WEBVTT 1 00:00:00.404 --> 00:00:04.547 You're listening to Strictly Business Podcast with Lindsay Williams. 2 00:00:05.488 --> 00:00:07.589 It's Wednesday, so it's time for Wayne on Wednesday. 3 00:00:07.769 --> 00:00:11.032 Wayne McCurry is a Portfolio Manager at F&B Wealth and Investment in 4 00:00:11.432 --> 00:00:17.937 Johannesburg. I've just been looking through the headlines of the midterm 5 00:00:17.937 --> 00:00:19.937 budget policy statement 6 00:00:19.937 --> 00:00:20.379 delivered by the Minister today in South Africa. 7 00:00:20.819 --> 00:00:27.364 Wayne, I can't get too excited, but then again, there were no big surprises that 8 00:00:27.364 --> 00:00:29.364 would cause anyone concern either, I don't think. 9 00:00:29.364 --> 00:00:31.364 Yeah. 10 00:00:31.364 --> 00:00:35.065 you know, there shouldn't be any big surprises because that's why we do this 11 00:00:35.065 --> 00:00:37.065 medium-term budget, you know, 12 00:00:37.065 --> 00:00:39.888 in stark contrast to where things were run, let's say, 13 00:00:41.389 --> 00:00:45.632 in sort of up until the late 80s, where every budget was a surprise. 14 00:00:45.632 --> 00:00:49.034 You didn't know what was coming around the corner, you know. 15 00:00:49.094 --> 00:00:55.178 So, it's a very good, it's actually good news that there are no surprises on the 16 00:00:55.178 --> 00:00:55.338 budget. 17 00:00:55.598 --> 00:00:57.880 And I would say on the medium-term budget. 18 00:00:58.296 --> 00:01:02.218 I would say on balance, not bad news, you know. 19 00:01:02.218 --> 00:01:03.338 No, nothing bad. 20 00:01:03.358 --> 00:01:07.900 I mean, they didn't come out with any controversial tax statements or anything. 21 00:01:07.920 --> 00:01:13.002 They said, you know, revenue's a bit down, so deficits will widen and that sort of 22 00:01:13.002 --> 00:01:13.382 thing. 23 00:01:13.382 --> 00:01:19.965 But nothing as a portfolio manager, you would say, goodness me, I've got to sit 24 00:01:19.965 --> 00:01:21.965 down with the team and we've got to change our allocation to this 25 00:01:21.965 --> 00:01:23.965 sector or that sector. 26 00:01:23.965 --> 00:01:25.965 Nothing like that, I don't think. 27 00:01:25.965 --> 00:01:27.965 No, nothing like it at all. 28 00:01:27.965 --> 00:01:29.965 And that, of course, is good news. 29 00:01:29.965 --> 00:01:31.965 Yes. 30 00:01:31.965 --> 00:01:33.965 So there shouldn't be any surprise. 31 00:01:33.965 --> 00:01:35.965 It should just, in essence, 32 00:01:35.965 --> 00:01:39.777 be a little bit of an update of the budget or the last medium-term budget or the last 33 00:01:39.777 --> 00:01:41.777 set of statements they 34 00:01:41.777 --> 00:01:43.777 came up with. 35 00:01:43.777 --> 00:01:45.777 Well, that's good. 36 00:01:45.777 --> 00:01:48.524 So would you say then that when you look at the political environment in South 37 00:01:48.524 --> 00:01:48.744 Africa, 38 00:01:48.744 --> 00:01:51.987 we all know about the government of national unity and it's still finding its 39 00:01:51.987 --> 00:01:52.267 feet. 40 00:01:52.568 --> 00:01:57.432 But would you say that the Treasury and the Reserve Bank are in good hands? 41 00:01:57.692 --> 00:02:00.414 And those two pillars are very, very important. 42 00:02:02.136 --> 00:02:06.940 Yes, I mean, the Reserve Bank and Treasury, you know, the Reserve Bank, you 43 00:02:06.940 --> 00:02:07.419 know, 44 00:02:07.419 --> 00:02:10.462 ever since I think 1988 was the actual time. 45 00:02:11.503 --> 00:02:15.106 But the Reserve Bank's been in good hands for a substantial time period. 46 00:02:15.667 --> 00:02:22.052 And, you know, the Department of Finance, other than that one, well, no, no, the 47 00:02:22.052 --> 00:02:24.052 Department of Finance was fine. 48 00:02:24.052 --> 00:02:25.254 It was just a SARS that was captured. 49 00:02:25.975 --> 00:02:26.976 But, you know, other than that. 50 00:02:27.568 --> 00:02:28.509 It's actually been fun. 51 00:02:28.869 --> 00:02:29.569 Good. 52 00:02:29.569 --> 00:02:29.889 Okay. 53 00:02:29.889 --> 00:02:33.453 So I don't think there's any concerns there at all. 54 00:02:33.893 --> 00:02:34.593 Good. 55 00:02:34.593 --> 00:02:35.635 Gratifyingly boring, in other words. 56 00:02:35.895 --> 00:02:37.176 Let's have a quick look. 57 00:02:37.176 --> 00:02:39.938 As I said, that's exactly the way it should be. 58 00:02:40.278 --> 00:02:40.978 Yeah, quite right. 59 00:02:40.979 --> 00:02:42.480 We don't need surprises in our lives. 60 00:02:42.560 --> 00:02:44.202 I just want to talk about one company. 61 00:02:44.262 --> 00:02:46.464 We don't normally talk about company specifics. 62 00:02:46.464 --> 00:02:49.786 We talk about generalities on this Wednesday afternoon. 