☕️ On edge

Another layer of geopolitical instability has been added to markets

Good morning.

The horrific weekend attacks in Israel and subsequent declaration of war have added another layer of geopolitical instability to an already fragile investment landscape. At the moment, the consensus seems to be that the impact of the conflict on markets will be muted, but investors will be watching oil prices closely, as well as safehaven assets such as gold and the US dollar.

*Stock data as of the market close. Commodities and crypto data in USD.

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MARKET MOVERS

Market News: Magellan shares got whacked again after the company revealed it suffered another $2 billion in outflows during the September quarter, which together with weak investment performance, pushed its total funds under management down to $35 billion. The stock sank to fresh 10 year lows on Friday. It has been quite the fall from grace for the fund manager, which as recently as early 2020 managed over $100 billion.

THE QUICK SYNC

  • Israel battles militants as Netanyahu warns of a long war. (New York Times)

    • The weekend attack on Israel could boost appeal of gold and safe haven assets. (Reuters)

    • Crude oil prices could see a short term spike in a ‘knee-jerk’ reaction to the Israel-Hamas conflict. (CNBC)

  • US jobs data was scorching hot in September, with twice as many jobs added as expected. (CNN)

  • The 5% bond market means pain is heading everyone’s way. (Bloomberg)

  • Meet Australia's biggest AI-first startup. (Capital Brief)

TRADING FLOOR

M&A:

  • All eyes are on GQG’s falling share price, as the deadline on bids for Pacific Current looms. (AFR)

  • EQT Partners is ready to finalise the acquisition of VetPartners. (AFR)

  • Nature's Care is up for sale again following reports that the company came dangerously close to breaching its financial agreements. (AFR)

  • All three of the country's largest wine companies are being considered as potential sellers of significant assets. (The Australian)

  • Lanyon has surpassed $1bn in assets under management by forming a partnership with a newly established investment fund in Sydney. (The Australian)

Capital Markets:

  • None

VC:

  • Purpose Ventures, a venture capital firm, has secured an additional $8m in funding while expanding its investment portfolio with a third company. (BNA)

  • The APAC Sustainable Infrastructure Fund (A-SIF) has successfully concluded its inaugural investment, pledging a minimum of $70m for a solar and battery development initiative throughout Australia. (The Australian)

Others:

  • Bell Financial Group faces staff uproar as its management issues a directive for employees to return to the office. (AFR)

  • Slater and Gordon's incoming CEO on the class action firm's future growth. (Capital Brief)

  • Saul Kavonic from Credit Suisse is about to join MST Financial. (AFR)

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