Berkshire’s latest acquisition, brain-computer interfaces & Morningstar’s stocks for March

Bryce: [00:00:53] Welcome to another episode of Equity Mates, a podcast that follows our journey of investing, whether you're an absolute beginner or approaching Warren Buffett status. Our aim is to help break down your barriers from beginning to dividend. My name is Bryce, and as always, I'm joined by my equity buddy Ren. How are you going? 

Alec: [00:01:08] I'm very good. Bryce Great to be with you for another Monday episode. We've got a lot to talk about and we've got so much to talk about that we've got another podcast. Okay, tell me more. Well, I'm straight into housekeeping. Not so much we've got to talk about, but the eighth podcast from the Equity Mates media stable. I don't know if that's what we're calling it. Our latest podcast, The Dive is the feed is live the trailers out. The first episode will be dropping in a couple of weeks, but there's so much news out there. It's so hard to keep up to date with everything, put it in its bigger context, and so we figured, why don't we have a crack at doing it? 

Bryce: [00:01:52] I must caveat that it's not just news, it's business news. 

Alec: [00:01:57] Yeah, we're not going into politics. 

Bryce: [00:01:59] We felt that for a while, business news has often been considered boring and uninspiring, and our new show, the Dive, is going to be taking one important news piece from around the world business news, pace from around the world, and we're going to be taking a deep dive on that to help you become a better investor and to show you the excitement that business news can be. So subscribe now. We're launching in a couple of weeks. Yeah. 

Alec: [00:02:27] Also, if you haven't signed up for Fin first go sign up Equity Mates dot com slash fin fest. It is a event that you will not want to miss. People will be talking about it for years to come and you could have been there. 

Bryce: [00:02:41] Yeah, where you can be there. Tickets will be going on sale very soon, so. Register now so that we can send you all the information is going to be deejays, is going to be bars, is going to be experts from all around the country helping you become a better investor. It's not going to be all finance. There's going to be other forms of entertainment. It is going to be a festival. It's really exciting. We're pumped, so make sure you register your details so we can keep you up to date.

Alec: [00:03:06] But Bryce a lot to talk about today. We're going to talk about one of the companies that you and I disagree on the most. We've got some surprising housing data and it tells us something about investing in megatrends. Berkshire finally bought something. We're going to talk about brain chips, and then we're going to close out with Morningstar's top stocks and what we think about those lot to cover. Let's get into it. But I want to start with an acknowledgement and an acknowledgement all around a CEO that we disagree on. And a company that we disagree on. And that's Mehta. Okay, Facebook, you think it's going to be a billion, a trillion dollar company again? Yeah. Well, two trillion 

Bryce: [00:03:48] to bet was that I think it has more of a chance than hitting a trillion than not. Yeah, OK. 

Alec: [00:03:55] So I know I have been a little bit off the company, but I want to recommend a piece of content, a non Equity Mates piece of content. Mark Zuckerberg was recently interviewed on the Lex Friedman podcast. It's about two hours long, and it's a very interesting conversation about some of the discussions they're having around the Metaverse, the technology they're developing. About an hour of the conversation is Zuckerberg not recognising the impact that Facebook and Instagram have on, you know, political interference, misinformation, health, misinformation, mental health, all that stuff. But the metaverse stuff is really interesting, and some of the technology that developing, apparently all their meetings are already in the metaverse. They're developing, like all this stuff to like, track your eyes. So like, if we're in the middle of us looking at each other, the our eyes will actually like, move. And then like haptic glove so you can feel things in the metaverse. Yeah, that's cool. So it's pretty interesting. Yeah. 

Bryce: [00:04:55] OK. So that's what was the podcast called Just Lex Freud. 

Alec: [00:04:58] Lex Friedman. Yeah, yeah. 

