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What's looking cheap on the ASX?

Discussion in 'Other Asset Classes' started by radson, 11th Jan, 2016.

  1. radson

    radson Well-Known Member

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    With the ASX in freefall apparetly because the speculators in China are selling, what do you think is a good buy at the moment for a long time buy and hold investor.

    Any LICS looking fair game against their NAV?
     
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  2. Darlinghurst Boy

    Darlinghurst Boy Well-Known Member

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    Aaaaaahhh .... My Woolworths Shares are looking cheap !
    Im just about to ring the Managing Director to tell him I want to install glass walls around his office...so we can all go down in our lunch breaks to see if he' s actually working !!!!!!!
     
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  3. pinkboy

    pinkboy Well-Known Member Premium Member

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    As Im currently all out of cash at the moment, Im unable to purchase at present (cash went to a solid investment), but I am still looking.

    Without some serious number crunching, just looking at VAS, VHY and QOZ (ETFs) all at 12mth lows. The Major LICs are still at premium (ARG, AFI, MLT). I cashed out of WAM and CDM, which are ones I have liked in the past, but premium buying at present still.

    Perhaps @The Falcon can chime in with some of his thoughts as he keeps quite a good eye on the game?

    pinkboy
     
  4. Ouga

    Ouga Well-Known Member

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    "Trying is the first step towards failure" Homer
    Massive premiums on the LICs!
    I've just grabbed a little VAS.
     
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  5. Daves2074

    Daves2074 Member

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    A bit of a smaller one which might not suit most. But finder resources (FND) is a month away from ramping up its copper mine to full production and the numbers are very impressive. Forward PE of 2.5 for next year with promising drill results suggesting mine upgrades to come. Currently 13c and near lows.
     
  6. oracle

    oracle Well-Known Member

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    Me too. Best time to buy is when your favourite stock is trading at 52week lows.

    I am still holding some powder dry. Next buy target is another 5% drop so around $59.

    Cheers,
    Oracle.
     
    Last edited: 11th Jan, 2016
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  7. cdchi1

    cdchi1 Well-Known Member

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    Some good quality gold producers with low cost per oz production are looking quite attractive atm with AUD POG approaching $1,600 again.

    Big drop on All Ords and is sub 5k atm...could cause some panic if market doesn't bounce back above 5k into the 5-5.4k trading range its been in since late 2013.
     
  8. The Falcon

    The Falcon Well-Known Member

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    Not looking at LICs but adding to a 30 stock industrials equal weight portfolio, QUB / NAB / AMP / PTM / IFL / SHL all look interesting on a 10 year outlook. My favoured LICs being QVE and WHF aren't particularly compelling at current levels.
     
    Last edited: 11th Jan, 2016
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  9. wogitalia

    wogitalia Well-Known Member

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    Bit of Hulk Smash going on right now! Buying time on the horizon :)
     
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  10. austing

    austing Well-Known Member

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    Guilty also of same today:)

    Don't really need more shares as retirement income is already more than needed but when a post-Christmas sale is on it's nice to do some bargain hunting. Would be even nicer if we can get a stock clearance fire sale however! Greedy little bugger I am.
     
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  11. radson

    radson Well-Known Member

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    How about just down to 4500 and then up to 6000 by next year ?
     
  12. oracle

    oracle Well-Known Member

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    While I am in my accumulation stage which will probably be atleast another 7 to 10 years I don't mind the index around this level while corporate profits keep rising. Am I asking for too much..probably :p

    Cheers,
    Oracle.
     
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  13. johnpendlebury

    johnpendlebury Well-Known Member

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    -China's market
    -China devaluing their currency
    -Commodity prices in freefall
    -America's market appearing frothy
    -Concerns about Junk Bond bubbles

    not sure its going to get better before it gets worse.

    but trying to time things rarely works. Dollar Cost averaging in prob the safest bet.
     
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  14. Jingo

    Jingo Well-Known Member

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    I've been $ cost averaging into the market over the past yr or so. Pickedup some CBA today and looking to buy more VAS. Bought some VAS on Friday for what I thought was cheap, but today is better!

    Who else is planning to use shares as part of their income in retirement?
     
  15. The Falcon

    The Falcon Well-Known Member

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    Yep, Industrials 70-80% and the rest in fixed interest / cash.
     
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  16. johnpendlebury

    johnpendlebury Well-Known Member

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    What do you like about QV Equities?
     
  17. The Falcon

    The Falcon Well-Known Member

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    Ok quickly ;
    - Manager, IML is for mine, a proven manager with near 20 years track record of outperformance with a tax aware perspective (minimalizing turnover where possible). Management holds major stakes in the business (alignment).
    - MER at c.0.80% post options and no performance fee is good value for what it is.
    - Quality + Value focus on ex20 stocks provides sector diversification not available via cap weighting, provides access to "small" and "value" premiums that outperform. There is also a significant industrials tilt to their portfolios with a focus on dividend payers.
    As a simple 2 stock portfolio, QVE and VAS I think would work very well together...say 30/70 or 40/60 weights perhaps.
     
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  18. johnpendlebury

    johnpendlebury Well-Known Member

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  19. oracle

    oracle Well-Known Member

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    That is the plan Jingo. Eventually, I would like to sell all my IPs and pour the profits into shares. Either increase current portfolio or repay margin loan. Will depend on circumstances at that time.

    I want to have all my investments to require very little to no involvement but still keep returning respectable rate of return over the long term.

    This way I can truly enjoy financial independence by allowing me to travel, live and do whatever my interest at that point are without being forced to manage my investments. It also makes it simple to pass on management of investments to my kids/wife when I am no longer there. Instructions would be log in to netbank if there are funds available go spend it if not just wait for next quarterly dividend. I can't think of making it any simpler TBH.

    Cheers,
    Oracle.
     
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  20. austing

    austing Well-Known Member

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    Sounds good to me Oracle. That's exactly what we did and let me tell you now in retirement this strategy is absolute bliss. Also allowed us to retire a lot earlier.
     
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