The BetMakers Technology Group Ltd (ASX: BET) share price is falling today after the company released its quarterly results.

After dropping several times to an intraday low of $1.23 this morning, the BetMakers share price has regained some ground and is currently trading at $1.25, down 0.4%. 

Let’s take a look at what’s driving the data and analytic company’s share price this morning.

BetMakers’ balance sheet

For the third quarter ending 31 March 2021, the company reported $5.2 million of receipts from customers – up 31% on the last quarter and 206% more than the previous comparable quarter.

While its income was above its average, so were its costs in product manufacturing, operating, staff and leased assets. 

BetMakers reported earnings before interest, tax, depreciation, and amortisation (EBITDA) loss of $415,000.

The company received around $57 million after costs from issuing securities and exercising options. $10 million was brought about by a share purchase plan and $50 million by an institutional placement.

BetMakers ended the quarter with around $125.7 million in cash in the bank.

What has Betmakers been up to this quarter?

Betmakers signed an exclusive partnership with Matt Tripp. The deal means Tripp will receive unquoted performance rights in exchange for his pursuit of ‘strategic deals’ for Betmakers. He can also receive both unquoted performance rights and unquoted options for ‘transformational deals’.

Betmakers also entered into agreements to acquire Sportech’s Racing and Digital assets in the United States, United Kingdom and Europe. The company paid £30.9 million for the acquisition.

BetMakers is now working with Sportech and industry regulators to finalise approvals and authorisations for the licences held by the Sportech assets. This is the last condition left before the company can complete the acquisition, which is expected to happen in the current quarter.

BetMakers is also waiting on a legislative process it hopes will allow it to provide fixed odds betting on horse racing in the US. It expects the process to progress in the current quarter.

Commentary from management

Commenting on the results, BetMakers CEO Todd Buckingham said:

The company is well-placed with $125m cash at bank and is on track to complete the acquisition of Sportech’s racing and digital assets in Q4 FY21.

With our strategic partnerships, including with Matt Tripp, and our first-class team and technology assets, we believe the company is extremely well positioned for substantial growth.

BetMakers share price snapshot

The BetMakers share price is having a great year so far on the ASX. Currently, the BetMakers share price is up 77% year to date. It’s also up 416% over the last 12 months.

The company has a market capitalisation of around $977 million, with approximately 775 million shares outstanding.

More reading

• Why this ASX share bull market could run for longer
• The Betmakers (ASX:BET) share price is sliding today
• What happened with the Betmakers (ASX:BET) share price this week?
• Why AVZ, Betmakers, Santos, & South32 shares are storming higher
• Why the BetMakers (ASX:BET) share price is worth watching

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of Betmakers Technology Group Ltd. The Motley Fool Australia has recommended Betmakers Technology Group Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Here’s why the BetMakers (ASX:BET) share price is in the red today appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3dR9ydY

The Province Resources Ltd (ASX: PRL) share price is edging higher during late-morning trade. This comes after the company provided investors with an update on the acquisition of Ozexco Pty Ltd.

At the time of writing, the minerals producer’s shares are swapping hands for 22 cents a pop, up 2.3%.

Acquisition completed

Investors appear pleased with the company’s latest news, sending Province Resources shares into positive territory.

According to this morning’s release, Province Resources advised it has completed the acquisition of all shares in Ozexco. This gives right for the company to hold seven exploration licence applications in the Gascoyne region of Western Australia.

The tenements in the area are considered to potentially possess salt, potash and mineral sands. In addition, it provides Province Resource with an opportunity to establish a renewable green hydrogen project over the site.

The newly acquired area also consists of mud-flats in a salt-producing region. The company highlighted that it could be amenable to large-scale solar salt and potash development.

Province Resources revealed it had $7 million in cash to fund future operations.

Earlier in the month, the company entered into a memorandum of understanding (MoU) with global renewable energy leader, Total Eren. The framework paved the way for a feasibility study on potentially developing a proposed HyEnergy Zero Carbon Hydrogen project. This included installing up to an 8-gigawatt renewable power facility, and creating an integrated hybrid renewable energy capacity.

David Frances, managing director of Province Resources, commented:

We are very happy to have completed this acquisition so quickly and smoothly. It is now full steam ahead for Province in our partnership with Total Eren in the assessment of the HyEnergy ZERO CARBON HYDROGEN Project for development as well as continuing to develop our suite of other exciting projects.

