Our job at Allan Gray and Orbis is to be uncomfortable and to sweat our clients’ capital. Ultimately what we focus on is the risk of capital loss - and that risk is mitigated by the price we pay. Watch this 8-minute video in which Brett Moshal, from Orbis, looks at how our shared investment philosophy has been applied to find opportunity in the COVID-19 environment.
- The dramatic rebound in the second quarter has left equity markets much more nuanced and with fewer obvious bargains compared to late March.
- Some “growth” stocks appear attractive, while others have never been so expensive. On the other hand, some “value” stocks appear unusually cheap, while others have been justifiably punished.
- In Japan, we are finding good companies at great prices and with particularly attractive dividend yields.
- Markets globally remain highly uncertain, but as always, our focus remains on avoiding the risk of permanent capital loss by being disciplined about the price we pay.