Bryce: [00:05:00] And for those that aren't aware, he's a Russian computer scientist, 

Alec: [00:05:04] Russian computer scientist, A.I. researcher, Russian-American. I think, yeah, Russian-American. Yeah, yeah, yeah. Yeah, really, really smart guy. If you think our housekeeping is too long, you can skip about ten minutes into his podcast and you just get to the end of the ads. But yeah, it's worth listening to if you are bullish on metal like Bryce or you're a little bit wary like me. Either way, you know, whatever you think of Zuckerberg, he built an incredible company and he's looking to do a hard right pivot and try and build something pretty new. And so it's fascinating to watch him. Yeah.

Bryce: [00:05:42] So house price data Ren some, some some surprising data coming out. Yeah. 

Alec: [00:05:49] Well, the the. The fact that house prices are incredibly hot isn't surprising. No. And to put it in context, in the US in 2021, house prices were up 19 percent and they are expected to rise 16 percent in 2022. So far, no one's surprised. But I think what is surprising or what is notable is that the three major house listing websites the in the state, in the states, the real estate dot com that IU or domain equivalents. If you're listing here in Australia, Zillow, Redfin and Opendoor, you'd think that that would be correlated to house prices and as house prices as the housing market is hot, as there's so much activity going on in the housing market, you'd think they would benefit. But in 2021, when the housing market was up 19 percent, Zillow was down 54 percent. Redfin was down 44 percent. An open door was down 36 percent. 

Bryce: [00:06:51] Where does that fall with the market? Yeah. 

Alec: [00:06:53] Well, that's the thing that unprofitable growth stocks. Yeah, I actually, yeah. And Zillow had its own issue with like they were trying to flip houses, if you remember that. Yeah, yeah, yeah. But for me, it was just those two numbers put side by side is a reminder that investing in megatrends, investing in thematics isn't always a guarantee of success, because if you were like, I'm going to invest in the U.S., housing is hot and supply is constrained. Megatrend picks and shovels. Yeah. These three companies would have been the some of the biggest holdings in that ETF, and they're all meaningfully down. They're all down by over a third. 

Bryce: [00:07:30] Again, this just calls screaming for someone to come out with their residential rate, both here in Australia and the state.

Alec: [00:07:38] Yeah, we often talk about that, that that would be a good way for us to get exposure to residential house prices. What it would also do is put more buying pressure on house prices, 

Bryce: [00:07:49] which if I mean it one way or the other.

Alec: [00:07:52] True? Sure. Well, I mean, or you could say, I mean, the brick axes of the world would say, we've already solve this problem. You don't need it to be fractionalised through an ETF. It can be fractionalised through the air like Brick X platform. 

Bryce: [00:08:06] I don't know. I actually met someone that used Brick Excel today, and it's it's panned out as a yet more than double his money. Wow. Yeah. But anyway, Brick X for those listening overseas is a an investment app here in Australia that allows you to buy portions. It's like residential property

Alec: [00:08:25] fractionalised property ownership. Yeah. So some of the crazy data from the US going back to the housing market, the median home owner made more from their property increases than the median salary. That's a confusing life. Phrasing it But the median house price increase was fifty two thousand dollars and the median salary. Yeah, fifty thousand. Yeah. 

Bryce: [00:08:49] Gotcha. You're saying they made more than they were paid? 

Alec: [00:08:53] Yeah. Yeah, yeah. Wow. And in some in some parts of the country that just blows out. In San Diego, the median house price increase one hundred and sixty grabbed the median salary. Fifty five grand. Wow. Just like property around the world is hot. 

Bryce: [00:09:12] I think Sydney's now the second most expensive city in the world. Really? Property? [

Alec: [00:09:17] Yeah, I had a very demoralising call with a mortgage broker. Yeah, just so far, 

Bryce: [00:09:22] I so far away anyway. Speaking of speaking of buying things, we 

Alec: [00:09:28] might not be able to buy things, but the next people, we're going to tell you where I can buy a lot of 

Bryce: [00:09:32] things. And that is Mr Warren Buffett and Berkshire Hathaway who has finally bought something Ren we have. He released his shareholder letter about a month ago. We did speak about it on the Get Started Investing feed podcast. We unpacked it. So if you want to go and check that out, make sure you do. But he revealed that he was sitting on close to $140 billion in cash, or at least $140, 144 or something like that. One hundred sixty, whatever a lot in cash on the sidelines because he felt that there wasn't really any good opportunities presenting themselves. And we know that he is an investor that is incredibly patient and will sit on cash until that opportunity comes. Now he held 