63 00:02:50.267 --> 00:02:55.951 But I saw Impala coming out with the first quarter production report and the share 64 00:02:55.951 --> 00:02:57.951 price on my screen, which is delayed. 65 00:02:57.951 --> 00:02:59.951 But... 66 00:02:59.951 --> 00:03:03.878 doesn't matter down nearly six percent is that indicative of impala's problems or 67 00:03:03.878 --> 00:03:05.878 the whole sector's problems now i 68 00:03:05.878 --> 00:03:10.320 think the whole sector is going to get back on on on on production for whatever 69 00:03:10.320 --> 00:03:12.320 reasons they give is they're not 70 00:03:12.320 --> 00:03:14.320 making 71 00:03:14.320 --> 00:03:18.642 money and when you're not making money now you don't actually mine 72 00:03:19.762 --> 00:03:25.564 the ore bodies that are the most uh marginal so yeah 73 00:03:25.744 --> 00:03:27.546 I think we're going to see that from everyone. 74 00:03:28.106 --> 00:03:34.732 And that's part of the reasons why we could possibly get some sort of 75 00:03:34.772 --> 00:03:37.715 recovery in the platinum and palladium basket. 76 00:03:37.755 --> 00:03:42.419 Although the actual underlying metals have run relatively hard. 77 00:03:42.599 --> 00:03:44.961 You know, they're both well over nicely over a thousand. 78 00:03:45.902 --> 00:03:49.285 And so, yeah, and the impala has a share. 79 00:03:49.285 --> 00:03:52.428 I mean, it touched a 52 week high yesterday. 80 00:03:53.644 --> 00:03:54.344 Ah, okay. 81 00:03:54.404 --> 00:03:55.765 Well, in that case, that's good. 82 00:03:55.985 --> 00:03:59.927 So would you rather have less production but higher prices or the other way around? 83 00:04:01.228 --> 00:04:03.268 It seems to me… Go on. 84 00:04:03.268 --> 00:04:05.650 In a falling price environment, you want less production. 85 00:04:06.330 --> 00:04:07.030 Yeah. 86 00:04:07.650 --> 00:04:14.513 You know, especially in something like platinum and palladium where there is 87 00:04:14.513 --> 00:04:16.513 clearly, you know, limited supply. 88 00:04:16.513 --> 00:04:19.836 This is what is interesting because if you're a trader, for example, you come in 89 00:04:19.836 --> 00:04:21.836 in the morning, you turn on your screen… 90 00:04:21.836 --> 00:04:23.438 You look at the metals prices in US dollar terms. 91 00:04:23.679 --> 00:04:30.423 You look at gold and platinum and palladium and rhodium and lithium, all 92 00:04:30.423 --> 00:04:32.423 these things. 93 00:04:32.423 --> 00:04:34.326 And you see them up $20 an ounce or something. 94 00:04:34.746 --> 00:04:35.907 You say to yourself, well, that's good. 95 00:04:35.927 --> 00:04:40.791 Let's have a look at impala, Anglo-American platinum, et cetera, 96 00:04:40.791 --> 00:04:42.791 because in the future, 97 00:04:42.791 --> 00:04:48.076 I know it's not easy to turn on extra production, but in the future you can ease 98 00:04:48.076 --> 00:04:50.076 new production. 99 00:04:50.076 --> 00:04:53.220 into the system and therefore benefit from the higher prices, or you can use the 100 00:04:53.220 --> 00:04:55.220 derivatives market. 101 00:04:55.220 --> 00:05:00.005 What is the psychology of an investor like yourself, an investor not in the physical 102 00:05:00.005 --> 00:05:02.005 metal but in the equity market? 103 00:05:02.165 --> 00:05:05.766 You know, look, I mean, when prices are depressed, 104 00:05:06.587 --> 00:05:09.968 you actually want lower production for two reasons. 105 00:05:10.028 --> 00:05:16.971 First of all, you want the platinum mines themselves to mine the more profitable ore 106 00:05:16.971 --> 00:05:18.971 bodies, 107 00:05:18.971 --> 00:05:20.971 you know, not do the marginal stuff, 108 00:05:20.971 --> 00:05:25.194 because then at least they get a lower cost per ounce or per kilogram produced. 109 00:05:27.475 --> 00:05:31.557 And then you're also in a strategic metal like platinum and that. 110 00:05:32.341 --> 00:05:38.907 you actually want less less production around to actually boost the price because 111 00:05:38.907 --> 00:05:40.907 the one nice thing about 112 00:05:40.907 --> 00:05:45.832 platinum and palladium there's no substitution you mean someone can't just 113 00:05:45.832 --> 00:05:47.832 come along and say i will use this instead we'll use something 114 00:05:47.832 --> 00:05:52.218 else and they're a good example and a good friend of mine actually pointed it out to 115 00:05:52.218 --> 00:05:54.218 me earlier on today you 116 00:05:54.218 --> 00:05:58.563 know when when when the whole russia ukraine thing started and people just said 117 00:05:58.563 --> 00:06:00.563 you know no more 118 00:06:00.563 --> 00:06:05.851 gas out of russia And yet, and there was substitute, you could get gas somewhere 119 00:06:05.851 --> 00:06:07.851 else. 120 00:06:07.851 --> 00:06:09.851 Yeah, but with South Africa having a 76%, 121 00:06:09.851 --> 00:06:13.376 I think it is a virtual monopoly on the production of platinum group metals. 