Scottish Mortgage Invest... Share Discussion Threads

[unastubbs] 22/4/2023 05:23

excellent article from IC on ITs in general and the fact that so many trade at a discount. On SMT in particular some encouraging words from Peel Hunt that we may well be at fair value in terms of the discount.

www.investorschronicle.co.uk/news/2023/04/20/the-extraordinary-investment-trust-bargains-on-offer/' target='window'>https://www.investorschronicle.co.uk/news/2023/04/20/the-extraordinary-investment-trust-bargains-on-offer/

[arja] 21/4/2023 07:34

awful looking chart and seems to be heading for about 570 support level in next few months . I remember being mocked when I was concerned about how they value their unquoted investments and it is 30% of their portfolio ! But markets sometimes surprise us and it has hopefully bottomed in this area

[hohum1] 21/4/2023 07:32

Up like a rocket down like a stick.

[unastubbs] 21/4/2023 03:45

II podcast 20 April 23

www.ii.co.uk/analysis-commentary/scottish-mortgage-should-you-hold-fold-or-be-bold-ii527629

[unastubbs] 20/4/2023 23:37

#2796 that is the case.

[sleepy] 20/4/2023 23:05

Is it the case that SMT are now precluded, or very limited, in making new unquoted investments or follow on investments in unquoted companies as they are near/have hit the 30% limit?

[essentialinvestor] 20/4/2023 18:48

Still champagne corks popped if reporting is accurate.

[jeffian] 20/4/2023 18:40

....before it suffered a 'rapid unscheduled disassembly' (which is American for 'exploded')!

[aishah] 20/4/2023 18:30

A bit of a setback as the spaceX rocket exploded after lift off. Nonetheless they launched the biggest ever rocket yet.

[hohum1] 20/4/2023 17:26

"We do believe we're laying the groundwork here," Mr Musk said. "It's better to ship a large number of cars at a lower margin and subsequently harvest that margin in the future."
Ah yes - Rolls Royce used to say the same about aero engines: that worked well…

[jeffian] 20/4/2023 15:13

As I was saying (#2764)

[wallywoo] 20/4/2023 11:27

Spacex are trying to launch again at 2.30pm today. That could move smt up or down depending on the outcome.

[lord loads of lolly] 20/4/2023 09:26

Yes, but according to the BBC, Musk "told investors that over the long term profits would remain strong, noting that the firm's bottom line could be boosted after cars are sold using ongoing subscription payments for super charging, self-driving and other features."

"We do believe we're laying the groundwork here," Mr Musk said. "It's better to ship a large number of cars at a lower margin and subsequently harvest that margin in the future."

To some extent, Tesla are already doing this. I've been told by US owners there's a default option on cars there, whereby Tesla automatically delivers & bills you for new consumables (like tyres, wiper blades etc). And apparently their prices aren't cheap. Presumably a lot of owners turn this function off as a result. But some will just be too lazy to bother, or too loaded/busy to shop around.

[steeplejack] 20/4/2023 06:48

Tesla Inc. on Wednesday reported a 24% decline in first-quarter profit on the back of its most recent wave of price cuts. Shares of the electric-vehicle maker dropped 6.2% to $169.40 in after-hours trading.Tesla 5.1 percent of portfolio.

[lord loads of lolly] 19/4/2023 16:20

steeplejack - you say "Get stuck with a few bum sizeable investments and it won’t be that easy to extract yourself from the mess." Well yes. But the reverse also applies: "Pick a few multibaggers and it won't be that hard to beat the benchmark by some margin." As always, you pays your money & you takes your choice.

[quepassa] 19/4/2023 15:31

Using March-end figures from the monthly fact sheet, ScoMo's exposure to:-

Moderna - GBP£ 1.15billion
ASML - GBP£ 1.07billion

[steeplejack] 19/4/2023 14:58

Yes,i think it will be difficult to replicate those past returns.The low interest rate environment that existed up until recently provided a benign climate for the more 'adventurous' tech ventures.The going will be tougher in future.Plus,despite recent underperformance,SMT is a good deal bigger than it was a decade back and consequently perhaps less agile and flexible in investment policy.Get stuck with a few bum sizeable investments and it won't be that easy to extract yourself from the mess.....like an unwieldy tanker.

[essentialinvestor] 19/4/2023 13:46

Jack, given that private equity is much more powerful than a decade ago with now gargantuan funds to deploy, will it be more difficult for IT's like SMT to replicate their past success going forward?.

[wetdream] 19/4/2023 13:42

Big Pharma would be happy with blockbuster 1 in 10; as would a film co. probably.
It’d be interesting to see the distribution of the 69 ‘winners’; over the 20yr period. Perhaps they’re like buses…
As far as AI potential - presumably it depends on where the intellectual property lies ie. if it’s ‘protectable’.

[itchycrack] 19/4/2023 11:35

The SHORT that just keeps on giving.

[steeplejack] 19/4/2023 11:34

"Biotech might be the area to follow"Complete lottery.Love 'em.Always been attracted to holding biotechs which have some of the characteristics of Ponzi schemes.No one has the faintest idea what's going on.Reassuringly,once a biotech hits the buffers,invariably a big drug company turns up and takes it over.Biotechs are a Mr Micawber style investment because 'something will turn up'.There might be a few Mr Micawbers in Baillie Giffords research department.

[steeplejack] 19/4/2023 11:15

Interesting QuePassa.Good discussion.Taking the inverse,you could argue that a 'success ratio" of only 1 in 10,means that SMT adopts something of a scatter gun approach.That is a surprise.I don't know about the rest of you but i'm conscious of trying to keep my number of stock holdings low otherwise one has a tendency to create your own little indexed fund.One should analyse SMT's stock roll.Just how long does SMT persist in holding the mediocre,opportunity cost is integral to fund management.I'm a little bit transfixed by this sizeable holding in Moderna for example which hasn't done the trust any favours for yonks.What exactly is going to transform the outlook for that one.Another lab leak perhaps.