Province Resources share price snapshot

The Province Resources share price has delivered astronomical gains to patient investors, rising 2,600% in a year. However, it’s worth noting that year-to-date performance has also been superb, jumping close to 1,600%. The company’s shares reached a high of 25 cents last week.

Province Resources presides a market capitalisation of roughly $214 million, with about 974.6 million shares on issue.

More reading

• 3 ASX shares eyeing Australia’s ‘Hydrogen Valley’
• Why the Province Resources (ASX:PRL) share price just hit an all-time high
• Why the Province Resources (ASX:PRL) share price is up 12%
• Province Resources (ASX:PRL) share price slides despite hitting next project milestone

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Province Resources (ASX:PRL) share price rises on acquisition update appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/32Rg4v2

St Barbara Ltd (ASX: SBM) shares are edging lower today despite the company reporting its Simberi Sulphide Feasibility Study highlighted “a robust project with strong financial returns”. At the time of writing, the St Barbara share price is trading 1.98% lower at $2.03.

St Barbara is a gold mining company with projects comprising Leonora in Western Australia, Simberi in Papua New Guinea and Atlantic in Canada. The majority of the company’s revenue is generated by gold sales from its Gwalia underground mine at the Leonora project. 

The company has a diversified asset portfolio consisting of both underground and open-cut mines and exploration projects.

Feasibility study

St Barbara advised that it was “pleased to announce” the results of the Simberi Sulphide Feasibility Study today. It seems investors aren’t quite as upbeat about the news, driving the St Barbara share price lower.

The company’s board has approved pre-investment work of US$13 million in a new sulphide mine, with a final investment decision targeted for March 2022. Key changes from the 2020 pre-feasibility study (PFS) include an increase in nameplate capacity, with an option to expand supported by an improved all-in sustaining cost (AISC) of ~3%.

The pre-investment work will enable a ramp-up in mining, ongoing drilling to further increase ore body knowledge and studies to de-risk the project. Early construction activities will commence upon approval of the social and environmental impact statement (SEIS) which has been submitted this month.

Management comments

St Barbara CEO Craig Jetson commented that the sulphide project is on track for profitability, he said:

The future of the Simberi Sulphide Project has been endorsed by the Board, with a commitment to pre-investment work that will take place as we update mineral reserves, complete reserve definition with drilling and finalise all pre-investment activities. This vote of confidence in the Simberi Operations comes as we work closely with the PNG Government, agencies and community as part of our ongoing consultation and engagement.

This work is continuing despite the current challenges that COVID-19 presents in PNG and is a testament to the relationships we hold in PNG and the vision we have for the Simberi Operations.

St Barbara share price snapshot

The St Barbara share price has fallen by around 21% over the past 12 months and has lost almost half its value since late July 2020. It’s also down 2.4% this week and 17.8% in 2021 so far. Based on the current share price, the company has a market capitalisation of around $1.45 billion.

More reading

• 5 things to watch on the ASX 200 on Friday
• ASX 200 shares thrown in the bargain bin: Here’s 3 ideas
• 5 things to watch on the ASX 200 on Friday
• 5 things to watch on the ASX 200 on Friday
• Why the St Barbara (ASX:SBM) share price is climbing

Motley Fool contributor Lucas Radbourne-Pugh has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post What’s with the St Barbara (ASX:SBM) share price today? appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3nn7Vro

The Archtis Ltd (ASX: Ar9) share price has had underwhelming traction lately. This comes despite strong and growing company fundamentals. 

The Archtis share price has halved since its all-time record high of 60 cents in August 2020. Furthermore, it is down 13% year-to-date. In stark contrast to its share price performance, the company released its quarterly results which highlight record-breaking revenue and recurring licensing. 

Archtis share price flat despite record quarterly results 

The Archtis share price is currently flat despite its strong growth trajectory for accelerated revenue and recurring licensing during the March quarter.

Its revenues for the quarter increased 84% on the prior quarter and up 776% year-on-year to $1.25 million. This was driven by a strong annual recurring revenue from software licensing of $421,000 for the quarter. Up 57% over the prior quarter.

Archtis achieved a number of significant global customer wins, contract renewals, and expansion of existing licenses throughout the quarter. The company believes these milestones strong endorse its secure information sharing platforms NC Protect and Kojensi, as world-leading technology products. 