122 00:06:13.816 --> 00:06:17.178 That just can't happen unless they suddenly find something in Iceland or 123 00:06:17.178 --> 00:06:17.458 something. 124 00:06:18.619 --> 00:06:20.600 Yeah, which doesn't seem likely. 125 00:06:21.641 --> 00:06:27.845 Actually, but I mean, platinum and palladium, I've said it so many times, 126 00:06:27.845 --> 00:06:29.845 it's just going through a standard cycle. 127 00:06:29.845 --> 00:06:30.806 There's nothing unusual about what's happening now. 128 00:06:30.826 --> 00:06:35.647 It's happened many times before and will happen also many times into the future. 129 00:06:35.667 --> 00:06:39.549 So there's nothing at all unusual about what's happening right now. 130 00:06:39.809 --> 00:06:40.509 Good. 131 00:06:40.549 --> 00:06:44.650 As we've said a couple of times in this brief chat, we don't like unusual. 132 00:06:44.870 --> 00:06:48.251 We like boring, regular sort of stuff. 133 00:06:48.351 --> 00:06:51.252 It's lovely to be boring. 134 00:06:51.392 --> 00:06:52.913 We like boring. 135 00:06:53.641 --> 00:06:55.763 It really is very, very underrated. 136 00:06:55.903 --> 00:07:00.126 It's people going off and jumping off mountains and things and doing extreme 137 00:07:00.126 --> 00:07:02.126 sports. 138 00:07:02.126 --> 00:07:03.368 No, we don't need that, metaphorically and physically. 139 00:07:03.388 --> 00:07:04.208 We don't need it. 140 00:07:04.489 --> 00:07:05.189 No. 141 00:07:05.189 --> 00:07:05.770 Wayne, what about the... 142 00:07:06.230 --> 00:07:07.331 Investments, investments. 143 00:07:08.371 --> 00:07:14.396 I suppose if you've got a well-balanced portfolio and, you know, 144 00:07:16.097 --> 00:07:17.478 your days should be boring. 145 00:07:17.858 --> 00:07:19.399 Predictable as well as boring. 146 00:07:20.100 --> 00:07:21.080 Maybe we shouldn't say boring. 147 00:07:21.080 --> 00:07:21.780 Maybe we should debate. 148 00:07:22.081 --> 00:07:29.064 predict we need the predictability of returns some people will be striving for 149 00:07:29.064 --> 00:07:31.064 40 50 because they've found this 150 00:07:31.064 --> 00:07:35.788 the latest biotech or tech stock or ai stock or something like that but on the 151 00:07:35.788 --> 00:07:37.788 other hand yes that's fine 152 00:07:37.788 --> 00:07:43.031 but get a small exposure to the go-getting stocks but on the other hand you need just 153 00:07:43.031 --> 00:07:45.031 good solid stuff every year 154 00:07:45.031 --> 00:07:49.373 you beat inflation you get dividends and away you go isn't that the way to do it I 155 00:07:49.373 --> 00:07:49.433 would think so. 156 00:07:49.433 --> 00:07:50.694 Look, you've got to have exposure. 157 00:07:50.814 --> 00:07:54.696 You've got to have some exposure to the new age, new wave, new thing. 158 00:07:54.996 --> 00:07:55.696 Yes. 159 00:07:55.696 --> 00:08:00.198 Because, you know, they always perform extremely well in the beginning. 160 00:08:00.198 --> 00:08:04.000 You know, they knock the socks off absolutely everything else. 161 00:08:05.401 --> 00:08:07.481 Sometimes they just disappear thereafter. 162 00:08:07.582 --> 00:08:09.722 Sometimes they are still around. 163 00:08:09.742 --> 00:08:11.443 And I think that is the case with AI. 164 00:08:11.843 --> 00:08:14.084 You know, these companies are not going to disappear. 165 00:08:14.144 --> 00:08:15.145 They're not going anywhere. 166 00:08:16.209 --> 00:08:19.770 But the share prices may be a little bit elevated at the moment. 167 00:08:20.490 --> 00:08:27.252 So, yeah, I think that's what you do is you, you know, if you think the share 168 00:08:27.252 --> 00:08:29.252 prices are way too expensive, don't have nothing, 169 00:08:29.252 --> 00:08:31.252 but maybe be underweight. 170 00:08:31.252 --> 00:08:31.773 Final question on equities anyway. 171 00:08:32.134 --> 00:08:38.415 When it comes to falling interest rates, it's obviously very good because it boosts 172 00:08:38.415 --> 00:08:40.415 the economy and therefore more people use 173 00:08:40.415 --> 00:08:41.876 banks and there's more transactions and there's more transactional income. 174 00:08:42.156 --> 00:08:43.277 And so it goes on. 175 00:08:43.857 --> 00:08:44.557 But. 176 00:08:44.649 --> 00:08:51.333 Is a shrinking interest rate environment good for margins for banks or is a rising 177 00:08:51.333 --> 00:08:53.333 interest rate 178 00:08:53.333 --> 00:08:55.333 market? 