From Smart Investor:
Best known for the huge success of his Aussie Home Loan business, Symond is also the largest individual owner of an Australian bank. He owns 2,747,995 shares in Commonwealth Bank (CBA) valued at $208 million.
…Smart Investor estimates that Symond has bet roughly 40 per cent of his net worth on a single listed entity.
“I’m not punting here, it’s part of a well thought out investment in a sector that I have very strong knowledge of and, all things being equal, they will be very strong performers over time,” he said.
Symond is such a strong believer in the banks that he has opted against taking out a put option or any other arrangement in order to preserve the value of his stake.
“I think we have some golden years ahead of us and because of that the big Australian banks will continue to do well. Yes, there will be a few speed humps along the way but I don’t want to take any caps or collars,” he said.
“Now I’m pretty risk averse and I think that if there is any area of the equity market with safety nets, while recognising that nothing is totally safe, I felt that the big banks have demonstrated that they are well managed and well capitalised.”
Let me be the first to give you some frank and fearless advice, John, you are not remotely “risk averse”.
