Magic Markets

Magic Markets #273: Beyond NVIDIA - Mapping the AI Investment Stack

The Finance Ghost and Moe-Knows — Wed, 13 May 2026 09:45:00 +0000

The AI trade is evolving fast - and Nvidia is no longer the whole story. In this episode of Magic Markets, we unpack how the market is shifting beyond the obvious winner and into the broader AI investment stack, from memory and CPUs to foundries and infrastructure.

We explore what’s really driving the explosive moves in names like Micron, AMD and Intel, and whether these are sustainable trends or simply the latest phase of market optimism. Most importantly, we dig into the difference between exposure to AI and the quality of that exposure, because not all “AI stocks” are created equal.

Key topics covered:

The shift from Nvidia to second-order AI winners
What the AI “investment stack” actually looks like
Why memory, CPUs and infrastructure are suddenly in focus
Micron: cyclical memory player or structural AI beneficiary?
AMD: the race to become the #2 AI compute platform
Intel: turnaround story or optionality trap?
The role of hyperscaler capex in driving the AI cycle
Why valuations (and “hopium”) are becoming a key risk
The difference between AI exposure and investment quality
What could trigger a sudden “rug pull” in AI-linked stocks

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #272: REIT Returns and Red Flags

The Finance Ghost and Moe-Knows — Wed, 06 May 2026 18:20:33 +0000

With South Africa finally emerging from its April “December-lite”, the hosts dive into property - an asset class that looks simple on the surface (yield + hard assets), but quickly reveals layers of complexity.

From the appeal of listed property versus buy‑to‑let, to the reality that REITs are still equities (with all the balance sheet and management risk that implies), this episode explores why chasing yield can be a trap - and why quality, discipline, and capital allocation matter far more than headline returns.

The discussion moves from local ETF structures (and why reading the fact sheet is non‑negotiable) to global thematic opportunities driving modern property investing. From senior housing and data centres to logistics and retail, the conversation highlights how the sector has shifted from a simple rates trade to a far richer set of structural bets. The episode closes with a timely warning: watch capital raises, always keep an eye on valuations, and don’t get caught when enthusiasm turns into excess.

Key topics covered:

Why listed property isn’t “just a bond with better marketing”
Yield vs quality: avoiding value traps in REITs
The role of balance sheets, management, and capital allocation
South African property ETFs: why index construction matters
Tax-free savings accounts and REIT income advantages
Offshore exposure through “local” property investments
Global themes (senior housing, data centres, logistics and retail)
Capital raising red flags: vague use of funds, pricing dynamics, premium-to-NAV risks
Property cycle sentiment: climbing, but caution required
Why property is no longer just a rates play, but a thematic one

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #271: Record Highs, Uneven Returns

The Finance Ghost and Moe-Knows — Wed, 29 Apr 2026 18:47:00 +0000

In this episode, The Finance Ghost and Mohammed Nalla unpack why US equity markets are refusing to take a break.

With the S&P 500 at all‑time highs despite geopolitical risk and rising energy prices, the conversation turns to what’s really driving returns, and why index‑level strength is masking extreme divergence beneath the surface. The rally is narrow and increasingly concentrated in hardware and semiconductors rather than software or applications.

The discussion then zooms out to earnings season, valuation risk and sector‑level surprises. From eye‑catching US earnings beats and six consecutive quarters of double‑digit growth, to stock‑specific lessons from Clicks and Capitec back home, the episode highlights why expectations matter more than good news.

Stock picking is becoming unavoidable in a market sailing ever closer to the wind. This discussion lands that message.

In this episode:

Why US indices are at record highs while many big stocks are still deep in the red
Hardware vs software: the AI winners and losers so far
What early US earnings season data says about growth and valuations
Sector surprises in earnings vs revenue growth
Why healthcare and energy are lagging - for now
Lessons from Clicks and Capitec on expectations, valuation and market sentiment
How oil prices and inflation risk could shape the next two earnings cycles

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #270: Holding Through Highs and Lows

The Finance Ghost and Moe-Knows — Wed, 22 Apr 2026 19:18:13 +0000

In this episode of Magic Markets, Ghost and Moe balance life’s milestones with market realities. Fresh off Ghost’s wedding celebrations, the duo dive into the resilience required both in personal life and in investing. They explore the discipline of long-term holding, the lessons learned from winners and losers, and how conviction shapes portfolio decisions across geographies and sectors.

From South African fintech platforms to Canadian banks, Chinese tech giants, and Latin American bottlers, the conversation highlights the importance of diversification, patience, and understanding the stories behind the stocks. Whether it’s celebrating gains or navigating setbacks, Ghost and Moe show how investors can stay grounded through market cycles.

Today’s Topics:

Life milestones and investing discipline go hand-in-hand
Prosus, Purple Group, and Weaver Fintech as long-term South African plays
Moe’s portfolio insights: Alibaba, JD Group, Coca-Cola FEMSA, and Rio Tinto
Defensive strategies with Canadian banks and British American Tobacco
Lessons from losers: Mr. Price’s misstep and speculative trades gone wrong
The value of patience, conviction, and portfolio balance

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #269: SaaSpocalypse - Surviving the Shock

The Finance Ghost and Moe-Knows — Wed, 15 Apr 2026 19:54:07 +0000

AI is eating software, with the market response being nothing short of brutal. The once-loved Software-as-a-Service (SaaS) stocks have been crushed, with valuation multiples back to levels seen during the Global Financial Crisis.

Is the golden age of SaaS over? Has the market perhaps overreacted to the risks?

From Adobe and Salesforce to Microsoft, Alphabet, Intuit and ServiceNow, Mohammed Nalla and The Finance Ghost discuss the important of real moats, critical data and pricing power.

Today’s Topics:

Why SaaS stocks are being punished while the broader market holds up
AI as a margin killer vs a moat builder
Price‑to‑sales multiples collapsing to Global Financial Crisis levels
Which software businesses still control sensitive, mission‑critical data
The growing divergence between platform giants and pure‑play SaaS
Survivors, casualties, and where selective long‑term opportunities may lie

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #268: No One Brakes in Cairo - Except the Central Bank

The Finance Ghost and Moe-Knows — Wed, 08 Apr 2026 18:08:00 +0000

Fresh off a honeymoon in Egypt, The Finance Ghost brings on‑the‑ground perspective to one of Africa’s largest and most misunderstood economies. From Cairo’s adrenaline‑fuelled traffic to the sheer scale of Egypt’s population, this episode blends travel observations with hard macro reality - mid-level GDP per capita, inflation in double digits, and a central bank running a 20% policy rate while nobody else in the country seems to believe in brakes!

Together, Ghost and Mohammed Nalla unpack why Egypt feels simultaneously chaotic and safe, why tourism matters more than most investors realise, and why telecoms exposure (hello, Vodafone Egypt) could be far more important than flashy headlines suggest.

Welcome to an emerging market deep-dive with pyramids, pain for the Egyptian pound, population growth - and yes, very cheap Uber rides.

Today’s Topics:

What Egypt actually looks like on the ground vs. the macro data
GDP, population growth and why Egypt remains a lower middle‑income market
Tourism as a critical FX earner
Cairo traffic, LNG-powered Ubers and ultra‑low transport costs
The Egyptian pound, inflation and a 20% policy rate
Vodacom, Vodafone Egypt and the scale of the telecom opportunity
Why Egypt feels more Middle Eastern than African
Investment upside, currency risk and the realities of emerging markets

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #267: Oil and Toil - a Bruising Q1

The Finance Ghost and Moe-Knows — Wed, 01 Apr 2026 09:23:00 +0000

The first quarter of 2026 was a reality check for global markets. If you had oil, you made money. If you had almost anything else, you didn't.

With pressure across asset classes, this was a risk-off quarter thanks to the conflict in Iran. Defensive (and defence!) stocks were a decent place to hide, while riskier assets (including AI names) suffered substantial sell-offs.

In this episode, Mohammed Nalla looks at the Q1 performance of major asset classes. The Finance Ghost digs into the sectoral performance on the JSE and some of the more notable moves - like Sasol!

Today’s Topics:

Q1 2026 market recap across equities, commodities, bonds and crypto.
Oil’s standout performance and the knock‑on effects for inflation.
Gold’s reversal and the impact of rising real yields.
Global equity performance: US, Europe, Japan, China and India.
South African markets: bond yields, property, financials and industrials.
Big winners and losers on the JSE (including Sasol’s incredible run).
Currency moves, dollar strength and what it means for the rand.
Defensive rotations in US markets and the tech sell‑off.

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #266: Dire Straits of Hormuz

The Finance Ghost and Moe-Knows — Wed, 25 Mar 2026 18:30:00 +0000

Four weeks into the war in Iran, the numbers tell a stark story around the risks for equity plays in regions like the UAE. Dubai-listed property and bank stocks have tumbled, while the government bears the burden of owning leading hotel and airline groups.

With the Straits of Hormuz as a daily topic, Mohammed Nalla and The Finance Ghost discuss the ways in which this is reshaping global logistics - and perhaps more importantly, the stocks of companies in this sector. And yes, this includes the concept of war insurance!

Today’s Topics:

War insurance premiums have skyrocketed from negligible levels to 7.5% of vessel value per voyage, creating a concerning inflationary effect in commodity prices and shipping costs.
Dubai's top property stocks have cratered 20% to 30% in a single month, with Emaar Properties leading the decline. What could this mean for the Dubai property market in years to come?
With UAE-based banks holding most of the debt in property stocks, how have those stocks performed?
The value of public sector ownership in times of crisis, with government-owned infrastructure like airports able to weather the storm. Ditto for Emirates Airlines and leading hotel groups.
Qatar faces approximately $20 billion in annual LNG losses, with a recovery timeline stretching five to six years.

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #265: Iran and JSE Earnings Season Themes

The Finance Ghost and Moe-Knows — Wed, 18 Mar 2026 19:01:00 +0000

From a macro perspective, the ongoing conflict in Iran has dished up some important movies in currencies, bonds, commodities and inflation expectations. Mohammed Nalla takes us through what we've learnt in the past few weeks - and not just about oil.

In South Africa, earnings season on the JSE has put the spotlight on certain sectors and themes. With reference to retail, property, banks and even a couple of high-growth companies on the market, The Finance Ghost delivers a useful summary of what we've seen this month.

Today’s Topics:

In the third week of conflict in Iran, what do the moves in gold vs. the US dollar tell us about safe-haven assets?
How has oil behaved and what does this mean for inflation and bond markets?
What can we learn from the behaviour in global equity markets in recent weeks?
The performance of sectors on the JSE including retail, property and banking.
CA&S and Weaver Fintech as examples of growth engines on the JSE.

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #264: Portfolio Positioning for the AI Epoch (with David Eborall of SaltLight Capital)

The Finance Ghost and Moe-Knows — Wed, 11 Mar 2026 20:18:00 +0000

With lightning-fast developments in AI on everyone's lips, figuring out where to play in this value chain is no mean feat. Will the hyperscalers achieve return on investment, or is it better to sit as far back in the chain as possible, targeting names like NVIDIA rather than Microsoft or Alphabet?

Is this just a fad, or are we in an "AI epoch" that wil define the next few decades of our lives?

These are examples of the many questions that David Eborall must ask himself on a daily basis in the process of managing the funds at SaltLight Capital. As an entrepreneur-turned-fund-manager, he brings a unique lens to his capital management decisions.

This podcast is part of our efforts to bring you some of South Africa's best and most interesting boutique fund managers. It's a great way to understand more about David's edge and why he believes that AI is still in its infancy in our lives.

Today’s Topics:

The flexibility inherent in the SaltLight funds and why this is important in global markets as an opportunity maximalist.
David's edge as an entrepreneur, with deep experience in areas like machine learning and coding.
The importance of "doing the work" in the research process and working with a range of potential outcomes (Expected Value Investing).
The difference between an epoch and a trend, or even a megatrend - and why positioning a portfolio accordingly is so important.
The paradoxical inconsistencies in global markets and how investors are viewing the different levels in the AI value chain.

Find out more about SaltLight Capital here:

Recommended: sign up for the excellent investor letters at this link
SaltLight Capital website
Reach out to David Eborall on LinkedIn or X

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. SaltLight Capital Management (Pty) Ltd is an Authorised Financial Services Provider, FSP number 48286. Past performance is not an indication of future performance. Please always speak to your financial advisor when making any investment decisions.

Magic Markets #263: The Oil Trade

The Finance Ghost and Moe-Knows — Wed, 04 Mar 2026 18:35:00 +0000

With the conflict in Iran still fresh in the market at time of recording, we decided to talk about the commodity that everyone is looking at: oil. And for South African investors, that means that Sasol comes up as well.

Mohammed Nalla tends to be an oil bull, while The Finance Ghost is only really interested in putting the downstream products in his car. But there's no denying that oil plays a role in global markets, particularly as it has a tendency to spike to $100 in times of crisis.

Perhaps the most surprising insight is this: over the past two decades, the oil majors have done a spectacular job of creating shareholder value despite the oil price showing little in the way of underlying inflation. Their approach of owning the value chain has been the right one.

Today’s Topics:

The oil ecosystem and the difference between long-term views and tactical trading
The share price performance of major names like ExxonMobil and Chevron
Sasol's decoupling from the oil price and how operational improvements could increase correlation
A quick look at a trade that worked well after a recent Magic Markets Premium show: long Netflix

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #262: Free Cash Flow - Friend or Foe? (with Dagon Sachs of Aylett & Co.)

The Finance Ghost and Moe-Knows — Wed, 25 Feb 2026 18:49:00 +0000

What’s the vital difference between a management team that creates value and one that destroys it? Is the concept of a "capital-light business" always positive? And what about management alignment and incentives?

This episode is the first in a new series - The Finance Ghost and Mohammed Nalla are bringing you some of South Africa’s best boutique fund managers, kicking off with Aylett & Co. represented by Dagon Sachs. As a founding member of Aylett and a highly-experienced asset manager who has spent over two decades mastering the art of stock picking, there's much to learn from Dagon.

With the hospitality industry as a useful case study, this podcast is an important look at how to assess the way that corporate management teams behave with shareholder money.

Today’s Topics:

A brief overview of Aylett's ethos of being ‘benchmark agnostic’ and ‘eating your own cooking’ by investing alongside clients.
Why capital-light businesses with high growth tend to be unicorns – and priced like them, too!
How capex-heavy businesses can ironically be better allocaters of capital than capital-light businesses that may be tempted into acquisitions.
How to identify corporate management teams that prioritise rational economics over prestige, especially in an egocentric industry like hospitality.
The cyclical nature of the hotel industry and the surprising similarity it has to mining in terms of replacement cost for assets.

Find out more about Aylett & Co. here:

Aylett.co.za

Reach out to Dagon Sachs on LinkedIn

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor. Aylett & Co. (Pty) Ltd is an authorised Financial Services Provider, licence number 20513.

Chapters

(00:00:00) - Introduction: Introducing the 2026 Boutique Manager Series
(00:01:36) - The Aylett & Co. Ethos: 21 Years of Bottom-Up Asset Picking
(00:03:28) - Benchmark Agnostic: Why "Eating Your Own Cooking" Matters
(00:06:42) - Capital Allocation 101: Future Cash Flows and the Math of Value
(00:08:21) - Incentives and Trust: Why Shareholder Alignment Is Everything
(00:09:59) - Capital-Light vs. Capex-Heavy: Searching for the "Nirvana" Unicorn
(00:11:47) - The Share Buyback Trap: Rational Thinking in a Listed Environment
(00:13:08) - Hospitality as a Case Study: The Pivot from Asset-Heavy to Franchise
(00:14:58) - The OpCo/PropCo Debate: Does It Make Sense to Own the Real Estate?
(00:17:30) - International Trends: Hyatt, Marriott, and the Global Brand Advantage
(00:19:29) - Deep Dive into Southern Sun: Understanding Regional Cyclicality
(00:21:00) - Return on Ego: Avoiding Rationality Traps in Hotel Building
(00:22:44) - Replacement Costs: Why High Entry Barriers Protect Existing Players
(00:24:40) - The Mining Analogy: Discipline, Maintenance, and Counter-Cyclicality
(00:26:56) - The South African Risk Premium: Tourism Headlines and Safety Margins
(00:29:03) - Conclusion: Plagiarizing Global Success for Local Portfolios

Magic Markets #261: The AI Effect on Free Cash Flow

The Finance Ghost and Moe-Knows — Wed, 18 Feb 2026 16:29:00 +0000

2026 has seen US tech giants throwing enough capex at AI infrastructure to fund a small country. Amazon has guided capex that is roughly half of South Africa's entire GDP!

But with fracture lines appearing in the AI landscape, is the ROI really justifiable? And if not, will Big Tech even feel it, or will someone else be left to foot the bill?

In this episode of Magic Markets, The Finance Ghost and Mohammed Nalla explore the dangerous games that giants like Amazon, Alphabet and Microsoft are playing, exhausting their free cash flow on data centres and AI projects with a potential half-life of an overripe avocado.

Alphabet is borrowing money from a hundred years down the line. Is that the sign of the top? And if not, then what is?

Today’s Topics:

A reminder of the US railroad bubble and how AI stacks up in comparison
The market is punishing Microsoft and Amazon for deteriorating free cash flow margins
The disruption to the valuation of the SaaS giants like Adobe and Salesforce
Free cash flow margins across various Big Tech names and how this has changed over time
Are the hyperscalers too big to fail, or could things go that badly?

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor.

Chapters

(00:00:00) - Introduction & A Technical Glitch
(00:01:15) - Big Tech’s AI Capex Pig
(00:02:45) - Is AI Eating the World?
(00:04:15) - Why Meta is Spending 100% of its 2026 Cash Flow on Capex
(00:05:41) - The Absurdity of Alphabet's 100-Year Bond
(00:06:50) - Why Salesforce and Adobe are Under Fire
(00:08:15) - The Cyclical Capex Pig: TSMC’s Struggle with the Foundry Model
(00:10:30) - Microsoft: From Enterprise Software to Risky Infrastructure
(00:12:15) - Amazon: Reinvesting Profits That Haven’t Happened Yet
(00:13:50) - The Canary in the Coal Mine: Oracle’s Credit Stress and CDS Spikes
(00:15:30) - Too Big to Fail? The Contagion Risk of a Tech Infrastructure Bubble
(00:18:15) - ASML’s Dilemma: European Regulation and the Tax on Unrealised Gains
(00:20:45) - How 2026 AI Spend Matches the 19th Century Railroad Bubble
(00:23:00) - "Vibe Coding" and Disruption: Can AI Replace the SaaS Giants?
(00:24:47) - Conclusion

Magic Markets #260: Grocery Giants and the Value Retail Rotation

The Finance Ghost and Moe-Knows — Wed, 11 Feb 2026 17:34:00 +0000

While the world’s athletes compete for Winter Olympic Gold, Walmart has secured a podium finish of its own – becoming the first retailer to skate past the $1 trillion market cap milestone. But is this value retail rally a high-speed slalom to success or a slippery slope?

In this episode of Magic Markets, The Finance Ghost and Mohammed Nalla unpack why US consumers might be ditching big brands for private labels and dollar stores. Closer to home in South Africa, they discuss why shrinking into prosperity can work for apparel, but not for grocery.

Moe explores how Walmart has entrenched itself as a dominant US retailer through a relentless focus on fulfilment and logistics. With the chain in its infancy in South Africa (having just opened their third store), Walmart faces a fierce battle for the notoriously price-sensitive South African consumer’s wallet.

While Shoprite builds a world-class omnichannel empire, powered by an army of Sixty60 scooters, Pick n Pay finds itself in dire straits. The market is valuing its core business at less than zero once you strip out its pure-play discounter, Boxer.

Is there a chance for Woolworths and SPAR to claw back some market share here? Can Walmart make a dent?

Today’s Topics:

How Walmart garnered ‘Big Tech’-esque success (and why Moe is so optimistic)
Why Shoprite is no longer just a grocer, but a fulfilment engine that competitors struggle to replicate.
Why Boxer was up 11% this past year while PnP continues to struggle, and what this says about grocery scale economics.
Why SPAR’s franchise model is struggling to compete with the centralised power of omnichannel retail.
A look at why the US’s Dollar Tree and Dollar General are flying high while high-street discretionary spend is hitting a wall.

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor.

Chapters

(00:00:00) - Introduction & the Latest in Magic Markets Premium
(00:01:37) - The Retail Temperature Check: Resilience vs. Reality
(00:02:32) - The Kirkland Shift: Why Consumers Are Choosing Value Over Brands
(00:03:44) - Walmart’s $1 Trillion Milestone: Is Grocery The New Big Tech?
(00:05:18) - Winning the Wallet: How Logistics and Apps Drive Margin Mix
(00:06:52) - The Sixty60 Ecosystem: Can Competitors Catch Shoprite’s Engine?
(00:09:09) - JSE Retail Realities: A Shocking Year For Apparel
(00:10:45) - Black Friday vs. Christmas: Online vs. In-Store Demand
(00:12:30) - The Boxer Multiplier & Pick n Pay's Zero-Valuation Problem
(00:15:15) - Fashion vs. Grocery & Shrinking Into Prosperity
(00:16:38) - Valuation Sensitivity: Why Quality Stocks Can See Share Price Slumps
(00:18:20) - Boxer & The Power Of The Discount Model
(00:19:38) - SPAR's Struggle: Can the Franchise Model Survive Omnichannel?
(00:22:17) - International Benchmarks: Comparing Walmart, Costco, and the UK’s Tesco
(00:26:35) - Conclusion

Magic Markets #259: Gold, Volatility and Asymmetrical Payoffs

The Finance Ghost and Moe-Knows — Wed, 04 Feb 2026 18:02:00 +0000

Can one hawkish Fed Chair nomination melt a golden bull’s wings? In this episode of Magic Markets, The Finance Ghost and Moe-Knows look at volatility, market overreactions, and how to hunt for asymmetry responsibly.

On the macro side, Moe examines the recent gold price oscillations and explains why gold might be circling the rim of the ‘speculative’ bucket, while Ghost takes a micro look at some tips for sniffing out asymmetrical returns.

Join our hosts as they dive for treasure in the ‘too hard’ pile of the JSE, reminisce about the 2008 ArcelorMittal share price, and look at LVMH, Netflix and Mr Price as examples of stocks that have fallen sharply from peaks.

Today’s Topics:

Why the nomination of a surprisingly hawkish Fed Chair sent the gold price plummeting.
How retail speculation is making gold behave more like crypto – and what it might mean for you.
How a VC mindset and an understanding of asymmetrical returns might help you build a high-risk equity basket that doesn't blow up your core portfolio.
What names like Netflix and Mr Price can teach us about opportunities after extreme market reactions.

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor.

Chapters

(00:00:00) - Introduction: Market Psychology and the State of Gold
(00:01:46) - Kevin Warsh: Why the Fed Chair Nomination Spooked Markets
(00:03:41) - Is Gold the New Crypto? Retail Speculation and Volatility
(00:06:13) - The Resources Rally: Why the Satrix RESI Is Still Up YTD
(00:08:33) - Megatrends and Market Tops: Lessons From LVMH and 2023
(00:11:16) - Optionality & Sniffing Out Asymmetrical Payoffs
(00:16:10) - The Venture Capitalist Mindset: Building a High-Risk Speculation Basket
(00:19:36) - The "Too Hard" Pile: Finding Asymmetry in Accelerate and PPC
(00:22:47) - Taking A Gamble On Low-Ticket Stocks & ArcelorMittal
(00:24:01) - Buying the Dip: Mr Price, Netflix, and Eating Our Own Cooking
(00:25:36) - Conclusion & How to Get in Touch

Magic Markets #258: Stock Picking in Emerging Markets

The Finance Ghost and Moe-Knows — Wed, 28 Jan 2026 19:51:00 +0000

In a week where the gold price soared to new heights and the rand flexed impressively against the dollar, The Finance Ghost and Moe-Knows have turned their focus to the high-stakes world of emerging markets. But as global indicators flash green, is it as simple as buying the $EEM?