179 00:08:55.333 --> 00:08:57.333 How does it work? 180 00:08:57.333 --> 00:08:59.333 A rising interest rate is better. 181 00:08:59.333 --> 00:09:01.333 Yes. 182 00:09:01.333 --> 00:09:03.333 Initially. 183 00:09:03.333 --> 00:09:05.333 Initially. 184 00:09:05.333 --> 00:09:07.333 The way it works is, and certainly I can't talk about overseas banks because they 185 00:09:07.333 --> 00:09:09.333 have a different business model, 186 00:09:09.333 --> 00:09:11.504 but the way it works domestically is that if interest rates go up, your overdraft, 187 00:09:11.504 --> 00:09:13.504 your mortgage bond, 188 00:09:13.504 --> 00:09:14.085 your house loan, your motor car loan. 189 00:09:15.549 --> 00:09:19.891 you are charged that same interest rate immediately, that new interest rate 190 00:09:19.891 --> 00:09:21.891 immediately. 191 00:09:21.891 --> 00:09:23.412 Bank get their finance from, 192 00:09:23.492 --> 00:09:29.695 they've issued out notes and taken on money from pension funds, from the money 193 00:09:29.695 --> 00:09:29.715 market, 194 00:09:29.735 --> 00:09:36.038 from all over the place, normally over a time period, three months, six months, two 195 00:09:36.038 --> 00:09:38.038 years, 196 00:09:38.038 --> 00:09:38.879 you know, whatever note they've used. 197 00:09:39.259 --> 00:09:42.440 That only reprices when it comes up to maturity. 198 00:09:42.541 --> 00:09:43.421 So immediately. 199 00:09:45.553 --> 00:09:48.076 you get a margin enhancement. 200 00:09:48.837 --> 00:09:51.699 And then obviously exactly the opposite happens when rates fall. 201 00:09:52.020 --> 00:09:57.986 Of course, banks do hedge out a lot of this because they're just going into the 202 00:09:57.986 --> 00:09:59.986 interest rate futures market and take positions 203 00:09:59.986 --> 00:10:00.307 in that market. 204 00:10:00.308 --> 00:10:06.231 But by and large, When interest rates fall, there's a margin squeeze short term, 205 00:10:06.731 --> 00:10:12.133 but that's only short term, because banks actually want lower interest rates because 206 00:10:12.133 --> 00:10:14.133 then they can lend more money. 207 00:10:14.133 --> 00:10:17.055 I find that the rapacious nature of the corporate world, 208 00:10:17.095 --> 00:10:23.318 whether it be a grocery chain or whether it be a bank, is a little bit distasteful. 209 00:10:23.878 --> 00:10:26.859 Because of what you've just said, as soon as interest rates go up, 210 00:10:27.259 --> 00:10:31.621 then your mortgage bond or your credit card or your motor car loan goes up. 211 00:10:31.921 --> 00:10:35.243 When they come down, it takes a while for it to filter through the system. 212 00:10:35.283 --> 00:10:39.686 It's the same as if, let's say that a loaf of bread in the United States costs $5. 213 00:10:40.266 --> 00:10:44.028 And because of what happened with Russia and Ukraine, the price of wheat goes up. 214 00:10:44.409 --> 00:10:51.053 And therefore, you're charged $6 a week later because of the international price 215 00:10:51.053 --> 00:10:53.053 of wheat on the Chicago Board of Trade. 216 00:10:53.053 --> 00:10:57.777 When the price reverts, which it has done, do you see the price coming down from $6 217 00:10:57.777 --> 00:10:59.777 to $5 again? 218 00:10:59.777 --> 00:11:01.777 No, you don't. 219 00:11:01.777 --> 00:11:03.777 They keep it up there because you become used to it. 220 00:11:03.777 --> 00:11:07.319 And I find that that's what I think Kamala Harris would call price gouging. 221 00:11:07.460 --> 00:11:12.901 I think that's what she means by that, because they don't pass on the reduction 222 00:11:12.901 --> 00:11:14.901 in prices, 223 00:11:14.901 --> 00:11:18.102 but they're very quick to pass on the rise in prices to the poor, beleaguered 224 00:11:18.102 --> 00:11:20.102 consumer. 225 00:11:20.102 --> 00:11:23.144 But then you must remember the one thing we all rely on. 226 00:11:23.964 --> 00:11:27.145 You rely on the capitalistic system and competition. 227 00:11:28.361 --> 00:11:32.623 that some guy's going to say, I can sell bread, a little bit more bread, 228 00:11:32.643 --> 00:11:36.284 if I'm 10 cents lower than the other guy. 229 00:11:36.284 --> 00:11:36.985 I agree with you. 230 00:11:37.625 --> 00:11:41.927 Prices go up immediately, but they don't always fall straight away. 231 00:11:42.047 --> 00:11:48.569 But you rely on competition to give you credible pricing structures in 232 00:11:48.829 --> 00:11:50.450 various altered circumstances. 233 00:11:51.490 --> 00:11:56.873 That's why the capitalistic system works and the command system doesn't work 234 00:11:56.873 --> 00:11:58.873 essentially over time. 235 00:11:58.873 --> 00:12:01.596 is that the market must determine prices. 