TJ, I am attacked on all fronts. Now the NZ government is plotting to introduce the "Maurice Winn Capital Gains Special Taxation Law" and will do so well in time for 1 April 2007, the new financial year.
I am sure their unrewarded investigations of our tax affairs contributed to the decision. They consider it completely unreasonable that they haven't got hold of the wealth we hold in QCOM.
They want me to sell and repatriate the money to invest it in NZ where they can keep a closer eye on it, or paw.
Big Ben is shilly-shallying on showing those naked barbarians who is boss. Meanwhile, King George II is planning more war against other barbarians, and the pixelation process will need to hum to keep up. I can see why China built the Great Wall long ago [apart from its value as a make-work project for surplus young Chinese blokes who might disrupt HQ if they sat around with nothing to do - Devil and idle hands].
As you point out, 7% interest in a 10% inflation period with rapid pixelation underway is just fuel for the Aztec fire.
I am not thinking that QCOM will lap the Aztecs again since Big Ben and co seem to be going limp. But the first lapping was fun and 630 vs 520 isn't a big difference.
Oddly, in NZD our house is still appreciating. I think the average NZer wouldn't know a twin deficit if they fell over it and don't realize that when annual rent is $35,000 before expenses and depreciation on a $1 million house, something is going to happen. 3% before depreciation and expenses is NOT a great return on investment. Either rents are going to go up, or house prices are going to go down. Rents have in fact gone down over the last year [in NZD], while house prices have risen [in NZD]. In USD, house prices have gone down over the last 3 months. When uridashi loans are not renewed and NZ mortgagors have to refinance at market rates, they might feel somewhat queasy.
QCOM at P:E 39 is not a supersonic bargain [given the uncertainties of life, though if things continue nicely along, it is].
I am in the process of starting [with Tarken-san, who is the actual Operations Manager, Technical Director, Managing Director, Financial Controller and Administration Manager] a telecom business in NZ and might have to put all my hard-earned money into it. So perhaps QCOM and I will have to part company [though I'm sure I'll keep some souveneirs for old times sake].
Our USD are a such a small portion of total assets that it is really just readies to buy some swanky new electronics gear. Stuff is really cheap now and circuits per dollar are small, cheap, fast and powerful. The cute little new Apple computer apple.com is in the asset base. As is a gadget which 3 years ago would have cost NZ$10,000 from Cisco but now costs NZ$150. Timing looks excellent. Time will tell.
Meanwhile, Livedoor is to be melded with Usen news.ft.com which makes good sense to me. So far, a minuscule paper profit [as measured in NZD and USD though not against G].
Financial relativity theory principles are alive and well and proceeding so quickly I might have to bring the Qi forwards by a decade, which is annoying since I quite like relaxing. But that will be fun too.
It will be so much fun to see the Aztecs scatter in panic and the central bankers of the world looking for real jobs more attuned to their abilities.
Mqurice |