Alec: [00:10:16] on Before You Keep Going Law of large numbers 140 billion over 140 billion What does that mean? Let me put it in context, PayPal has a market cap of one hundred and thirty four billion deal at John Deere market cap of one hundred and thirty two billion. Lockheed Martin has a market cap of one hundred and twenty one billion. Caterpillar, like the heavy construction equipment, has a market cap of one hundred nineteen billion. So just to put that number in context, yeah,

Bryce: [00:10:40] it's a lot of money. It's a lot of money. Yeah, I think he also said that he generally likes to sit at more around the $30 billion range. Cash on hand. So he's well above what he's. 

Alec: [00:10:51] 30 billion about the market cap of Spotify. 

Bryce: [00:10:54] Is that. Yeah. Wow. However, news has surfaced that he has finally bought something and it is in his circle of competence because he's bought and he's bought another insurance company called Now. Apologies to Americans, but it's Allegheny Allegany. I didn't 

Alec: [00:11:14] understand it. Ren alla al-hadidi. I like. I like it. 

Bryce: [00:11:18] Anyway, he's bought an insurance company for a meagre eleven point six billion. Is that awful cash? Yeah. So the guy loves insurance. Love inside allows for good reason, for good reason. It is his biggest deal since 2006. 

Alec: [00:11:34] I think it's their first full acquisition since twenty six. Yeah, right? OK, so like, buy the whole company rather than invest in part of the company? Yeah. 

Bryce: [00:11:43] The last time they did a full deal was Precision Castparts again. He loves that. Always talking about it. $37. 87. Yeah, so not a massive acquisition in the grand scheme of things for Berkshire, but he does like insurance companies because of the float or the the money that comes in from the premiums that allows him to then reinvest that into his cash pile. 

Alec: [00:12:07] Yeah, that's funny. Now we talk about really knowing a company and doing due diligence on a company, really watching them and taking your time. Well, this is the quintessential example of due diligence. Buffett was quoted as saying Berkshire will be the perfect permanent home for Alleghany, a company that I have closely observed for 60 years. Now, if you're not doing that level of due diligence Bryce, you're not at Buffett Stand. 

Bryce: [00:12:41] Unbelievable. No, it's

Alec: [00:12:43] almost intergenerational due diligence. 

Bryce: [00:12:46] That's crazy. That's crazy. 

Alec: [00:12:48] But you know, our heiny is old because the New York Stock Exchange ticker is just why. Wow. Just one let. If you don't see that this factory sex. 

Bryce: [00:13:01] So he does still have one hundred and thirty five billion left in the bank. And we keep saying that with such market volatility, you know there could be another deal around the corner. He hasn't said anything of the like. All right, 

Alec: [00:13:14] I'm going to play a quick fire game with you. You saw that. Which would you rather Buffett acquiring addition? You're Warren Buffett. You got your cash pile, Twitter or Spotify, Spotify, Peloton or Zillow. Zillow, Robinhood or Roku. Roku, Affirm or Zip. 

Bryce: [00:13:34] Sir, sorry, sir. 

Alec: [00:13:36] Well, what if I told you, Bryce, that if you're Warren Buffett, you could have bought all of those eight companies and still had money left over? I would believe you still have 11 billion left in the bank. Wow. Twitter, Spotify, Peloton, Zillow, Robinhood, Roker affirms Zip. Some of the some of the biggest companies hit by, well, the biggest losers from this selloff. They could just start cleaning them up. Spotify, I'd love to say Buffett, I don't really listen to a lot of music on his phone.

Bryce: [00:14:04] No, just goes to show the power that some of these massive asset managers have as well. Oaktree, I think, has about one hundred sixty six point sixty six billion. You know, like these guys could just go to town on some of these. 

