While the TM Redwheel Global Equity Income fund may be new, the team – led by Nick Clay – is highly experienced, and the investment strategy is well-proven. It has a true contrarian nature backed up by a logical and disciplined philosophy. This leads to an attractively yielding income fund (every holding must yield at least 25% more than the broader market at the point of purchase) that also allows for capital return from a concentrated portfolio.
What’s covered in this episode:
- Why people have to get used to building their wealth at a steadier pace
- How a permanent inflationary backdrop will “crush the margins” of many businesses which are dependent on keeping their prices low
- Taking advantage of opportunities while active investors obsess about the threat of recession
- Why big tech companies like Apple and Microsoft may face even more pain in the future
- Why the compounding of dividend income (not capital growth) will be the biggest driver of returns from here
- The importance of going against the market consensus – particularly when things look difficult
- The challenge of spotting when disruption or controversies in companies will have a permanent impact or not
- The opportunity in the luxury retail space
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