire more content to compete. This is much more speculative IMHO than my Japanese Smaller Companies idea, due to the nature of the business (and the targets).
Lions Gate Entertainment is my big punt in this sector, with a much smaller position in ViacomCBS. Below is a thread where I've gone into some detail regarding Lionsgate. ViacomCBS is controlled by the Redstone family who own a majority of the votes thanks to the two tier share structure. PE is just over 7 and it yields 3.25% before withholding tax.
https://www.lemonfool.co.uk/viewtopic.php?f=33&t=20059
3) Invest more overseas. Much of my investment success comes from having invested overseas very early on in my investment career (in the 1980s), so I don't have the home market bias that many investors acquire (particularly the HYP-P crowd who avoid "foreign" by reflex).
To me the increasingly anti-business attitude of much of the British population, media and political establishment, is a big deterrent to investing in the UK. So is the erosion of the rule of law, in particular landlords' property rights and law making by decree which was supposed to have been abolished in the 16th and 17th centuries but now seems to be the main way in which laws are made. The way in which the police nowadays openly take sides when dealing with protesters is a big turnoff as an investor; this is something that I'd expect to see in a banana republic but not a liberal democracy.
I'd be a lot less interested in investing in a foreign country with law making by diktat and an increasingly politicised police force, so why should I treat Britain any differently?
I agree with you on Japan smaller companies and thinking to buy some BGS. Any thought on that IT?