Alec: [00:14:16] Well, yeah, yeah, 

Bryce: [00:14:17] it's it's it's interesting. But but anyway, nonetheless, 60 years of due diligence on a company that is really in line with his thesis of making sure you invest in what you know. Yeah. And waiting for the right opportunity. Yeah, you waited 60 years. Nice. Nice one, Buffett. Good to say. All right. Well, we're going to take a very short break. And after this, we're going to do a bit of a deep dive, shallow dive, I should say, into Neuralink and brain chip technologies, which was a request from one of our listeners. And then we're going to have a look at some of the global best ideas from Morningstar for March 2022. So let's take a quick break and hear from our sponsors. All right, Ren, well, we've had a request from Jesse via email to have a bit of a dive into what's going on in Neuralink and brain chip, and this is quite timely for us, given that we have done a bit of research. 

Alec: [00:15:13] Yes, so we as we said at the top of the show, we're launching our news podcast, not quite daily news, three times a week news podcast. And we've been practising here internally at Equity Mates and we did a practise episode on Neuralink and Brain Chip Technologies. So we've got a bunch of information. So timely request, Jesse. So we figured we'd have a chat about it. Not a full industry Deep Dive because the investable opportunity set isn't quite there yet. But hey, maybe it will be in the future. That's it. Elon Musk's Neuralink, who remains the most well known start-up in this space. He's been pretty public about trying to put chips in our brains. Yeah, it's such an aggressive thing to say, you know? So the Neuralink was founded in 2016, and they've been quite successful, and we'll talk about some of the milestones that they've hit. But I think the important place to start is it's not just Elon. There's a number of other start-ups in this space working to build a brain computer interface or put a chip in your brain. Hit me with some of those names, Bryce 

Bryce: [00:16:18] names that you would probably be very familiar with Synchrony. A New York based company, they have received permission from the US Food and Drug Administration last year to start testing in tests in skull implanted devices on humans. It does sound quite intense, doesn't it? Parrot Drum X, they're introducing tiny electrodes into the human brain with people with disabilities that impede communication and movement. The originally titled Brain Ko Classic, there's always one company that emerged from Harvard Innovation Lab, and they develop a wireless headband that can measure brain activity and then emotive, who like Brain Co, develop wearable neuro headsets. So the final one Ren is colonel. 

Alec: [00:17:03] Well, the final one that we've got listed, but there's a bunch of others mind maze neuro sky neuro procurable. I think the important thing to note, though, is that there's two distinct versions of this work. One is the invasive 

Bryce: [00:17:18] put strain in the 

Alec: [00:17:20] brain, you know, like Elon Musk's Neuralink and then the non-invasive, which we have titled accessories, things like headbands and headsets that won't require surgery or a chip in the skull. They're the majority at the moment. That's where a lot of the research is focussed. The invasive stuff is a little bit more fringe, but you know, it's it's progressing, I think is the important point. So the important question why? Why are we pursuing this on our brains enough as it is until we really need a computer chip in there?

Bryce: [00:17:54] Well, Ren, there are two reasons. The first is that it will help disabled people gain or regain their ability to move or communicate, which is amazing.

Alec: [00:18:04] And I think you know that that's really where this use case is super exciting. And one of the examples we found when we were researching for this daily episode use blindness as an example, and there's three approaches that they spoke about. There's an accommodative approach, which would be what we do now, you know, try and guide dogs help help people move through the world. As someone who's blind. And then there's a biological approach, and there's a bunch of research going on about, you know, regrowing parts of the eye, regrowing the retina and stuff like that. And so that's how do you work on the like a bio biological approach to this disability? And then the third one, which Elon Musk is a big proponent of, is a, I guess like an artificial approach. And that's where a brain computer interface would get the visual data to the right part of the brain via a computer or a computer chip, basically bypassing the eyes. Mm-Hmm. And so that was an example we read about that we saw thought sort of exemplified the different approaches and where Allen thinks he can make a difference.

Bryce: [00:19:12] Yeah. Well, then the second reason is to keep up with A.I.. And now this might sound a bit weird, but the biggest point of friction in our engagement with technology is our fingers. 

