Football clubs are a lot like the sharemarket. Members ‘invest’ in their team, with the return on investment being the win/loss ratio and the overall success of the year. Unlike the financial year however, returns are measured from pre-season (October) to finals in September.
As the season is long and arduous, most teams run in cycles of peaks and troughs. Regardless, most shareholders (members) enjoy looking at the paper on a Monday morning to see how their stock has performed on the weekend.
Football is often unpredictable, a lot like the ASX. ‘Bulls’ and ‘Bears’ are present in the market, with many investors talking up their prospects while remaining skeptical on other investment opportunities available.
Many blue-chip stocks such as Geelong and Hawthorn have performed up to investors’ expectations, while others have failed to deliver. Stocks such as Port Adelaide, Fremantle, and West Coast suffered substantial capital losses in 2008 and must now answer to angry Members (shareholders) at the AGM.
Along with the blue-chip stocks, there have also been some speculative investments. Members from clubs such as Carlton and Richmond took a punt at the start of the year, in the belief that their young stock could improve dramatically. This was definitely the case, and special mention must go to Carlton salesman Chris Judd for improving the performance of his new company both on and off the field.
That said, my favourite speculative investment of 2008 has been that of the Bulldogs. Many shareholders sold out at the conclusion of 2007 after some poor performances. However, those who believed the stock still had something to offer have been handsomely rewarded.
This weekend we embark on a hostile takeover of Geelong, the BHP Billiton of the competition. All employees are looking forward to the fight and are confident that the Dogs stock can reach all-time highs in the near future.
The Bulldogs playing group would like to thank our Members for sticking by us this year, but your investment isn’t finished yet. And for those not yet on board, an outstanding buying opportunity exists as strong returns are still expected into 2009!!!
