Cadence Capital Limited · ASX:CDM
Cadence Capital — Shareholder Meeting (November 2014)
27 slides from Cadence Capital's shareholder meeting presentation, Nov 26, 2014
Slide 1: Cadence Capital Limited AGM
Cadence Capital Limited For personal use only AGM 26th November 2014 10.30 am – 12.00 pm Museum of Sydney
Slide 2: Resolution 1: Re-elect Mr James Chirnside as Director
Resolution 1 For personal use only To re-elect Mr James Chirnside as a Director Votes for 16,944,698 Votes against 18,692 Open Proxy Votes to the Chair 2,889,625 Open Proxy Votes - Others 758,993 Any Questions? Someone to support the resolution Someone to second the resolution
Slide 3: Resolution 2: Adopt the Remuneration Report
Resolution 2 For personal use only To Adopt the Remuneration Report Votes for 15,016,159 Votes against 1,490,477 Open Proxy Votes to the Chair 207,692 Open Proxy Votes - Others 751,878 Any Questions? Someone to support the resolution Someone to second the resolution
Slide 4: Presentations
Presentations For personal use only Wayne Davies presenting on the Cadence Capital Investment Process Portfolio Managers Chris Garrard and Simon Bonouvrie presenting investments in the Cadence Capital portfolio Karl Siegling presenting on the past year and the outlook for 2015 Questions to a
Slide 5: CDM: What we are … and what we're not
CDM: What we are … and what we’re not For personal use only What we are … Long biased long/ short global equities fund A fund that has developed a disciplined approach to dealing with most types of market cycles A fund that makes solid risk-adjusted returns over time and through cycles A fun
Slide 6: Investment Philosophy and Beliefs
Investment Philosophy and Beliefs For personal use only A combination of Fundamental and Technical Research has a greater probability of producing higher returns than either Fundamental or Technical analysis alone On a daily basis we visit and research companies to determine whether they are che
Slide 7: Fundamental Research
Fundamental Research For personal use only Stock Profiles 2,183 ASX Listed Companies Around 700 made a Profit Last Year Average fundamentals Bad (35 stocks) (630 stocks) Good (35 stocks) Short Position Long Positions 300 - 400 company visits per annum (For current year and two (For current year an
Slide 8: Technical Research
Technical Research For personal use only Do NOT short Do NOT buy the short-term (one year) share price and share volume indicators (short term trend) the long-term (five year) share price and share volume indicators (long term trend) the average weekly volume of shares traded
Slide 9: Entry and exit of long positions
Entry and exit of long positions For personal use only Entering Longs Exiting Longs Soft and Hard Stops 5% 4% 3% 2% 1% Wait until trend has turned and then Identify a change in trend - 1, 3 and 12 month chart accumulate positions analysis Do not average down Individual stock positions are mo
Slide 10: Market Participation
Market Participation For personal use only IPOs Block Trades Placements Price action/sell down SPPs Takeover arbitrage Rights Issues Dual listed arbitrage Underwriting Convertible note arbitrage Participate when opportunities present & stop when they don’t
Slide 11: CDM as a SMSF Investment
CDM as a SMSF Investment For personal use only Cadence Investment Process makes the Equities vs Cash decision daily Top performing, high yielding ASX listed Equity - recently ranked #1 Australian Equity LIC over 5 years (ASX October 2014 Monthly Update) CDM gives SMSF’s exposure to : Domesti
Slide 12: Retail Food Group - RFG
Retail Food Group - RFG RFG is a franchisor of over 2400 retail food outlets For personal use only Fundamental Analysis Idea Placement RFG owns the brands for Donut King, Brumby’s Generation Bakery, Michel’s Patisserie, bb’s café, Esquires Coffee, The Coffee Guy, Pizza Capers Gourmet Stock Profile
Slide 13: RFG – Entering & exiting the position
RFG – Entering & exiting the position For personal use only We first bought RFG in a placement in October 2007. The company performed well during the GFC but the shares fell with the rest of the market. Post GFC the shares have performed very well and we have added to our position over time as t
Slide 14: iiNet - IIN
iiNet - IIN iiNet (IIN) is an internet service provider and telecommunications company For personal use only Fundamental Analysis Idea Internally generated iiNet profit has increased steadily in the last few Generation idea years. This has been driven by organic customer growth and well timed acqu
Slide 15: IIN – Entering & exiting the position
IIN – Entering & exiting the position For personal use only IIN shares started rising in mid 2012. We made our initial purchase after the upwards trend had been well established, with the shares having risen from $3 to $4.50 over 6 months. After buying our initial position at about $4.50 we have
Slide 16: Global Opportunities
Global Opportunities For personal use only Many ASX listed stocks are global businesses and generate significant revenues from offshore. Cadence has long standing positions in Macquarie Group (ASX Code: MQG) (8.0%) and Henderson Group (ASX Code: HGG) (2.6%) which generate the majority of their r
Slide 17: Gilead Sciences Inc.
Gilead Sciences Inc. Gilead Sciences (GILD) is a US based biotech company For personal use only Fundamental Analysis Idea internally generated Cadence’s first US listed stock investment is Generation idea Gilead Sciences Inc (GILD). This position has grown to become our second largest holding. Sto
Slide 18: Gilead Sciences Inc.
Gilead Sciences Inc. Gilead Sciences (GILD) is a US based biotech company For personal use only Fundamentally and technically we like this US listed stock GILD is trading on about 10x forward earnings and we expect it to produce solid double digit earnings growth over the next several years PE
Slide 19: Gilead Sciences Inc.
Gilead Sciences Inc. Gilead Sciences (GILD) is a US based biotech company For personal use only Share Price Trend for 3 months, 1 year and 5 years is up
Slide 20: Mastercard Inc.
Mastercard Inc. Mastercard Inc (MA) is a US based payments technology company For personal use only Fundamental Analysis Idea internally generated Payments technology company. MA has a Generation idea dominant market position (VISA biggest) Connects consumers, financial institutions, Stock Profi
Slide 21: Mastercard Inc.
Mastercard Inc. Mastercard Inc (MA) is a US based payments technology company For personal use only Fundamentally and technically we like this US listed stock MA is trading on about 23x forward earnings. MA has consistently grown its EPS at mid to high teens and we expect this to continue Stro
Slide 22: Mastercard Inc.
Mastercard Inc. Mastercard Inc (MA) is a US based payments technology company For personal use only Share Price Trend for 3 months, 1 year and 5 years is up with the stock recently making new all-time highs
Slide 23: The Year in Review
The Year in Review For personal use only The year to date has seen an All Ordinaries range of 5,000 to 5,600 with the market flat year on year. Put simply 10% volatility with no return The established commodity and interest rates trends have continued The resource boom ended four years ago and
Slide 24: Outlook for the year ahead
Outlook for the year ahead For personal use only There is nothing to suggest the falling commodity price trend will reverse in the year ahead…….if anything, on a balance of probabilities, things could get worse in the sector A major issue for global markets (and Australia in particular) is wheth
Slide 25: Outlook for the year ahead (continued)
Outlook for the year ahead (continued) For personal use only The Superannuation Industry continues to grow strongly and is nearly $1.9tln The entire ASX market capitalisation is around $1.2tln to $1.4tln As superannuation grows it will become two to three times the size of the ASX market capit
Slide 26: Keep up-to-date with Cadence Capital
Keep up-to-date with Cadence Capital For personal use only
Slide 27: Questions
Questions For personal use only We would like to open up the floor to all questions. Thank You
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