6 May 2019

Remuneration Report Analysis and Commentary: PortfolioDirect scores annual remuneration reports from ASX listed companies against a consistent analytical framework designed to help assess which reports are most worthy of shareholder support. 
Contents

Where are we in the Cycle?
Of the five PortfolioDirect cyclical guideposts, two are ‘red’ and three ‘amber’.  The cyclical positioning has been classified as ‘downswing’ with global growth decelerating, a loss of output momentum in China, the largest national user of metal, and less supportive monetary policy settings than have prevailed for most of the post-2009 period.  More...

Market Directions
A strong US labour market report for April was accompanied by flagging equity price momentum. Concerns about global economic growth are catching up with the mining sector after having been generally shrugged off in prior weeks.  Daily traded metal prices, also hindered by a stronger US dollar, have fallen with the overall trajectory consistent with a cyclical downswing having another 10-12 months to run.  The  performance of the market leaders is now in greater jeopardy.     More...

Portfolio Performance and Positioning
Accelerating losses consistent with overall market outcomes were evident across all three development categories. The market leaders which had been displaying relative strength lost momentum.  The leaders are at greater risk from further falls in metal prices than other segments which have not benefited from recent periods cyclical strength and broader equity market strength. The portfolio remains weighted in favour of Phase I companies in anticipation of these factors becoming more influential. No changes were been made to portfolio models.      More...

Stock Reviews and Rating Analysis 
PortfolioDirect rating reports analyse the quality and risk attributes of proposed mineral developments.  Rating criteria apply to mining and oil and gas stocks at any stage of development.  PortfolioDirect uses a five point rating scale to measure the risk adjusted quality of proposed mineral developments or companies.    
More...

The 'Steak or Sizzle' blog provides summary judgements on the top performing ASX-listed resources stocks. More...

Although the statements of fact in this report have been added from and are based upon sources the authors of the report believe to be reliable, their accuracy is not guaranteed and any such information may be incomplete or condensed.  To the extent permitted by law, the authors of the report are not liable for any loss or damage arising as a result of reliance placed on the contents of this report.  

All opinions and estimates in this communication constitute judgments by the authors at the report date and are subject to change without notice.  The report publisher is under no obligation to make public any change in view about any matter referred to in this document.    

No references to past investment performance should be taken to indicate anything about future performance.

This communication is directed only to Australian wholesale investors and licensed financial advisers for information purposes and is not intended as an offer or solicitation with respect to the purchase or sale of a security.

Copyright 2018 PortfolioDirect All Rights Reserved.