Hi Barney,

The fall is driven by sentiment, business hasn’t changed. The price got way ahead of itself imo so was probably due for a pullback sooner rather than later.

I wouldn’t compare it so much to the majors, very different business. Apart from being an investment bank compared to a retail one, they’ve altered their business dramatically in the last decade. Around 63% of net profit now comes from their annuity style businesses including their infrastructure unit. With less of their revenue from market facing activities they’re not as leveraged to market conditions as they once were but in a pullback like we’re experiencing most things get hit! The silver donut is still humming along nicely.

Disc: Held IRL