Alec: [00:19:24] So explain that to me. 

Bryce: [00:19:25] Well, interaction between our brains and our computers is limited by how fast we can type, scroll punch the keyboard. We've still got a we're limited by that to someone who can't touch type as fast as you Ren. It's it's an issue. 

Alec: [00:19:41] Our brain is a supercomputer. Our phone is a supercomputer. And the only thing that slows those two supercomputers just interacting at incredible speeds is our fat fingers.

Bryce: [00:19:52] Yeah, our parents are still tight with one finger. So imagine if you could perform Google searches essentially. Control your technology through thought. The speed of that is just going to be exponential. And I think the flow on effects from that is obviously increasing humanity's intelligence. Now it is a bit of a stretch, but that's an awesome capability to think about. 

Alec: [00:20:16] And people might say intelligence is the wrong word because intelligence is, you know, so many different things. But the some of the key building blocks of intelligence, you could definitely improve. For example, memory. Imagine if you could augment your memory with a computer like storage he connected to the cloud like you didn't forget anything overwhelming. And then just like access to information and you know, these like key building blocks of of intelligence start to just become supercharged. 

Bryce: [00:20:52] Yeah, it's weird. The idea of intelligence kind of changes. I think it's more about creativity.

Alec: [00:20:57] Yeah, exactly. And how you use 

Bryce: [00:20:58] what you use with the information. If everyone has access to the same level 

Alec: [00:21:02] of influence, I mean, there's a really, you know, there's a really utopian vision where it's like just beautiful and then there's so many dystopian versions of this future. 

Bryce: [00:21:12] Well, Ren that brings that brings me to a question will I have a computer chip in my brain? 

Alec: [00:21:19] Yes. So this is where we can start to talk about what we've seen in terms of progress, and it has been moving in one direction. In 2020, a brain chip was successfully inserted into a pig. In twenty twenty one, a brain chip was successfully inserted into a monkey. And then the researchers taught that monkey to play video games, and you can jump on YouTube and watch it play chess. Now twenty two, we have multiple start ups progressing to human trials, so I see that we were like people this year will have computer chips in their brain. Neuralink Elon Musk's company put a job ad up in January of this year to hire a clinical trial director and another start up, Synchrony. They've actually started human trials last year, including a four person trial in Australia, separate to those trials December 20 21 and again in Australia. A paralysed man sent out the first ever direct thought tweet after having a computer chip implanted in his brain. Wow. So like tightening, I don't know if we can right now answer the question will you? But will someone? The answer is, yeah, it's happening.

Bryce: [00:22:36] Well, with all things that really push, push the boundaries and progress quickly, where where's government regulation with this stuff? 

Alec: [00:22:45] Yes. So unsurprisingly, governments have been. This is kind of heavy, actually. There's unsurprisingly, governments have been one slow to respond and to looking for military application. It's a classic, but Chile was the first country to pass legislation regulating the use of neurotechnology in September last year. They passed a neuro rights law aiming to protect mental privacy free will of thought and personal identity. Just thinking about why they have to pass that law to protect free will of thought, so that's chilly in the US and China rather than regulating it. They're more looking at how they can fund research into you into military uses. So the US defence advanced research projects agency DAPA, the organisation that also brought us the internet in 2018, they funded six separate, highly ambitious brain computer interface research projects. And in China, the government launched the China Brain Project in 2016, a 15 year scheme intended to bring China level with and eventually ahead of the US and EU in neuroscience research. And so I think that captured some of those things. Even Australia is getting in on the act. Yeah, we're not going to be left behind. The Department of Defence Down Under here is funding a $1.2 million research project for a vehicle that could be controlled via brainwaves. Wow. So it feels like things are moving in one direction. There are so many questions. My biggest question becomes around cost and inequality, because if it is the case that these brain chips allow us to keep up with artificial intelligence, but they become really expensive to have the surgery, and there's a limited supply that inequality starts to become really stark because the people that can afford it, supercomputers and the rest of us who can't afford a house, let alone a chip in our brain and left behind. Look, that that is just a snippet of the work we did for the daily episode. But Jesse, yeah, request came in at the right time. If we start, if we finish what we started with, Bryce asking, Is he going to get a chip in his brain? I mean, chances are probably possible. You'll have that choice at some point, hopefully. Would you do it? 