In this episode, Moe breaks down the macro recipe for a sustainable emerging markets rally and why South Africa might be in the sweet spot of a global rotation right now. He warns against ‘betting the farm’ on emerging markets overall, highlighting the wisdom of being highly selective in where you place your capital.

Ghost brings the conversation a little closer to home. He explores whether macro wins filter down to individual companies, with MTN as a great example of how a stock in South Africa can reflect the dollar realities. He also deals with the recent Clicks and Cashbuild performance and the jitters in the South African consumer story.

This week's topics:

The emerging market rotation: A global investment view on developed vs. emerging markets.
The three pillars of an emerging market rally: Understanding the essential roles of a softer dollar, easier interest rates, and the electrification-led commodity surge.
MTN as a currency proxy: A clever way to play frontier market currency shifts through a telecom giant.
The Clicks and Cashbuild conundrum: Why falling inflation and record Black Friday sales aren't translating into volume growth for SA retailers.
Yield vs. growth: Why South Africa remains a carry trade destination for bonds, even while the consumer economy faces structural pressure.

Get in touch:

The Magic Markets Website
@MagicMarketsPod, @FinanceGhost, and @MohammedNalla (all on X)
Pop us a note on LinkedIn

Disclaimer: This podcast is for informational purposes only and does not constitute financial or investment advice. Please speak to your personal financial advisor.

Chapters

(00:00:00) - Introduction: Psychological Milestones and the Emerging Markets Theme
(00:01:22) - Timing the Rotation: Why Emerging Markets Are Outperforming the S&P 500
(00:03:51) - The MTN Strategy: Playing Frontier Currencies Via Telcos
(00:06:06) - Attributing the Move: Is the Rand at Fair Value?
(00:10:16) - The Nuance of Valuation: India vs. South Africa
(00:12:06) - Phases of Rotations: Moving From Price Impact to Flow
(00:14:45) - What We Can Learn from Clicks and Cashbuild
(00:19:38) - The Yield-Seeking Destination: South African Bonds vs. Growth Equities
(00:21:28) - Geopolitics and De-Risking: Why LatAm Has Been Shooting the Lights Out
(00:22:49) - Conclusion: Diversifying Your Emerging Market Exposure

Magic Markets #257: Investing in Copper with Mesh.Trade

The Finance Ghost and Moe-Knows — Wed, 21 Jan 2026 11:46:32 +0000

While global superpowers eye new territories for mineral wealth and the likes of Glencore and Rio Tinto dance around a potential merger, investors are looking at the most versatile commodity around in 2026: copper. This critical transition metal has captured the imagination of corporate advisors and retail investors alike.

In this episode of Magic Markets, The Finance Ghost and Moe-Knows are joined by Connie Bloem, Managing Director of Mesh.Trade, to discuss why direct-exposure copper is the missing link in most portfolios – and how a token can help you get it.

Ghost, Moe and Connie unpack the electrification and data-centre themes, the challenges of institutional vs. retail portfolios, and why copper is one hot metal (in more ways than one).

Today’s Topics:

Why you can't talk about data centres or the AI revolution without talking about copper infrastructure, with thoughts around the future of electrification and the role of copper.
Why direct-exposure commodity tokens might be a better portfolio ‘anchor’ than mining equities.
How to invest in a metal that costs $13,000 per tonne with as little as R50 through Mesh's offering.
How a digital token can solve the vaulting, deposit, and theft problems of copper for retail investors.

Get In Touch:

Visit the Mesh.Trade website at www.mesh.trade
Reach out to Mesh on X: @Mesh_Trade
Connect with Connie Bloem on LinkedIn

Reach out to us on X: @MagicMarketsPod, @FinanceGhost and @MohammedNalla or pop us a note on LinkedIn.

Check Out Our Other Conversations With Mesh.Trade:

Magic Markets #204: Blockchain Technology in Financial Markets (with AnBro and Mesh.trade)
Magic Markets #214: Tradition meets tech – buying gold on the blockchain
Magic Markets #221: Mesh.Trade – Unlocking Private Markets
Magic Markets #228: Mesh.Trade and the Titans
Magic Markets #238: Stablecoins with Mesh.Trade
Magic Markets #247: Investing in Property with Mesh.Trade and 27four

Disclaimer: This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Chapters

(00:00:00) - Introduction: Megamergers & the Copper Craze
(00:01:47) - Gold, Silver, & Will the Mesh Midas Touch Extend to Copper?
(00:03:40) - Why Copper, Why Now?
(00:06:13) - The Private Market: Where South Africa’s Growth Is Hiding
(00:08:45) - Reality Check: Electrification & the Role of PGMs
(00:10:06) - Direct Commodities vs. Mining Equities: Cutting Through the Noise
(00:12:34) - Institutional Investor Barriers: Why Retail Investors Have an Advantage
(00:19:38) - The Logistics of Copper: Storage, Theft, & Deposits
(00:24:36) - To the Seventh Decimal: How to Invest in Copper With R50
(00:26:14) - What’s Next for Mesh
(00:27:41) - Conclusion & How to Get in Touch

Magic Markets #256: Geopolitics and Banana Republics

The Finance Ghost and Moe-Knows — Wed, 14 Jan 2026 16:19:00 +0000

The world order is shifting – the US is playing a global-scale game of Risk, the rand is getting stronger, and AI can’t count its ABCs. Amidst the chaos, it’s hard to know which market indicators to listen to.

In this episode of Magic Markets, The Finance Ghost and Moe-Knows dive deep into why US Treasury yields aren't necessarily the best indicator of risk, while highlighting that the rand has clawed its way back to pre-Nenegate levels.

From the potential for missiles to be flying over an annexed Greenland to how Dune can help us understand the oil supply chain, the Ghost and Moe unpack the geopolitical flashpoints that will define your portfolio this year.

This week’s Topics:

The Dollar Index (DXY) vs yields: Why the 10-year Treasury yield is the wrong indicator for US risk right now.
The rand’s Lost Decade recovery: How the ZAR has clawed its way back to 2016 levels and what ‘fair value’ means for your offshore timing.
The death of "There’s War, Buy Oil": Why geopolitical flares in Iran and Venezuela aren't spiking crude prices like they used to.
The credit card cap trap: The unintended consequences of US interest rate caps on Visa, Mastercard, and American Express.
Taiwan and the semiconductor tail risk: Why the US focus on Greenland and LatAm might be emboldening moves in the East.

Reach out to us on X: @MagicMarketsPod, @FinanceGhost and @MohammedNalla or pop us a note on LinkedIn.

Disclaimer: This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Chapters

(00:00:00) - Introduction & is Canada the 51st State?
(00:02:15) - The US and Geopolitical Risk
(00:03:03) - The US 10-Year yield disconnect: Why isn't borrowing getting costlier?
(00:04:07) - The DXY as the true expression of US risk
(00:05:58) - South African Bonds: The carry trade darling and the SARB’s credibility
(00:08:04) - The rand's 10-year comeback and what fair value means for your offshore goals
(00:10:52) - Central bank independence and gold as a safe haven against a dollar downdraft
(00:13:01) - Interest rate caps: How US policy is hitting Amex and the banking sector
(00:15:43) - Oil & Geopolitics: Venezuela, Iran, and the "Spice Must Flow" problem
(00:21:11) - Taiwan, the semiconductor tail risk, and global choke points
(00:23:12) - AI hallucinations: Why you shouldn't trust the bots just yet

Magic Markets #255: Setting the Scene for 2026

The Finance Ghost and Moe-Knows — Wed, 07 Jan 2026 17:46:00 +0000

With a new calendar on the wall, there's a lot to consider this year. The world doesn’t behave the same way that our calendars do, with the themes and risks of 2025 bleeding into 2026.

Aside from the obvious (like AI), what can we learn from some of the best-performing sectors in the final quarter of 2025 and over the past 12 months? What regional outlooks are relevant? And perhaps most importantly for most Magic Markets listeners, what does this mean for the rand and the potential for SA Inc. stocks to have a strong year?

It’s time for a new year in the markets and the implementation of strategies to create wealth. Welcome back to Magic Markets and thanks for being here with us!

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #254: 2025 Scorecard – The Good, The Bad and The Macro

The Finance Ghost and Moe-Knows — Wed, 10 Dec 2025 13:30:00 +0000

In the final Magic Markets show of 2025, we looked back on a watershed year for geopolitics and the technology sector. With Moe focusing on the macro story and the performance of the various global asset classes, our resident ghost took a bottom-up approach and highlighted the performance of certain stocks in the portfolio.

From US banks through to energy counters and FMCG stocks that threw us a lemon (ahem), there’s much to reflect on. Join us as we bid goodbye to a wild year in the markets and prepare for 2026.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #253: General M&A and Netflix - Warner Bros. Discovery

The Finance Ghost and Moe-Knows — Wed, 03 Dec 2025 14:16:57 +0000

With news breaking of Netflix joining the bidding war for Warner Bros. Discovery and looking to potentially make a huge cash offer to get their hands on the studios, this was a good opportunity to look back at the streaming wars that we've recently covered. It also gave us the perfect opportunity to discuss general M&A concepts, especially the risks that come with the opportunities.

This is topical given our work in Magic Markets Premium this week where we focused on Dick's Sporting Goods now that the Foot Locker deal has closed.

M&A always captures the imagination of investors, but caution is warranted.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #252: G20 and AI Temperature Check

The Finance Ghost and Moe-Knows — Wed, 26 Nov 2025 18:31:55 +0000

With the G20 in the rearview mirror in South Africa, we took the opportunity to discuss Moe's views on the geopolitical shenanigans from a North American perspective (for the benefit of new listeners: he has lived in Canada for several years).

We also talked about the other big theme at the moment: AI and technology stocks, particularly in light of some pretty nasty sell-offs. Having just covered NVIDIA in Magic Markets Premium, this was a good opportunity to take a look at how some of the big names have performed this year.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #251: How Sports Brands Win (And Lose)

The Finance Ghost and Moe-Knows — Wed, 19 Nov 2025 17:11:55 +0000

On Holding might have an awkward name, but the company counts Roger Federer among its early investors and biggest endorsements. Thanks to Nike's missteps during the pandemic, ON was able to win market share in core categories like running and tennis shoes. Once that foundation is established, the opportunity is there to expand into apparel.

With On Holding as our research topic in Magic Markets Premium this week, we decided to dedicate Ep251 of Magic Markets to discussing how its story compares to the likes of Nike and Lululemon - and what we can learn from those names about the risks of this sector. Names like Dick's Sporting Goods also made an appearance in this show.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #250: Specialty Retail - When Niche Works Nicely

The Finance Ghost and Moe-Knows — Wed, 12 Nov 2025 14:13:01 +0000

Specialty retail is a fascinating sector on the global stage. It includes companies like Dick's Sporting Goods and Build-A-Bear, with the latter being our latest research topic in Magic Markets Premium. But what is it about these retailers that makes them both interesting and risky?

And in South Africa, what is the lay of the land with specialty retailers and why don't we see more of them on the JSE?

As we celebrate 250 episodes of Magic Markets, join us for a fun discussion on retailers that focus on doing just a few things really well - with varying results.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #249: How Westbrooke Deploys Capital

The Finance Ghost and Moe-Knows — Wed, 05 Nov 2025 18:58:00 +0000

When it comes to understanding the Westbrooke investment philosophy and approach, there's no better way to do it than through looking at deal case studies and seeing examples of exactly how the team deploys client capital into alternative assets.

To walk us through examples of recent property deals in the UK, James Lightbody (Head of Real Estate at Westbrooke UK) joined us on this show. He was accompanied by Jodi Slotsky from the Distribution team who brought great insights into how these deals fit into the broader Westbrooke investment fund structure.

If you're interested in concepts like property vs. holdco lending, the timing of drawdowns, loan-to-value ratios and how broader themes find their way into property investments, then you'll love the case studies. And with alternative assets becoming increasingly popular among investors as a source of diversified returns, any capital allocator or serious investor should be putting effort into learning as much as possible about this area.

To learn more about Westbrooke and to connect with the team, visit their website here. Westbrooke Alternative Asset Management is an authorised Financial Services Provider, FSP number 46750. This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #248: Stream Wars

The Finance Ghost and Moe-Knows — Wed, 29 Oct 2025 12:46:00 +0000

The content and distribution game is a hotbed of competition, with leading lights like Netflix, Disney and of course YouTube within the Alphabet (Google) stable. There are many others trying to get a piece of the action, like Amazon and Apple. And of course, there are the legacy names in entertainment that are desperately trying to cling to market share.

While the streaming players are investing billions in content and distribution, the legacy names are busy with M&A and consolidation strategies. The competitive dynamics in this space are changing constantly, which means that consumers are winning and investors need to be careful. Having covered Netflix this week in Magic Markets Premium, we decided to take a broader look at this exciting sector.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #247: Investing in Property with Mesh.Trade and 27four

The Finance Ghost and Moe-Knows — Thu, 23 Oct 2025 13:19:00 +0000

Property is a vibrant asset class in South Africa. From convenience retail centres through to mixed-use developments, property is a popular way to earn yield and achieve real returns in excess of inflation.

27four Investment Managers has partnered with Mesh.Trade to bring private property investment opportunities to a retail investor audience. There are at least two opportunities that will be made available, with the first being mixed-use commercial development Van Rijn Meent in the heart of Stellenbosch.

On this podcast, Mesh.Trade's Connie Bloem and 27four's Mornay Visser joined us on Magic Markets to unpack the opportunity and why they believe that this is a compelling alternative asset for investors to consider. You can learn more by visiting the website at this link.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor. Mesh Trade SA (Pty) Ltd is a licensed Financial Services Provider (53710) and an Accountable Institution registered with the Financial Intelligence Centre. 27four Investment Managers (Pty) Ltd is an authorised financial services provider with license number 31045.

Magic Markets #246: To Hedge or Live on the Edge?

The Finance Ghost and Moe-Knows — Wed, 15 Oct 2025 10:29:00 +0000

There's a lot of nervousness out there at the moment around global asset prices, leading to discussions around whether the top is in. Naturally, this drives investors and traders to think about hedging strategies to mitigate the impact of a correction - or worse, a crash.

In this episode, we discussed why hedging is used as a strategy instead of just selling down positions. We looked at different kind of hedges, ranging from index futures through to ETFs like SQQQ and VIXY.

As always, this podcast is a way to share our ideas with listeners and drive debate. It is for informational purposes only and should not be treated as financial advice.

Magic Markets #245: How Big Deals Create Big Problems

The Finance Ghost and Moe-Knows — Wed, 08 Oct 2025 08:37:16 +0000

The quality (and track record) of corporate M&A ranges from incredibly smart deals through to corporate disasters. One thing is for sure: results may vary when you see companies announcing large transactions.

After dedicating Magic Markets Premium this week to the proposed Keurig Dr Pepper - JDE Peet's transaction, which has all the makings of a mess, we decided to use our free show to discuss more fundamental principles around M&A and why large deals are often a flop. It almost always comes down to the same problem: misalignment between management and shareholders.

We also brought some balance to the discussion by looking at great examples of successful M&A strategies both in South Africa and abroad.

As always, this podcast is a way to share our ideas with listeners and drive debate. It is for informational purposes only and should not be treated as financial advice.

Magic Markets #244: Buying Shovels in the X-Rush

The Finance Ghost and Moe-Knows — Wed, 01 Oct 2025 09:51:00 +0000

The concept of "shovels in the gold rush" is really useful in investing, as it speaks directly to thematic opportunities where the approach is to pick a stock as far up the value chain as possible.

A perfect example is Coinbase, which is really a play on the broader crypto market. A less pure-play example is Accenture, which is an attempt to get a slice of the action in AI and cloud investment by corporates. And if you stretch the definition even further, you can come up with plenty of other examples.

Is this a good strategy? And why? Perhaps most importantly, does it always work?

Using examples from our own portfolios, we took the opportunity to discuss the concept of shovels in the X-rush and why investors should add it to their thinking.

As always, this podcast is a way to share our ideas with listeners and drive debate. It is for informational purposes only and should not be treated as financial advice.

Magic Markets #243: Hallucinations and Hype: AI Bubble Risks

The Finance Ghost and Moe-Knows — Wed, 24 Sep 2025 17:34:44 +0000

With the news of NVIDIA investing in OpenAI and with our focus this week in Magic Markets Premium on the truly wild forecasts being put out there by Oracle, we use our recent real-world experience with AI to comment on where it works and where it horribly fails to add any value at all. Or worse, where it confidently "hallucinates" and gives completely the wrong answer.

Of course, there's a much bigger risk at play here: whether the world has found itself in bubble territory in AI, particularly in assets like data centres.

Amidst all the excitement out there, it's important to keep the bear case in view for these assets. As the markets have taught us many times, things are rarely as good or as bad as they seem.

As always, this podcast is a way to share our ideas with listeners and drive debate. It is for informational purposes only and should not be treated as financial advice.

Magic Markets #242: Defending quarterly reporting

The Finance Ghost and Moe-Knows — Wed, 17 Sep 2025 07:26:00 +0000

In the US market, companies are required to report quarterly - for now, at least. The latest utterances by President Trump suggest that quarterly reporting is being viewed in a negative light, with the SEC noting that they will be looking at whether reporting should move to align with most of the rest of the world i.e. results every six months.

We don't like this idea. Although there are lots of arguments out there about short-term vs. long-term thinking and all the rest, our preference is always for fresh information and giving investors more to work with.

In this episode, we discussed our views on quarterly reporting and debated some of the associated points.

As always, this podcast is a way to share our ideas with listeners and drive debate. It is for informational purposes only and should not be treated as financial advice.

Magic Markets #241: Catalysts and Meme Stocks

The Finance Ghost and Moe-Knows — Wed, 10 Sep 2025 08:07:33 +0000

What causes share prices to move? Are there always sensible reasons, or does the market sometimes dish up crazy things?

There are academic arguments and practical considerations for most things, ranging from dividend signalling through to technical indicators and even the pandemic-era phenomenon that is meme stocks. In this podcast, we covered a number of price catalysts and what they really mean, while touching on things to look out for.

As always, this podcast is a way to share our ideas with listeners and drive debate. It is for informational purposes only and should not be treated as financial advice.

Magic Markets #240: Omnichannel Observations - The Biggest Trend In Retail

The Finance Ghost and Moe-Knows — Wed, 03 Sep 2025 18:39:49 +0000

As a follow-on show from the previous week where we talked about how to analyse retailers, we decided to cover the biggest trend right now in the sector: the rise of omnichannel retail. Digital isn't the future, it's the present! Retailers without proper digital strategies are being left behind at an alarming rate.

We touched on global statistics around eCommerce penetration before diving into specific elements of omnichannel retail, including fascinating insights gleaned by our resident ghost in a discussion with Shoprite CEO Pieter Engelbrecht after the release of results.

If you're interested in understanding the top-of-mind strategies in the retail sector, this show is for you.

As always, this podcast is a way to share our ideas with listeners and drive debate. It is for informational purposes only and should not be treated as financial advice.

Magic Markets #239: Analysing Retailers

The Finance Ghost and Moe-Knows — Wed, 27 Aug 2025 08:15:44 +0000

The retail sector isn't just a critical source of employment and consumer goods in every economy in the world. No, it's also a major contributor to stock indices and portfolio strategies that look for strong underpins that can give protection against inflation.

Analysing retailers requires a nuanced approach that includes an understanding of margins, working capital and other balance sheet concepts. With a discussion that includes topics like category-level gross margin and the importance of omnichannel strategies to trading density, this episode of Magic Markets gives a useful overview of some of the key concepts used by professional analysts when they assess retailers.

As always, this podcast is a way to share our ideas with listeners and drive debate. It is for informational purposes only and should not be treated as financial advice.

Magic Markets #238: Stablecoins with Mesh.Trade

The Finance Ghost and Moe-Knows — Wed, 20 Aug 2025 16:30:00 +0000

Stablecoins are highly topical at the moment, with important new legislation in the US and many discussions taking place around the world with regulators. But why do they matter so much in the world of blockchain and crypto?

To explain the importance of stablecoins and to talk through critical concepts like yield-bearing stablecoins and the various use cases of this technology, Connie Bloem of Mesh.Trade joined us on this podcast.

We also touched on the recently launched SLVR token that allows investors to gain access to silver, an interesting follow-up the gold product that launched on Mesh.Trade earlier this year.

Magic Markets #237: Buying Market Leaders

The Finance Ghost and Moe-Knows — Tue, 12 Aug 2025 18:52:33 +0000

Stocks like Microsoft, Meta and Netflix have been strong winners in our portfolios (although we've had different exposures to them at different times). These stocks are great case studies to deal with two important questions.

The first relates to letting winners run. How do we think about having long-term vs. tactical positions and potentially trimming them over time?

The second relates to winners in a different context, being stocks in sectors with winner-takes-all or winners-take-most economics. Does this change the way we think about them over time?

As always, this podcast is a way to share our ideas with listeners and drive debate. It is for informational purposes only and should not be treated as financial advice.

Magic Markets #236: Mpact's Bullish Outlook on SA Agri - Fact or Fiction?

The Finance Ghost and Moe-Knows — Wed, 06 Aug 2025 07:35:03 +0000

Earlier this week, Mpact gave the South African market a positive surprise. The packaging group is a major supplier to the agri sector, particularly for the export of agricultural products from South Africa like citrus. At a time when the market was expecting doom and gloom thanks to US tariffs, Mpact gave a positive outlook around agricultural activity and the share price rallied in response.

To find out whether this bullish outlook is warranted, we asked Wandile Sihlobo to join us on the show. Despite the last minute decision to go this route, he graciously accepted the invite and brought his expert voice to the discussion.

It turns out that the real story on SA agriculture is a lot more bullish than you might think.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #235: Can Fast Food Stocks Keep Growing?

The Finance Ghost and Moe-Knows — Wed, 30 Jul 2025 07:18:34 +0000

Are consumers still having fries with that, or have changes in consumer preferences (like more awareness of health and nutrition) given fast food stocks a knock?

Quick-service restaurants are businesses that can scale quickly, usually through a franchise model, which is why they've historically done well. They don't all take this route though, as evidenced by Chipotle that we just covered in Magic Markets Premium - and that's one of the best names in this sector. Clearly, there are important nuances here.

Aside from the global names, how have Spur and Famous Brands been doing on the JSE? And what are some of the core differences in their strategies?

You listen to this show on an empty stomach at your own risk. You can also expect to hear a brief argument about Italian milkshakes.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #234: How Do Banks Manage Their Balance Sheets?

The Finance Ghost and Moe-Knows — Wed, 23 Jul 2025 05:56:44 +0000

After covering the financials sector on the JSE last week and with our latest Premium research being on Goldman Sachs, we decided to talk about bank balance sheets and some of the key concepts.

This includes elements like capital adequacy, non-performing loans and portfolio tilts across various products. If you've ever wondered why mortgage originators even exist in the first place, you'll enjoy this show.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #233: Financials on the JSE - Paradise for Stock Pickers

The Finance Ghost and Moe-Knows — Wed, 16 Jul 2025 07:37:58 +0000

The financials sector on the JSE is a substantial contributor to the overall index. Although banks make up the bulk of the sector, there are also major businesses in areas like insurance and wealth management.

