The New Tsunami of Listed Investment Trucks

Last year I spent a lot of time writing about the tsunami of listed investment trucks. These are basically funds listed on the ASX that were sold by financial advisors to their customers and brokers to their customers. And, you know, I said that they were disaster waiting to happen. Now, mate, like you've just seen them blow up. So pretty much all of them are trading at 30 to 50% below the investors entry price. They often own loans or high-yield bonds that you can't value. Stuff that doesn't trade much in good times and in bad times doesn't trade it at all. That's one lesson. A broader lesson is just on the value of liquidity