Apr 30 2024 39 mins 1
In episode 99 of the [i3] Podcast, we speak with Julian McManus, who is a Portfolio Manager on the Global Alpha Equity Team at Janus Henderson Investors. We spoke about global equities, the role of the Magnificent 7, Japanese equities and hybrid cars. Enjoy the show!
Overview of Podcast with Julian McManus, Janus Henderson Investors
02:00 Getting into Japanese equities fresh out of law school
04:00 We still invest in Japan
07:00 Abe’s reforms and book value quant trades
08:00 The Japanese government has woken up to the urgence to create national champions in strategically important industries
09:50 Japan is going to be one of the most important semiconductor manufacturing hubs globally outside of Taiwan
11:00 Toyota and the demand for hybrides
14:00 There is still a notion among some investors that you invest in US stocks and international is where you go on vacation
15:30 Tech companies outside of Magnificent 7, why haven’t they increased alongside?
16:30 Many investors have trouble paying more than 25 times, one year forward earnings for any European stock
19:00 Yes, there is geopolitical risk in TSMC, but TSMC is not living in a vacuum
20:00 We are of the position that China will never be able to invade Taiwan
22:00 Because we have a large position in (defence company) BAE Systems, that allows us to have a large position in TSMC as well.
23:00 We own three of the Magnificent 7
25:00 We believed for a very long time that Apple and Tesla were overvalued and avoided those
28:30 The uncomfortable question about AI is: Are you going to reinvest the productivity gains or let them flow down to the bottom line?
30:00 On the dangers of overdiversification
36:00 Rates are typically something we don’t want to take a bet on
37:00 Defence spending will need to catch up in Europe
Overview of Podcast with Julian McManus, Janus Henderson Investors
02:00 Getting into Japanese equities fresh out of law school
04:00 We still invest in Japan
07:00 Abe’s reforms and book value quant trades
08:00 The Japanese government has woken up to the urgence to create national champions in strategically important industries
09:50 Japan is going to be one of the most important semiconductor manufacturing hubs globally outside of Taiwan
11:00 Toyota and the demand for hybrides
14:00 There is still a notion among some investors that you invest in US stocks and international is where you go on vacation
15:30 Tech companies outside of Magnificent 7, why haven’t they increased alongside?
16:30 Many investors have trouble paying more than 25 times, one year forward earnings for any European stock
19:00 Yes, there is geopolitical risk in TSMC, but TSMC is not living in a vacuum
20:00 We are of the position that China will never be able to invade Taiwan
22:00 Because we have a large position in (defence company) BAE Systems, that allows us to have a large position in TSMC as well.
23:00 We own three of the Magnificent 7
25:00 We believed for a very long time that Apple and Tesla were overvalued and avoided those
28:30 The uncomfortable question about AI is: Are you going to reinvest the productivity gains or let them flow down to the bottom line?
30:00 On the dangers of overdiversification
36:00 Rates are typically something we don’t want to take a bet on
37:00 Defence spending will need to catch up in Europe
