Ann: Trading Update, page-47

@MarsC

I fail to see how it can not merit contemplation. Because let me assure you, the management of REH will be well and truly aware of it (not that I'm suggesting that are primarily driven by the cycle). If it's of interest to them, then I posit that it should be to you.

I know REH management is fully aware of it and I agree that they should. However, as an investor of the company, who intends to be in for the long haul, I don't think I need to worry myself too much about such matter.


To help you understand why I don't share your views, I imagine myself as one of the Wilsons' distant cousin who happens to hold a small stake in REH in a family trust, which prevents me from selling it. I know that the trust was setup for my own financial benefit and that if I just don't do anything, I am more likely to benefit over the long term.

However, if my cousins start to behave silly, like buying a corporate helicopter for visiting the various branches, or they move the HQ to the Paris end of Collins St, or the performance of the company starts to deteriorate year in year out, then I will be worried about the family trust investment in REH.

In the mean time, I will let my capable cousins to run the business and worry about the building cycles and how to counteract it on my behalf.

Surely you don't think that's what I'm all about? I'm surprised if that's what you think. It's most certainly not. Nevertheless, intelligent input or useful information is of value wherever it may be found. Of course, it is up to each of us to make our own determination about what is and what isn't of value.

I wasn't referring to you.

My comment was directed to those who bought SDI after only reading others' posts and without their own analysis of the company.

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Happy investing!