The HM1 portfolio was up by 6.9% for the month, outperforming the MSCI World Index (AUD), which gained 5.2%. In May, global markets rebounded strongly from April’s lows, supported by easing trade tensions between the US and the EU and a temporary pause in planned tariff increases. These developments helped reduce broader concerns around the global economic outlook. Since inception, HM1 has delivered an annualised pre-tax investment return of 11.0%. As at the end of May, the current annualised yield is 5.3%, fully franked.
During the month, we spoke with Jeremy Bond of Terra Capital to revisit his 2024 Conference stock recommendation, Coeur Mining (CDE). The stock has performed strongly in recent months and is now up approximately 30% since it was added to the portfolio in October last year. Jeremy remains positive on the outlook for Coeur, highlighting its scale, free cash flow profile, and balance sheet strength relative to peers in the silver sector. He notes that the company is progressing toward key operational milestones, including full production at the Las Chispas and Rochester sites, and anticipates a stronger financial position over time should commodity prices remain supportive.
You can watch Jeremy’s original pitch from the 2024 Sohn Hearts & Minds Conference here. For further background on Coeur’s operations, we’ve included a more detailed overview here.