To further drive growth, the company established a regional presence in London to target Europe, the Middle East, and Africa. In addition, Archtis focused on Singapore to expand its APAC presence. 

Expanding focus

To expand the company’s success in servicing the Australian government and defence industry, Archtis created a US Federal and Defence focused business unit. This unit is designed to serve key US government agencies. 

Operational expenses for the quarter increased 95% over the prior quarter to $2.12 million, reflecting its integration with Nucleus Cyber becoming a part of the company for the full quarter. Archtis has also pushed investment in sales and marketing resources. The intention was to execute its go-to market strategy. This is in line with its ‘use of funds’ segment presented to shareholders during its November 2020 capital raising and March 2021 investor update. 

Despite the increase in costs, the company stands profitable. Furthermore, with a gross profit of $802,000, up 57%. Its gross margins decreased from 75% in the previous quarter to 64%. This is due to an increased proportion of revenue from consulting services. Which is at a lower margin than software licensing, and a one-time pass-through hardware requirement. 

The company retains a healthy cash balance of $12.03 million which is quite significant considering its market capitalisation of just $61 million. 

Archtis share price outlook 

Archtis expects to continue to invest in scalable growth. In particular, in sales and marketing to expand global sales distribution and market awareness. This should translate to continued revenue growth coupled with increasing recurring licensing revenues. Thus, it should drive gross profit and margins higher. 

The company’s strong cash position has given it the confidence to say that it will not require additional capital raises for operational growth, whilst exploring potential strategic acquisitions to expand its product breadth and growth prospects. 

At the time of writing, the Archtis share prices trading for 28 cents, up 5.56%.

More reading

• What’s with the St Barbara (ASX:SBM) share price today?
• Why I sold (some of) my Amazon stock
• Why is the Recce (ASX:RCE) share price falling today?
• Why the Queensland Pacific Metals (ASX:QPM) share price is jumping today
• Are ASX ETFs killing the managed fund?

Motley Fool contributor Kerry Sun has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Could a record breaking quarter bring the Archtis (ASX:AR9) share price back? appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3aJMyvv

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

No investment has affected my family’s lived experience more than Amazon (NASDAQ: AMZN). My original purchase in 2010 has returned 2,200%. Along the way, I’ve sold some to pay for the house we live in, and the medical costs associated with my daughter’s birth before the enactment of the Affordable Care Act.

I also think that Jeff Bezos will go down as one of (if not the) greatest business person of our time. His annual letters to shareholders are packed with wisdom that can not only make you a better investor, but also a better decision maker in all facets of life. 

And yet, for the second time, I sold a second large tranche of shares. I’m still holding some, but with every passing month, I lose faith the quality of the company isn’t being diluted by its sheer size. Read below to see how this might all play out — and why I still hold shares despite my misgivings.

Above all else, I have been perpetually awed that Amazon has been able to continually remain true to its mission: “to be earth’s most customer-centric company.” Think about Amazon Prime: free one- or two-day shipping, deals at Whole Foods, plus a streaming service that is starting to (in my household) rival Netflix. It’s mind-boggling how Amazon has upped the level of customer-service in retail writ large — at scale.

Straying from the path

But with the ballooning importance of Amazon’s advertising business, that mission is taking a back seat. Consider a search I did for winter gloves a few months back:

• After typing in “winter gloves,” a total of 13 recommendations popped up before an “editorial recommendation.”
• If you looked very closely (I’m guessing many don’t), the first seven (and eight total) were “sponsored” placements — which means a company paid extra money to get those products placed where they were on the search results list.

Think about that for a minute. Of the first three rows of gloves displayed, only 22% were displayed — presumably — based on the merits of the product being offered.

The most customer-centric thing to do — by a wide margin — would be to develop an algorithm that combines the highest- and most-oft rated products at the top of the list. That lets me know that what I’m getting is — as best Amazon’s machine learning can tell — the best deal possible.

But that’s not what Amazon has done. It has turned its loyal customers into a product for advertisers. 

From a financial standpoint, I can’t blame them. Amazon.com is the fourth-most-visited site in America. The placement in those search results is enormously lucrative: Amazon doesn’t have to do much to get top dollar for those ads.

