INVESTMENT PORTFOLIO: Business Maverick’s amateur stock picks for 2023

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A team in form - our investments have grown over time, giving us space to explore our options for 2023.

Each year, the Business Maverick team puts heads together to choose the nine stocks they think are worth investing in over the coming year. We are by no means investment experts, but our portfolio remains much stronger than the market, with an overall 18.7% return over two years.

With stubbornly rising inflation, the Russia-Ukraine war and aggressive interest rate hikes, it does seem as though the bottom has dropped out of the market. However, though this typically leaves most investors wary, there is no better time to find great investment opportunities at low prices.Russia’s invasion of Ukraine not only disrupted financial markets but also led to worries about resource shortages .

But, from a shareholder return perspective, the fines may be depressing the share price and, if the company can avoid a repetition, the market might forgive it and rate the company higher. The company has invested heavily to increase its presence in China’s online shopping industry, partnering with the Alibaba Group to launch a luxury goods platform in this market.

The company’s diverse offering of commodities should translate into decent earnings in 2023. Goldman Sachs recently raised its forecast for the average copper price in 2023 to $9,750 per tonne from $8,325 as demand is seen rising while supplies remain tight. That should flow directly to Anglo’s bottom line.

“They have purposefully elected to innovate the business by pursuing what is best described as a ‘dual transformation’. Dual transformations happen when the core business is incrementally improved over time, while at the same time riskier new innovations and models are created and brought to market by dedicated but separate business units, which are allowed the space to find their own footing in the marketplace,” he explains.

A large portion of that growth is owed to the influence of the Chinese ecommerce megalodon, which has been battered by charges of anti-competitive behaviour, President Xi Jinping’s historic third-term re-election and the country’s seemingly endless Covid-Zero lockdowns.

 

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