SMT Investment

Sue58

I’be been waiting for an entry point into SMT but I thought it was far too expensive. However, now it seems more appealing at a 5 % discount and down around 30% from the year high. It may fall further but I will invest on Monday. Anybody else have an opinion?

dunroving

Yes. If you take the plunge, don't check the price until at least 6 months later. ;-)

Or if you check it every day after you buy, and it goes down, remind yourself you still got it much cheaper than if you bought at the year high.

Apodemus

I've been waiting for an entry-point into SMT since it crossed £3.00 but have always been behind the curve and always thought it too expensive!

BuildTheWall

Best time to invest is now (I mean whenever it’s possible). Try to time the market and lose out. 

As dunroving says, don’t look at markets every day. 

Steve182

I've not really got spare cash to invest right now, but I'm tempted to sell another investment to top up. If it drops further that temptation will almost certainly become a reality. 

Linton

The discount may not be correct since the published NAV does not reflect Friday's falls.  The most recent NAV was published on Thursday.

My opinion is that if the investment is right for your objectives then buy it.  If it isnt dont.  Determining the true value of a fund like SMT based on growth assets is impossible.  A high growth asset is almost certainly incorrectly priced - by the time it matures, if it ever achieves maturity,  it could turn out to be worth very little or a fortune.

Steve182

Linton said:

 A high growth asset is almost certainly incorrectly priced - by the time it matures, if it ever achieves maturity,  it could turn out to be worth very little or a fortune.

Agree completely

The following youtube presentation from Scottish Mortgage shows exactly that, I found it very interesting. They show a chart from their worst investments, losing 100%, up to their best, making 2400%
https://www.youtube.com/watch?v=rpBESgEo3m8

coastline

There's something not right in the way all these tech-growth stocks have burst into life early 2020 and soared. Many were more or less going sideways or rising steadily in previous years. Considering a stock has it's own identity you'd think all would show different chart patterns but they're not.
Look at the Nasdaq below then set it to 5 years  
NASDAQ 100 | NDX - Index Price | Live Quote | Historical Chart (tradingeconomics.com)
Now look at the three mentioned on this forum in the last two days. TSLA and again set to 5 years.
Tesla | TSLA - Stock Price | Live Quote | Historical Chart (tradingeconomics.com)
INRG and again set to 5 years.
Inrg:us (tradingeconomics.com)
SMT and again 5 years.
Scottish Mortgage | SMT - Stock Price | Live Quote | Historical Chart (tradingeconomics.com)
Not offering advice but surely a companies fortunes can't change that much in a year ? Well not so many at the same time ?
SMT on here change the simple moving averages to 10 days and 20 days. While the price is below those I wouldn't attempt to buy not in the present circumstances. It wouldn't surprise me to see all these stocks fall back to early 2020 levels just before the covid crash. That's just my opinion which counts for very little really. Good luck.
SMT.L | SharpChart | StockCharts.com

Bobziz

I tend to agree. Money pumped into the economy, savings rates not worth having, charts for some companies looking very enticing for retail customers wondering what to do with their money. 

Look at The 20 year chart for SMT and ask what has changed so dramatically to warrant such an increase. Future earnings brought forward by COVID doesn't seem to cover it....

A few things happening over the pond this coming week which could end up being the straw that breaks the camel's back, or not...good luck all.

Bobziz

The s&p on the 5 year chart looks a long way from the 50 day MA too.

Thrugelmir

Bobziz said:

Look at The 20 year chart for SMT and ask what has changed so dramatically to warrant such an increase.

Change of investment focus. Neil Woodford was becoming a cult hero 20 years ago with Perpetual Income. .