It also means the company has slowly been turning what should be sacred — its core mission and reason for being — into something rather profane. 

I’ve written about this before. In fact, after I did, someone from Amazon’s advertising team called to clarify a few points. While that was helpful, when I mentioned just how many ads I was seeing, he was surprised and thought it was a mistake. That type of response makes me wonder how plugged in executives are to the experience of using the website.

It doesn’t end there

But my qualms don’t end with ads. While I’m sure incoming CEO Andy Jassy is by far the best person to take over from Bezos, I’m much more enthusiastic when the person heading a company’s daily operations is the founder.

And I also think key people at the organization are straying widely from Bezos’ operating system. Take the recent vote to unionize (which was turned down by employees) in Alabama. 

Bezos has highlighted before how there are two types of decisions:

• Two-way-door decisions: These are choices you make that can quickly be reversed with little long-term downside. The vast majority of decisions you make are this type, and they should be made quickly.
• One-way-door decisions: Much rarer, these are the types of decisions you can’t undo. The long-term consequences are often vast. Decisions here should be slow and deliberate.

A type of one-way-door decision exploding in frequency are social media posts. How many people have we seen get “canceled” based on something from their feed — whether current or very old. No matter how you feel about the trend, it’s clear for businesses that cooler heads need to prevail, especially on Twitter.

I have no specific opinion about the Alabama unionization vote — primarily because I’ve never worked in an Alabama Amazon facility and have no idea who to trust to find out more. That said, I know that when senators were calling for Amazon to raise employee wages in the past, Bezos — instead of being hostile and confrontational — eventually agreed, saying, “We listened to our critics, thought hard about what we wanted to do, and decided we want to lead.”

When antagonized by the same senators ahead of the vote, how did Amazon’s official “Amazon News” account respond?

There’s a big difference between talk and action. @SenSanders has been a powerful politician in Vermont for 30 years and their min wage is still $11.75. Amazon’s is $15, plus great healthcare from day one. Sanders would rather talk in Alabama than act in Vermont.

— Amazon News (@amazonnews) March 26, 2021

https://platform.twitter.com/widgets.js

I’m not saying Amazon doesn’t have a point. What I am saying is that this type of impulse response is indicative of a worrying trend — a straying from what Amazon the great company that it is: moving quickly with two-way-door decisions, and very slowly with one-way-door decisions.

Add all of this together, and I sold roughly half of the Amazon shares I have left.

And yet I’m staying invested

Here’s the surprising part: Even after all that, Amazon remains 6% of my real-life holdings and my family’s sixth-largest position. Why would I continue to hold shares?

• Companies change and adapt: In a decade’s time, Amazon’s marketplace may be supplanted by a more user-friendly alternative. But fulfillment and Amazon Web Services (AWS) could still be powerhouses that continue to put the customer first.
• Bezos isn’t leaving entirely: The founder is transitioning to an executive board role. In his last letter to shareholders, he took a more one-way-door approach to labor disputes, saying: “It’s clear to me that we need a better vision for our employees’ success. … We are going to be Earth’s Best Employer and Earth’s Safest Place to Work.”
• It’s still incredibly antifragile: We’re talking about a company with a low-cost (shipping) advantage, high switching costs (AWS), and the network effect (marketplace). There’s tons of cash and a long history of creating new lines of business that people flock to. This is one of the greatest growth stocks of our time.

If you’re like me, it’s important to consistently ask where you might be wrong, overly emotional, or not aware of all the facts. When that’s the case, I tend to avoid all-or-nothing thinking. Thus, once again selling shares — but not all of them — will help me sleep at night. At the end of the day, that’s an important litmus test for the composition of your portfolio.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

More reading

• 3 things you’ll want to know when Amazon reports Q1 earnings
• Growing pains, or something worse, for Kogan?
• Should grocery companies be worried about Amazon fresh?
• Amazon Prime adoption accelerated in 2020
• Jeff Bezos just revealed Amazon Prime’s latest subscriber number — and it’s a doozy

Brian Stoffel owns shares of Amazon. John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and recommends Amazon and Netflix and recommends the following options: long January 2022 $1920 calls on Amazon and short January 2022 $1940 calls on Amazon. The Motley Fool Australia has recommended Amazon and Netflix. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Why I sold (some of) my Amazon stock appeared first on The Motley Fool Australia.

