I would rather put it this way- Natty’ profolio show that if one harnesses all the information available to good use, it pay off… The guy is double ahead man, you got to salute.
His picks make total sense to me… I think over 12 months period, information was available to everyone. Not just speculation or insider information.
We dwell too much on this fundamentals and technical stuff too much. Minus a handful of the NSE blue chips, I really do not think fundamentals will says it all now on the NSE.
Anything oil sector has globally done well (not only in Nigeria). If you add all the local content efforts made in last few years, it makes it better. Without having full details, one can assume that any company doing business directly in the oil sector or providing support service will do well (as long as the company is not dead. Nigeria has made tons of money over the last 5-7 years because of oil prices, but Nigerian oil has also become geopolitically and strategically more important over the same time.
Everything related to oil on the NSE in last 18 months has gone up.
Natty, “reasoning in construction is “Building of Roads, Houses, bridges etc will definitely translate to good market for companies like G Cappa. I equally understand there is sudden interest of other well meaning investors wooing to inject more funds into G Cappa, hence the present administration may generally put construction companies at an edge.”
A look at the construction sector over last 9 months…makes information important.
Insurance, I think we all got that sector one right…
Banking, we mostly got wrong, in terms of performance, but I am sure the reasoning behind all our picks remain valid. Technical stuff is perhaps more relevant for this sector…
The food for thought, the way I see it is price of oil hit $160 this week- if it continues like, Nigeria is richer, all things considered, it is more construction work, oil and maritime sector does well…possibly insurance, banking holds. Remember African Command?
Add this type of information to a sound company / sector and wait....
X factor is the current global crisis!!! Frontier Markets are becoming a vogue… so beware. These fund manager could destroy the NSE.