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.
With eight Magic Markets Premium shows behind us and a ninth dropping this week, we took the opportunity to reflect on the themes coming through from these deep dives. In Episode 56, we discussed some of our key learnings on each of the companies we have covered. We have done detailed research on Nike, US banks, Microsoft, Etsy, Monster, Intuit, Ford, Visa and now Disney as well. The detailed reports and podcasts are available to Magic Markets subscribers for R99/month. Go to https://magic-markets.com/subscribe/ to gain access to the full library and a new deep dive on a global stock each week. ...
In Episode 46 of Magic Markets, The Finance Ghost and Mohammed Nalla take a break from trading-related concepts to talk about another critical part of the financial markets ecosystem: mergers and acquisitions. The recent Zoom - Five9 transaction is a great case study, mainly because it fell over in the end. Zoom tried to do an all-share deal and Five9 shareholders weren't interested in receiving Zoom shares in return for selling Five9. The hosts explore the theories behind cash vs. share deals and touch on numerous practical concepts that they have seen play out in the markets. The benefit of having more than 25 years of combined financial markets experience is clear in this episode. Magic Markets is your invitation to sit in on our conversations about the markets. ...
Nerina Visser is the leading ETF expert in South Africa. Magic Markets hosts The Finance Ghost and Mohammed Nalla (Moe-Knows) had the pleasure of hosting her on Magic Markets in Episode 4 and they were excited to welcome her back for Episode 40! In this show, some of the more technical elements of ETFs and ETNs are discussed. For example, there are important differences between the two structures when it comes to underlying risk. Nerina also addresses the misconception that ETFs are purely a "passive" investment decision. With plenty of laughs along the way, Nerina also reveals what the hosts suspected to be true: (almost) all of her money is invested in ETFs! Magic Markets is your invitation into the dealing room to be part of these conversations with global market and investment experts. ...