With South Africa's difficult macro backdrop, there isn't a rising tide that lifts all boats in this sector. Instead, it tends to reward stock pickers who understand the nuances across the various businesses, including their relative exposure to South Africa vs. offshore markets.

In this episode, we dig into some of the key concepts to keep in mind when looking at the banks, large diversified financial services groups and businesses that earn fees from assets under management.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #232: Hybrid Capital - Best of Both Worlds (with Westbrooke)

The Finance Ghost and Moe-Knows — Wed, 09 Jul 2025 17:00:00 +0000

The "capital stack" refers to the mix of debt and equity that provides the funding for a business. With so many options on the spectrum from senior debt to pure equity, companies and investors come together in search of optimal solutions for all involved.

Westbrooke's approach makes use of various funding mechanisms, with hybrid capital as a particular favourite. This aims for debt-like risk and equity-like returns, while providing capital for lower- to mid-market deals in markets like the UK.

Dino Zuccollo, Head of Investor Solutions at Westbrooke Alternative Asset Management, joined us on this episode to update us on the alternative asset market, recent deal trends across markets and the exciting news of the R3.8 billion WDO UK Fund II, raised by Westbrooke in partnership with RMB.

Magic Markets #231: Platinum and the cheese spread

The Finance Ghost and Moe-Knows — Wed, 02 Jul 2025 07:27:34 +0000

Drawing charts like orange juice and cheese futures might be fun, but there's an important underlying influence that soft commodities have on inflation. Even if you don't trade commodities, there are useful things to learn.

And of course, when we get to the hard commodities that are actively traded every day, we move from jokes about the cheese spread to very real analysis around the drivers of the platinum price and what this is doing for stocks like Sibanye-Stillwater, where our resident Ghost is looking forward to finally breaking even after a long and painful period in the PGM cycle.

Join us for a fun show that is ultimately an ode to commodities and the sheer breadth of opportunities available on the market.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #230: Insights from five global companies

The Finance Ghost and Moe-Knows — Wed, 25 Jun 2025 07:30:34 +0000

In this episode of Magic Markets, Mohammed Nalla and The Finance Ghost decided to each choose three companies from the recent research in Magic Market Premium, with the goal being to discuss some of the most interesting insights that came out of each one.

Both chose Berkshire Hathaway (predictably), so there were actually only five companies to discuss. Luckily, this left more than enough meat on the table. This podcast highlights some of the best insights from research into Berkshire Hathaway, BAE Systems, 3M, Waste Management and Alibaba.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #229: Macro World Tour

The Finance Ghost and Moe-Knows — Wed, 18 Jun 2025 07:55:16 +0000

There's a lot going on in the world right now, giving us a great opportunity to let Moe wax lyrical about the key macroeconomic indicators and trends in the US, Europe, China and Japan. We also touched on markets like the UK and India as part of this world tour.

Of course, there's nothing Ghost enjoys more than a share price chart when it comes to the markets, or in this case an index chart going back many years. Looking at the relative returns of these markets over the past 25 years tells quite the story, with some major winners - and losers.

This is a great reminder that where you invest is just as important as what you invest in - and in fact, it might be even more important!

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #228: Mesh.Trade and the Titans

The Finance Ghost and Moe-Knows — Wed, 11 Jun 2025 19:15:00 +0000

Magic Markets listeners have become familiar with AnBro's approach to building global equity portfolios with different mandates. Titans is just one such example, focusing on an equal-weighted portfolio of best-of-breed stocks across various sectors.

With Titans now available on Mesh.Trade's platform alongside the other AnBro offerings, it was the perfect opportunity for Craig Antonie of AnBro to join us to talk about the fund strategy, accompanied by Connie Bloem of Mesh.Trade to talk about the platform offering.

Mesh Trade (Pty) is a licensed Financial Services Provider, FSP number 53710. AnBro Capital Investments (Pty) Ltd is an authorized financial service provider in South Africa, FSP number 48371. Please do your own research and remember that nothing you hear on Magic Markets is advice, nor should you treat this as an endorsement.

Visit the AnBro website and the Mesh.trade website.

Magic Markets #227: Saudi Aramco and Ferrari

The Finance Ghost and Moe-Knows — Wed, 04 Jun 2025 07:38:24 +0000

After a few weeks of Formula One races every weekend, many sports fans have been bombarded with two brands: Saudi Aramco and Ferrari. This gave us a great opportunity to talk about both listed companies - from fossil fuels to fast cars!

Our view is that Ferrari is without a doubt the better business in terms of brand strength and long-term prospects, but why is that? And just how much does Formula One actually matter to them anyway?

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #226: From Analyst to Entrepreneur

The Finance Ghost and Moe-Knows — Wed, 28 May 2025 07:01:40 +0000

Muofhe Kwinda is a Magic Markets listener who reached out to us because he has an interesting story. He's made the leap from being a financial analyst in the investment space to being an entrepreneur, with business interests in mining and agriculture.

We couldn't resist the temptation to tap into what he's learnt by moving from desktop analysis of companies into the "real world" where you can actually taste the effect of working capital pressure. There's a big difference between thinking of a bear case and experiencing the day-to-day operational risks of doing business.

This is a highly insightful discussion that helps bridge the gap between financial and operational roles in business. You can connect with Muofhe on LinkedIn.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #225: US Downgrade and JPMorgan Views

The Finance Ghost and Moe-Knows — Wed, 21 May 2025 08:48:23 +0000

The US credit downgrade by Moody's wasn't a huge surprise, as they are just playing catch-up to what other ratings agencies already did. The complacency in the market in response to the downgrade is interesting though, as it became the catalyst for us to talk about the dollar as the world's reserve currency.

In the same week, a JPMorgan investor day provided an excellent opportunity to dig into the wisdom of not just Jamie Dimon, but CFO Jeremy Barnum as well. Aside from some insights into JPMorgan's view on the economic outlook, Barnum delivered an absolute masterclass in capital allocation.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #224: REITs Taking a Breather

The Finance Ghost and Moe-Knows — Wed, 14 May 2025 07:54:28 +0000

After a wonderful year in 2024 for property funds (especially in South Africa), the sector has taken a breather in 2025. That's not surprising given how much things have changed, particularly when you consider that 2024 really did create the perfect opportunity for local REITs.

In this review of the sector, we talked about concepts like whether tariffs actually affect property, how yields work in this space and what the effect of inflation is. We looked at yields across the US and South Africa, while highlighting major trends affecting demand for property in different segments.

This podcast is an excellent way to get to grips with the listed property sector and some of the key investment principles.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #223: Nuggets from Omaha

The Finance Ghost and Moe-Knows — Wed, 07 May 2025 11:34:51 +0000

In an incredible contrast of wisdom, this episode focuses primarily on insightful comments from Warren Buffett at the latest Berkshire Hathaway annual meeting, before ending off with the latest chaos on tariffs - this time, Trump's comments on potential tariffs on the film industry, a sector in which the US enjoys a trade surplus!

You can't make this stuff up. Thankfully, we have Buffett's endless wisdom and excellent humour to enjoy, along with his comments on their investment strategy and their immense cash pile. Spoiler alert: if you were expecting buybacks of Berkshire shares in the latest quarter, you were disappointed.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #222: The Long and the Short of Day Trading

The Finance Ghost and Moe-Knows — Wed, 30 Apr 2025 07:55:12 +0000

Our very own Mohammed Nalla thought that the recent tariff volatility would be an excellent opportunity to dust off the day trading strategy that worked pretty well during COVID. Unlike the average Instagram influencer, we are all about authenticity here at Magic Markets - and that's why Moe bravely volunteered to dedicate a show to his learnings from the strategy and specifically why it didn't work out as well this time around.

The markets are hard and day trading is even harder. This show is packed with insights and an honest look at just how tough it is, even for those who are experienced. As for our resident Ghost, he's only too happy to keep wearing his "investor" (and occasional swing trader) hat - especially after hearing these day trading stories!

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #221: Mesh.Trade - Unlocking Private Markets

The Finance Ghost and Moe-Knows — Wed, 23 Apr 2025 07:53:36 +0000

As the recent trend in IPOs and delistings on public markets tells us, an increasing number of companies are looking to private markets for their capital raising needs. This means that retail investors are being shut out of these opportunities, which is particularly problematic as these early-stage opportunities usually offer the highest potential returns.

Mesh.Trade is committed to increasing access for investors, which is why the platform is designed to enable issuers to raise debt and/or equity funding. Naturally, this means that opportunities like Die MOS (an Afrikaans education business) can be brought to an audience of retail and institutional investors, instead of just institutions like would normally be the case in private market deals.

Connie Bloem of Mesh.Trade joined us on this podcast to talk about why access to good quality private assets is so important in the South African market.

Mesh Trade (Pty) is a licensed Financial Services Provider, FSP number 53710. Please do your own research and remember that nothing you hear on Magic Markets is advice, nor should you treat this as an endorsement.

Magic Markets #220: The Global Asset Ownership Web

The Finance Ghost and Moe-Knows — Wed, 16 Apr 2025 07:25:21 +0000

With markets bouncing around like crazy practically every day at the moment, most of the focus among investors is usually on the equity indices. But what about the bond markets? Aren't they just as important, if not even more important?

Does the carry trade play a role? What about foreign ownership of assets, both fixed income and equities?

And what is one really important characteristic that investors should consider when looking at buy-the-dip candidates?

All this and more in this week's episode of Magic Markets.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #219: Trade Wars and Trading

The Finance Ghost and Moe-Knows — Wed, 09 Apr 2025 10:49:46 +0000

With the markets all over the place and practically impossible to predict, Moe is busy with a day-trading strategy and Ghost has bought a few dips, ranging from technology through to golf.

Is there method in this madness? What is really going on out there? And should we be thinking more and more about China?

Volatility can be wild, but it's also a key feature of the markets and a very exciting time for those who like to see action on the screens. In this episode, our passion for the markets really shines through. We invite you to join us.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #218: Consumer Conundrum

The Finance Ghost and Moe-Knows — Wed, 02 Apr 2025 09:05:16 +0000

The first quarter of the year was an unhappy one for most consumer stocks. Tariffs are top of mind, as is the pressure that many brands have been facing in China. Inflation is a risk and consumer sentiment is weak. Against this backdrop, is there opportunity in this sector, or is it better to sit this one out and let the volatility do its thing?

And does it make a difference to look at discretionary vs. defensive stocks?

Find out in this episode of Magic Markets.

Magic Markets #217: Time for Africa?

The Finance Ghost and Moe-Knows — Wed, 26 Mar 2025 07:43:23 +0000

As we continue to look beyond the US to demonstrate the opportunities available elsewhere in the world, our gaze turns to Africa. Firmly a currencies story, it's all about whether the macroeconomics will improve in 2025. This is what some of the banking groups have predicted, so South African corporates with African exposure will be hoping that this comes to fruition.

But which South African listed companies are these? Which ones stand to benefit? And in line with a broader offshore theme for South African companies, what are the typical features of successful acquisitions vs. those that have failed?

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #216: Europhoria - hype or the new hustle?

The Finance Ghost and Moe-Knows — Wed, 19 Mar 2025 09:05:57 +0000

These days, the narrative has shifted from US Exceptionalism to one of punters working through the list of European companies to try and find something exciting to buy. Defence stocks seemed to be where momentum traders found their desired home, with incredible returns in those stocks.

But what about the rest of Europe? Is there something there to justify this Europhoria? Are there other place to look, like China?

And are you willing to allow Moe to invent the term Amexit?

All this and more in this episode of Magic Markets!

Magic Markets #215: The art of investing in art

The Finance Ghost and Moe-Knows — Wed, 12 Mar 2025 07:33:06 +0000

Tristanne Farrell isn't shy to admit it: she's mildly obsessed with art. As a Senior Wealth Manager at Investec Wealth & Investment International, her day job is to help clients build diversified, successful portfolios. Thankfully, with art as one of the more interesting (and certainly most visually stimulating) alternative assets out there, she gets to enjoy some overlap between her passion and her career.

As the host of the Art in Focus podcast series, part of the excellent Investec Focus Radio offering, Tristanne is no stranger to podcasts. She joined us to talk about art as an investment, bringing a mix of genuine passion and solid insights into this asset class. And of course, at the Investec Cape Town Art Fair, you get a chance each year to see this in action.

Ready for something different? Listen to this episode dedicated to the world of art. If you enjoy it, be sure to check out the Art in Focus series for more insights.

Magic Markets #214: Tradition meets tech - buying gold on the blockchain

The Finance Ghost and Moe-Knows — Wed, 05 Mar 2025 09:24:23 +0000

If there's one thing the markets taught us recently, it's that gold remains as relevant as ever. Mesh Trade brings you a new way to invest in this store of value, giving you a perfect example of tradition combined with tech.

For a limited time, Mesh investors can buy Krugerrands at the best retail price in the market and on a fractional basis using blockchain technology. Mesh also offers a wide range of tokenised financial assets, giving investors a multi-asset solution on a single platform.

To learn more about the investment case for gold, Mohammed Nalla will be presenting on a Mesh Trade webinar on 10th March. Registration is free at this link>>>

Magic Markets #213: Can Argentina-style reforms work in South Africa?

The Finance Ghost and Moe-Knows — Wed, 26 Feb 2025 07:41:25 +0000

Having covered MercadoLibre in Magic Markets Premium this week, we had Latin America on the brain. Combined with the mess around the South African budget speech (or complete lack thereof), this triggered the idea to consider whether the reforms seen in Argentina under Javier Milei could work in South Africa.

Moe certainly took this assignment seriously, with a detailed discussion on the approach taken in Argentina and exactly which bits might work in South Africa - and which ones are a step too far! The conversation then evolved into points around the effect of reforms on growth and the ability for platform businesses to scale effectively within South Africa.

Magic Markets #212: Expropriation, exaggeration and exports - the bull case for SA agriculture

The Finance Ghost and Moe-Knows — Wed, 19 Feb 2025 09:30:19 +0000

Wandile Sihlobo is an agricultural economist, an advisor to President Ramaphosa and one of the leading voices in the agriculture space in South Africa. We value his balanced views and his approach to what he does, so we invited Wandile to join us at a time when South Africans are divided rather than united.

Dealing with topics like expropriation, the view of Afrikaans commercial farmers in response to the US approrach to offering refugee status, the rate of transformation in land ownership as well as common misconceptions around AGOA, this is a hard-hitting discussion that adds to the current discourse in South Africa.

As always, our goal is to drive constructive debate. This podcast is well worth your time, as Wandile is a true expert in this space. As South Africans, the most important thing we need to do is keep talking.

Magic Markets #211: Private markets are a hive of activity

The Finance Ghost and Moe-Knows — Wed, 12 Feb 2025 08:02:34 +0000

For companies seeking capital, founders wanting to exit their stake and investors who desire diversification and solid returns, private debt and equity markets offer a vibrant ecosystem. Dino Zuccollo of Westbrooke Alternative Asset Management joined us to discuss activity across the capital stack and some of the key trends coming into 2025, as well as the general levels of adoption of this asset class in South Africa and abroad.

To learn more about Westbrooke and to connect with the team, visit their website here.

Westbrooke Alternative Asset Management is an authorised Financial Services Provider, FSP number 46750.

Magic Markets #210: Tariff Tantrum

The Finance Ghost and Moe-Knows — Wed, 05 Feb 2025 09:16:26 +0000

Given the widespread impact on the companies that we follow, it's hard to ignore the geopolitical fires that are raging around Trump and the countries that he has been targeting. Canada, Mexico and now South Africa - is anyone safe?

Of course, these issues are nuanced and the relative negotiating power of each country becomes relevant. In this show, we talk about the response of Canada (where Moe has a front-row seat) and Mexico, as well as Ghost's concerns around how this is all coming at a bad time, with South Africa's economic recovery still in its infancy.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #209: AI, Trump and turnarounds

The Finance Ghost and Moe-Knows — Wed, 29 Jan 2025 07:46:29 +0000

As we sign off on January, it's been a month of major moves in markets. Globally, the valuation risks in AI were thrust into the spotlight in recent days based on the emergence of DeepSeek. Geopolitical risks are also a major feature of 2025, with some of Trump's recent actions showing that we are in for a bumpy ride.

And yet, there are some turnaround stories out there that had a great January. Is the market looking for value opportunities in unusual places based on fear of how far tech has run? Nike, Walgreens and Burberry have all been researched in Magic Markets Premium this month and we highlight that basket in this show.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #208: Banking on banking

The Finance Ghost and Moe-Knows — Wed, 22 Jan 2025 07:25:33 +0000

The banking industry is part of the fabric of any economy. This is both good and bad, as success in that sector therefore depends on broader economic activity. This has been the problem for most of the South African banking sector options over the past decade, but could that change in 2025? And what are the key metrics to look out for?

With reference to key macro points as well as more granular analysis into banks, we talked about topics ranging from the differences between US and South African banks through to sources of revenue like NII and NIR. We also talked about perhaps the most important thing of all for banks: the interest rate cycle.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #207: Retail turnarounds: high-risk, high reward?

The Finance Ghost and Moe-Knows — Wed, 15 Jan 2025 07:10:34 +0000

Stories like Nike and Walgreens in the international market (both recently covered in Magic Markets Premium), as well as Pick n Pay in South Africa, tend to grab the imagination of investors as they go through a turnaround.

In this episode, we start off with some of the key macroeconomic indicators that investors and traders use to assess the health of the retail industry. We then go into the process of a typical turnaround, along with the milestones that are usually seen.

Turnarounds in the retail sector are highly speculative and therefore offer strong rewards for those who get them right. This podcast will increase your understanding of how these turnarounds work.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #206: The year ahead - buckle up!

The Finance Ghost and Moe-Knows — Wed, 08 Jan 2025 10:14:35 +0000

To kick off the year, we couldn't resist talking about the major themes that have carried over from 2024 into a new calendar year. US - China relations, interest rates, frothiness in equity valuations - it's all in here, along with a sobering discussion that gives context to the JSE performance last year vs. global alternatives.

Get excited about the markets this year in this episode of Magic Markets, with a fast-paced overview of the big stuff that you should be following.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #205: A year of gold, bitcoin and the US

The Finance Ghost and Moe-Knows — Wed, 11 Dec 2024 10:34:03 +0000

In our final free show for the year, we look back on a year that has been dominated by gold and bitcoin, along with US equities that have shot the lights out. We consider a strong finish for China, along with the ongoing disappointment of Europe.

And of course, we talked about the positive surprise of South Africa this year and how political change can drive investment returns.

As we look forward to another exciting year in the markets in 2025, this is the perfect way to cap off the Year of Elections worldwide.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #204: Blockchain Technology in Financial Markets (with AnBro and Mesh.trade)

The Finance Ghost and Moe-Knows — Wed, 04 Dec 2024 18:53:34 +0000

Although the terms blockchain and crypto are often used interchangeably, this hides the diverse use cases for blockchain technology - even in traditional applications like financial markets. On this podcast, Connie Bloem (co-founder and managing director of Mesh.trade) joins regular Magic Markets guest Justine Brophy of AnBro Capital to explain how blockchain technology on Mesh.trade is making it easier for investors to invest in funds managed by AnBro.

For more information, visit the AnBro website and the Mesh.trade website.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #203: Year in Review - Alternatives at Westbrooke

The Finance Ghost and Moe-Knows — Wed, 27 Nov 2024 13:34:08 +0000

As the year of global elections draws to a close, Dino Zuccollo of Westbrooke Alternative Asset Management joined us to look back on how global trends impacted the alternative lending space in markets where Westbrooke has a presence: South Africa, the UK and the USA.

Covering important topics related to economic activities, portfolio diversification and the impact of decreasing interest rates on structures like senior debt and mezzanine funding, there's much to learn here about the world in which Westbrooke operates. To learn more about Westbrooke and to connect with the team, visit their website here.

Westbrooke Alternative Asset Management is an authorised Financial Services Provider, FSP number 46750.

Magic Markets #202: The automotive sector race

The Finance Ghost and Moe-Knows — Wed, 20 Nov 2024 09:33:46 +0000

Start your engines has quickly become start your batteries - or has it? Are electric vehicle adoption rates problematic everywhere, or are some companies seeing better adoption than others? Where does this leave hybrids? Where does this leave manufacturers that seem to lack clear strategic direction?

Along with a discussion on European vs. American vs. Japanese manufacturer performance, we dealt with all these topics in this episode of Magic Markets. For a whirlwind overview of the automotive sector at the moment, you're in the right place.

This podcast is brought to you by Investec Focus Radio. Investec's The Current podcast is a great series on the energy transition in South Africa, an important part of our country's geopolitical story and thus highly relevant to South African investors. There are ten excellent shows and Episode 8 focuses on South Africa's electric vehicle transition. Find them here.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #201: Trump Trades

The Finance Ghost and Moe-Knows — Wed, 13 Nov 2024 07:27:27 +0000

With the dust barely settled on the US election, Dimitri Zabelin of Pantheon Insights joined us to bring his international geopolitical lens to the show. We talked about the possible impacts of Trump's economy and social policies on inflation, interest rates and the strength of the US economy.

We also talked about a few trade ideas related to the Trump victory, as well as the positioning of Elon Musk in all this.

You can connect with Dimitri on X or LinkedIn, or learn more about Pantheon Insights here.

Episode 201 is brought to you by Future Forex. They are disrupting an industry that desperately deserves to be disrupted: providing forex execution for individuals and businesses, fertile ground for traditional banks to charge large fees as a spread. Future Forex is doing things differently. Refer back to Episode 199 for a discussion with Harry Scherzer on this topic.

Future Forex SA Pty Ltd is an authorised FSP number 51884.

Magic Markets #200: Big Tech, Big Opportunies?

The Finance Ghost and Moe-Knows — Wed, 06 Nov 2024 08:13:39 +0000

With most of the big names in tech having just released earnings around the same time as US elections, there's so much to consider in the market. We steered clear of the politics for now, focusing on the key drivers of the Magnificent 7 (and Netflix!) and how we are positioned in these stocks.

As our subscribers in Magic Markets Premium know, we don't always agree on the stocks that we cover. There's plenty of that disagreement (and a few laughs) in this show, along with great insights.

Episode 200 is brought to you by Future Forex. They are disrupting an industry that desperately deserves to be disrupted: providing forex execution for individuals and businesses, fertile ground for traditional banks to charge large fees as a spread. Future Forex is doing things differently. Refer back to Episode 199 for a discussion with Harry Scherzer on this topic.

Future Forex SA Pty Ltd is an authorised FSP number 51884.

Magic Markets #199: Making Forex Better

The Finance Ghost and Moe-Knows — Wed, 30 Oct 2024 12:44:41 +0000

Harry Scherzer at Future Forex is a familiar voice to Magic Markets listeners, especially those who took advantage of the excellent crypto arbitrage offering that was the foundation of the Future Forex business.

Building on that success, Future Forex is disrupting an industry that desperately deserves to be disrupted: providing forex execution for individuals and businesses, fertile ground for traditional banks to charge large fees as a spread. Future Forex is doing things differently, as explained by Harry in this show.

If you want to learn more about crypto arbitrage at Future Forex as well, refer back to Episode 170 for full details on how to avoid your annual offshore investment allowances going to waste, while generating returns which have consistently outperformed the market.

Future Forex SA Pty Ltd is an authorised FSP number 51884.

Magic Markets #198: What can we learn from market sector rotations?

