Update from the CIO

As you should be aware, the next Sohn Hearts and Minds Investment Leaders conference is this Friday, down at the beautiful Sydney Opera House. For HM1, this means we will finally get the new set of stocks for the conference portion of our portfolio. We will be selling the remainder of the holdings from the 2018 conference, and given the amazing performance of these stocks, it will mean we incur a tax liability on those gains. Yesterday’s weekly ASX announcement provided detail on how we will disclose our NTA on a weekly basis going forward. You can read the announcement here.

If we sold the remaining conference holdings last Friday, it would result in a tax liability of approximately 7 cents per ordinary share. These tax payments will result in the generation of franking credits which the Board will endeavour to distribute to shareholders going forward.

Of course, share prices keep moving, and so our ongoing NTA will primarily be a function of those moves.

Have a good week and look out for the new Conference picks next week!