Christopher Joye: The RBA got it wrong, now it will crush everything...
Coolabah’s Chief Investment Officer, Christopher Joye, sits down with the host of Livewire’s The Rules of Investing Podcast, David Thornton, diving into important topics such as:
- the RBA’s latest rate decision,
- the dire outlook for Australia’s housing market, and
- how Coolabah generate returns by exploiting mispricing in the bond and cash markets.
Along the way, you’ll get a front row seat into the inner workings of an active bond fund. Chris also spins a yarn about the time he challenged GMO’s Jeremy Grantham to put his money where his mouth is.
Note: This episode was recorded on February 8, 2023.
You can listen on:
- 2:30 – The RBA hikes rates to a 10 year high
- 6:00 – Pain on the way for the Aussie household
- 10:00 – A problem in the RBA’s models
- 12:50 – Housing to fall by 30%
- 18:55 – Maintaining central bank credibility
- 22:00 – Zombie haunt the ASX
- 26:00 – Wait for the risk-free rate to do its work
- 27:26 – Challenging GMOs Jeremy Grantham
- 38:30 – How to short the housing market
- 31:30 – Hunting for mispriced bonds
- 38:00 – The inefficiency of the over-the-counter bond market
- 41:20 – How Coolabah builds its portfolios
- 46:00 – Navigating 2022
- 48:00 – Choose your hedges wisely
- 57:00 – How the NSW Government becomes a hedge fund
- 59:30 – The best value in bond and cash markets
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