The Finance Ghost and Moe-Knows — Wed, 23 Oct 2024 09:17:16 +0000

Although there's a risk of churning your portfolio too often if you become obsessed with short-term market movements, there's a lot of value to be gained from the way Mohammed Nalla does his quarterly rotation work for institutional clients. He shares some of those insights in this episode of Magic Markets, covering recent sector performance in the US market and where some of the future gains may be found.

This podcast is brought to you by Investec Focus Radio. Investec's The Current podcast is a great series on the energy transition in South Africa, an important part of our country's geopolitical story and thus highly relevant to South African investors. With ten excellent shows to listen to (and the 10th episode being a wrap-up of the season), it's well worth your time digging in. Find them here.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #197: GNU follow-through - are businesses changing?

The Finance Ghost and Moe-Knows — Wed, 16 Oct 2024 07:00:56 +0000

The GNU-phoria in South Africa is now a few months old. Loadshedding is becoming a distant (albeit still painful) memory. Sentiment has clearly turned positive, but is this making a difference in day-to-day business decisions around capital allocation decisions?

Every day, the team at Westbrooke is having discussions with private business operators and investors. This puts them in the perfect position to comment on whether things are really improving in South Africa and at what pace.

Dino Zuccollo and Jonti Osher of Westbrooke joined us for this important discussion. To learn more about Westbrooke and to connect with the team, visit their website here.

Westbrooke Alternative Asset Management is an authorised Financial Services Provider, FSP number 46750.

Magic Markets #196: The China Effect

The Finance Ghost and Moe-Knows — Wed, 09 Oct 2024 15:10:40 +0000

News of stimulus in China has caused substantial volatility in the markets, with a sharp initial rally and then a cooling down as the market started to question the speed of execution on the proposed initiatives.

Of course, this presented a perfect opportunity to talk about the impact of China on portfolios. Justine Brophy of AnBro Capital joined us to do exactly that. For more information, visit the AnBro website.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #195: How to Read a Balance Sheet

The Finance Ghost and Moe-Knows — Wed, 02 Oct 2024 07:23:19 +0000

The balance sheet is often the difference between success and failure for a corporate. A strong balance sheet can carry a company through the worst of times. A weak balance sheet is vulnerable to even a minor deterioration in conditions.

Reading a balance sheet is a key step in equity analysis, but what are the most important things to look out for? In this episode, we take you through some key metrics to consider.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #194: How to Interpret Profits

The Finance Ghost and Moe-Knows — Wed, 25 Sep 2024 17:00:00 +0000

The income statement is the lifeblood of any business. Luckily, you don't need to be an accountant to understand what's going on there. As is usually the case, there are a few tricks you can use to identify the key areas of focus and the stuff that really matters.

Doing your own research isn't about spending endless hours on a set of financials. It's about knowing how to arrive at a reasonable answer as quickly as possible. In this show, we walk you through our approach to reading an income statement.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #193: How to Build a Bear Case

The Finance Ghost and Moe-Knows — Wed, 18 Sep 2024 11:36:57 +0000

After covering the building of a bull case in the previous week's show, we moved on to the other side of the coin: the bear case. This requires you to think creatively and dig deeper, as management won't dish out these nuggets and make it easy for you. After all, they are incentivised to drive the bull case.

This episode will help you learn where to look for some of the really important points in a bear case.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #192: How to Build a Bull Case

The Finance Ghost and Moe-Knows — Wed, 11 Sep 2024 09:26:35 +0000

When assessing stocks, it's so important think about the good and the bad, not just what you wanted to see going into the analysis. The world is grey, not black and white. Nothing is ever fully good or fully bad. By thinking critically about the positives and negatives, you'll improve your investing skills.

In this episode, we cover the type of thinking that goes into our Bull Box in Magic Markets Premium. In sharing our insights on how we develop a bull case for a stock, we hope that it assists in your process and exposes you to the thinking enjoyed by our Premium subscribers.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #191: The India Opportunity

The Finance Ghost and Moe-Knows — Wed, 04 Sep 2024 08:36:45 +0000

As the world pays an increasing amount of attention to emerging markets and the concept of the Global South, India's outperformance vs. China remains an interesting topic. For South African investors, the strategy of a group like Sanlam is worth considering, as India offers an immense demographic dividend and a democratic environment in which to invest.

Other than a look at the reasons why India has performed well recently (especially relative to China), this show delves into the services nature of the Indian economy and the opportunities that this brings.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #190: Is Quantum Computing the Next AI?

The Finance Ghost and Moe-Knows — Wed, 28 Aug 2024 08:58:01 +0000

Artificial Intelligence (AI) has been all the rage in recent times. Coming up just as quickly is quantum computing, an exciting new technology that has some potentially incredible use cases. To lift the lid on this trend and to identify how to consider investing in it, international geopolitical strategist Dimitri Zabelin joined us on this show.

If you enjoy Dimitri's work, and we strongly suspect that you will, you can check out Pantheon Insights on Substack.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #189: Portfolio Construction with AnBro

The Finance Ghost and Moe-Knows — Wed, 21 Aug 2024 08:17:01 +0000

Picking stocks is one thing, but how do you bring all the pieces together to create a sensible portfolio that meets risk and return objectives? Portfolio construction is like the architecture of a house. Even with the best furniture inside that house, it doesn’t matter if the whole thing isn’t coherent and built to the right specifications for the owner.

To discuss portfolio construction, Craig Antonie of AnBro joined us on this show. Craig has built portfolios with growth, yield and quality themes, so his insights into this process are invaluable. For more information, visit the AnBro website.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #188: How to Research Stocks

The Finance Ghost and Moe-Knows — Wed, 14 Aug 2024 10:50:10 +0000

Investing in stocks is exciting, but also dangerous unless you know how to research them. In this episode, we talk through some of the approaches we take to research, ranging from top-down analysis (finding stocks that fit a macro thesis) through to bottoms-up approaches that include valuation multiples and the power of good ol' common sense.

Join The Finance Ghost and Mohammed Nalla in this show and benefit from their extensive knowledge of the markets and experience in making investments - including ones that didn't work out!

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #187: How to Prepare for a Crash

The Finance Ghost and Moe-Knows — Wed, 07 Aug 2024 11:09:19 +0000

As the Nikkei had a terrible day of historical significance and the world held its breath for what might happen on the Nasdaq, those who did the research before the time and had their wishlist ready were in the perfect position to buy their favourite stocks at a sale price. This is the power of having your finger on the pulse of what you want to own and at what price. Only doing that thinking as a crash happens is far too late.

In this episode, we discussed the reasons for the "flash crash" - or is that just a correction? - including an explanation of the yen carry trade. We also worked through how to prepare for the opportunities that a major sell-down presents.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #186: Is the Automotive Sector a Good Investment?

The Finance Ghost and Moe-Knows — Wed, 31 Jul 2024 12:48:43 +0000

The automotive sector is part of our daily lives, but does that mean it should be in our portfolios? Should the car in your garage drive an investment decision with your money?

To answer the question, we delved into recent performance of big names like Ford, General Motors, Toyota and BMW. Generally, they have underperformed the market index. In this podcast, we explain why.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #185: Why the US Election Matters for Everyone

The Finance Ghost and Moe-Knows — Thu, 25 Jul 2024 13:59:20 +0000

With the news of President Joe Biden stepping away from the presidential race, all bets are now off when it comes to the outcome later this year. The importance of the US election cannot be overstated. No matter where you live in the world, the outcome makes a difference.

In this episode, Mohammed Nalla took the lead with his views on the Democrat vs. Republican policy approaches and what they could mean for developed and emerging markets. If you ever wondered whether you need to pay attention to US politics, this show will put that thought to bed once and for all.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #184: Geopolitics, Defense Stocks and Tech Ideas

The Finance Ghost and Moe-Knows — Wed, 17 Jul 2024 21:45:00 +0000

In our quest to bring you global insights into the markets, we are thrilled to welcome Dimitri Zabelin to Magic Markets. As Founder and Geopolitical Strategist at Pantheon Insights, Dimitri has worked for institutions ranging from the World Economic Forum through to IG Group. He has a portfolio of international clients who he advises on geopolitical trends affecting markets, economies and businesses.

In this podcast, we touched on US jobs data and what it tells us about consumers, an investment thesis for defense stocks (like Lockheed Martin) and various tech ideas ranging from Big Tech down to the frothy stocks that are a feature of Cathie Wood's world.

Take your market knowledge to the next level with Magic Markets.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #183: Investing in Global BRNDZ

The Finance Ghost and Moe-Knows — Wed, 10 Jul 2024 11:42:41 +0000

In a discussion that started with a reflection on the market moves in the latest quarter and the extent to which Big Tech has driven the indices, Craig Antonie of AnBro Capital Investments and the usual duo of Mohammed Nalla and The Finance Ghost also delved into the BRNDZ portfolio at AnBro and the strategy around investing in the world's most valuable brands.

Touching on a number of investment concepts ranging from cycles and balance sheets through to portfolio construction and long-term strategies, this is a highly insightful discussion for any serious investor.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #182: A GNU Dawn

The Finance Ghost and Moe-Knows — Wed, 03 Jul 2024 21:30:00 +0000

The GNU dawn is all the rage in South Africa, but what does this mean for portfolio strategies? In this show, Mohammed Nalla and The Finance Ghost add to the market discourse around the South African opportunities with a sobering view on some of the macroeconomic indicators, coupled with highly practical thoughts on what to be careful of in the equity market as part of a broader GNU play.

And of course, there's a particular sector that the hosts put on the table as a potential winner in a GNU-driven recovery story.

To enhance your understanding of the market and get views that you might not hear elsewhere, this is a great episode of Magic Markets.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #181: The Real-World DD: EVs, Sephora, Topgolf and more

The Finance Ghost and Moe-Knows — Wed, 26 Jun 2024 12:27:54 +0000

With The Finance Ghost having just returned from a trip to the UK, France and Dubai, the opportunity was clear to talk through some of the brands and business models that have been researched in Magic Markets Premium. It's one thing doing desktop research. It's another thing walking through a Sephora store or swinging a club at Topgolf. Mohammed Nalla lives in Canada so he's already had this experience for some time now, leading to an insightful discussion.

And let's not forget EVs, which are always a bone of contention on Magic Markets. Having seen the level of adoption in Europe first-hand and experienced such cars, have the in-house views on EVs changed?

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #180: Home Country Bias

The Finance Ghost and Moe-Knows — Wed, 19 Jun 2024 07:03:13 +0000

Home country bias is a real danger for investors. We tend to buy the brands we know, rather than taking an objective view on a global opportunity set. Global context is beyond important, particularly when you've had the benefit of engaging with investors and professionals in deep pools of capital like Europe and North America.

In this episode, Mohammed Nalla and The Finance Ghost take advantage of recent travels to discuss how the South African market differs from global markets like the UK and America. For any investor serious about global wealth creation, this is a valuable discussion.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #179: Demystifying US Jobs Data

The Finance Ghost and Moe-Knows — Wed, 12 Jun 2024 17:28:47 +0000

The headlines will often focus on US jobs data, but what does it really even mean? Why should people outside of the US care? And of course, what do all the acronyms mean?

In demystifying the markets and bringing these concepts to the fore, Mohammed Nalla and The Finance Ghost talked through the jobs data and how it impacts central banks around the world. They also discussed the impact on equities in different sectors and how great jobs data isn’t always good news for shares.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #178: Collision Politics

The Finance Ghost and Moe-Knows — Wed, 05 Jun 2024 10:13:48 +0000

With South Africa entering a new era of politics, we will soon find out whether coalition politics actually look more like collision politics. Either way, "the market" matters and will continue to matter, punishing poor policy decisions and any related uncertainty.

In this show, Mohammed Nalla and The Finance Ghost discuss concepts like GDP growth, bond yields, the rand and the situation on the ground for South African consumers.

This podcast is for informational purposes only and is not financial or investment advice. Please speak to your personal financial advisor.

Magic Markets #177: Nvidia and Intuit

The Finance Ghost and Moe-Knows — Wed, 29 May 2024 12:22:17 +0000

Nvidia has been a headline grabber of note in global markets, with eyewatering returns that have left even the other semiconductor stocks for dead. Mohammed Nalla focused on not just the latest results from Nvidia, but the performance of other stocks in the sector.

The Finance Ghost tackled Intuit, covering the growth in revenue across the product range and the importance of integration strategies within the ecosystem. Although this is a powerful SaaS business, the risk of a double top in the share price chart cannot be ignored.

Episode 177 of Magic Markets is brought to you by Future Forex. Listen to Episode 170 for a detailed discussion with co-founder and CEO Harry Scherzer on why South Africans shouldn’t allow their annual offshore investment allowances to go to waste, with crypto arbitrage offering an interesting boost to returns. In Episode 173, you can learn about how Future Forex is disrupting the mainstream banks by making international money transfers simpler and more affordable for forex clients.

Magic Markets #176: Walmart and Under Armour

The Finance Ghost and Moe-Knows — Wed, 22 May 2024 17:27:23 +0000

Walmart is a good example of a pullback from the work-from-home trend that became a feature of the pandemic, with many viewing this as a return to the company’s roots. This is seen favourable against a backdrop of improved performance at Walmart.

Under Armour is also going back to its roots, more out of necessity than by design. Founder Kevin Plank is back in the CEO role and has a very tough road ahead, with the company experiencing a sharp drop in sales and needing to reposition its products as premium.

Episode 176 of Magic Markets is brought to you by Future Forex. Listen to Episode 170 for a detailed discussion with co-founder and CEO Harry Scherzer on why South Africans shouldn’t allow their annual offshore investment allowances to go to waste, with crypto arbitrage offering an interesting boost to returns. In Episode 173, you can learn about how Future Forex is disrupting the mainstream banks by making international money transfers simpler and more affordable for forex clients.

Future Forex SA (Pty) Ltd is a registered financial services provider, FSP number 51884.

Magic Markets #175: Chipotle Mexican Grill and Wingstop

The Finance Ghost and Moe-Knows — Wed, 15 May 2024 17:07:47 +0000

When quick-service restaurant groups get things right, they really get it right. Fast-growing companies in this sector can achieve rapid expansion because of the franchise model and the oldest trick in the book: using other people's money.

Chipotle Mexican Grill and Wingstop are excellent examples of not just what success looks like in this space, but what investors are willing to pay for that success.

Episode 175 of Magic Markets is brought to you by Future Forex. Listen to Episode 170 for a detailed discussion with co-founder and CEO Harry Scherzer on why South Africans shouldn’t allow their annual offshore investment allowances to go to waste, with crypto arbitrage offering an interesting boost to returns. In Episode 173, you can learn about how Future Forex is disrupting the mainstream banks by making international money transfers simpler and more affordable for forex clients.

Future Forex SA (Pty) Ltd is a registered financial services provider, FSP number 51884.

Magic Markets #174: Electrifying Stocks

The Finance Ghost and Moe-Knows — Wed, 08 May 2024 21:45:00 +0000

The electrification theme is a rare thing, as it dishes up opportunities for value and growth investors alike. Some are buying coal and others are buying renewables, yet the underlying reasons aren’t as different as you might think.

People are using more electricity than ever before and growth in generative AI is just adding to the problem – or opportunity, depending on how you view the world.

To unpack this theme and how they apply it to the AnBro portfolios, Craig Antonie of AnBro joined us for this discussion.

This episode of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

As always, you must do your own research. This podcast is for informational purposes only.

Magic Markets is your ticket to understanding the global stock opportunities available to you. If our free shows pique your interest, the deep dives and a vast library of research into international companies in Magic Markets Premium will do wonders for your knowledge of the markets. Subscribe for just R99/month at this link with no minimum monthly commitment.

Magic Markets #173: Forex at Future Forex

The Finance Ghost and Moe-Knows — Wed, 01 May 2024 21:45:00 +0000

You already know about the crypto arbitrage offerings at Future Forex. If you don’t, refer back to Episode 170 for full details on how to avoid your annual offshore investment allowances going to waste, while generating returns which have consistently outperformed the market.

In this show, Harry Scherzer is back on Magic Markets to discuss their FinTech forex offering that is currently disrupting the mainstream banks.

With a full suite of forex services for individuals and companies alike, Future Forex makes international money transfers simple and cost effective.

Future Forex SA Pty Ltd is an authorised FSP number 51884.

Magic Markets #172: Goldman Sachs and United Health Group

The Finance Ghost and Moe-Knows — Wed, 24 Apr 2024 09:45:00 +0000

Do you need to buy risky stocks to double your money (in dollars) over five years, or can you get the job done with US-based blue chips?

In this episode of Magic Markets, we used Goldman Sachs and United Health as examples of stalwarts in their respective industries that have delivered excellent returns to shareholders. As good examples of buy-and-forget stocks, learning about these companies helps with offshore portfolio construction.

Episode 172 of Magic Markets is brought to you by Future Forex. Listen to Episode 170 for a detailed discussion with co-founder and CEO Harry Scherzer on why South Africans shouldn’t allow their annual offshore investment allowances to go to waste, with crypto arbitrage offering an interesting boost to returns.

Future Forex SA (Pty) Ltd is a registered financial services provider, FSP number 51884.

Magic Markets #171: Foot Locker and Nike

The Finance Ghost and Moe-Knows — Wed, 17 Apr 2024 21:45:00 +0000

Foot Locker and Nike: friends, but also enemies. Foot Locker is Nike’s customer, yet Foot Locker’s customers are also Nike’s customers. Nike’s customers are Foot Locker’s customers.

As you can see, there’s only one way to describe the relationship status here: complicated.

Foot Locker has been the love-to-hate stock that value investors sometimes dip into. Nike has been a growth investor favourite, yet the stock really hasn’t done well either.

Is the balance of power in this industry shifting back in favour of wholesalers? If so, what could it mean for these companies?

Episode 171 of Magic Markets is brought to you by Future Forex. Listen to Episode 170 for a detailed discussion with co-founder and CEO Harry Scherzer on why South Africans shouldn’t allow their annual offshore investment allowances to go to waste, with crypto arbitrage offering an interesting boost to returns.

Future Forex SA (Pty) Ltd is a registered financial services provider, FSP number 51884.

Magic Markets #170: Crypto Arbitrage - Don't Let Your Annual Allowance Go To Waste (with Future Forex)

The Finance Ghost and Moe-Knows — Wed, 10 Apr 2024 19:29:18 +0000

Harry Scherzer (co-founder and CEO of Future Forex) is back on Magic Markets to update us on the crypto arbitrage opportunity that Future Forex offers to clients.

Having processed more than R22 billion on behalf of clients since inception, Future Forex has recently been approved as one of South Africa’s first CASPs (crypto asset service providers), giving further legitimacy to their crypto arbitrage investment’s exceptional track record.

The allowance to invest capital offshore is available to all South Africans every year, yet very few take advantage of the full R11 million available. Crypto arbitrage is an incredibly helpful way to boost your portfolio returns each year, which is why Harry believes that every South African individual should strongly consider this low-risk, high-return opportunity.

Future Forex SA (Pty) Ltd is a registered financial services provider, FSP number 51884.

Magic Markets #169: Accenture and FactSet

The Finance Ghost and Moe-Knows — Wed, 03 Apr 2024 21:45:00 +0000

Accenture and FactSet are great examples of US-listed companies that service a global client base. In the case of Accenture in particular, that client base is immense. FactSet is far more focused, with a product that will be familiar to those working in financial markets.

Both companies have had a disappointing start to the year, falling victim to a market slowdown. Having covered these groups before in Magic Markets Premium, we felt that a relook based on latest numbers was appropriate.

The Finance Ghost dealt with Accenture, a core long in his portfolio. With a strategy built around both organic and inorganic growth, the company is using a dip in client demand as a good time to ramp up bolt-on acquisitions in the market. This is building a stronger group for the next upswing.

Mohammed Nalla covered FactSet, where the group has been transitioning towards annual subscriptions. There’s some concerning growth guidance there, although margins have at least been sustained for now. And of course, there are AI-related initiatives underway as well!

Magic Markets #168: Lululemon and FedEx

The Finance Ghost and Moe-Knows — Wed, 27 Mar 2024 21:45:00 +0000

FedEx and Lululemon have both been covered and recapped on Magic Markets Premium before. We love circling back and revisiting companies that we’ve researched before, as the feedback loop is so important when testing how an investment thesis played out.

The Finance Ghost tackled Lululemon, one of the very best apparel stories on the market. Even the market darlings can take a knock though, with a slowdown in US sales driving a nasty drop in the share price. Is the business broken, or is this just a short-term wobbly?

Mohammed Nalla covered FedEx, starting with how the technical indicators played out vs. what we indicated in our research. He then worked through the segmental performance to bring us up to date on company performance.

Magic Markets #167: Hidden Growth Gems - Madrigal and Myomo

The Finance Ghost and Moe-Knows — Wed, 20 Mar 2024 21:45:00 +0000

For those who have been with us since the very beginning of Magic Markets, Moe’s blue hoodie is back! Well, a blue hoodie is back, even if it’s not the same one as before.

Justine Brophy is also back, bringing us the latest thinking from AnBro Capital Investments. As is usually the case, these are growth stocks that almost certainly aren’t on your radar. Investing in these stocks requires deep research, sensible position sizing and an appreciation of the valuation metrics used in this space.

In this show, he took us through Madrigal (the company that has won the “MASH dash”) and Myomo, a neurological mobility company. If you enjoy learning about new companies and sectors of the market that you haven’t looked at before, then you’ll absolutely love listening to Brophy talking about these stocks with us.

Episode 167 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

As always, you must do your own research. This podcast is for informational purposes only.

Magic Markets #166: Are Chips the New Oil? - Saudi Aramco and Broadcom

The Finance Ghost and Moe-Knows — Wed, 13 Mar 2024 21:45:00 +0000

Are chips the new oil? And no, we aren’t talking about oily chips, so take your junk food cravings elsewhere, like to last week’s show on Domino’s Pizza!

In this show, Saudi Aramco and Broadcom were the focus areas. It would’ve been too obvious to choose Nvidia.

The Finance Ghost dealt with Saudi Aramco, which has the uninspiring stock ticker 2222. That’s where the boring stuff ends, as the company boasts a highly impressive array of vertically integrated operations that go beyond just oil. There’s no denying the fact that oil is the cash cow though, and there’s a lot of cash coming out of the desert.

Mohammed Nalla brought Broadcom to the show, starting with what the company actually does and the core strength in the data centre industry. Broadcom is more than just a semiconductor (or chips) business. It may not pump oil out of the ground, but the business does operate at strong margins. With a diversified model though, the company has only partially benefitted from the huge growth in semiconductors. The dividend yield remains very low, so the market is pricing in a lot of growth.

Join us in this show for an excellent overview of the recent performance and trends at these companies.

Magic Markets #165: Domino's Pizza and Monster Beverage

The Finance Ghost and Moe-Knows — Wed, 06 Mar 2024 21:45:00 +0000

With pizza and energy drinks on the menu, this isn’t the healthiest episode of Magic Markets – at least not for your body. As for your portfolio, there’s a lot to sink your teeth into here.

The Finance Ghost covered Domino’s Pizza, starting with a strategic analysis on why these types of businesses are doing so well in the modern world of ultra busy, dual-income households. A comparison of Domino’s and other global quick-service restaurants to JSE-listed peers over the past 10 years tells a shocking story of SA vs. global growth.

Mohammed Nalla took on Monster Beverage Corporation, which is one of those companies that regularly hurts those who are brave enough to go short – like Moe. With ongoing product innovation, the company has managed to unlock further growth. But just how much energy can it possibly have left in the tank?

