Ann: Sale of Corporate Trust business, page-6

What drives a share price is a mixture of rational and irrational behavior. A good earnings result with positive growth outlook will normally drive the sp higher. This is a rational response. An irrational response is selling a stock because it and it's sector is getting bad press and people think that it will affect earnings. Here the response is based on conclusions drawn from an assumption. This is irrational behaviour as it is based on "I think" rather than "I know".

I never try to predict what will happen to a sp based on an announcement. I much prefer to look at the business model, management skill, company direction and business competitive advantage.

When I look at IFL, I see a business with significant growth coming from the ANZ wealth transaction. While the RC is tainting the sector, IFL seems to have been beaten up more than it's business model would suggest is appropriate.

HT1