Bryce: [00:25:11] No idea. I don't know. I too early. I think to your point, I can see real positives. But if at some real negatives with it as well. 

Alec: [00:25:22] Yeah, this is unrelated. I thought star is article. A while ago, there was like a start up that did. It wasn't brain chips, but some other medical device that was implanted and then the Start-Up went out of business and all of the support for this device then went with it. Right. And so that would be my biggest risk. Like, I wouldn't want a brain chip start up putting something in my brain because that support needs to be there for life and like maintenance needs to be there for life. 

Bryce: [00:25:53] Yeah, there's no yeah, it's this has got it got to be something that's very, very well established, proven. Yeah, all those ones anyway. Make sure you check out the dive. Subscribe, now we will be going live and we'll be unpacking more really interesting business stories such as that one. So hit it up. It'll be on your podcast app now. All right, Randall. To close out, we noticed that Morningstar's global best ideas for March 2022 have come in a list of 77 stocks, and there were 13 Aussie stocks on that list. So we're just going to quickly go through a couple of the stocks, but 

Alec: [00:26:30] it was an interesting 

Bryce: [00:26:31] list. Yeah, yeah. Well, I first first, let's just quickly take a look at how they build the list. They're obviously have a bias towards valuation. They have a Morningstar rating, which is a rating out of five, and it is the rating based on valuation. So five stars paying the stock is significantly undervalued and one stop being it is overvalued. They do talk about economic moats, a range that from this company has no moat, a narrow moat or a wide moat. They then throw in an uncertainty rating, which is about how confident the analysts are in their valuation rating high being. They're not confident, given the underlying business, and then they also haven't price to fair value number as well. So for me, if I were looking at stocks, I'd be looking at, you know, stocks that are three to five star in valuation definitely have a moat. I don't want a company that has no moat and a low uncertainty rating. Yeah, and less than one fair price to fair value. That's what I would be looking at. But I would also raise a few and far between. 

Alec: [00:27:38] Yeah, I would also just be taking anyone else's work with a grain of salt. 

Bryce: [00:27:42] Absolutely, absolutely. So should we rip through some of the 13 Australian stocks?

Alec: [00:27:48] Yeah. Well, there was some in there that was surprising. So 12 month price performance for some of those stocks has not been great. A2 milk down 36 percent. Yeah, AGL Energy down 30 percent. AGL being Australia's biggest coal fired power operator. Not exactly exactly a hot stock, if you will. Kogan down 57 percent this year. Magellan down 67 percent. Southern Cross media down 9.9 percent. So there's a few stocks, those unloved stocks that obviously valuations. For Morningstar, analysts are starting to look good, but you know, companies that probably aren't aren't spoken with love in financial media at the moment. 

Bryce: [00:28:32] Yeah, the reason that these have come onto the list, my guess anyway, is that they're trading at a price that Morningstar analysts believe is now at a significant discount to what they see as fair value. Yeah, with a lot of them, though, there is a high level of uncertainty because whatever environment the business is operating in, there are more factors that go into it from an investment point of view than just the price. 

Alec: [00:28:57] So let's give let's give everyone the full 13 stocks if they want to do their own research out into their watch list. Obviously, we've caveated them very strongly with what we just said before. So Morningstar's 13 Australian stocks. A2, Milk, AGL Energy, Horizon, Brambles, Education, Invoker, Kogan.com, Lendlease, Magellan Financial, Southern Cross Media, Westpac, Woodside, Wisetech Nice. Only three of those stocks up in the past 12 months three. 

Bryce: [00:29:27] Up 13 Ozzy out of a list of 77 on their global list. Yeah, any kind of key takeaways from you Ren on that?

