STRATEGY OFFICER.
THANKS FOR THE TIME.
DO YOU SEE THE POUND FALLING
FURTHER VERSUS THE DOLLAR AS WE
GET CLOSER TO THAT OCTOBER
DEADLINE?
>> IT WILL CERTAINLY STAY MORE
VOLATILE AND CONTINUE TO STAY
MORE VOLATILE BUT AS IT LOOKS
NOW, IT'S MORE LIKELY THAT WE
ARE GOING TO SEE A BREXIT, THEN
THAT WILL -- THE MARKET IS
TELLING US THAT WE COULD
DEPRECIATE EVEN FURTHER.
THE ISSUE THESE CORPORATIONS
HAVE AND WHAT THE INVESTORS HAVE
TO LOOK AT IS OKAY, WHAT
COMPANIES HAVE ACTUALLY BEEN
PREPARED, ARE PREPARING OR ARE
GOING TO BE PREPARED TO ACTUALLY
MANAGE CURRENCY RISKS LIKE
THESE.
THERE ARE SOME COMPANIES WHO ARE
REALLY GOOD AT IT, THEY
UNDERSTAND IT, THEY UNDERSTAND
THEIR EXPOSURES, WHETHER IT'S ON
THE FOREIGN EXCHANGE SIDE, THEIR
CASH SIDE, OR ANY LIQUID ASSETS
OR LIABILITIES, AND OTHERS WHO
KIND OF THOUGHT YOU KNOW,
CURRENCIES, THEY ALL EVEN OUT AT
THE END AND THEY DON'T.
DEIRDRE: HOW CAN THE AVERAGE
INVESTOR TAKE ADVANTAGE OF
CURRENCY MOVES?
EVEN IF PEOPLE HAVE AN OPINION,
IT'S A VERY DIFFICULT THING FOR
THE AVERAGE PERSON TO
PARTICIPATE IN.
DO YOU HAVE A WAY?
>> YES.
WELL, WHAT THEY SHOULD DO IS
WHEN THEY ARE IN THE STOCK
MARKET, THEY SHOULD LOOK AT THE
COMPANIES THAT DO A VERY GOOD
JOB AND ARE CURRENCY AGNOSTIC,
PER SE, IN ACTUALLY MANAGING IT.
THE WAY TO DO THAT IS YOU LOOK
INTO YOUR 10Q ON ITEM 3A THAT
DESCRIBES VERY WELL WHAT THE
COMPANY DOES.
IF IT DOESN'T DESCRIBE IT VERY
WELL, THAT'S AN ISSUE AND YOU
MAY WANT TO STAY A LITTLE BIT
AWAY FROM THAT ONE.
ON THE ANNUAL REPORTS, YOU HAVE
ITEM 10 WHERE YOU CAN ALSO LOOK
AT IT.
THERE IS INFORMATION HOW
COMPANIES MANAGE IT AND HOW NOT,
AND YOU SHOULD REALLY BE
CAUTIOUS ABOUT THE ONES THAT ARE
NOT DOING A VERY GOOD JOB.
DEIRDRE: I KNOW YOU WENT THROUGH
THE 10Qs AND THE ANNUAL REPORTS
SO GIVE US THREE PICKS.
>> SO ON THE WINNERS SIDE, YOU
HAVE COMPANIES LIKE FLEX
TRONICS, TECHTRONIC AND
PANASONIC.
THESE COMPANIES HAVE FIGURED OUT
HOW TO MANAGE CURRENCIES AND
UNDERSTAND THEM PROPERLY AND
QUITE FRANKLY, MOVE AWAY FROM
THE TRADE WAR AND ACTUALLY LOOK
AT, BECAUSE THEY UNDERSTOOD
THEIR EXPOSURE SO WELL, HOW DO I
ACTUALLY CHANGE MY SUPPLY CHAIN.
SO COMPANIES HAVE MOVED AWAY
FROM CHINA INTO THE MALAYSIA,
INTO THE VIETNAMS OF THE WORLD
TO ACTUALLY GET AROUND THIS,
BECAUSE THIS ISN'T GOING TO GO
AWAY TOMORROW.
THIS IS A LONGER TERM THING.
NOW, YOU HAVE COMPANIES LIKE
TESLA, FOR EXAMPLE, WHO I'M NOT
SO CERTAIN ABOUT.
IT'S POSSIBLE BUT ALL THEY'RE
DOING IS INCREASING PRICES.
THAT'S AN ISSUE BECAUSE THAT'S
NOT A LONG-TERM SOLUTION TO A
TRADE WAR.
BUT THEY HAVE THAT ISSUE.
APPLE, ANOTHER EXAMPLE, IS GOING
TO HAVE A PROBLEM WITH THIS IF
THEY CONTINUE TO DO IT BECAUSE
THEIR STRATEGY HAS JUST BEEN
LET'S INCREASE PRICES BUT THEIR
PROBLEM IS WITH CHINA GOING
THROUGH THE TRADE WARS THAT
THEY'RE GOING THROUGH, AND WE
SHOULD TALK ABOUT THE
CRYPTOCURRENCY THEY JUST