Magic Markets #164: Cashbuild, Italtile and Home Depot

The Finance Ghost and Moe-Knows — Wed, 28 Feb 2024 21:45:00 +0000

This episode of Magic Markets is brought to you by data and process automation specialists B2IT. The company makes robots so that people don’t have to be robots. If you hate it, automate it by visiting the B2IT website.

In Episode 164 of Magic Markets, the focus is on home building and DIY stocks. On the global stage, that means Home Depot as one of the best blue chips around. In South Africa, this means Cashbuild and Italtile and all the struggles they are facing in this economy.

To set the scene for those struggles and to remind you why being alert to global opportunities is so important, The Finance Ghost kicked off with a hard-hitting look at South African retail statistics for 2023 across various categories. This makes it clear why Cashbuild and Italtile are taking such strain. He then moved on to recent numbers from these retailers (and retailers in other sectors for context), before finishing off with the outlook for the sector.

Dealing with Home Depot, Mohammed Nalla started with the recent share price performance and how things played out vs. the technical levels we had identified in Magic Markets Premium. He also took a closer look at the trend in margins and the deterioration in metrics that doesn’t seem to be reflected in the share price. Has the valuation run away from the reality here?

If you enjoy learning about the strategies used by global companies, then you’ll love Magic Markets Premium with a library of around 120 reports and podcasts with even more detail and depth. You can get access to all our work for just R99/month at this link.

Magic Markets #163: Airbnb and Shopify

The Finance Ghost and Moe-Knows — Wed, 21 Feb 2024 21:45:00 +0000

Platform businesses are fascinating things that can make a great deal of money at scale. This week in Magic Markets Premium, we covered Uber and its emergence as a financial butterfly in literally the last year. To keep the platform theme going, we decided to cover Airbnb and Shopify in this week’s free Magic Markets show, made possible by B2IT.

The Finance Ghost tackled Airbnb, with the company making a lot of noise about expanding beyond the core business this year. As yet, they haven’t released any details of what this actually means. If Airbnb just focuses on what it does best, the growth runway remains very long and interesting. It seems as though the platform is close to running at scale-level margins, so any efforts to add more products to the platform could be the growth burst that the story needs – especially at the current valuation.

Mohammed Nalla delved into Shopify, a company we’ve also covered on Magic Markets before. The company is growing, but goodness knows they have to grow to get anywhere close to justifying the current revenue multiple – one which makes the rest of the tech sector look positively cheap. There are question marks around the sustainability of the recent positive free cash flow trend as well, so the valuation of Shopify seems to still be running ahead of the story.

Magic Markets #162: Momentum in Alternative Assets

The Finance Ghost and Moe-Knows — Wed, 14 Feb 2024 21:45:00 +0000

In a world where investors are seeking alpha in their portfolios, alternative assets are resonating with clients looking for private market investment opportunities. Westbrooke Alternative Asset Management is focused on what they call “South African connected capital” - and they now manage more than R12bn of this capital!

In this podcast with Dino Zuccollo, Head of Investor Solutions at Westbrooke, the Magic Markets hosts delved into topics including:

The extensive activity in the portfolios and the different types of mandates run by Westbrooke, ranging from the flagship Yield Plus fund through to private equity, solar and other opportunities.
In an environment of shrinking opportunities in public markets, the growing trend of institutional support for alternative assets and the due diligence that was required for this to become a reality.
The importance of alternative assets in facilitating flows through the financial system from investors to those seeking capital for opportunities.
Why the provision of a secondary market is difficult for alternative assets and how liquidity risks are handled by the investment manager.
The increasing popularity of tax-enhanced investing in response to fiscal incentives for the installation of rooftop solar in South Africa.
An overview of the type of real estate transactions in which Westbrooke looks to participate.
How the credit loss ratio in the private debt portfolios compares to the ratios reported by large corporate banks.
Why investing alongside other professional investment houses in private equity deals is a popular approach.

For more information on Westbrooke’s alternative asset strategies, be sure to visit www.westbrooke.com to find out more. You can also find Westbrooke on X (@WAAM_SA) or on LinkedIn. Westbrooke Alternative Asset Management is an authorised Financial Services Provider, FSP number 46750.

Note: you must do your own research and consult with a financial advisor to determine if an investment in alternative assets is suitable for you. Nothing you hear in this podcast should be construed as advice.

About Westbrooke:

Established in 2004, Westbrooke is a multi-asset, multi-strategy manager and advisor of alternative investment funds and co-investment platforms. We have a heritage as a shareholder and operator of assets and invest our own capital alongside our investors in Private Debt, Hybrid Capital, Real Estate and Private Equity in South Africa, the UK and the USA.

We provide investors with a unique gateway to private market alternative investment opportunities which are traditionally difficult to access.

Investors benefit from the depth of experience and quality of our investment teams, who apply the Westbrooke Investment & Risk Philosophy and Approach to everything they do. This, together with our highly aligned financial interests, our heritage as an owner and operator of assets, our multi-decade track record of performance and our focus on capital preservation provides our investors with a unique advantage. Invest with the Westbrooke Advantage.

Magic Markets #161: Meta and Microsoft

The Finance Ghost and Moe-Knows — Wed, 07 Feb 2024 21:45:00 +0000

Zuck you money. In Satya Nadella we trust. You’ll hear these things on this show, with the hosts focusing on two of the most exciting technology companies in the world.

Moe took on Meta, a love/hate stock for so many in the market. It’s been all about the love recently though, with an exceptional share price run. Zuckerberg’s initial Metaverse ambitions terrified investors and with good reason. A lot has changed since then, not least of all the market’s focus on Artificial Intelligence. With a clever pivot into focusing on the AI elements of the technology rather than the concept of a Metaverse itself, Meta is back in vogue. But will it last?

The Finance Ghost covered Microsoft, his favourite stock of them all. The strength of Microsoft lies in the recurring revenue profile with an enterprise client base. This gives great revenue visibility and continuity, along with the ability to keep increasing prices. The cloud cash cow gives Microsoft the ultimate war chest for further acquisitions, which is why Microsoft touches practically every part of the market.

If you enjoy learning about the strategies used by global companies, then you’ll love Magic Markets Premium with a library of over 115 reports and podcasts with even more detail and depth. You can get access to all our work for just R99/month at this link.

Magic Markets #160: Tesla and Volkswagen

The Finance Ghost and Moe-Knows — Wed, 31 Jan 2024 21:45:00 +0000

From shoes to cars – this week, we tackle Tesla and Volkswagen. After some important debate on whether Tesla makes ugly cars or not, we got serious about the financial performance.

In the interests of a more balanced view, Tesla-permabear The Finance Ghost stayed away from that company and let Mohammed Nalla cover the Cult of Musk. After running through the technicals on the share price and particularly the recent pressure, Moe worked through the revenue and production stats, as well as a summary of the best performers in this sector.

In Volkswagen, our resident ghost explained that the EV theme is still coming through strongly in this company, which is a good and a bad thing. One of the most interesting elements of the Volkswagen story is the different operating margins across the various brands. Perhaps unsurprisingly, they make far more margin at Porsche than in Volkswagen. That hasn’t helped the post-IPO performance of Porsche, which has suffered badly from high expectations in the market.

Start your engines (or batteries) and join us in this episode of Magic Markets, brought to you by B2IT.

Magic Markets #159: Crocs and Birkenstock

The Finance Ghost and Moe-Knows — Wed, 24 Jan 2024 21:45:00 +0000

In this episode of Magic Markets, we dug in the back of our cupboards for the shoes we are too embarrassed to wear. Perhaps we just aren’t fashionable enough, as there are many celebrities wearing Birkenstocks. As for Crocs, there are few who would put those on a pedestal for beautiful design.

Moe covered Crocs in this show, starting with a recap of some of the points we covered when issuing our Magic Markets Premium report on Crocs some time ago. As much as we can joke about the shoes, they do a solid job of selling them – along with accessories as well. Revenue guidance for 2024 is muted though, particularly in the Hey Dudes brand.

Ghost took on the responsibility of Birkenstock, which executed its IPO just a few months ago. It was a disaster initially but has subsequently recovered. When you dig into the numbers, you find quite an astonishing story and many strategic similarities to some of Nike’s best recent decisions. The valuation is huge and the share price has been volatile, but the underlying business has an exceptional track record.

Of the two ugly shoe contenders, which one is a buy? And does Birkenstock make a decent case for itself to be covered in Magic Markets Premium at some stage? Listen to this podcast to find out.

If you enjoy learning about the strategies used by global companies, then you’ll love Magic Markets Premium with a library of over 110 reports and podcasts with even more detail and depth. You can get access to all our work for just R99/month at this link.

Magic Markets #158: Citigroup and Bank of America

The Finance Ghost and Moe-Knows — Wed, 17 Jan 2024 21:45:00 +0000

With US earnings season underway and the most famous Wall Street banks having released results, we couldn’t resist digging into two such banks and the recent earnings. Instead of picking the obvious ongoing winner JPMorgan, we decided to delve into Bank of America and Citigroup instead.

At Bank of America, earnings are down sharply year-on-year. If you dig more deeply, you find that once-off charges plagued the numbers. We’ve seen this across several of the banks in this reporting cycle. There’s also been a negative impact from Bank of America having piled into long-dated securities during the pandemic. Time has proven this to be the wrong strategy. As part of his review of the results, Moe also dealt with credit loss provisioning and various other important metrics at the bank.

The Finance Ghost tackled Citigroup, where they can only dream of having positive earnings. It’s all about the restructuring process and a significant decrease in headcount. This makes for ugly headlines and pretty share price charts, at least over the past few months as the market started to get excited about the turnaround. Citigroup has been restructured into five business units and some of them are real laggards in the market. They have some excellent businesses as well, like the Treasury and Trade Solutions (TTS) operation that Citi is best known for. Thanks to the restructure, there’s now visibility on all of this.

And for a very unexpected conclusion, Ghost reckons that perhaps the best exposure you can take to financial services is by buying a technology company instead!

If you enjoy learning about the strategies used by global companies, then you’ll love Magic Markets Premium with a library of over 100 reports and podcasts with even more detail and depth. You can get access to all our work for just R99/month at this link.

Magic Markets #157: Pandora and Swatch

The Finance Ghost and Moe-Knows — Wed, 10 Jan 2024 21:45:00 +0000

To kick off 2024, we take a look at two businesses that sit adjacent to each other in the speciality retail space. Pandora sells jewellery and Swatch sells watches at various price points.

That brings us neatly to Moe’s first point, which is that Swatch is more than just the colourful and playful watches that you know and possibly love. The group is a hybrid of affluent and luxury brands, like Omega. Of course, this creates a real risk of brand dilution in the luxury space as Swatch attempts to improve the competitiveness of its core affluent offering.

At Pandora, there is no such confusion. The strategy is tight and the core product range of bracelets and accessories is still growing. So are the other lines like necklaces and earrings, contributing to a fantastic share price performance this year that looks completely different to what Swatch went through.

The biggest risk to Swatch is arguably smart watches, with a recent legal dispute with Samsung showing just how “interchangeable” they really are for the average consumer. At Pandora, the risk sits more in the valuation than anything else at the moment, although the share price has had a highly volatile history over the past decade.

Magic Markets #156: Oracle and Adobe

The Finance Ghost and Moe-Knows — Wed, 20 Dec 2023 21:45:00 +0000

In the final Magic Markets episode for 2023, hosts Mohammed Nalla and The Finance Ghost covered two global technology companies that sit adjacent to some of the more talked about names.

Moe covered Oracle, giving an overview of the business (as many are familiar with the name but not the products) and details on their acquisition of Cerner during the pandemic to push into the healthcare market. He also looked at Oracle’s latest financial performance and the disappointing guidance given to the market. This leads into a discussion on why the share price has underperformed tech peers.

Ghost covered Adobe, starting with the exceptional share price volatility over the pandemic. The pressure to grow is driving a desire for acquisitions, but regulators are making that difficult and the major deal to acquire Figma has collapsed. Thankfully, the core business is doing exceptionally well and they’ve just capped off a record period for revenue – a big deal when you remember that their revenue is mainly recurring in nature. And although Adobe’s share price has done well, there are some areas where analysts picked on concerns in the growth story.

This festive season, why not give the gift of knowledge? The Magic Markets Premium library is a treasure trove of company research, with well over 100 reports and podcasts that dig deeply into the world’s most famous companies (and a few you haven’t heard of as well). For just R99/month or R990/year, you can take your investment knowledge to the next level by subscribing here.

This episode of Magic Markets is brought to you by B2IT data and process automation specialists. The company makes robots so that people don’t have to be robots.

If you hate it, automate it with B2IT by visiting the website at this link.

Magic Markets #155: Lululemon and SA Fashion Retail

The Finance Ghost and Moe-Knows — Wed, 13 Dec 2023 09:00:00 +0000

Welcome to another insightful episode of Magic Markets. This week, we’re talking about fashion retail. Moe is representing the global north with his choice of athleisure brand Lululemon, while Ghost is keeping things more general with a selection of South African fashion retail brands.

We’ve covered Lululemon a few times in our Premium shows, and initially we were quite excited by some of the innovative strategic moves that this brand was making. What was once a niche player had ascended to global prominence, particularly during the height of the pandemic. Having established dominance over its home market, Lululemon got a taste for acquisitions – and that, unfortunately, was one step too far. We’ll get into the details in the podcast, but let’s just say that the purchase of Mirror came with a much heftier price tag than this company expected.

Back on South African shores, Ghost is getting into the strategies behind local retailers. In a market where "pure play" is a rarity, we find retailers like Mr. Price and The Foschini Group acquiring businesses outside of their core businesses, creating a mosaic of offerings ranging from affordable fashion to upmarket homeware. The resulting diversity poses challenges for investors attempting to discern the core identity of each retail giant. Are there structural reasons in the South African market why this is happening?

This episode of Magic Markets is brought to you by B2IT data and process automation specialists. The company makes robots so that people don’t have to be robots.

If you hate it, automate it with B2IT by visiting the website at this link.

Magic Markets #154: Dis-Chem and Ulta Beauty

The Finance Ghost and Moe-Knows — Wed, 06 Dec 2023 21:45:00 +0000

Welcome to episode 154 of Magic Markets. We're diving deep into the beauty sector this week, exploring stocks that bring a touch of glam to the market scene.

Moe has his sights set on Ulta Beauty, the US-based beauty specialist retailer. After trading at around $546 a share back in April 2023, Ulta Beauty has seen some sharp moves, corrections, and a bounce. Moe takes us through the technical details, emphasising the importance of key support levels and the dynamics between fundamental results and market sentiment.

Ghost chose to delve into the South African beauty scene, focusing on Dis-Chem, the pharmacy group that is more than just a pharmacy: it's a beauty and healthcare haven. Unlike arch-rival Clicks, Dis-Chem has included dispensaries in the strategy since day one. This might explain why the market share over-indexes on front shop categories like medical suppliers, whereas Clicks is strong in small appliances. By also covering several other elements of the Dis-Chem business model (including the acquisition of Baby City), Ghost delivers insights that can be applied when assessing any retailer.

This episode of Magic Markets is brought to you by B2IT data and process automation specialists. The company makes robots so that people don’t have to be robots.

If you hate it, automate it with B2IT by visiting the website at this link.

Magic Markets #153: MultiChoice and Comcast

The Finance Ghost and Moe-Knows — Wed, 29 Nov 2023 21:45:00 +0000

Welcome to Magic Markets Episode 153, brought to you by B2IT. In this episode, we're dipping our toes into the dynamic world of media and streaming as we discuss Comcast and MultiChoice.

Dive in with us as we answer questions like:

Is there more than one way to invest in MultiChoice?
There’s an innovative approach behind Comcast's Peacock streaming service, and it’s paying off with 60% year-on-year revenue growth. How does their experimentation with ad-supported tiers set them apart in the evolving world of streaming?
What's driving MultiChoice's subscriber growth in the face of challenges like load shedding, and how does their emphasis on local content play a pivotal role in retaining viewers?
There’s a strategic partnership unfolding between Comcast and MultiChoice – one that could potentially bring English Premier League football to Africa. What implications does this have for the different potential entry points into MultiChoice?
How does MultiChoice navigate the competitive streaming landscape, and what strategies are they employing to adapt to changing viewer habits, especially with the surge in popularity of platforms like Netflix and Disney+?
How does Comcast compare to some of its listed peers, and is Disney still the eternal disappointment?

This episode of Magic Markets is brought to you by B2IT data and process automation specialists. The company makes robots so that people don’t have to be robots.

If you hate it, automate it with B2IT by visiting the website at this link.

Magic Markets #152: Walmart and Target

The Finance Ghost and Moe-Knows — Wed, 22 Nov 2023 21:45:00 +0000

In episode 152 of Magic Markets, we’ve lined up a battle of the retail giants – Target vs. Walmart. Although we haven’t covered the former yet in Magic Markets Premium, we’ve covered Walmart and some of its largest competitors, like Costco.

Here’s just a taste of what was discussed:

Ghost kicks us off with a very helpful lesson on why we should look at constant currency numbers when discussing businesses with an international footprint, such as Walmart. Hint: forex volatility will really skew your outlook on how a business is actually performing.
Target has raised its midpoint for its full-year guidance by 9%, The growth story is looking good – particularly for a retailer – and Moe is ready to unpack not only the reasons behind the growth, but the trends behind certain product categories.
Just how sticky is inflation, really? There’s some narrative from Walmart that suggests that relief could be on the horizon.
When asked which of these two retailers they would buy, Moe and Ghost chose names like Costco and TJX. Technically that’s cheating, but they might just get away with it because they’ve given good reasons for their choices.

This episode of Magic Markets is brought to you by B2IT data and process automation specialists. The company makes robots so that people don’t have to be robots.

If you hate it, automate it with B2IT by visiting the website at this link.

Magic Markets #151: Balwin, Calgro M3 and D.R Horton

The Finance Ghost and Moe-Knows — Wed, 15 Nov 2023 21:45:00 +0000

Welcome to episode 151 of Magic Markets! This week, we’ve got property on our minds – buying it, renting it and even building it from the ground up. While Ghost is bringing homegrown insights from locally listed property investors Balwin (primary focus) and Calgro M3 (additional commentary), Moe is discussing DR Horton (no relation to Dr. Seuss), a home construction company headquartered in Arlington, Texas.

Brought to you by our sponsors B2IT, this is an important episode not only for those who are thinking of investing in property companies, but also for those who are thinking of investing in property itself.

We covered the following questions and more:

Year-to-date, DR Horton is up far more than you might guess, despite this inflationary environment. What does this performance teach us about combining macro analysis with a view from the bottom up?
Despite the fact that Ghost is discussing a company in the property sector, he has a lot to say about public transportation and vehicle finance. What would the connection between those two things be?
Why is Balwin, which targets an upper-to-mid LSM, lagging behind Calgro M3 and its lower income consumers?
Why is America dealing with a chronic housing shortage, and how does that affect a homebuilding company like DR Horton?

This episode of Magic Markets is brought to you by B2IT data and process automation specialists. The company makes robots so that people don’t have to be robots.

If you hate it, automate it with B2IT by visiting the website at this link.

Magic Markets #150: Revisiting Dexcom

The Finance Ghost and Moe-Knows — Wed, 08 Nov 2023 21:45:00 +0000

Welcome to another exciting episode of our podcast featuring Justine Brophy from AnBro, a voice familiar to listeners.

This week, we're revisiting Dexcom as a stock that AnBro holds in its Unicorn portfolio. It’s great to be able to track the journey of a specific stock through a volatile market, with Justine regularly coming onto the show to use it as a good example of how the team at AnBro reacts to market dynamics.

Specifically, we discussed:

What has caused the recent market turbulence and has the narrative from the Fed changed?
What does Dexcom do?
Why does AnBro remain invested in the stock, despite a headache-inducing rollercoaster ride from $112 to $74 and back to $96 per share?
What factors are contributing to the company’s revenue growth and margin improvements?
What does the competitive landscape look like for Dexcom and is there risk of market entry by a wearables powerhouse like Apple?

If you enjoy learning about the strategies used by global companies, then you’ll love Magic Markets Premium with a library of over 100 reports and podcasts with even more detail and depth.. You can get access to all our work for just R99/month at this link.

Episode 150 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

Magic Markets #149: Amazon and Alphabet

The Finance Ghost and Moe-Knows — Wed, 01 Nov 2023 21:45:00 +0000

Welcome to episode 149 of Magic Markets. It’s the middle of US earnings season, and two international tech giants have released results last week. This is a tale of two stocks, with one garnering a very positive reaction from the market and the other… well, not so much.

Join us as we discuss Amazon and Alphabet (the holding company of Google), answering the following questions along the way:

Something has happened that has swung the market’s opinion on Amazon this year. Has Artificial Intelligence won the hearts of investors, or is something else afoot? Could it be free cash flows?
When we covered Alphabet a little over a year ago, we concluded that the stock was cheap on its trailing multiple, but not on its forward multiple, and we highlighted the fact that a weaker dollar might actually help this company out. Did our predictions come true? And how did old favourite Microsoft perform in comparison?
AWS is seen as the jewel in Amazon’s crown. Can we explain this using margin mix, which means comparing the margins in AWS to the eCommerce business?
How is the core advertising business at Alphabet performing relative to the rest of the group? And is the group making progress with Artificial Intelligence?
Can we learn anything about investing from cats and dogs?
And of course – if we could only pick one of these companies, which would we pick? Are there any other insights about the US market?

And remember, for deep insights into global companies, our Magic Markets Premium research library has over 100 reports and podcasts with even more detail and depth. You get all of it, along with a new report each week, for just R99/month at this link.

This episode of Magic Markets is brought to you by B2IT data and process automation specialists. The company makes robots so that people don’t have to be robots.

If you hate it, automate it with B2IT by visiting the website at this link.

Magic Markets #148: Tesla and Netflix

The Finance Ghost and Moe-Knows — Wed, 25 Oct 2023 21:45:00 +0000

Welcome to episode 148 of Magic Markets, made available to you by our friends at B2IT. This week, we cast our eyes beyond our local borders to bring you insights from two heavy hitters in the international market: Netflix and Tesla.

These household names are making major moves and stirring up emotions as a result, with Tesla hyping up the Cybertruck while Netflix is all about ad-supported tiers. Beyond these points, we also discussed the following questions:

Ghost is bearish on Tesla but trying his best to stay objective. Will the fact that the company is still free cash flow positive sway him, or are the holes in the gross margin story too big to be overlooked?
Netflix has seen strong subscriber growth, resulting in free cash flow up at $6.6 billion. Is this enough to tempt Moe to get back in?
There’s a lot of potential market share out there for Tesla to win. But is the Cybertruck the way to win it?
Netflix has finally played the price increase card, and the market is loving it. But are password-sharing users actually converting?

This episode of Magic Markets is brought to you by B2IT data and process automation specialists. The company makes robots so that people don’t have to be robots.

If you hate it, automate it with B2IT by visiting the website at this link.

Magic Markets #147: Tips For Trading with Garth Mackenzie

The Finance Ghost and Moe-Knows — Wed, 18 Oct 2023 21:45:00 +0000

Brought to you by B2IT, special guest Garth Mackenzie of the Talking with Traders podcast and Traders Corner platform joined us to discuss whether traders can still make money in a challenging market.

The short answer: yes, they can. And sometimes, the answer is to be short!