Alec: [00:29:37] Yeah. So looking at the full list of 77, I was surprised to see only one of the trillion dollar tech titans, which is what I'm labelling them now. Yeah. Can you guess which one? You can probably actually just write Amazon. 

Bryce: [00:29:50] Yeah, I know I've 

Alec: [00:29:52] looked at the list. Yes, Amazon was the only one there in their best ideas list. Westpac the only of Australia's big four banks. Twenty three of the 77 Morningstar rated as wide moats, meaning more than two thirds of their best ideas for March. They don't think have wide moats, which surprises me. Yeah, I mean, it's an interesting list. It's a it's an interesting list to start your your own research. But for me, a list like that is very much the start of the process, not the end of the process. 

Bryce: [00:30:24] That's exactly my takeaway. I think that it's easy to see the headlines. Best global ideas for 2020 to get a list of 77 stocks and browse down and see names that, you know, say that it's got a five star in the way we go, but there's so much more that goes into this process. So I think just like a general warning for the Equity Mates community that if you do have these sorts of things, it is a great idea generator. But please have a look under the hood. 

Alec: [00:30:52] The one thing I will give Morningstar credit for is that they say when they take things off the list. Yeah, because every investment bank seems to now publish the clickbait 

Bryce: [00:31:04] ex 

Alec: [00:31:04] broker or investment banks. Best Stocks for Insert You Know Bell Potter's Top 10 Stocks for 2022. Macquarie's 50 Stocks for 2021. You know, whatever it is, but they never tell you when they're selling. They never, they never update you on the list. And, you know, they never say, Oh, well, three of those are definitely not on the list anymore because things have changed. So the one thing that I think Morningstar, the way Morningstar do it is better is they will say when they've removed something from the list as well. Yeah, yeah, yeah. 

Bryce: [00:31:36] Yeah, it's worth checking out. They do give a couple of paragraphs on each of the stocks like the Kogan one. They start by saying shares in no moat Kogan. So I think that pretty funny. But they they they definitely do spell out what they think is fair value in some of the reasons as to why. So if you want to have a look at that, you do have to be a premium member, unfortunately. But I think my key takeaway this is not gospel. Use it as an idea generator as they've called it equity best ideas. Well, I mean, 

Alec: [00:32:05] if people from Morningstar are listening and they are really confident in this, maybe they could track the performance of their best ideas and put that at the top or something. So we could say over the past 12 months, the index of their best ideas has returned. 

Bryce: [00:32:21] Yeah, you know, I have a feeling they actually might do. Oh, really? Well, let's do that somewhere. So before you come out of the Morningstar, before you come at us will take that as a note to double check before coming in. 

Alec: [00:32:33] Morningstar do have an ETF, yeah, but it's a it's a it's the Morningstar wide moat, so it's a bit different to their best ideas. It is a it's a cool concept for an ETF, but again, it's like you just have to. You have to be confident in the analysis of moats. But if you are an ETF of wide moat companies is an interesting concept. Yeah, yeah.

Bryce: [00:32:55] Alright. Well, we that's a wrap Ren. We've made it to the end of this week's episode. Make sure two things that you could do for us, actually. Three things that would be really, really helpful. Firstly, fin first register so Equity Mates dot com slash vinfast. Secondly, the Dive Equity Mates media's newest podcast launching soon. That's going to give you one great business story each episode. And then thirdly, please, if you could write and review this podcast or any of the other podcasts in the Equity Mates media network that you listen to, that would be greatly appreciated. It certainly goes a long way to helping us get in front of new investors and people to join the Equity Mates community. Thank you for you support, as always. Next week, we actually have a different Monday episode coming up where we're going to be going deep on all things Web three with an expert that really is it deep in the game. 

Alec: [00:33:52] It's not often a guest makes me feel old. Yes, God, I felt also. Yeah, I 

Bryce: [00:33:57] felt I felt old, felt excited. So stick around to tune in next Monday or chat to a guy who is investing in Web3 Metaverse. So Ren always great to chat stocks, and we'll pick it up next week. Sounds good.