Portfolio
The Australian connection
Nephew Wilde
When I lunched with my broker, Wotherspool, last week, he assumed an arrogant air when ordering his meal. And turning to me, after asking for a steak, he casually murmured: "I believe the people can't afford beef now."
His attitude upset me and it was not long before we were in the middle of a blazing row about food prices.
"What can you expect," said Wotherspool, "when the US government becomes quarter master to the USSR? They've left themselves so short of wheat it's thrown the whole food situation out of balance. The US attitude to its food supplies is, to me, almost as incomprehensible as that country's energy policy which has left so many people freezing this winter."
This general debate continued for some time until I asked Wotherspool if he would care for a libation. This cheered him and in a more amenable frame of mind his conversion turned to my portfolio.
"Following on from what we were saying about food," he added, "I 'strongly recommend that you buy Dalgety. It knows the food business backwards, what with pastoral interests in Australia and food activities in this country."
Now my own experience in Australia was hardly relevant as most of the time I was bumming around Bondi Beach. However, I did realise from the rustic behaviour of the natives that they based a good deal of importance on the soil. So I suggested to Wotherspool that their economy should now be booming on the back of the sharp increases in cattle and wool prices.
"Quite right, Squire," answered Wotherspool, "and Dalgety, with its activities connected with agriculture and in property, is going great guns at the moment. As for its operations here, it has recently bid for Associated British Maltsters and Midland Mart. But in traditional fields such as eggs and poultry, judging by J. B. Eastwood's recent results, the group will be doing well. It also has an intensive pig fattening scheme as well as having a chain of frozen food shops. Take my word for it, if you want a way to hedge against higher food prices, buy Dalgety."
Fortunately this time there is no problem what share to sell to finance a purchase in Dalgety for I have money in the kitty.
Previous page