Topics covered include:

How do you keep your head in check when the markets deliver blows and everyone seems to be winning but you?
What happened to the “When Lambo?” banter of the pandemic and how does this tie into the broader environment that we saw for a while in low interest rates?
Many people hold on to the dream of learning trading and making a lot of money from it, but for how many does that dream actually become a reality?
Why are there so few traders making a full-time living from this?
Why is it important to find a trading style that matches your personality type?

This episode of Magic Markets is brought to you by B2IT data and process automation specialists. The company makes robots so that people don’t have to be robots.

If you hate it, automate it with B2IT by visiting the website at this link.

Magic Markets #146: McCormick and SA Food Stocks

The Finance Ghost and Moe-Knows — Wed, 11 Oct 2023 21:45:00 +0000

In Episode 146, Magic Markets digs into the food producer industry. This hasn’t been a great place to put your money during this period of heightened inflation, as consumer pressures tend to flow up through the value chain.

We are celebrating 100 research reports and podcasts in Magic Markets Premium. Use the coupon MAGIC100EPS on checkout for an annual Magic Markets Premium subscription and save R100. This means you’ll pay just R899 for 12 months – or under R75 per month!

As usual, we lean on our research in Magic Markets Premium for the global choice in this show, with Moe covering McCormick (20% market share in the spices and seasoning market in North America). The Finance Ghost chose a selection of South African food producers to talk about, indicating the pressures in the industry.

Specifically, the hosts talked about:

The severe inflationary pressures in food (including in staples) and the impact this has on consumers.
The double top in McCormick that seems to be coming into play, with deteriorating fundamentals (specifically in margins and resultant pressure on profits) adding to the bear case.
A look at whether our original pick of PepsiCo vs. McCormick was the right call on a relative and absolute basis.
The substantial drop in sales in Asia Pacific at McCormick, a good example of how geographical diversification doesn’t always work out well.
The usefulness of blue Dorito’s as an index for all bad calorie decisions (!)
The reason why none of the South African listed food producers have “chicken” or “poultry” in their names, with a discussion on how the law of small numbers can explain significant volatility in profits and why this industry is facing such headwinds.
AVI has a great example of how a good company doesn’t always translate to an enjoyable share price performance, particularly where valuation multiples unwind.
Overall bearishness on the sector in South Africa, specifically with reference to trends in private label products at retailers and on-demand shopping.

This episode of Magic Markets is brought to you by B2IT, data and process automation specialists. The company makes robots so that people don’t have to be robots.

If you hate it, automate it with B2IT by visiting the website at this link.

Magic Markets #145: Southern Sun and Carnival Corporation

The Finance Ghost and Moe-Knows — Wed, 04 Oct 2023 21:45:00 +0000

The hospitality game is all about occupancy and pricing and getting those two things right. Just because we’re talking about the travel and leisure industry this week, doesn’t mean you can just sit back, kick up your feet and watch your investments compound. Join us on a deep dive into Carnival Corporation and Southern Sun, as we ask and answer the following questions:

Carnival Corporation just posted its first profit since 2020. So why is the stock still falling sharply?
Leisure travel is where it’s at for Southern Sun – but does that mean that business travel is a complete dud?
The cruise ship posse seem to be making impressive gains in the short term – but does that mean that they can beat their land-based competitors at the long game?
Is there a market for conferences on cruise liners?

Magic Markets Premium subscribers will remember that we’ve spoken about Carnival Corporation and their fight to stay afloat before. To access that show and a wealth of others, sign up to become a Premium subscriber today.

This episode of Magic Markets is brought to you by B2IT, data and process automation specialists. The company makes robots so that people don’t have to be robots.

If you hate it, automate it with B2IT by visiting the website at this link.

Magic Markets #144: JP Morgan and Standard Bank

The Finance Ghost and Moe-Knows — Wed, 27 Sep 2023 21:45:00 +0000

In this exciting episode of Magic Markets, we delve into the captivating world of finance and banking, focusing on a heavyweight showdown between two financial giants: JP Morgan, the original titan of banking, and Standard Bank, a formidable local hero in its own right. This clash of financial titans promises to be a battle of financial wits, global reach versus local expertise, and a testament to the evolution of the banking industry.

Join us as we answer the following questions:
• JP Morgan is up 8% on a year-to-date basis - could it be possible that Standard Bank is up even further than that?
• If Capitec Bank is the Margarita of pizzas, what does that make Standard Bank?
• What is the endowment effect, and how is it helping banks when interest rates are going up?
• Should we be heeding JP Morgan CEO Jamie Dimon’s warnings about stagflation & a 7% FED funds rate?

Magic Markets Premium listeners will remember that we’ve uncovered a lot of what makes JP Morgan tick in one of our previous Premium reports. To access that research as well as our full library of over 100 companies, upgrade to Premium today.

This episode of Magic Markets is brought to you by B2IT, data and process automation specialists. The company makes robots so that people don’t have to be robots.

If you hate it, automate it with B2IT by visiting the website at this link.

Have we piqued your interest? Are you hungry for more? If so, you can opt in for more insights into specific global stocks when you sign up for Magic Markets Premium for just R99/month.

Magic Markets #143: Adobe and Salesforce

The Finance Ghost and Moe-Knows — Wed, 20 Sep 2023 21:45:00 +0000

Welcome to episode 143 of Magic Markets! Continuing with our new format, we explore two tech giants with cloud software-as-a-service models.

Adobe, often called "Microsoft for creatives," has delivered strong recent returns and has some rather exciting developments in Artificial Intelligence (AI). Salesforce is also brilliantly positioned for AI, so the companies have more in common than you might think.

With topics ranging from the passing of Adobe’s founder through to the substantial improvement in operating margin at Salesforce, this show also includes an overview of recent trading performance. Perhaps most importantly, we each picked out favourite at the end.

Which would you choose? Adobe for its solid product set and financials, or Salesforce for its AI potential and broad reach?

This episode of Magic Markets is brought to you by B2IT, data and process automation specialists. The company makes robots so that people don’t have to be robots.

If you hate it, automate it with B2IT by visiting the website at this link.

Have we piqued your interest? Are you hungry for more? If so, you can opt in for more insights into specific global stocks when you sign up for Magic Markets Premium for just R99/month.

Magic Markets #142: Investing in the World's Biggest Brands - BRNDZ

The Finance Ghost and Moe-Knows — Wed, 13 Sep 2023 21:45:00 +0000

Welcome to episode 142 of Magic Markets, where the numbers keep getting bigger, just like the world's biggest brands featured in this show.

Justine Brophy from AnBro is here to talk about a groundbreaking investment opportunity. Together, we dive into a portfolio that provides exposure to the world's top 100 brands by brand value, ranging from household names like Apple and Google to global giants like China Mobile and UPS.

When we say this info is hot off the presses, we mean it – the product is only set to launch on September 20th!

We’ll tell you how it works and where you can find more information about it. Don't miss this chance to explore the world's biggest brands with Magic Markets!

Episode 142 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

Have we piqued your interest? Are you hungry for more? If so, you can opt in for more insights into specific global stocks when you sign up for Magic Markets Premium for just R99/month.

Magic Markets #141: Lululemon and Ulta Beauty

The Finance Ghost and Moe-Knows — Wed, 06 Sep 2023 21:45:00 +0000

Welcome to episode 141 of Magic Markets. In this episode, we dug through the latest earnings transcripts of two intriguing global companies: Lululemon and Ulta Beauty.

Lululemon, the pioneer of athleisure, is known for its premium yoga pants and impressive growth. Back in April 2022, we discussed this stock when it was trading around $377, and we were concerned about lofty valuations back then. After correcting to levels we liked by the time of our recap in December 2022, the stock rebounded strongly.

The recent Q2 results showcased impressive revenue growth at 18%, surpassing expectations. Lululemon's strong direct-to-consumer sales at 40% of total revenue demonstrate the strength of the brand and its resilience in the affluent market.

Ulta Beauty, often compared to South Africa's Clicks, offers a range of health and beauty products. Their strategy includes store expansion through partnerships, like the 62 Ulta Beauty at Target shops that they opened in a single quarter. However, post-pandemic, the makeup category has seen slower growth, while hair salons and services have thrived.

Both companies boast robust gross margins, with Lululemon at 58.8% and Ulta Beauty benefiting from the lucrative health and beauty categories. It all looks good on paper – but will these companies keep riding the wave, or end up splashing in the shallows?

Have we piqued your interest? Are you hungry for more? If so, you can opt in for more insights when you sign up for Magic Markets Premium for just R99/month.

Magic Markets #140: Crocs and Nike

The Finance Ghost and Moe-Knows — Wed, 30 Aug 2023 21:45:00 +0000

In the ever-evolving world of footwear, two feuding giants stand tall: Crocs and Nike. These industry titans have recently unveiled their latest financial results, sending ripples across the market. In this podcast, we’ll be discussing their performance and strategies with a look through to the work we’ve uncovered on both brands in the Magic Markets Premium library. So, lace up or slip into your favourite pair as we answer the following questions:

Crocs delivered a positive surprise when we first covered it in December 2022. Were they able to keep the momentum going?
Is “meh” a genuine technical term used to describe a stock’s performance, or is Moe talking nonsense?
New kid Hey Dude is an important part of the Crocs story – but is it making enough money to justify its adoption into the brand?
Nike is embracing the digital age. Why is this bad news for retailers?
Nike is making some very assertive claims about their ability to not only grow sportswear, but sport itself. Does the growth story support these claims?
One of these two brands achieved growth of 371% over the last 5 years. Can you guess which one it is?

Have we piqued your interest? Are you hungry for more? If so, you can opt in for more insights when you sign up for Magic Markets Premium for just R99/month.

Magic Markets #139: Disney and Yum! Brands

The Finance Ghost and Moe-Knows — Wed, 23 Aug 2023 21:45:00 +0000

As the earnings season in the US draws to a close, it's the perfect moment to reflect on two unrelated but undeniably interesting companies that have been on our radar. The ever-evolving nature of the markets teaches us that what made sense a year ago can be dramatically different today.

In this week’s episode of Magic Markets, we’re diving into Disney and Yum! Brands to see how they've fared since our last discussion.

Some of the points we discussed include:

Is Disney losing the plot when it comes to new content?
Theme parks attendance is down – is this a reflection of consumers under pressure?
Disney is cracking down on password sharing – will this result in a better outcome on the bottom line
What do LeBron James and a purple tastebud-shaped mascot have in common?
Burger King and McDonald’s are making moves on fried chicken. Should KFC be worried?
Value meals are great for cash-strapped consumers – but could they spell the end for independent operators?

Have we piqued your interest? Are you hungry for more? If so, you can opt in for more insights when you sign up for Magic Markets Premium for just R99/month.

Magic Markets #138: Caterpillar and Home Depot

The Finance Ghost and Moe-Knows — Wed, 16 Aug 2023 21:45:00 +0000

In this week’s episode of Magic Markets, we are changing things up by looking at recent earnings releases in the US. Follow us as we delve into the depths of our Magic Markets Premium library to compare our wealth of research on these companies with their latest releases.

Ghost had lots to say about the latest Caterpillar report, while Moe had thoughts to share on Home Depot. Some of the points up for discussion were:

Why does Caterpillar make the ideal buy-and-forget stock?
Why is a company known for diggers getting excited about electric vehicles?
Home Depot is beating revenue and earnings per share expectations - but the earnings outlook is negative so where's the disconnect?
Home Depot has managed to drop their transport costs - does this tie in with our latest research on logistics giant UPS?
Most importantly, which of these stocks would Moe and Ghost buy?

It’s a peek behind the curtain into our Premium library, free for you to access. If we’ve whet your appetite for more, you can always sign up to Premium and access it all for R99/month.

For more of our work, you can find our free shows here and our Premium library here.
Subscribe here>>>

Magic Markets #137: BESI - Your New Semiconductor Bestie

The Finance Ghost and Moe-Knows — Wed, 09 Aug 2023 09:45:00 +0000

In episode 137 of Magic Markets, we caught up with regular guest Craig Antonie of AnBro Capital Investments to talk about chips. No, not the crunchy kind – the kind of chips that tech stocks live and die by.

After getting AnBro’s perspective on the latest earnings season out of the US and questioning whether the run we’ve seen this year is too much too soon, we proved that Moe isn’t as lucky as he claims and that The Finance Ghost has learnt something about technicals from Magic Markets Premium.

We then got down to the real business: a discussion on BE Semiconductor, with the ticker BESI giving it the cute nickname “Bessie”. It couldn’t be more different to the machine that Lightning McQueen used to fix the road in Cars. Instead, this is the little-known semiconductor stock that is using hybrid bonding and new technology to show that there’s excitement in chips beyond just AI.

We discussed everything from the cyclical nature of semiconductor stocks through to why “bumpy chips” are out and skinny, copper chips are the future.

We ran slightly over our new goal of 20-minute shows, but these chips are particularly tasty. Give your market knowledge a boost with Magic Markets and reap the rewards in your portfolio.

Episode 137 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

For more of our work, you can find our free shows here and our Premium library here.
Subscribe here>>>

Magic Markets #136: Retail Stock Reality

The Finance Ghost and Moe-Knows — Wed, 02 Aug 2023 21:45:00 +0000

In episode 136 of Magic Markets, we kicked off the discussion by talking about retail stocks. They are always relevant to investors because people know the brands and feel like they understand the businesses. Of course, like everything in the market, it’s not quite that simple.

In this action-packed discussion that touched on many different topics, we talked about:

Difficult conditions in South Africa and how they have separated the strong from the weak in the sector, specifically touching on how grocery retail isn’t as defensive as people think it is.
Separating consumer discretionary from consumer staples, especially in a market like the US where there are so many listed companies, with a discussion on recent relative performance of these sectors.
Costco vs. Walmart vs. Loblaws vs. Target in terms of year-to-date performance.
Why it is important to remember that most US-listed retailers have global exposure, certainly to a greater extent than South African listed players.
The Walmart – Flipkart deal.
The Liberty Two Degrees take-private and what investors can learn from that experience and the recent numbers.
How do retailers optimise for eCommerce and what impact does this have on companies like Amazon or Prologis in the real estate market?
The concerning recent trend in shrinkage in the US market.
Cashbuild and its exposure to the worst of South African challenges, with Ellies as an example of a company that should be taking advantage and isn’t.
The split of the Takealot business and the competitive onslaught that it faces from Amazon, with a comment on omnichannel retail as a safer bet and MercadoLibre as an example of how pure-play online can be successful.

There’s a lot in here, yet we covered all these topics in just over 20 minutes. Give your market knowledge a boost with Magic Markets and reap the rewards in your portfolio.

For more of our work, you can find our free shows here and our Premium library here.
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Magic Markets #135: Our Recent Trades

The Finance Ghost and Moe-Knows — Wed, 26 Jul 2023 21:45:00 +0000

We used Episode 135 as an opportunity to talk through some of the trades we’ve each made in our portfolios recently. We focused on global stocks in this show, with reference to Magic Markets Premium research where applicable.

As we always say: we eat our own cooking with that research.

Stocks covered in this show include Microsoft, Apple, Meta, Netflix, Tesla, Disney, TripAdvisor, Carnival Corporation, Visa, Johnson & Johnson, PepsiCo and Yum! Brands.

We also talked about the importance of having different buckets in your portfolio, ranging from solid long-term holds through to more speculative positions.

Magic Markets brings you institutional-level knowledge delivered in a way that is easy to understand. For more of our work, you can find our free shows here and our Premium library here.
Subscribe here>>>

Magic Markets #134: Rate Hikes, Banks and Consumers

The Finance Ghost and Moe-Knows — Wed, 19 Jul 2023 21:45:00 +0000

In a week where Ghost was sick and Moe subsequently fell down the stairs (both are OK), perhaps it was fitting to talk about interest rates and the impact they have on the markets.

We covered topics like:

An update on the current rate cycle
Why countries like South Africa generally follow the Fed hiking cycle
The impact on banks in South Africa of the rate hikes thus far
Whether any of the sectors on the JSE are giving encouraging guidance at the moment

Magic Markets brings you institutional-level knowledge delivered in a way that is easy to understand. For more of our work, you can find our free shows here and our Premium library here.
Subscribe here>>>

Magic Markets #133: Weather, Wheat and Wandile Sihlobo

The Finance Ghost and Moe-Knows — Wed, 12 Jul 2023 21:45:00 +0000

Ar Lecturer Extraordinary at the department of Agricultural Economics at Stellenbosch University and a visiting research fellow at the Wits School of Governance. Suffice to say, he had a lot to teach us in this episode and we were only too keen to learn from him!

We talked about:

The weather – specifically, how weather patterns affect the agricultural industry
Why grain and soy bean stocks are looking healthier than poultry and livestock
The investment case for agriculture in South Africa
Primary vs secondary agriculture businesses
Whether it is still lucrative to stay and farm in South Africa – and what this means for the country’s food security

Magic Markets #132: Activision Acquisition

The Finance Ghost and Moe-Knows — Wed, 05 Jul 2023 21:45:00 +0000

In Episode 132 of Magic Markets, we dealt with cats and water sprayers alongside Call of Duty characters and their strange names. It was entertaining to say the least, with Justine Brophy from AnBro Capital Investments joining us on this show.

What we really dealt with is the role of global competition authorities in the market and how they can have such an impact on stocks, with Microsoft’s proposed acquisition of Activision Blizzard as the obvious example. The Call of Duty reference should now make sense. You’ll have to listen to the show for the cat reference. We talked about:

The strength of the Activision Blizzard intellectual property and why Microsoft wants to buy the group.
The concerns that the regulators have about the transaction in the context of gaming platforms worldwide.
The expectations of the market about the likelihood of an approval in the US and how this might influence regulators elsewhere in the world.
What this all means for valuations in the growth arena and specifically the tech sector, especially as investors continue to bake in the ability for large tech platforms to keep making successful acquisitions in the way that e.g. Meta did over the years.

Episode 132 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

Magic Markets #131: How to Do Your Own Research (DYOR)

The Finance Ghost and Moe-Knows — Wed, 28 Jun 2023 06:09:49 +0000

You want to Do Your Own Research (DYOR), but how does that actually work in practice?

Do you need to look at both technical and fundamental metrics?
What are good examples of these?
What about “insider” buying and selling?
Does your particular trading and investing strategy make a difference to the metrics you need to look at?

We answer these questions and many more in this episode of Magic Markets, sharing our experience from our research in Magic Markets Premium and what works and doesn’t work.

If you want research on global stocks in a format that will truly show you how to DYOR, then consider subscribing to Magic Markets Premium. At just R99/month and with no minimum monthly commitment, why not give it a try? Subscribe here>>>

Magic Markets #130: Capital Structure 101

The Finance Ghost and Moe-Knows — Wed, 21 Jun 2023 21:45:00 +0000

In this episode of Magic Markets, we talked about the “capital stack” in corporates and how they blend debt and equity into a capital structure that works for the business.

After setting the scene with a short discussion on central banks, we covered topics like:
• The equity to debt spectrum, with mezzanine finance in the middle
• Examples of the types of spreads you can expect to see across different sources of capital
• The concept of weighted average cost of capital
• The benefit of having debt in an organisation and how this forces management to focus
• The relationship between debt and other policy decisions, like dividends and share buybacks

Magic Markets brings you institutional-level knowledge delivered in a way that is easy to understand. For more of our work, you can find our free shows here and our Premium library here.

Magic Markets #129: Relief Rallies and Market Emotions

The Finance Ghost and Moe-Knows — Wed, 14 Jun 2023 21:45:00 +0000

With a local relief rally putting many stocks in the green after a horrible few months, we decided to use a “guestless” show to talk about behaviours in the market and some of the differences between the North American and local markets.

We also touched on the importance of trading vs. investing and understanding the different analysis required for different time horizons.

With topics ranging from the rand through to consumer cyclical stocks and the usefulness of industrials in an inflationary environment, this is a perfect example of the conversations that happen in dealing rooms and professional institutions.

At Magic Markets, we give you a ticket to the dealing room to engage with us and learn from our views on the markets.

Magic Markets #128: Five with Trive - Chinese Stocks

The Finance Ghost and Moe-Knows — Wed, 07 Jun 2023 21:48:49 +0000

Alex Weiss of Trive South Africa is back with another five stocks around a central theme. In this case, the theme is China.

Of course, we can't talk about Chinese tech stocks and platform businesses without Artificial Intelligence (AI) as another important theme. With ongoing mistrust between East and West, there is enormous development in AI in China that is running in parallel to development in Western markets.

Join us for a discussion on Meituan, Baidu, JD.com, Alibaba and Tencent, all brought to you by Trive South Africa. To switch to Trive, visit the website here.

Trive South Africa (Pty) Ltd, registration number 2005/011130/07, is an Authorised Financial Services Provider in terms of the Financial Advisory and Intermediary Services Act 2002 (FSP No.27231). This podcast is for information purposes only and should not be construed as advice.

Magic Markets #127: Are You Yearning For Yield?

The Finance Ghost and Moe-Knows — Wed, 31 May 2023 21:45:00 +0000

Accompanied by regular guest Dino Zuccollo, the UK team of Richard Asherson and James Lightbody joined us on Magic Markets to give us an update on the latest capital raise in the Westbrooke Yield Plus fund and take our listeners through a case study of how some of these deals are structured.

After an extraordinary pace of rate hikes by the Bank of England, the base rate in UK now offers genuinely appealing yield and this presents opportunities for the fund and for investors. Westbrooke targets a return well above the cash rate in the UK by lending in the private debt market, with the current annualised yield sitting at 9%.

To understand more about the underlying exposure, the team gave us a detailed example of the types of deals in the fund and the level of security negotiated on the loan. It demonstrates why Westbrooke can compete in a space where large commercial banks struggle to justify the structuring efforts required to optimise the risk-return profile.

For more on Westbrooke Yield Plus, visit this link (https://westbrooke.com/yield-plus/) or follow Westbrooke on LinkedIn or Twitter. Westbrooke Alternative Asset Management is an authorised Financial Services Provider, FSP number 46750.

Magic Markets #126: Crypto Arbitrage and the Future of Forex

The Finance Ghost and Moe-Knows — Wed, 24 May 2023 21:45:00 +0000

Harry Scherzer of Future Forex is back on Magic Markets to give us an update not just on crypto arbitrage, but on the Future Forex business and the direction being taken.

After a difficult period in which the arbitrage needed to be temporarily closed down to manage counterparty risk amidst uncertainty in the global banking system, the team is offering the arbitrage once more. They have also evolved the Future Forex business model to offer additional services to clients and move the business into a new area.

The discussion included:

• A brief recap of why the crypto arbitrage exists in the first place, as well as the risk of an arbitrage opportunity closing over time.
• Some of the drivers of recent arbitrage spreads and why that can change.
• Recent regulatory changes at SARS regarding the process of taking more than R1 million out of South Africa, with a surprising benefit for Future Forex clients.
• The versatility of the Future Forex business model and the benefit of relationships creating with banking partners over the years, which enables the company to offer attractive forex solutions to clients for both corporate and personal needs.
• The “fee” saving opportunity for clients, once the extent of the bid-offer spread on forex is understood as a genuine cost of transacting.
• Potential future areas of expansion for Future Forex.

Future Forex is a Financial Services Provider leveraging innovation and automation to provide cutting-edge forex services at exceptional rates to South African SMEs and high net-wealth individuals.

As part of their forex service, they offer FEC cover, foreign currency accounts, complimentary AIT applications and more.

If you’d like to get in touch, call them on +27 21 518 0558 or visit their website www.futureforex.co.za

Magic Markets #125: AnBro Stock Focus - IFF and RWAY

The Finance Ghost and Moe-Knows — Wed, 17 May 2023 21:45:00 +0000

Craig Antonie is certainly no stranger to Magic Markets listeners. The team at AnBro Capital Investments regularly join us to talk through stocks that are either in the portfolio or on the watchlist.