236 00:12:02.137 --> 00:12:08.882 And no matter what politicians might want, I also heard the vice president last night 237 00:12:08.882 --> 00:12:10.882 saying, well, 238 00:12:10.882 --> 00:12:12.805 and ex-president Trump saying, we're going to bring down costs. 239 00:12:13.226 --> 00:12:15.248 You can't just bring down costs. 240 00:12:15.288 --> 00:12:17.529 Of course you can't. 241 00:12:17.549 --> 00:12:19.111 This is political talk, man. 242 00:12:20.032 --> 00:12:25.977 You can't, in a capitalistic system, the market's way bigger than any president. 243 00:12:26.057 --> 00:12:26.757 It's simple. 244 00:12:26.757 --> 00:12:28.639 significantly bigger than any president. 245 00:12:29.639 --> 00:12:35.664 So you've got to say, well, look, if prices have gone up, if the food inflation 246 00:12:35.664 --> 00:12:37.664 was 10 or 12% for a year, like it was in the UK, 247 00:12:37.664 --> 00:12:38.126 then prices are just higher. 248 00:12:38.186 --> 00:12:40.447 You can't bring them down. 249 00:12:41.368 --> 00:12:47.633 You can maybe do a little bit of subsidization, a fringe, and make a big 250 00:12:47.633 --> 00:12:49.633 political roar out of it, 251 00:12:49.633 --> 00:12:50.475 but you can't reduce the cost of living. 252 00:12:51.095 --> 00:12:51.795 No. 253 00:12:51.936 --> 00:12:52.796 It's just politics. 254 00:12:52.816 --> 00:12:53.516 It's politics. 255 00:12:53.857 --> 00:12:59.280 Yeah, well, Donald Trump and politics, they shouldn't be in the same sentence, 256 00:12:59.280 --> 00:13:01.280 actually, because but anyway, 257 00:13:01.280 --> 00:13:01.742 that's just this is just me and I mustn't get on my high horse. 258 00:13:02.062 --> 00:13:07.385 But he said in the first year, energy prices in the United States will fall by 259 00:13:07.385 --> 00:13:09.385 50 percent. 260 00:13:09.385 --> 00:13:12.508 I mean, he says this glibly and everyone's standing there and clapping and saying, 261 00:13:12.508 --> 00:13:14.508 yeah, that's good. 262 00:13:14.508 --> 00:13:16.508 You can't do that. 263 00:13:16.508 --> 00:13:17.731 You can't bring down prices as a president. 264 00:13:17.731 --> 00:13:21.433 The moment you sit in the Oval Office, it's a lot of it's rubbish. 265 00:13:22.921 --> 00:13:29.903 But what he can do and what he said on numerous occasions is he's just going to 266 00:13:29.903 --> 00:13:31.903 relax the 267 00:13:31.903 --> 00:13:36.505 legislation around being able to do fracking in the U.S. 268 00:13:36.585 --> 00:13:43.527 And he's, I mean, he's often quoted, not quoted, he's often said in rallies, drill, 269 00:13:43.527 --> 00:13:45.527 baby, drill. 270 00:13:45.527 --> 00:13:47.527 Yes. 271 00:13:47.527 --> 00:13:50.109 So if he now relaxes the drilling rules and the fracking rules and all of these 272 00:13:50.109 --> 00:13:52.109 things, the price of energy. 273 00:13:52.109 --> 00:13:52.891 It could, in fact, come down because the market might be swamped. 274 00:13:53.492 --> 00:13:57.035 Whether it comes down 50% or not, no one knows. 275 00:13:58.076 --> 00:14:01.379 But I do know if it comes down 50%, it won't stay there for long. 276 00:14:01.799 --> 00:14:02.499 Of course it won't. 277 00:14:02.499 --> 00:14:05.983 Because if the price falls 50%, no one's making money anymore. 278 00:14:05.983 --> 00:14:07.404 The frackers won't make money. 279 00:14:07.664 --> 00:14:08.364 Exactly. 280 00:14:08.364 --> 00:14:12.148 I mean, they can maybe make money at 75 and it comes down to 65. 281 00:14:12.409 --> 00:14:14.350 Then they have to turn the spigots off again. 282 00:14:15.211 --> 00:14:17.353 Yeah, that's also just politics, man. 283 00:14:18.557 --> 00:14:24.839 You know, I'm still amazed that we as a human race haven't worked out a better way 284 00:14:24.839 --> 00:14:24.879 to govern 285 00:14:24.899 --> 00:14:26.559 ourselves than with politicians. 286 00:14:26.939 --> 00:14:27.780 I've worked it out. 287 00:14:28.480 --> 00:14:29.640 It's too late for this show. 288 00:14:30.160 --> 00:14:33.101 I've come up with a much better system, but that's OK. 289 00:14:33.161 --> 00:14:34.622 And you would be part of it, of course. 290 00:14:34.982 --> 00:14:36.482 But I have worked out. 291 00:14:36.642 --> 00:14:42.644 And democracy would also be thrown out the window if I was president of the universe. 292 00:14:43.084 --> 00:14:46.605 I would immediately revamp the whole system. 