SMT Investment

coastline

An update on a chart I posted a week ago. Value continues to improve so it looks like this is holding up the SP500 at the top of the chart. Rotation it is then but who knows how long it lasts?
In the UK the likes of BP have joined the party from being unloved.
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A video from the company here.
Scottish Mortgage falls 25%: Why and what next?  | This is Money
A forum view
Scottish Mortgage Investment Trust Plc Share Chat - Chat About SMT Shares - SMT (advfn.com)
Who is an SMT buyer? - Investment trusts - Forums - Citywire Funds Insider Forum

Bobziz

Could be an interesting couple of years. Initial surge in inflation caused by pent up demand and residual supply issues. Fed resisting putting up interest rates, but for how long...As for UK, who knows, potentially undervalued, but lots of Brexit related unknowns, and as they say, when the US sneezes the rest of us catch a cold.

[Deleted User]

Sue58 said:

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?

https://uk.finance.yahoo.com/quote/SMT.L?p=SMT.L&.tsrc=fin-srch
Price 1,017.00
Not sure how that works, can you still buy at that price given yesterday's USA rally afterwards?
Let us know on Monday. Good luck anyway!

MDMD

I think I’ve learned a lesson with SMT - most of my holding before January was bought between £5 and £8. Then for some reason I got caught up In the hype and bought some more at over £12, rather than banking the profits when my gain was over 110%. It’s now sub 40%.

Steve182

MDMD said:

I think I’ve learned a lesson with SMT - most of my holding before January was bought between £5 and £8. Then for some reason I got caught up In the hype and bought some more at over £12, rather than banking the profits when my gain was over 110%. It’s now sub 40%.

There was of course no way of you or anyone else knowing that it would increase from £12 to £14 then reverse in the way it just has. If you watch the SMT youtube webinar I posted in my earlier reply to this thread you will see many of their investments dropped 30% to 50% multiple times during their ownership and in their words "made them look silly" before eventually providing very pleasing returns. 

As you know it's a long term game. I'd be surprised if the shares are not at least double or treble their current price 5 years from now.

Bobziz

As you know it's a long term game. I'd be surprised if the shares are not at least double or treble their current price 5 years from now.

You may well be right, but I'd be interested to know what you've seen or read that would make you surprised if that didn't happen ?

Steve182

Bobziz said:

As you know it's a long term game. I'd be surprised if the shares are not at least double or treble their current price 5 years from now.

You may well be right, but I'd be interested to know what you've seen or read that would make you surprised if that didn't happen ?

I've invested in SMT for 5 years, watched many a recorded AGM and several interviews with JA and TS, I was planning to attend the AGM last year but for covid.

The SMT presentation I posted in my earlier reply above is very persuasive and would suggest to me that estimate should be easily achievable. 

SMT are quite unique for reasons that are apparent from watching their presentations. They don't show performance graphs comparing their growth with any index or peers. What they do explain is why they think they are better placed than anyone else in the world to find, have access to, and invest in the next Microsoft, Apple, Amazon, Facebook, Alibaba, Tesla etc etc at an early stage, often well before they are listed, enabling them to capture huge growth. They originally invested in Amazon in 2003 and Tesla in 2013 I believe.

Not to mention their annual fee is only in the order of 0.3%

I think share price has increased something like 500% in 7 years (I've not checked the exact amount recently, it may have dropped since) but I think  >£20 in 2026 is a very, very modest target...

Alice_Holt

I have the opposite dilemma to the OP.

My SMT holding dates back to the late nineties (monthly purchases through their savings scheme), and I have gradually using my capital gains allowance over the years to move holdings across to my ISA. I have also re-balanced, and earlier this year reduced SMT holdings (in my ISA) further to re-balance into a capital preservation IT.

I was intending at the start of the new tax year to use my annual capital gains allowance, sell the remaining SMT shares outside my ISA, and (in doing) reduce the SMT holding closer to a 10% overall allocation of my funds / IT's. Given the share price drop I shall now hang fire, and wait till later in the tax year. 

Bobziz

Steve182 said:

Bobziz said:

As you know it's a long term game. I'd be surprised if the shares are not at least double or treble their current price 5 years from now.

You may well be right, but I'd be interested to know what you've seen or read that would make you surprised if that didn't happen ?

I've invested in SMT for 5 years, watched many a recorded AGM and several interviews with JA and TS, I was planning to attend the AGM last year but for covid.

The SMT presentation I posted in my earlier reply above is very persuasive and would suggest to me that estimate should be easily achievable. 

SMT are quite unique for reasons that are apparent from watching their presentations. They don't show performance graphs comparing their growth with any index or peers. What they do explain is why they think they are better placed than anyone else in the world to find, have access to, and invest in the next Microsoft, Apple, Amazon, Facebook, Alibaba, Tesla etc etc at an early stage, often well before they are listed, enabling them to capture huge growth. They originally invested in Amazon in 2003 and Tesla in 2013 I believe.

Not to mention their annual fee is only in the order of 0.3%

I think share price has increased something like 500% in 7 years (I've not checked the exact amount recently, it may have dropped since) but I think  >£20 in 2026 is a very, very modest target...

They do talk a good talk don't they, and have an impressive marketing dept. Still looks 20-30% too expensive for me at the moment though.

[Deleted User]

Alice_Holt said:

I have the opposite dilemma to the OP.

My SMT holding dates back to the late nineties (monthly purchases through their savings scheme), and I have gradually using my capital gains allowance over the years to move holdings across to my ISA. I have also re-balanced, and earlier this year reduced SMT holdings (in my ISA) further to re-balance into a capital preservation IT.

I was intending at the start of the new tax year to use my annual capital gains allowance, sell the remaining SMT shares outside my ISA, and (in doing) reduce the SMT holding closer to a 10% overall allocation of my funds / IT's. Given the share price drop I shall now hang fire, and wait till later in the tax year. 

Or you could do nothing, then the SMT holding will either reduce itself towards 10% or rise, making your intervention look like a mistake in hindsight.

Generally, rebalancing does not work. It takes the edge off, that's all.