Jardine Matheson (JMHLY)

In the last 3 weeks, stock's fallen a bit due to the trade imbroglio between US and China. About 25% of revenues from China. Indonesia is their biggest revenue maker, and that's why he uses it as a proxy for all of South East Asia. They have their tentacles everywhere. 

Low volatility. With USD falling, emerging market stocks have really done well. So this stock's had a big pickup of 13% YTD. Yield is 5%, which grows roughly 5-10% each year.

US tariffs will hurt its construction and real estate business in China. If China improves, stock should improve. If not, stock will go sideways, and you collect the dividend while you wait.

A proxy for investing in Southeast Asia, tentacles in almost every country in that region. Lots of capital. Good credit rating. Dividend yield of 4.5-5%.

Emerging markets are suffering as the USD has gone up. China announced stimulus package in September, and asked this company to get the Hong Kong economy rolling again. As a result, stock popped. Earnings not as bad as expected.

Still getting paid to wait, almost like a bond at 6%, and dividend grows every year. Still buying.

He was expecting Chinese investing stimulus in Q3, but it didn't happen. So, he sold this. You must have sell discipline.

Most revenues come from Indonesia, so the conversion from rupees to US dollars limits profits. 25% of revenues are in China, mostly commercial real estate. Other revenues are also in southeast Asia, also hurt by the strong USD. The dividend is safe and growing at 6.5%.

It is cheap at 7X forward earnings and pays a dividend over 5%. It reports in U.S. dollars and has some China exposure. It has been down over the past year so it is a good time to accumulate. Buy it on the Singapore exchange if you can.

Are exposed only 25% to China; rather, Indonesia is their greatest exposure where they collet revenues in the Indonesia rupee, but must show profits in US dollars. In the past year, the rupee has fallen then come back, but this isn't reflected in their earnings yet. It will in the next report. If interest rates fall, then the USD will and Jardine's profit will rise. The dividend grows 6-10% yearly (and could rise higher with a weaker USD), paying 5.5% now. It's like a bond proxy. Lots of room to buy companies.

It has been in Hong Kong for 150 years. The Chinese political pressure has had a negative effect but the underlying performance has improved. It has a number of assets including the Indonesian ones with strength in mining.    Buy 3  Hold 2  Sell 0