As AnBro manages more than one type of fund, the watchlist can range from exciting growth stocks through to dividend paying compounders.

This week, Craig decided to focus on strong dividend payers that are on the watchlist.

The first is International Flavors and Fragrances (NYSE: IFF), a group that manufactures a wide range of products that are used in the food and cosmetics industry. One of three yoghurts sold in the world includes a product made by this company!

Although it is a long way up in the value chain and is a “picks and shovels” business rather than a miner, there’s been a significant unwind in the multiple during a destocking phase in consumer businesses. The dividend yield is significantly higher than the long-term average, so it earns a place on the watchlist.

The second is Runway Growth Finance (NASDAQ: RWAY), a small financial services firm in the US that provides growth capital to small business. There are specific regulatory requirements in the US that create the opportunity in this space, ranging from the need to lend to smaller firms through to a requirement to pay out a high percentage of profits as a dividend. With a strong founder behind the business, the future of this group looks interesting.

With some of the significant recent challenges faced by smaller US lending groups as interest rates have spiked, any financial services firm needs significant due diligence. That is why this company is still only on the watchlist.

With great underlying insights into concepts ranging from watchlist strategies through to being patient through cycles, this is another excellent learning opportunity with the team at AnBro.

Episode 125 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

Magic Markets #124: Five with Trive - Artificial Intelligence

The Finance Ghost and Moe-Knows — Thu, 11 May 2023 08:56:51 +0000

You've heard from Alexander Weiss before on Magic Markets. The impressive young market analyst at Trive South Africa has returned to the show to delve into the stocks that are at the forefront of artificial intelligence.

The initial excitement around ChatGPT shows no signs of slowing down. If anything, user growth has surpassed all expectations. This trend has the potential to shape the next decade of technology investing in the same way that smartphones and cloud computing shaped the last decade.

The Five with Trive concept sees us cover five stocks on the show. This time around, Alexander took us through Nvidia, AMD, Microsoft, Alphabet and Meta. It just shows that the leading technology platforms tend to be at the cutting edge of whatever the next big thing is, as one would expect.

If you are looking for a new trading and investment platform, or if you are new to the game and figuring out where to start, visit the Trive South Africa website for more information. Trive South Africa is an authorised Financial Services Provider, FSP number 27231.

Note: as always, nothing you hear on Magic Markets should be taken as advice and you should always do your own research.

Magic Markets #123: Growth, Value and Five-Year Fun

The Finance Ghost and Moe-Knows — Wed, 03 May 2023 21:45:00 +0000

Growth vs. value is one of the most stereotypical debates in the market. This is with good reason, as these styles ebb and flow and the popularity of each style is usually just a function of how the market is behaving!

There’s so much to learn from these two approaches, so we used the opportunity this week to discuss this topic and look at some of the core differences. This included real-world examples of various companies that we have covered in Magic Markets Premium, like Meta.

Also look out for discussions on Netflix, Disney and JPMorgan Chase & Co – again, companies we’ve covered before in Magic Markets Premium.

When we are drawing five-year charts and debating them live on the show, you know it’s going to be fun. For just as much fun and far deeper analysis, consider subscribing to Magic Markets Premium for a weekly report and podcast on global stocks.

Magic Markets #122: Anchoring Alternative Assets

The Finance Ghost and Moe-Knows — Tue, 25 Apr 2023 19:01:09 +0000

In Episode 122 of Magic Markets, we welcomed the familiar voice of Dino Zuccollo to the show. Dino is the Head of Product Development and Distribution at Westbrooke Alternative Asset Management and we’ve learnt a great deal about alternative assets over a number of podcasts with Westbrooke.

This time around, we were joined by two investment professionals from Anchor Capital who were able to give us a view on alternative assets from another perspective. Matthew Norwood-Young is the Head of Strategic Development at Anchor Group. Peter Little is on the Global Fund Management side of Anchor Capital.

With such experienced guests, we took the opportunity to discuss topics like:

The appeal of alternative assets for investors and how they contribute to a portfolio management strategy.
The level of understanding among investors and what their general perspective is on this asset class.
The trends in yield-focused and equity-focused assets.
The extent of typical allocations to alternative assets and the hurdles to increasing this further.

For more information on Westbrooke’s alternative asset strategies, be sure to visit www.westbrooke.com to find out more. You can also find Westbrooke on LinkedIn. Westbrooke Alternative Asset Management is an authorised Financial Services Provider, FSP number 46750.

Magic Markets #121: Buybacks, Banks and Big Spenders

The Finance Ghost and Moe-Knows — Wed, 19 Apr 2023 21:45:00 +0000

In Episode 121 of Magic Markets, we took the time to reflect on some of the recent insights we’ve uncovered in our research for Magic Markets Premium and our general activities in the markets.

Specifically, we discussed:
• The poor use of share buybacks by US companies and how this relates to stock-based compensation, allocation of capital and artificially low dividend payout ratios
• The divergence in performance between national and regional banks in the US
• Why we look for optionality in a business model, with Apple’s announcement of a savings product as a great example
• A view on pure-play businesses like Winnebago and how to use these cyclical companies in a portfolio
• The recent popularity of the luxury sector, why investors are buying these companies and the risk of chasing the hype

This is just a taste of the types of discussions that we have in Magic Markets Premium. If you enjoyed these insights and if you want to learn more about global companies, subscribe to our library of Premium research that gets updated weekly at www.magic-markets.com.

Magic Markets #120: Banking On Our Banks

The Finance Ghost and Moe-Knows — Wed, 12 Apr 2023 21:45:00 +0000

With an obvious passion for the markets and the psychology behind them, Alexander Weiss from Trive South Africa joined us for a discussion on the banking industry.

The failure of Silicon Valley Bank is still fresh in our minds, prompting a discussion around the key differences between the risk embedded in US banks vs. local (South African) banks. There are great insights here around the basic risks of fixed income instruments and the importance of asset-liability matching at financial institutions.

We also looked at common metrics used in analysing banks, helping investors understand their relative valuations. Price/Earnings, Price/Book and other approaches were referenced.

For anyone looking to boost their knowledge of the banking sector, this discussion is a worthwhile investment of time.

For more information on Trive South Africa, visit the website at www.trive.co.za or check out their social media pages (@trive_sa).

Magic Markets #119: AnBro Stock Focus - DEX and STAA

The Finance Ghost and Moe-Knows — Wed, 05 Apr 2023 21:45:00 +0000

When most investors think of growth-style funds, they imagine software-as-a-service businesses and artificial intelligence. Sometimes, growth can be found in industries that are as old as time itself, like the medical field.

Justine Brophy of AnBro Capital Investments returned to the show to recap two companies that we’ve talked about previously.

The first is Dexcom, a company that focuses entirely on devices for management of diabetes. With an ambassador-led model and adverts at the Super Bowl, the business is building a brand that treats diabetes as a manageable part of any lifestyle. This fast-growing stock benefits from the unfortunate growth trend in diabetes, a function of poor health globally. It’s a difficult stock to trade, but AnBro is in it for the long haul.

The second is STAAR Surgical, a company that has sold over 2 million lenses worldwide. This is the gift of sight, with the company designing and manufacturing lenses that reduce reliance on glasses or contact lenses for patients. The trick here is the look-through to China as the key market, with lockdowns in China as a major driver of the STAAR share price.

Listen to this episode to learn not just about $DXCM and $STAA, but about how the team at AnBro thinks about investing.

Episode 118 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

Magic Markets #118: The Equity Layer in Solar Investing

The Finance Ghost and Moe-Knows — Wed, 29 Mar 2023 21:45:00 +0000

In Episode 118, we brought the sunshine to Magic Markets.

Saul Maserow and Dino Zuccollo of Westbrooke Alternative Asset Management joined us to talk about Westbrooke’s response to the solar financing opportunity that has been thrust into the limelight (or sunlight?) by the failure of South Africa’s national power utility.

Westbrooke’s approach is a little different, focusing on the equity layer in the capital stack. Equity can be difficult to raise, particularly as most funding in the market seems to focus on debt for these opportunities.

Although Westbrooke’s activities in this space are not open to the public for investment, there is much to learn from Westbrooke’s approach. Perhaps most importantly, Westbrooke welcomes conversations with project owners who are looking for equity investment in significant solar projects.

For more information on Westbrooke’s alternative asset strategies, be sure to visit www.westbrooke.co.za to find out more. You can also find Westbrooke on Twitter @WAAM_SA or on LinkedIn. Westbrooke Alternative Asset Management is an authorised Financial Services Provider, FSP number 46750.

Magic Markets #117: Macro Themes with Rachel Ziemba

The Finance Ghost and Moe-Knows — Wed, 22 Mar 2023 21:45:00 +0000

With a background at Roubini Global Economics and extensive experience across developed, emerging and even frontier markets, Rachel Ziemba brings a wealth of macroeconomic and geopolitical experience to Magic Markets.

Having worked several times in the past with our very own Mohammed Nalla, Rachel agreed to join us for a discussion on general global trends and the perception of South Africa on the international stage.

We covered topics including:

Thoughts on where we are in the cycle, including global optimism around China and commodities despite some dissenting voices who think we could be heading back to a 2008/2009 scenario.
The additional complexity and dynamics of global sanctions and some of the winners we have seen in this environment, like shipping companies.
Where pressure points have manifested, ranging from commodities through to other players in the value chain and who the winners might be over 3 – 5 years.
The importance of doing proper research into mining companies before just blindly adding them to a portfolio based on a broader commodity thesis.
A note on the relative weakness of global balance sheets, as most mark-to-market moves on bonds would currently be negative.
A discussion on how a push into green energy and a potential decrease in other energy prices could affect the “petrodollar” structure globally.
Central bank policy and the need to “fail safely” or keep rising rates until something breaks.
Commentary around geopolitical strategies of certain countries linked to the war in Ukraine and the behaviour of various countries in the east, not least of all China.
Global perceptions of South Africa and how we have benefitted from a deterioration in some of our peer countries that have become “uninvestable” – like Russia.
How our greylisting is seen by global banks, both practically and in terms of sentiment towards South Africa.

For those looking to understand the music that is playing on the stock-picking dancefloor, an appreciation for macroeconomics and geopolitics is key. This episode is a great way to learn about some of the key themes and complexities.

You can follow Rachel on Twitter for more insights and you can follow her work on her website.

Magic Markets #116: Aston Martin on Track?

The Finance Ghost and Moe-Knows — Wed, 15 Mar 2023 21:45:00 +0000

If there’s one thing we are learning in Formula One this year, it’s that Fernando Alonso has more resilience and staying power than many international companies! Now driving for Aston Martin, a strong result in the opening race of the year certainly gave the brand a boost. It also led to many momentum and sentiment traders pulling the stock up on their screens on Monday morning, using it as an effective alternative to a bit of sports betting!

“Betting” may well be the word here, as Aston Martin’s financial history is more checkered than the flag at the end of the race. The brand may be on track, but is the company on track as well?

With Barry Dumas of Trive South Africa as our guest, we delved into the world of luxury automobiles and debated whether Aston Martin offers anything close to the investment case of the likes of Ferrari.

For more information on Trive South Africa, visit the website at www.trive.co.za or check out their social media pages (@trive_sa).

Trive South Africa (Pty) Ltd is an Authorised Financial Services Provider, FSP number 27231.

Magic Markets #115: Clean and Green US Stocks

The Finance Ghost and Moe-Knows — Wed, 08 Mar 2023 21:45:00 +0000

In this episode of Magic Markets, Craig Antonie of AnBro Capital Investments joined us to discuss a few energy opportunities in the US that the AnBro funds have positions in. There are both dividend- and growth-oriented funds available at AnBro, so there is something for (almost) everyone.

The energy theme is a major driver of global markets at the moment, with a clear push towards clean and green energy (not always the same thing) and inflationary pressure in fossil fuel prices as a result. With a major regulatory move in the form of the Inflation Reduction Act of 2022, the US is the place to be when it comes to investing in energy.

With natural gas as the largest current contributor, one can realistically expect clean and green energy sources to attract the bulk of investment in years to come. There are shovel-in-the-gold-rush opportunities in this space, like power management companies. There are also the utilities or the technology companies in the renewable energy industry.

Craig walked us through the investment thesis for NextEra Energy Partners ($NEP) and First Solar ($FSLR) in detail, with a passing mention of Constellation Energy ($CEG) as good examples of how this sector offers opportunities for different types of investors.

Episode 115 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

Magic Markets #114: Private Debt and Property in a Rising Rate Environment

The Finance Ghost and Moe-Knows — Wed, 01 Mar 2023 21:45:00 +0000

Regular listeners of Magic Markets have learnt a great deal about alternative investments and private deals, thanks to the various professionals at Westbrooke Alternative Asset Management who have joined us on the show.

Richard Asherson and James Lightbody join us this week to update us on the UK market and the conditions under which the Westbrooke Yield Plus fund operates. The focus of the fund is capital preservation, and with it now turning 5 years old and having consistently delivered in the target return band of cash plus 5% to 7% in GBP, we wanted to go deeper into the success and challenges.

The fund delivers an asymmetric risk/return profile to investors, by focusing on providing loans to lower and middle-market UK companies and real estate sponsors.

We touched on topics including:
• The way property valuations behave in a time of rising interest rates and lower cap rates
• Pricing for risk in the capital stack, particularly as loan-to-value ratios change over time
• The importance of being strict and saying no to marginal opportunities, with a lovely quote in the show that “deals are like busses – one comes around every five minutes!”
• The way in which Westbrooke competes against traditional banks in debt-led structures
• The relative appeal of debt vs. equity in this environment
• The evolution of market conditions: post-COVID vs. pre-COVID
• A couple of real-world examples of transactions that Westbrooke has been involved in

Magic Markets #113: Portfolio Winners and Losers

The Finance Ghost and Moe-Knows — Wed, 22 Feb 2023 21:45:00 +0000

In Magic Markets, we try to eat our own cooking. When we cover stocks in Premium, it’s either because we already have a position in them or because we are interested in taking a position and want to do further research. In this episode of Magic Markets, we took advantage of a “just the two of us” situation to talk about some of the positions in our portfolios.

Moe opted to talk about Visa, Disney and Simon Property Group, as well as Fedex as an example of a trade that got away.

The Finance Ghost spoke about Hasbro as a mistake, alongside Accenture and Ferrari as much happier stories.

Authenticity has always been our focus in Magic Markets. We learn even more from our mistakes than we do from our wins and we love sharing those learnings with our listeners.

If you like what you hear this week, consider joining us in Magic Markets Premium for a weekly, in-depth look at global companies. At only R99 per month or an annual deal of R990 for the year (two months for free), it's the best value you'll find in your research journey and perhaps the best investment you’ll make!
Click here or on the banner below to look beneath the surface.

Magic Markets #112: The Brokerage Engine Room

The Finance Ghost and Moe-Knows — Wed, 15 Feb 2023 21:45:00 +0000

A multi-asset investment platform is a complicated animal to build and operate. With considerations like getting the balance of automation and human involvement just right, through to the need to meet numerous legislative and compliance requirements, the engine room of a brokerage carries a major responsibility. For anyone interested in the behind-the-scenes reality at a financial services institution, this is a great show.

At Trive South Africa, that responsibility rests of the shoulders of Marius Grobler, who is as passionate about his role as he is capable. In this episode of Magic Markets, we took the opportunity to delve into the nuts and bolts of Trive and what makes it different.

For more information on Trive South Africa, visit the website at www.trive.co.za or check out their social media pages (@trive_sa).

Trive South Africa (Pty) Ltd is an Authorised Financial Services Provider, FSP number 27231.

Magic Markets #111: AI - Cutting Through the Hype

The Finance Ghost and Moe-Knows — Wed, 08 Feb 2023 21:45:00 +0000

Guess what? The hype machine is back in the market, this time focused on the exciting new world of Artificial Intelligence (AI). Some of the intelligence is artificial indeed, with any company that has “AI” in its name trading higher this month, regardless of what AI stands for!

There’s nothing more dangerous than a market that is chasing the Next Big Thing. Momentum traders have a field day, but the good ones know when to get out of the way. For investors, scrutiny is needed.

Together with Justine Brophy of AnBro Capital Investments, we took a deeper look at AI and what it practically means for investors. This is a great follow-on from our recent Magic Markets Premium report on Microsoft, a company at the forefront of this new technology.

Episode 111 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

Magic Markets #110: Investable Businesses for Westbrooke

The Finance Ghost and Moe-Knows — Wed, 01 Feb 2023 21:45:00 +0000

For founders and executives, raising capital is always a hot topic. Cash is the lifeblood of any organisation and the “capital stack” is an important and complicated area of finance that far too many entrepreneurs don’t have a proper understanding of.

After several podcasts with the Westbrooke team members, in which we have learnt about the different investment mandates in the group and how they operate, we welcomed Jonti Osher back to the show alongside Brent Blankfield both of whom focus on flexible capital solutions. If you ever wanted to know how to make your business more attractive to an investor like Westbrooke, you’re in the right place.

We discussed topics like:
• The critical importance of the management team and the need to build partnerships around the companies that Westbrooke invests in
• The extent to which Westbrooke performs a due diligence on the management team, not just the business
• The niche in which Westbrooke plays, focusing on speed of execution and an ability to do value-adding lending transactions that are usually too small for investment banks
• The approach taken in assessing a business for a debt-led investment strategy, with an equity kicker for Westbrooke as part of a hybrid funding strategy
• The ways in which to make a business more investable for Westbrooke

This is a must-listen for anyone interested in understanding more about capital raising and the relationship between risk and return.

For more information on Westbrooke’s alternative asset strategies, be sure to visit www.westbrooke.co.za to find out more. You can also find Westbrooke on Twitter @WAAM_SA. Westbrooke Alternative Asset Management is an authorised Financial Services Provider, FSP number 46750.

Magic Markets #109: 2023 Ideas with Herenya

The Finance Ghost and Moe-Knows — Wed, 25 Jan 2023 21:45:00 +0000

As we get ready to sign off on the first month of 2023, Petri Redelinghuys from Herenya Capital Advisors joined us to talk about the mood of the traders in the community and some of the ideas and strategies that they are putting in place.

We also talked about the South African economy and the obvious impact of load shedding, with some long-term silver linings thrown in for good measure.

As the founder of Herenya Capital Advisors, Petri is committed to upskilling traders and helping people find success in the market. To learn more about their offering, visit the Herenya website and follow them on Twitter. Herenya Capital Advisors is an authorised financial services provider, FSP number 47080.

Magic Markets #108: The Trive Tribe

The Finance Ghost and Moe-Knows — Wed, 18 Jan 2023 21:45:00 +0000

Trive South Africa offers a gateway to the JSE and global markets. Providing an in-depth online trading experience, Trive exists to empower progression. You can simply and securely trade and invest in JSE and US stocks and leveraged products, or invest in tax free savings accounts.

Travis Robson is the CEO of Trive South Africa and he joined us on Magic Markets to discuss:
• The types of stockbroking clients and how the industry has evolved
• The key differentiators of Trive and particularly how the group will combine new-age tech with the best of old-school service (telephone brokers, anyone?) to deliver a great customer experience
• The importance of building a community around Trive and how that will be achieved through research and other means
• The extent of the offering on the platform, including the number of securities available and the mix of asset classes and derivatives

For more information on Trive South Africa, visit the website at www.trive.co.za or check out their social media pages (@trive_sa).

Trive South Africa (Pty) Ltd is an Authorised Financial Services Provider, FSP number 27231.

Magic Markets #107: The 2023 Outlook

The Finance Ghost and Moe-Knows — Wed, 11 Jan 2023 21:45:00 +0000

If you can imagine the worst possible year for anything, then you’re starting to understand what 2022 was like for investors in growth stocks. The combination of rising interest rates and inflated valuations at the start of the year meant that investors suffered drops of 30% (and more) across many of the “growth” names in the portfolio, including the world’s leading tech companies.

Investing requires a longer-term lens than this and a strong stomach, although we all know that seeing these drops isn’t fun. Together with Craig Antonie of AnBro Capital Investments, we recap why 2022 was a perfect storm and what the outlook is for 2023 for stocks.

Episode 107 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

Magic Markets #106: The Global View with Marko Papic

The Finance Ghost and Moe-Knows — Wed, 14 Dec 2022 21:45:00 +0000

If you’ve looked at your portfolio even once this year, you’ll know that 2022 has proven how vital a solid geopolitical analytical framework can be in generating returns.

As the author of the book Geopolitical Alpha, Marko Papic is a global geopolitical expert and partner at Clocktower Group, who advises some of the largest pension funds and investors globally. As a friend of Moe's, we were able to twist his arm to share some of his views on global geopolitics and the risks and opportunities they currently present for investors.

Having travelled to South Africa many times, Marko also has a particular affinity for the country (and its kudu carpaccio), sharing his views with us on how SA stacks up in the overall emerging markets space.

In this incredible episode, we also discussed fascinating views on China, oil prices and the importance of multi-polarity in the modern world. You do not want to miss this, even if this is a longer episode than normal.

Magic Markets #105: 2022 Recap with Herenya

The Finance Ghost and Moe-Knows — Wed, 07 Dec 2022 21:45:00 +0000

In Episode 105 of Magic Markets, Petri Redelinghuys of Herenya joins us to recap 2022.

And what a year it was – with themes like energy and inflation playing out in the markets and plenty of volatility from the Fed on one end of the world and China on the other. These volatile conditions were both treacherous and potentially highly rewarding.

Whilst touching on topics as diverse as banks and Chinese tech stocks, the hosts also talked about trades that went badly. We all have those!

Magic Markets #104: What's going on inside Premium?

The Finance Ghost and Moe-Knows — Wed, 30 Nov 2022 21:45:00 +0000

In this episode of Magic Markets, we took the opportunity to run through key elements of our research process in Magic Markets Premium. In doing so, we shared insights into important areas of focus for investors.

Topics covered include:

• Why do we present a bull case and a bear case on every company?
• What do we learn by looking at insider selling?
• In terms of financial analysis, what approach do we take to the numbers?
• Many recognise that technical analysis is important, but few understand it – what are some of the key concepts that we use?
• In fundamental analysis, why do we focus on historical traded multiples as an important metric?
• Do we think that quarterly reporting in the US drives the right behaviour (vs. six-monthly reporting in South Africa)?

In addition to giving you a flavour of the type of work we do in Magic Markets Premium, this show is a great resource for any investor or trader who does their own research.

Like what you heard this week? Join us in Magic Markets Premium for an even greater in-depth look at some of the companies mentioned. At only R99 per month or an annual deal of R990 for the year, an effective 2 months free, it's the best value you'll find in your research journey. Click here or on the banner below to look beneath the surface.

Magic Markets #103: Alternatives - The Wealth Management View

The Finance Ghost and Moe-Knows — Wed, 23 Nov 2022 21:45:00 +0000

Ever wanted to know what wealth managers think about alternative investments and how they are using them in clients' portfolios? Regular Magic Markets listeners have become familiar with the Westbrooke Alternative Asset Management team and the types of investments that they specialise in. This week, we look beyond the team to find out what independent wealth managers think about alternative assets.

Based on the results of a survey of wealth managers that was arranged by Dino Zuccollo of Westbrooke, we were able to discuss points like:

• What types of alternative assets are popular?
• What is the priority for investors – yield, capital growth or a combination of the two?
• Do investors prefer offshore or local exposure within the alternative asset portfolio?

