MFG ASX: how Magellan could be saved by mysterious hall-of-fame investment legend Morry Waked

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Shares surged again after the company sealed a deal with the secretive investor known for running one of Australia’s best quantitative investment firms.

Morry Waked was inducted into the hall of fame for Australian fund managers last year., which is regarded by many as Australia’s best quantitative investment firm with $22 billion under management across a range of systematic equity strategies. Vinva’s local and global funds are coming off banner years, but have delivered strong excess returns since Waked established the firm in 2010.

“This is the turning point for Magellan from the last few years. This marks the start of a new phase for us.” “I’m a bit cautious going out there and thinking you can find the superstar stock picker or these two or three companies that you think are going to do well,” Waked told the podcast. “Now, I could go do that: collect the data, put it in a spreadsheet. But I could actually build some technology that can go at this systematically every single day, calculate the PE ratio for every stock around the world, rank them from one to 10,000, for example, and then build a portfolio that tilts towards the lower PE stocks.

 

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