293 00:14:46.953 --> 00:14:53.438 but anyway go on yeah if i was if i was president of the universe the first thing 294 00:14:53.438 --> 00:14:55.438 i would legislate or first thing i would decree 295 00:14:55.438 --> 00:14:57.561 is that you cannot have different 296 00:14:58.025 --> 00:15:04.971 fittings for light bulbs every fitting has got to be exactly the same terribly 297 00:15:04.971 --> 00:15:06.971 important and also 298 00:15:06.971 --> 00:15:12.057 cell phone charges next thing i would decree your cell phone charge but we're 299 00:15:12.057 --> 00:15:14.057 getting there in the cell phone charge the next thing i would decrease 300 00:15:14.057 --> 00:15:16.057 every 301 00:15:16.057 --> 00:15:20.665 screw must take a star screwdriver and a flat screwdriver oh that's 302 00:15:20.745 --> 00:15:26.710 interesting yeah so you've got a phillips which we call it in europe phillips which 303 00:15:26.710 --> 00:15:28.710 is the star one and the flat one, 304 00:15:28.710 --> 00:15:30.710 which is the ordinary one. 305 00:15:30.710 --> 00:15:32.710 So they've got to be interchangeable. 306 00:15:32.710 --> 00:15:34.710 They've got to be adaptable. 307 00:15:34.710 --> 00:15:36.710 Okay. 308 00:15:36.710 --> 00:15:39.675 Third thing I would decree is every nut and bolt manufactured must have the 309 00:15:39.935 --> 00:15:44.857 thread pitch or the thread size printed on the bolt. 310 00:15:45.318 --> 00:15:47.078 You see, these are the semantics. 311 00:15:47.098 --> 00:15:53.001 This is why you would be the expert in terms of mechanics and engineering. 312 00:15:53.361 --> 00:15:54.202 And that sort of thing. 313 00:15:54.222 --> 00:15:57.704 And it's actually the commies that caused all of this problem. 314 00:15:57.724 --> 00:15:58.604 Oh, thank you very much. 315 00:15:59.024 --> 00:15:59.925 Why? 316 00:16:00.385 --> 00:16:03.147 They had British standard Wentworth thread. 317 00:16:03.247 --> 00:16:04.908 They had British standard thread. 318 00:16:04.928 --> 00:16:06.649 They had British standard pipe thread. 319 00:16:06.669 --> 00:16:08.410 They had British standard gas thread. 320 00:16:09.370 --> 00:16:12.172 They had 10 different thread patterns. 321 00:16:12.232 --> 00:16:14.233 And of course, I used to store British motor cars. 322 00:16:15.233 --> 00:16:16.494 And oh my goodness. 323 00:16:16.494 --> 00:16:21.237 And then when the Yanks got involved, sort of in the beginning of the Second World 324 00:16:21.237 --> 00:16:21.497 War. 325 00:16:21.769 --> 00:16:27.013 They just said, listen, guys, listen, one standard thread. 326 00:16:28.194 --> 00:16:34.900 So post the war, the thread pattern's not that bad because they said, you can't make 327 00:16:34.900 --> 00:16:36.900 part of it. 328 00:16:36.900 --> 00:16:38.900 You can't make a truck. 329 00:16:38.900 --> 00:16:40.900 We can't make a truck in the U.S. 330 00:16:40.900 --> 00:16:43.407 Then when it goes to the U.K., you've got no nuts and bolts to fix it because you 331 00:16:43.407 --> 00:16:45.407 characters use a different thread pattern. 332 00:16:45.407 --> 00:16:47.407 So they standardized it. 333 00:16:47.407 --> 00:16:47.510 They call it the national thread. 334 00:16:48.471 --> 00:16:50.393 And so post the Second World War. 335 00:16:50.869 --> 00:16:53.551 But a lot of the stuff was still using all this old stuff. 336 00:16:53.591 --> 00:16:54.611 I mean, it's interesting. 337 00:16:54.651 --> 00:16:58.433 Today, on all your gas fittings, it's still British standard pipe fittings. 338 00:16:59.114 --> 00:16:59.894 It's not metric, eh? 339 00:16:59.914 --> 00:17:02.215 It's the old imperial standards. 340 00:17:02.576 --> 00:17:07.058 But don't forget, I mean, don't forget that the sun never set on the British 341 00:17:07.058 --> 00:17:09.058 Empire. 342 00:17:09.058 --> 00:17:12.221 The British Empire, 40% of the world, was pink on the global map in the old days. 343 00:17:12.501 --> 00:17:16.704 And the Industrial Revolution did start, so they had to find their way with three 344 00:17:16.704 --> 00:17:16.763 patterns. 345 00:17:17.004 --> 00:17:19.105 But anyway, we're digressing, but that's what I would... 346 00:17:20.045 --> 00:17:23.746 First thing would be the light bulbs, yeah. 347 00:17:24.327 --> 00:17:26.487 Oh, and then electric plug fittings. 348 00:17:26.487 --> 00:17:27.187 Here we go. 349 00:17:27.367 --> 00:17:34.129 Oh my goodness, can't we just all have the same fitting for every electrical thing? 350 00:17:34.229 --> 00:17:35.570 On this subject, I agree with you. 351 00:17:35.570 --> 00:17:37.890 You go to the airport and you say, where am I going now? 352 00:17:38.071 --> 00:17:39.691 I'm going to the Netherlands. 353 00:17:40.171 --> 00:17:41.231 What do they use there? 354 00:17:41.512 --> 00:17:46.273 And you have to go into a shop and say, I'm going to the Netherlands and I've got 355 00:17:46.273 --> 00:17:48.273 a South African. 