Report Cover Page

Contents

Where are we in the Cycle?
The cycle remains significantly delayed by historical standards. Economic indicators are pointing to more downward pressure on global growth momentum. Statistics from the USA and China are indicating prospectively lower output growth. European statistics are showing the region only just maintaining its current expansion pace. More...

Market Directions
The PortfolioDirect sector volatility measure has continued to decline contributing to a moderate firming in sector equity prices which have, nonetheless, remained within the confines of a cyclical trough. There are very few examples of companies being able to display enough strength to establish sustainably higher price platforms. More typically, short-term price improvements are being eroded as wariness among existing investors and insufficient new investor interest take effect. More...

Portfolio Performance and Positioning
Slightly higher prices across all portfolio segments during May have resulted in investment outcomes in line with the benchmark value. Large Phase I stock price movements have tended once again to offset one another due to the unsustainability of gains when they happen. No stocks were added to or deleted from recommended portfolios which retain a relatively heavy weighting toward cash. More...

Stock Reviews and Rating Analysis More...

Korab Resources Limited (KOR:AU)
Orocobre Limited (ORE:AU) ~ update
MZI Resources Limited (MZI:AU) ~ update

DAILY BRIEFING: The PortfolioDirect market diary offers brief thoughts on current issues affecting sector investment strategies.

Although the statements of fact in this communication have been added from and are based upon sources E.I.M. Capital Managers Pty Ltd, the publisher, believes to be reliable, their accuracy is not guaranteed and any such information may be incomplete or condensed.

All opinions and estimates in this communication constitute judgments by E.I.M. Capital Managers as of the date of this communication and are subject to change without notice. The publisher is under no obligation to make public any change in view about any matter referred to in this or any linked documents.

No references to past investment performance should be taken to indicate anything about future performance.

This communication is directed only to Australian wholesale investors and licensed financial advisers for information purposes and is not intended as an offer or solicitation with respect to the purchase or sale of a security.