This article was originally published on Fool.com. All figures quoted in US dollars unless otherwise stated.

from The Motley Fool Australia https://ift.tt/3npsbJ4

The Recce Pharmaceuticals Ltd (ASX: RCE) share price is slipping today after the company released its quarterly activities report.

At the time of writing, the Recce share price is down 1.85% to $1.06 per share.

Recce is a drug discovery and development business commercialising a new class of synthetic antibiotics with a broad-spectrum activity designed to address the global health challenge of antibiotic-resistant superbugs.

Its patented lead drug candidate is a synthetic anti-infective, which has been developed to treat blood infections and sepsis derived from E. coli and S. aureus bacteria, including their superbug forms.

Recce’s quarterly performance and cash flow

The Recce share price is down today despite a reasonably strong reported performance from the medical company. Recce announced a cash position of $22.92 million and has just listed on the Frankfurt Stock Exchange under the code R9Q.

The company dual-listed on the Frankfurt Stock Exchange, seeing trade of the company’s securities on German trading exchanges at Frankfurt, Tradegate, Munich, Stuttgart and Gettex.

No associated capital raise or related issuance of securities was necessary because of the company’s financial position. Investor awareness activities are underway in the region, with Recce hoping to further broaden its institutional and retail investor base across Europe.

Recce pharmaceutical trials

Recce reported progress has also been made in its pharmaceuticals trials.

The company has formalised a topical Phase I/II burns study with the West Australian Health Department and Fiona Stanley Hospital. The study aims to assess a Recce drug as a spray-on, broad-spectrum antibiotic to treat topical burn wound infections.

A Phase I clinical study is progressing at Adelaide’s CMAX facility. The study seeks to evaluate the same drug’s safety, tolerability, pharmacokinetics, and pharmacodynamic profile following intravenous administration. 

Meanwhile, the company reports encouraging results from an anti-viral screening program, evaluating one of Recce’s patents, R327, against SARS-CoV-2 (coronavirus).

Further testing (underway overseas) must be completed before R327 may be confirmed as active or safe in use against the SARS-CoV-2 virus.

Recce share price snapshot

The Recce share price is down 2.7% year-to-date but has lifted 186% over the past 12 months.

More reading

• Recce (ASX:RCE) share price surges 6% on clinical trial registration
• The Recce (ASX:RCE) share price is up 7% after its drug saved a human
• Why EML, NextDC, Qantas, & Recce shares are racing higher
• Why is the Recce (ASX:RCE) share price in the red today?
• Recce Pharmaceuticals (ASX:RCE) share price tumbles despite positive update

Motley Fool contributor Lucas Radbourne-Pugh has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Why is the Recce (ASX:RCE) share price falling today? appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3tVNXXm

The Queensland Pacific Metals Ltd (ASX: QPM) share price is jumping today, up 19% at the tie of writing to 12 cents a share. Queensland Pacific opened at 11 cents this morning before rocketing as high as 13 cents early in morning trade. Today’s move is just the latest in what has been a very successful year for the company. AS recently as July 2020, Queensland Pacific Metals was trading at a price of 1 cent a share, meaning the company has rocketed more than 1,000% over the past 10 or so months. Even just in 2021 so far, the company is up around 200%.

So why are Queensland Pacific Metals shares jumping today?

Queensland Pacific Metals share price gains

There have been a few recent developments that are likely to be feeding into Queensland Pacific Metals shares today. Firstly, a fortnight ago, the company announced that it had managed to produce battery-grade nickel sulphate. As my Fool colleague Brooke reported at the time, Queensland Pacific stated that the results managed to adhere to the highest battery specification standards. That news sent Queensland Pacific shares up 15% at the time.

But we have some fresh news today as well.

Queensland Pacific Metals released an ASX announcement before the market opened this morning. This announcement heralded the appointment meant of James (Jim) Simpson as a non-executive director of Queensland Pacific Metals, effective 1 May. Mr Simpson reportedly has more than 30 years of experience in the resources sector, including a stint at Aurelia Metals Ltd (AX: AMI). He has most recently worked as executive director for Peel Mining Ltd (ASX: PEX).

Queensland Pacific chair Eddie King had this to say on the appointment:

I am delighted that someone of Jim’s calibre has chosen to join the Board of QPM. Jim brings with him a wealth of resources and corporate experience and has a detailed understanding of what is required when taking a resources project through its technical feasibility and funding/development phases and ultimately into production. I look forward to working with Jim during this period and beyond.