Perhaps the most surprising insight of all related to the popularity (or lack thereof) of traditional real estate as an asset class. All these insights and more are available in Episode 103 of Magic Markets.

For more information on Westbrooke’s alternative asset strategies, be sure to visit www.westbrooke.co.za to find out more. Westbrooke Alternative Asset Management is an authorised Financial Services Provider, FSP number 46750.

Magic Markets #102: Themes in Big Tech

The Finance Ghost and Moe-Knows — Wed, 16 Nov 2022 21:45:00 +0000

As the dust settles on the Big Tech earnings season, we look back on what we’ve learnt from covering the leading tech companies in Magic Markets Premium in the past year, including recent shows on Meta, Amazon and Apple.

The fight for eyeballs is dominating this industry. The “attention economy” is lucrative and technology platforms have found various ways to monetise it, ranging from advertising to subscription business models.

If you are interested in uncommon insights, then this show is for you. Instead of focusing on the obvious elements of Big Tech earnings, we highlight some of the trends and themes that can only be identified through doing detailed research.

Like what you heard this week? Join us in Magic Markets Premium for an even greater in-depth look at some of the companies mentioned. Click on the banner below.

Magic Markets #101: Dynamic Compounding

The Finance Ghost and Moe-Knows — Wed, 09 Nov 2022 21:45:00 +0000

Magic Markets listeners are familiar with the wonderful team at AnBro Capital Investments. We regularly welcome Justine Brophy and Craig Antonie to the show to talk about the growth stocks in the Unicorn portfolio.

In Episode 101 of Magic Markets, there’s exciting news from the team at AnBro. Chief Investment Officer, Craig Antonie joined us to talk about the Dynamic Compound portfolio, a new investment product that brings more of a value flavour to AnBro’s toolkit.

With a focus on compounders (companies that have disciplined capital allocation track records) that have proven to be resilient dividend payers, the Dynamic Compound portfolio gives investors a way to access global investments through a JSE-listed structure. Alongside Unicorn, this gives investors a choice of investment styles when investing with AnBro.

Learn about this exciting portfolio by visiting https://www.dynamiccompounding.com/ for more information.

Episode 101 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

Magic Markets #100: Market milestones

The Finance Ghost and Moe-Knows — Wed, 02 Nov 2022 21:45:00 +0000

In our centenary show of Magic Markets, it was fitting to celebrate market milestones with a fellow entrepreneur in the market.

In the Intellidex Top Securities Brokers in South Africa 2022 report, Herenya Capital Advisors was awarded 1st position as broker for the 'Traditional Investor archetype'. That wasn't all. The team also achieved 2nd position in the 'People’s Choice Award' and a solid outcome of 5th Overall among 101 competitors in this space!

Regular listeners have gotten to know Petri Redelinghuys and his style in building the community within Herenya. In this show, we chat through the secret sauce at Herenya and the success of many of the traders. We also talk about recent market movements and have our usual amount of fun.

Magic Markets #99: What's happening in the UK?

The Finance Ghost and Moe-Knows — Wed, 26 Oct 2022 21:45:00 +0000

In the latest episode with the team from Westbrooke Alternative Asset Management, Richard Asherson joined us from the UK to talk about market conditions on the ground. The UK has been extremely topical this year and macroeconomic challenges are felt in private and public markets.

Apart from asking whether his money was on Liz or the lettuce, we touched on a number of fascinating topics:

• What does it mean to look for asymmetrical returns in a debt-led structure?
• How do current rates in the UK compare to long-term averages?
• What are the impacts of inflation on dealmaking and debt in company structures?
• How do private company portfolios perform in this environment?
• To what extent are UK consumers and businesses under pressure?
• How does Westbrooke add value to partners?
• How do exit strategies evolve over time?

There’s a great deal to learn from this podcast.

Magic Markets #98: Answering Listeners' Questions

The Finance Ghost and Moe-Knows — Wed, 19 Oct 2022 21:45:00 +0000

We love engaging with our audience on Magic Markets. This week, we asked on Twitter for people to send through their questions.

Other than the classic “when moon?” for crypto (which we opted to ignore), there were great questions around our portfolio strategies and position sizing. We also answered fun questions like what we would go back and tell our 20-year-old selves.

With a mix of solid investment insights and some light-hearted fun, we loved recording this episode and we hope you enjoy listening to it.

Magic Markets #97: Market Mistakes we all Make

The Finance Ghost and Moe-Knows — Wed, 12 Oct 2022 21:45:00 +0000

In this episode of Magic Markets, we decided to look at some of the common mistakes made by investors and traders in the market.

We covered topics like:
• Not knowing whether you are a natural trader, investor or hybrid of the two
• The risks of not diversifying into different asset classes
• The trouble with panicking during tough times
• Checking your portfolio too often
• Assuming that certain industries are always a good investment
• Focusing too much on dividends without looking at how they are funded
• Not critically assessing the strategy of the entity and only focusing on the numbers instead
• The importance of flexibility, openness to new ideas and information and the conviction to follow through

We all make mistakes in the market. The more we talk about them, the better we all become.

Magic Markets #96: Looking to the Future

The Finance Ghost and Moe-Knows — Wed, 05 Oct 2022 21:45:00 +0000

One of the greatest challenges in the market is to maintain a cool head and a consistent strategy even when it feels like everything is against you. Clearly, this has been a terrible year for technology stocks. By focusing on the fundamental growth drivers rather than the share price movements, investors can identify the winners of the next decade.

In this episode of Magic Markets, Justine Brophy of AnBro Capital Investments joins us to talk about why he feels good about the future. With specific examples of stocks that they are looking at, there’s always so much to learn from the team at AnBro.

Episode 96 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

Invest in the future. Invest in growth. Visit investinunicorns.com for more information.

Magic Markets #95: Money in a Bear Market

The Finance Ghost and Moe-Knows — Wed, 28 Sep 2022 21:45:00 +0000

One of the benefits of trading is that you can make money in a bear market, as long as you are either prepared to take short positions or wait for an elusive bear market rally. Those rallies can disappear as quickly as they arrived, taking many victims with them along the way.

In this markets discussion with Petri Redelinghuys of Herenya Capital Advisors, we talked about everything from his oil view through to the risks in the UK property market. We also discussed the advice he gives most of the traders at Herenya, which is to be careful during a bear market and err on the side of caution.

Magic Markets #94: The Westbrooke Portfolio

The Finance Ghost and Moe-Knows — Wed, 21 Sep 2022 21:45:00 +0000

Alternative assets have been a key discussion point for us this year, as a means to diversify the portfolio as well as hedge against listed assets through achieving uncorrelated exposure.

We’ve had a fantastic time learning about the various alternative asset strategies with Westbrooke. We've welcomed the team over several episodes since the first appearance on Episode 59.

We’ve covered a great deal of ground since that show, so we thought it would be useful to our listeners to take a more holistic view and wrap this into a recap of some concepts while probing developments in the market so far this year.

In this episode, we ask Dino Zuccollo to reflect on whether demand for alternative assets this year has been in line with expectations. We also talk about trends like local vs. offshore allocations in this space.

With reference to the eight previous shows, we recap elements of the alternative asset strategy. Of course, we couldn’t resist discussing our favourite Westbrooke shows thus far and why!

Magic Markets #93: Macro Markets Mayhem

The Finance Ghost and Moe-Knows — Wed, 14 Sep 2022 21:45:00 +0000

The US CPI print was slightly different to market expectations, though you would never say so based on the mayhem that ensued. The sell-off was brutal, hitting tech stocks the hardest. Risky assets (like the rand) also took a knock.

In this episode, we discuss macroeconomic concepts not just around inflation in the US, but also around China and Europe. For bonus points, we also touch on South African companies that have exposure to Europe.

Magic Markets is your invitation to be part of the dealing room conversations that are usually closed off from public ears. Join us and learn!

Magic Markets #92: Investing in the 'LatAm Blackstone'

The Finance Ghost and Moe-Knows — Wed, 07 Sep 2022 21:45:00 +0000

The team from AnBro Capital is back, this time with Craig Antonie joining us to discuss an interesting company in the Unicorn portfolio that has nothing to do with tech.
That’s right – there’s more to Unicorn than just tech companies!

Patria is thought of as the Blackstone of Latin America. This asset management business plays in the alternative asset space, operating in the private equity, infrastructure, real estate and credit verticals.
With a long and successful track record, Patria ticks the boxes for the Unicorn fund.

Learn more about this company and the way the team at AnBro thinks about investments by listening to this episode.

Episode 92 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

Invest in the future. Invest in growth. Visit investinunicorns.com for more information.

Magic Markets #91: Investing in Solar

The Finance Ghost and Moe-Knows — Wed, 31 Aug 2022 21:45:00 +0000

In the investment equivalent of chasing the sun, we meet the team at Westbrooke responsible for the solar investment strategy. Clearly, this is an asset class that resonates with South Africans who are used to being in the dark. Ryan Rittoff and Saul Maserow are clearly passionate about what they are doing.

In typical Westbrooke fashion, the group is investing and gaining real-world experience in this space before opening it up to external investors. In the meantime, Westbrooke would love to chat to you if you have commercial or industrial solar projects that need funding.

Magic Markets #90: The Herenya Portfolios

The Finance Ghost and Moe-Knows — Thu, 25 Aug 2022 06:31:00 +0000

In addition to the trading community that Herenya Capital Advisors is known for, founder Petri Redelinghuys and his team also manage portfolios on behalf of clients. We took the opportunity to dig into the portfolio holdings and discuss some of the companies and strategies included in the local and offshore portfolios.

Herenya Capital Advisors is an authorised financial services provider, FSP number 47080.

Magic Markets #89: Unwrapping our Research Process

The Finance Ghost and Moe-Knows — Wed, 17 Aug 2022 21:45:00 +0000

In Magic Markets Premium, we’ve developed a research process that we apply every week in analysing global stocks. In this episode, we give you insights into that process.

We talk about the importance of forming a bull case and a bear case, as it forces you to challenge your view and question what might go wrong (or better than expected). We also discuss why we look at both the tenure and trading history of the management team. The competitive environment is important of course, as is an analysis of recent financial results.

We finish off with a discussion on the importance of combining technical and fundamental analysis.

You can subscribe to Magic Markets Premium at this link for R990/year or R99/month if you prefer dipping your toes in before committing for a full year.

Magic Markets #88: Growth is for stock pickers

The Finance Ghost and Moe-Knows — Wed, 10 Aug 2022 21:45:00 +0000

In Episode 88 of Magic Markets, Justine Brophy of AnBro Capital Investments joined us to look back at the stocks that we talked about in Episode 80 with the AnBro team.

The performance of those stocks has been strong, highlighting the importance of stock picking in a volatile and difficult market. Through this process, we get insights into AnBro’s investment process and the way that the investment team looks at these opportunities.

In a world of exciting tech companies that make big promises about the future, it’s important to only invest in business models that you understand. This has been one of the secrets of success for AnBro.

Episode 88 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

Invest in the future. Invest in growth. Visit investinunicorns.com for more information.

Magic Markets #87: Investing in Mobile Home Parks

The Finance Ghost and Moe-Knows — Wed, 03 Aug 2022 21:45:00 +0000

Investing in mobile home parks is a wonderful example of how far the definition of an alternative asset can be stretched. It sounds odd, yet when you dig into this asset, you’ll find that it is simply a different way of getting exposure to residential property.

Westbrooke’s investments in this asset class have delivered strong USD-based returns. As we learnt on this show, some of the biggest names in the investment industry have exposure to this market, including Warren Buffett!

Get any thoughts of Jerry Springer out of your mind and prepare yourself for a great learning experience with Jonathan Loeb from Westbrooke Alternative Asset Management.

Magic Markets #86: Trading DMA vs. OTC

The Finance Ghost and Moe-Knows — Wed, 27 Jul 2022 21:45:00 +0000

The markets are a combination of art and science. Knowing the science is important, especially when it comes to the types of trades in the market and the differences between platforms.

In this episode of Magic Markets, trading expert Petri Redelinghuys joins us to discuss concepts like trading DMA vs. OTC, stop-losses in forex vs. equity trades and the way auctions work on the market.

Herenya Capital Advisors is an authorised financial services provider, FSP number 47080.

Magic Markets #85: US Earnings Season - July '22

The Finance Ghost and Moe-Knows — Wed, 20 Jul 2022 21:45:00 +0000

It’s just the two of us on Episode 85, which gave us a great opportunity to talk about all kinds of things, really. We started off with macroeconomics because there’s just so much going on in that space. Inflation, interest rates and even copper are top of mind for traders and investors alike.

This led us into a discussion about banking regulation and how capital is being sucked out of the system by putting higher equity capital requirements on banks like JPMorgan Chase & Co. We talked about capital buffers and the impact they have on risk and returns.

We also talked about US consumers and particularly how direct-to-consumer strategies are paying off handsomely for retailers like Nike, Levi’s and Lululemon – companies we have covered before on Magic Markets Premium. For anyone interested in retail, this is a great learning opportunity.

We finished off with a discussion on the key themes we will be watching in this round of earnings releases. Concepts like JAWS and discretionary spending came up in the discussion.

If you enjoy Magic Markets, you’ll love Magic Markets Premium where we unpack business models and financial attributes of global stocks. We always include a technical and fundamental analysis as well, ending off with whether we would take a position in the company at the moment.

At R99/month or R990/year, it’s one of the best investments you can make. Subscribe here.

Magic Markets #84: A First Half to Forget

The Finance Ghost and Moe-Knows — Wed, 13 Jul 2022 21:45:00 +0000

In the past six months, the markets weren’t a happy place. Whether you were in bonds or in stocks, you suffered. The bull and bear markets of 2020 - 2022 have been severe, driven by unprecedented levels of stimulus and macroeconomic volatility.

In difficult times, it’s important to lift your head and (try to) shut out the noise. The team from AnBro Capital Investments has done exactly that. They have released research around the impact on different sectors of this bear market vs. the Global Financial Crisis (GFC) that marked the end of a multi-year bull market in 2007. Growth stocks have suffered the most this year. Importantly, this is a function of valuation rather than underlying performance, as multiples had simply run too hot by the end of 2021.

In this episode, we discuss the different sector impacts as well as the differences between this bear market and the GFC. We also discuss the investment thesis that drives the thinking in the Unicorn portfolio that is managed by AnBro.

Episode 84 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

Invest in the future. Invest in growth. Visit investinunicorns.com for more information.

Magic Markets #83: Tales from the Crypto

The Finance Ghost and Moe-Knows — Wed, 06 Jul 2022 21:45:00 +0000

The team from Future Forex is familiar to Magic Markets listeners. Those who have been taking advantage of crypto arbitrage have made a profit this year, something that not many people can say about their portfolios.

By exploiting pricing differences in local and international markets, the team at Future Forex has built a powerful system that delivers attractive returns. Even in the recent chaos of crypto, the business has stood firm.

In this episode, Harry Scherzer joins us to remind Magic Markets listeners about the crypto arbitrage opportunity and how an 80% average annual return has be achieved by their clients by cycling through the foreign investment allowance that every adult South African has each year.

Learn more about crypto arbitrage in this episode and visit futureforex.co.za for more information. Future Forex Arbitrage Services is an authorised Financial Services Provider for currency remittance services, FSP number 51884.

Magic Markets #82: Stories from Traders

The Finance Ghost and Moe-Knows — Wed, 29 Jun 2022 21:45:00 +0000

In all our discussions with Petri Redelinghuys, the founder of Herenya Capital Advisors, we’ve talked about the incredible community of traders that has been built within the business. A major drawcard to trading through Herenya is that you become part of a vibrant, supportive community of people who are on similar journeys.

In this episode of Magic Markets, we hear from three of those traders who share personal approaches to trading and risk management. These are hard-hitting nuggets of advice from real-world traders who have earned their stripes.

Herenya Capital Advisors is an authorised financial services provider, FSP number 47080. Visit the Herenya website to find out more and follow them on Twitter.

Magic Markets #81: Hybrid Capital

The Finance Ghost and Moe-Knows — Wed, 22 Jun 2022 21:45:00 +0000

The talented finance professionals at Westbrooke Alternative Asset Management have been doing a wonderful job of educating the Magic Markets audience about asset classes like private debt and venture capital.

In the latest show, we welcome Dino Zuccollo and Richard Asherson back to Magic Markets to discuss the concept of “hybrid capital” – a debt-led private equity approach that uses different instruments to achieve a level of return between debt and equity.

The key here is the combination of downside protection, a strong yield and equity upside in these investments. Westbrooke currently executes this strategy in the UK market.

For more information on Westbrooke’s alternative asset strategies, be sure to visit the Westbrooke website. Westbrooke Alternative Asset Management is an authorised Financial Services Provider, FSP number 46750.

Magic Markets #80: Hot Stocks vs. Hot Air

The Finance Ghost and Moe-Knows — Wed, 15 Jun 2022 21:45:00 +0000

In growth investing, you’re often buying a piece of technology that has the potential to become a wonderfully profitable commercial operation. Sometimes, these businesses aren’t profitable yet. This creates a different risk profile for investors vs. value stocks, which investors look to for near-term cash flows. The investment styles are different and so the approach needs to be different.

Together with the team at AnBro Capital Investments, we’ve been learning about growth investing with examples of specific stocks. We also try to unpack how the team separates hot stocks from hot air. In this episode, we briefly touch on the disaster of Theranos as a case study for the risks in this space. The team explains the approach taken to mitigate these risks in the Unicorn portfolio.

We also looked at two fascinating examples of stocks in the healthcare industry. Dexcom offers continuous glucose monitoring technology, which anyone who has experienced diabetes first-hand will appreciate. Hanger offers orthotic and prosthetic services with a business model built around support for patients who have gone through the trauma of losing a limb.

Hanger talks about “empowering human potential” and that’s a great summary for the focus of growth investing. The volatility isn’t for everyone, but the long-term stories are certainly exciting.

Episode 80 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.

Invest in the future. Invest in growth. Visit investinunicorns.com for more information.

Visit magic-markets.com for more.

Magic Markets #79: Three Burning Questions

The Finance Ghost and Moe-Knows — Wed, 08 Jun 2022 21:45:00 +0000

The Finance Ghost and Mohammed Nalla decided to ask each other three burning questions on this show.

To give you a taste of what we discussed:
• How do you reconcile bottom-up analysis with what the market is telling you?
• How has Magic Markets Premium impacted your appetite for global vs. local stocks?
• What have been your biggest learnings about running a business with someone on the other side of the world?
• Based on what we’ve seen gold do recently, does it impact your long thesis? What about holding the commodity vs. holding the miners?
• In Magic Markets Premium, what part of the research do you enjoy the most and what is the most tedious?
• How does Canada differ to South Africa in terms of business landscape?

Regular listeners will know that the Canada question is aimed at Moe. To find out who asked the others and what the answers were, listen to this insightful and entertaining episode of Magic Markets.

Visit magic-markets.com for more.

Magic Markets #78: A sneak peak at Premium

The Finance Ghost and Moe-Knows — Wed, 01 Jun 2022 21:45:00 +0000

With 31 Premium shows behind us, we’ve learnt so much from our detailed research on global stocks.
For example, we now know that Lululemon has an incredibly strong brand and direct-to-consumer strategy, with the next results due on 2nd June. We’ve also covered brands like Nike and Starbucks, which have had a tough time recently.

In the search for defensive stocks, we’ve previously highlighted Pepsico and Visa as solid companies. Both have comfortably beaten the market this year, down between 3% and 4% in 2022.
Simon Property Group is the kind of business that many would choose as a defensive stock, but is there more to worry about? How about US yields?

Finally, with a nod to Top Gun and Moe’s fantasy career as a jet pilot, we give an update on Lockheed Martin.

Join us in Episode 78 of Magic Markets for a sneak peak at the type of insights that our subscribers in Magic Markets Premium enjoy.

Magic Markets #77: Surviving bear markets

The Finance Ghost and Moe-Knows — Wed, 25 May 2022 21:45:00 +0000

Bear markets aren’t easy. Those following long-term strategies watch their portfolio values take a dive. Traders can do really well in a time of heightened volatility, but the risks are higher too.

With Petri Redelinghuys of Herenya Capital Advisors, we explore some of the techniques required to survive a bear market. We also talked about some major recent investment themes in the market, ranging from uranium through to broader resources exposure.

We also touched on the financials index and how this sector has quietly outperformed the resources index on the JSE in 2022.

As always, the focus at Herenya is on educating investors and traders.

Herenya Capital Advisors is an authorised financial services provider, FSP number 47080. Visit the Herenya website to find out more and follow them on Twitter.

Magic Markets #76: Private Equity - there's more to investing

The Finance Ghost and Moe-Knows — Wed, 18 May 2022 21:45:00 +0000

On the equity investment spectrum from venture capital at one end to public markets at the other, private equity occupies a vast area in the middle. A successful private equity strategy is a hybrid of those concepts, with venture capital influences like growth and scale and public market influences like strong cash flows and solid assets.

Each market is different. In South Africa, the private equity industry is based on relationships and the best deals are done in an elite club. In the UK, the market is far more welcoming to a new entrant and there is a wide network of brokers that can bring access to deals.

Joined by Rob Grieve from Westbrooke Alternative Asset Management who recently relocated to the UK to build Westbrooke’s private equity business, we bring you a unique opportunity to learn more about the private equity industry and the differences between the UK and South African markets.
We highly recommend giving this show a listen.

The content of this podcast is for information purposes only and does not constitute investment advice, nor does it represent a solicitation of any member of the public to invest in any security. The investment vehicles managed by Westbrooke Alternative Asset Management are available to qualified, sophisticated investors only. Listeners should seek professional financial advice prior to making any investment.

Visit www.westbrooke.co.za to find out more. Westbrooke Alternative Asset Management is an authorised Financial Services Provider, FSP number 46750.

Magic Markets #75: Investing in Biotech

The Finance Ghost and Moe-Knows — Wed, 11 May 2022 21:45:00 +0000

This week, we invited Anbro Capital back to pick their brains on biotech stocks. It’s an exciting space and Justiné Brophy, co-founder of Anbro, joins us this time around.

We kick off on the woes currently facing growth stocks and move into a detailed discussion on some of the most exciting ideas and opportunities the team is finding, specifically in biotech.

It’s not about sinking tons of cash into businesses that don’t make money. In this show, we unpack 3 ideas that the team is looking at that currently make money and that enjoy significant TAMs and growth potential. The team at Anbro put their own money where their mouths are!

Join us as we go beneath the surface to bring you insights and fresh perspectives…only on Magic Markets!

Episode 75 of Magic Markets is brought to you by AnBro Capital Investments, an authorised Financial Services Provider FSP number 48371.
Invest in the future. Invest in growth. Visit investinunicorns.com for more information.

Magic Markets #74: Ukraine - a view from Eastern Europe

The Finance Ghost and Moe-Knows — Wed, 04 May 2022 21:45:00 +0000

Andries Retief is a South African living in Poland who runs DHL’s Central and Eastern Europe business. This gives him incredible insights into the global supply chain challenges that are plaguing so many businesses and industries at the moment. It also puts him right at the coalface of the war in Ukraine, with Polish borders having been opened to millions of Ukrainian refugees.

In this podcast, we bring you these insights and so many more, covering a broad variety of topics including geopolitical issues in Europe. Every crisis brings both heartache and opportunity and this one is no different, with the human spirit clear to see in both the hospitality shown to Ukrainians as well as the growth potential for Poland. With a number of JSE-listed companies holding investments in the region, these insights are important for local investors.