356 00:17:48.273 --> 00:17:49.239 plug here, I need to convert it, etc. 357 00:17:49.700 --> 00:17:53.783 And you have to plug in three different devices in order to get power. 358 00:17:53.783 --> 00:17:54.784 I agree with you on that one. 359 00:17:55.224 --> 00:17:59.788 I also think that you ever invented the two-pin socket? 360 00:18:00.068 --> 00:18:00.869 That's stupid. 361 00:18:02.110 --> 00:18:03.411 It should be banished. 362 00:18:03.871 --> 00:18:05.613 Oh, yeah, that should be on an island somewhere. 363 00:18:05.733 --> 00:18:07.754 Everyone just stand it. 364 00:18:07.935 --> 00:18:09.556 Just stand it. 365 00:18:09.616 --> 00:18:12.378 Make it easy for DIY people. 366 00:18:13.359 --> 00:18:14.180 So we've got plug. 367 00:18:15.281 --> 00:18:15.981 Yeah, anyway. 368 00:18:15.981 --> 00:18:16.281 Yes. 369 00:18:16.281 --> 00:18:16.381 Plugs. 370 00:18:16.381 --> 00:18:18.922 bulbs, nothing bulbs. 371 00:18:18.922 --> 00:18:25.664 You see this is why my new system which banishes democracy will work and we'll 372 00:18:25.664 --> 00:18:26.044 talk 373 00:18:26.044 --> 00:18:29.245 about it one day in the future over a glass of red wine or something. 374 00:18:29.365 --> 00:18:31.246 Wayne, do you ever get cravings? 375 00:18:31.306 --> 00:18:33.006 I mean I'm talking about food. 376 00:18:33.306 --> 00:18:34.006 It's my problem. 377 00:18:34.907 --> 00:18:35.707 Food cravings. 378 00:18:36.627 --> 00:18:38.208 That's my biggest downfall. 379 00:18:38.328 --> 00:18:42.889 That's why I'm overweight is I do definitively get cravings. 380 00:18:43.109 --> 00:18:49.952 to be overweight cravings don't always lead to um you know mild obesity it does 381 00:18:49.952 --> 00:18:51.952 but 382 00:18:51.952 --> 00:18:57.075 sometimes i get something in my head i'll be watching television there'll be a 383 00:18:57.075 --> 00:18:59.075 cooking program on and i'll say i've got to have that i've got to have those 384 00:18:59.075 --> 00:19:02.137 those chicken wings which which is what happened to me yesterday and i had to get 385 00:19:02.137 --> 00:19:02.397 chicken 386 00:19:02.397 --> 00:19:08.700 wings so what did i do i got chicken wings and then i thought i'm not going to go 387 00:19:08.700 --> 00:19:10.700 through this recipe that that person's done because there's 388 00:19:10.700 --> 00:19:15.243 far too many ingredients so what i did was I got these beautiful, plump, organic, as 389 00:19:15.243 --> 00:19:17.243 they say in the Netherlands, 390 00:19:17.243 --> 00:19:19.243 bio chicken wings. 391 00:19:19.243 --> 00:19:21.243 They were delicious. 392 00:19:21.243 --> 00:19:23.243 And I poached them, first of all. 393 00:19:23.243 --> 00:19:25.243 I made up my own recipe. 394 00:19:25.243 --> 00:19:27.243 I poached them in water for between eight to ten minutes, something like that. 395 00:19:27.243 --> 00:19:31.489 I drained them off, put them in a bowl, squeezed lemon juice over them and put 396 00:19:31.489 --> 00:19:33.489 some salt and pepper in. 397 00:19:33.489 --> 00:19:38.292 Then I poured over a decent amount, but not too much, of very hot peri-peri sauce. 398 00:19:38.712 --> 00:19:39.673 And I stirred them all up. 399 00:19:39.693 --> 00:19:40.393 And then... 400 00:19:41.045 --> 00:19:43.567 I thought, okay, that's a little bit too crude. 401 00:19:43.907 --> 00:19:46.610 I've got to have another layer of flavour. 402 00:19:46.890 --> 00:19:53.675 So I got a great big spoonful of honey, a really big spoonful of honey, and I 403 00:19:53.675 --> 00:19:55.675 stirred that in as well. 404 00:19:55.675 --> 00:19:56.097 I marinated them for about an hour. 405 00:19:56.518 --> 00:19:59.320 Then I put a pan on, extremely hot. 406 00:20:00.020 --> 00:20:01.941 And fried them. 407 00:20:03.321 --> 00:20:08.062 And as I was frying one side, I poured on toasted sesame seeds. 408 00:20:08.843 --> 00:20:09.543 Okay. 409 00:20:09.543 --> 00:20:10.303 Oh, that sounds delicious. 410 00:20:10.303 --> 00:20:11.043 It really was. 411 00:20:11.163 --> 00:20:16.925 And then I turned them over with a pair of tongs, which is one of the most useful 412 00:20:16.925 --> 00:20:18.925 implements in anybody's kitchen. 413 00:20:18.925 --> 00:20:20.925 I turned them all over. 414 00:20:20.925 --> 00:20:22.925 I poured some sesame seeds on the other side. 415 00:20:22.925 --> 00:20:24.925 Two minutes either side. 416 00:20:24.925 --> 00:20:28.328 Not quite charred, but certainly sealing in all that delicious flavour that I'd got 417 00:20:28.328 --> 00:20:30.328 from the poaching. 418 00:20:30.328 --> 00:20:35.514 And I have to say, Wayne, the combination of the peri-peri and the lemon juice and 419 00:20:35.514 --> 00:20:37.514 everything else, and the honey, the sweetness with the honey, 420 00:20:37.514 --> 00:20:39.514 I'm munched away like a maniac. 