Judging by the performance of the Queensland Pacific share price today, the market agrees with these sentiments. At the current pricing, Queensland Pacific Metals has a market capitalisation of $140 million.

More reading

• Why the Queensland Pacific Metals (ASX:QPM) share price just soared 15%

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Why the Queensland Pacific Metals (ASX:QPM) share price is jumping today appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3sUgGKP

There has certainly been both winners and losers from the rise we have seen over the past decade or two of the exchange-traded fund (ETF). Although ETFs are now commonplace, there was a time when the idea didn’t even exist. Before the rise of the ETF, this space was almost exclusively occupied by managed funds (also called mutual funds), with the odd Listed Investment Company (LIC) thrown in. A managed fund differs from an exchange-traded fund in that it is not traded on a stock exchange. Instead, these funds trade outside the share market. Investors can usually only buy, sell or trade managed fund units outside of market hours. And this is a laborious task too, with the fund manager having to manage the pricing, and trading, of its own units.

Managed funds are still around, of course. Many of the ASX’s largest fund managers, companies like Magellan Financial Group Ltd (ASX: MFG) and Platinum Asset Management Ltd (ASX: PTM) still offering a range of unlisted funds for retail investors.

But a strange thing seems to be happening to this space. Something that prompts the question: is the managed fund dying out? That would be the steady conversion rate to ASX listed funds that these funds seem to be going through.

Managed funds to ETFs?

Now, it is well known that managed funds aren’t the most accessible investment vehicle. Outside the hassle of having to buy them outside the share market, managed funds also usually charge relatively higher fees than their listed counterparts. They also tend to have prohibitive minimum investment amounts, usually $10,000 or $20,000, but sometimes far higher.

That rules these vehicles out of contention for many retail investors.

And it seems the managers of some funds have woken up to this. Take the Hyperion Global Growth Fund. This is a fund that has been around since 2014. It has also built an objectively impressive track record of performance, returning an average of 24.7% per annum over the past 5 years.

But Hyperion clearly thinks that its managed fund status is holding it back. Last month, Hyperion listed this fund on the ASX as Hyperion Global Growth Companies Fund (ASX: HYGG). Investors can now buy units of this managed fund on the ASX, effectively making it an ‘active ETF’.

Some more movers

We have seen similar moves with other companies. Fellow growth investing high flyer Loftus Peak recently listed its Loftus Peak Global Disruption Fund (ASX: LPGD) as a listed fund as well. Again, Loftus Peak had been enjoying solid performance figures (25.27% per annum since 2016), but clearly decided that it could attract more investors by listing on the share market as well.

Magellan has also recently changed its fund structure so all of its funds now have ASX listings, such as the Magellan High Conviction Trust (ASX: MHH).

Clearly, this is the direction the winds are blowing for the managed fund. We could well be seeing the beginning of the end of the old managed fund structure as we know it. Perhaps the ASX will eventually be home to all funds one day, rendering the terms ‘listed’ and ‘unlisted’ redundant.

More reading

• Could value finally be emerging for the embattled AMP (ASX:AMP) share price?
• 2 strong ASX 200 shares offering good income
• Why the Magellan (ASX:MFG) share price has lost its magic
• 2 high-yielding ASX 200 dividend shares
• Top brokers name 3 ASX shares to sell next week

Motley Fool contributor Sebastian Bowen owns shares of Magellan High Conviction Trust. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Are ASX ETFs killing the managed fund? appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3npmScx

The Vulcan Energy Resources Ltd (ASX: VUL) share price is on the move after the company announced it has entered a binding agreement to acquire 100% of geothermal surface consultancy business, Global Engineering and Consulting Gmbh (gec-co). At the time of writing, Vulcan shares have jumped 6.82% higher to $8.14 apiece.

The acquisition will double the size of Vulcan’s technical team to drive the development of its Zero Carbon Lithium project.  

Acquisition news 

According to today’s release, gec-co is a world-leading planning and consultancy company for deep geothermal projects. It focuses on projects at surface including power plants, heat stations, drill pads and permitting. The company has a highly credentialed scientific team of 25 with more than 300 years of combined engineering knowledge.

