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You've got to understand rocks if you want to run BHP

Discussion in 'Investing Strategies' started by twisted strategies, 19th Oct, 2019.

  1. twisted strategies

    twisted strategies Well-Known Member

    3rd Nov, 2013
    You've got to understand rocks if you want to run BHP

    ( DYOR )

    i hold BHP

    my early investing plan was to diversify around a base of 3 core holdings

    originally WOW , AMP and ORG , HOWEVER after seeing how ORG had to go into fire-sale mode ( in allegedly good times ) i exited ORG while still in profit and replaced it with BHP , WOW although still my largest holding it has been sold down ( by 50% ) and removed from 'core holding' status as was AMP (which i exited completely while still in some profit .)

    leaving BHP and 2 vacant spots in the 'core holding ' plan

    the theory behind the core holdings was to have some companies that are so solid they are liable to survive almost any downturn ( so you can imagine my disappointment in ORG , WOW and AMP which have showed signs of major stress , without an accompanying financial meltdown )

    WES is still a possible candidate to fill a 'core holding ' spot it still has some investment decisions to make , and the Kidman Resources acquisition still has to prove itself as a sensible acquisition , , but it has a fairly good record on investment decisions ( i think the UK hardware exit was premature but heck i don't get paid big bucks to make those decisions .

    ( please note BHP is riding an unusual peak in the mining cycle when looking at historical performance you really need to go back 20+ years and see how BHP handled Australia's last recession )