421 00:20:39.514 --> 00:20:41.514 It was brilliant. 422 00:20:41.514 --> 00:20:45.262 No, no, it sounds, it does, it truly does sound delicious because, you know, nice 423 00:20:45.262 --> 00:20:47.262 peri-peri, 424 00:20:47.262 --> 00:20:47.864 I mean, I'm a huge peri-peri fan. 425 00:20:47.864 --> 00:20:49.345 I truly am a huge peri. 426 00:20:49.845 --> 00:20:51.327 I buy peri-peri by the... 427 00:20:51.787 --> 00:20:52.487 Gallon. 428 00:20:52.487 --> 00:20:55.850 I buy two one-litre, I buy two one-litre bottles at a time. 429 00:20:57.011 --> 00:20:57.711 Yeah. 430 00:20:57.711 --> 00:20:57.831 From the honey rock. 431 00:20:58.372 --> 00:21:04.996 They sell their berry, berry, old Smirnoff vodka and brandy bottles. 432 00:21:05.016 --> 00:21:05.816 And you buy two. 433 00:21:06.376 --> 00:21:08.177 Well, I think it's 750, not one liter. 434 00:21:08.197 --> 00:21:10.198 But you buy two of them at a time. 435 00:21:10.319 --> 00:21:11.019 Okay. 436 00:21:11.439 --> 00:21:12.440 And it's delicious. 437 00:21:12.460 --> 00:21:14.981 And I have it with many, many things. 438 00:21:15.481 --> 00:21:19.003 And a good peri-peri shouldn't burn your mouth. 439 00:21:19.203 --> 00:21:19.903 No. 440 00:21:20.564 --> 00:21:21.965 It shouldn't be killer hot. 441 00:21:22.805 --> 00:21:27.488 Now, I've done a huge study of peri-peri in the greater Johannesburg area. 442 00:21:28.240 --> 00:21:35.226 and the honey rock is probably the best peri peri but i can promise you sesco's 443 00:21:35.226 --> 00:21:37.226 comes close there's he's a 444 00:21:37.226 --> 00:21:42.271 little bit stronger and then maybe third place but these are all very very closely 445 00:21:42.271 --> 00:21:44.271 contested 446 00:21:44.271 --> 00:21:46.271 positions is 447 00:21:46.271 --> 00:21:50.938 uh the total hotels got also got very good peri peri yeah you see you there's a 448 00:21:50.938 --> 00:21:51.218 difference 449 00:21:51.218 --> 00:21:57.364 between being being a good hot peri peri and something that's too harsh it can be i 450 00:21:57.364 --> 00:21:59.364 don't know 451 00:21:59.364 --> 00:22:01.364 Do you ever make your own? 452 00:22:01.364 --> 00:22:03.364 Do you ever try making your own? 453 00:22:03.364 --> 00:22:05.364 No, I've never actually tried that. 454 00:22:05.364 --> 00:22:06.547 No need, actually, if you've got the top three contenders that you've just 455 00:22:06.547 --> 00:22:08.547 described. 456 00:22:08.547 --> 00:22:08.887 You can just describe them. 457 00:22:09.567 --> 00:22:15.469 Certainly the Honey Rock, when you buy their domestic variant, the homemade one, 458 00:22:15.469 --> 00:22:17.469 it's not expensive. 459 00:22:17.469 --> 00:22:19.650 I mean, I think it's about 80 rand or 100 rand for the 750 mils. 460 00:22:19.650 --> 00:22:20.350 That's not bad. 461 00:22:20.350 --> 00:22:22.651 I mean, 750 mils of peri-peri is a lot, eh? 462 00:22:23.471 --> 00:22:24.171 Yeah, it is. 463 00:22:24.171 --> 00:22:24.992 That'll have lost you a couple of months. 464 00:22:26.624 --> 00:22:31.929 Yeah, the two liters lost me maybe three, but as I said, I have a lot of peri-peri. 465 00:22:31.969 --> 00:22:32.910 I have it on my eggs. 466 00:22:34.371 --> 00:22:35.512 I have a lot of peri-peri. 467 00:22:35.532 --> 00:22:36.473 I like it. 468 00:22:36.893 --> 00:22:37.593 Okay. 469 00:22:37.593 --> 00:22:37.913 Yes, I can tell. 470 00:22:38.654 --> 00:22:40.116 Okay, Wayne, thank you very much for your time. 471 00:22:40.216 --> 00:22:44.219 As always, Wayne McCurry is a portfolio manager at F&B Wealth and Investment in 472 00:22:44.219 --> 00:22:44.259 Johannesburg. 473 00:22:44.540 --> 00:22:45.861 And that was Wayne on Wednesday. 474 00:22:46.601 --> 00:22:53.547 The views and opinions expressed in these podcasts are those of Lindsay Williams and 475 00:22:53.547 --> 00:22:55.547 various contributors and do not reflect the policy, 476 00:22:55.547 --> 00:22:58.059 position, or opinion of any other agency, organization, employer, 477 00:22:58.400 --> 00:23:02.243 or company associated with StrictlyBusinessPodcast.com. 478 00:23:02.703 --> 00:23:09.690 Assumptions made on the analyses are not reflective of the position of any other 479 00:23:09.690 --> 00:23:11.690 entity other than the speaker or the author. 480 00:23:11.690 --> 00:23:15.855 And since we are critically thinking human beings, these views are always subject to 481 00:23:15.855 --> 00:23:17.855 change, revision, 482 00:23:17.855 --> 00:23:18.017 and rethinking at any time. 483 00:23:18.318 --> 00:23:20.720 Please do not hold us to them in perpetuity.