Quality Business to Consider?, page-17

mossums, I bought today @4.61. I think that is the floor. Others might chase 4.40. Time will tell if I am right.

People are fretting about Brexit. The polls show it evenly balanced, while the bookies have it at 1-3. I trust the bookies. I see $6.50 after Brexit fails and after half year report due 30 July. I think profit will be strongly and surprisingly positive.

This is a quality business. They have exited low-margin fixed interest and enlarged equities, which is where all the upside is. Balancing the interests of talented investor staff and shareholders is tough. I think they have it about right. Another thing that gives me comfort is the consistent writedown of goodwill on acquisitions - about £50m a year off the reported profit and tax-efficient.

I am not keen on share buybacks and wish instead they bought on market to offset dilution from rewarding staff with equity. These two are nearly identical, or could be.

GLTA

Ash