In similar news that also sent the Vulcan share price soaring recently, the company announced in February it had acquired a sub-surface development company, GeoThermal Engineering. Vulcan has today advised that its latest acquisition now positions the company with an “unparalleled surface and sub-surface geothermal development team” to drive its flagship Zero Carbon Lithium strategy. 

Vulcan managing director Dr Francis Wedin commented on the gec-co acquisition, saying: 

By acquiring to grow our team, we are accelerating the development of our globally unique project. Our geothermal development team is well complemented with the acquisition of surface engineering consultancy gec-co, following the recent acquisition of sub-surface development consultancy GeoT. The gec-co team is immensely experienced… and also brings in public relations, administrative and logistical support to the rapidly growing Zero Carbon Lithium™ project.

…the Vulcan group is now very well positioned to execute on our strategy: to decarbonise heat and power in Europe with geothermal development in the Upper Rhine Valley, and in doing so to co-produce a world-first lithium hydroxide with net zero carbon footprint for the European electric vehicle market.

Vulcan share price snapshot

After briefly running as high as $14.20 on 19 January this year, the Vulcan share price has been mostly trading between the $5 and $7 marks. Today’s boost, however, has seen Vulcan shares push past $8 for the first time since early February. Year to date, the company’s shares are up by almost 200% and have also rallied by around 4,000% over the past year. 

More reading

• Vulcan Energy (ASX:VUL) share price slumps amid asset spin-off
• Why this broker thinks the Vulcan (ASX: VUL) share price can double again
• The Vulcan (ASX:VUL) share price has rocketed 9% today. Here’s why
• Why the Vulcan (ASX:VUL) share price is on watch
• These 3 ASX companies are leading the way to net zero emissions

Motley Fool contributor Kerry Sun has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post Why the Vulcan (ASX:VUL) share price is surging 7% appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/3nvCOKn

At lunch on Tuesday, the S&P/ASX 200 Index (ASX: XJO) is on course to record a disappointing decline. The benchmark index is current down 0.5% to 7,011.9 points.

Here’s what is happening on the market today:

Takeover offers

Both the Bingo Industries Ltd (ASX: BIN) share price and the Tabcorp Holdings Limited (ASX: TAH) share price are storming higher today follow the receipt of takeover offers. Macquarie Infrastructure and Real Assets has tabled a $2.3 billion offer for Bingo and UK-based Entain has increased its bid for the Tabcorp’s wagering and media unit from $3 billion to $3.5 billion. While Bingo’s board is recommending its approach, Tabcorp advised that it is yet to form a view on the latest offer.

BlueScope guidance upgrade

The BlueScope Steel Limited (ASX: BSL) share price is rising today after upgrading its guidance for FY 2021. The steel manufacturer now expects its underlying earnings before interest and tax (EBIT) for the second half to be in the range of $1 billion to $1.08 billion. This compares very favourably to its previous guidance range of $750 million to $830 million. A key driver of this outperformance was its US-based North Star business.

IRESS update

The IRESS Ltd (ASX: IRE) share price is pushing higher today after upgrading its net profit after tax guidance for FY 2021. The financial technology company now expects its earnings to be between $70 million and $77 million. This compares to previous guidance of $56 million and $63 million. This follows IRESS concluding its QuantHouse earnout ahead of schedule, enabling the full integration of the business.

Best and worst ASX 200 performers

The best performer on the ASX 200 on Tuesday has been the Bingo share price with a 6.5% gain following its takeover approach. Going the other way, the worst performer has been the Zip Co Ltd (ASX: Z1P) share price with a decline of almost 4% on no news. Positively, despite this decline, the Zip share price is still up 47% year to date.

More reading

• Your handy guide to 5 top ASX BNPL shares
• Why the Reliance Worldwide (ASX:RWC) share price is down this morning
• Here’s why the BlueScope (ASX:BSL) share price is shooting 8% higher today
• BINGO (ASX:BIN) share price charges 7% higher on takeover agreement
• Why the Viva Energy (ASX:VEA) share price is in focus

James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of ZIPCOLTD FPO. The Motley Fool Australia has recommended IRESS Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

The post ASX 200 down 0.5%: Bingo & Tabcorp takeovers, BlueScope upgrades guidance appeared first on The Motley Fool Australia.

from The Motley Fool Australia https://ift.tt/32QGYTE