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Speaker 1: The Money Show, Rudy funder MAV's portfolio manager of advice

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Speaker 1: works really good evening well interest rates and as I say,

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Speaker 1: the decision for a whole surprising absolutely nobody.

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Speaker 2: Steven Yea, I don't think anybody were surprised. You know,

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Speaker 2: our observe bank cares over quite a long period of

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Speaker 2: time become learned to be very conservative, and possibly they

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Speaker 2: were criticized in the relatively recent past before not cutting

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Speaker 2: more aggressively. As it turns out, right now, we do

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Speaker 2: have sort of a little bit of fat in the system.

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Speaker 2: You know, our interest rates are probably a little bit

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Speaker 2: higher than they realistically should be for for where inflation

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Speaker 2: historically finds itself, and that gives us a little bit

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Speaker 2: of room in terms of not having to hike aggressively

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Speaker 2: now when the world becomes more uncertain, so that that

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Speaker 2: is useful. And I think they've certainly their view that

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Speaker 2: this is a supply driven shock and when one needs

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Speaker 2: to sort of at least in the short term, look

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Speaker 2: through that until we start start seeing or getting more

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Speaker 2: certainty that it isn't a short term phenomenon.

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Speaker 1: Yeah, And I mean we all know, no one knows

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Speaker 1: what's going to happen at first rand they spent I

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Speaker 1: think it's a billion and a half or thereabouts on

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Speaker 1: increasing their stake in Optasia. They now own around twenty

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Speaker 1: six percent. How do you view that? I mean, first

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Speaker 1: round is can I call them a traditional lender? Optasia

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Speaker 1: is completely different.

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Speaker 2: It is completely different, so that they're obviously taking quite

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Speaker 2: a big bet on the fintech space, and I actually

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Speaker 2: think it's almost two bets. One is on fintech and

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Speaker 2: that they want to get ahead of the curve of

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Speaker 2: their competition, and I suspect it's also a way for

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Speaker 2: them to get better coverage and Africa without doing it

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Speaker 2: via rolling out a branch network of optations obviously quite

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Speaker 2: significantly exposed in African lending. So it's a both I

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Speaker 2: think both the technology and a geographic approach from first round,

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Speaker 2: and you know, they're taking quite a big bet, roughly

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Speaker 2: another billion and a half on round to increase their

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Speaker 2: stake to twenty six percent, which has to make one

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Speaker 2: wonder whether they will at some stage try and increase

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Speaker 2: that further to actually go in a dominant stake in

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Speaker 2: the business. But certainly they seem to be comfortable with

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Speaker 2: the rate of growth at this stage and the art

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Speaker 2: look for growth for pleasure going forward, and so that

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Speaker 2: is positive. And certainly blush Trends has got a history

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Speaker 2: for investing in technology and adding value to the customers

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Speaker 2: via that process. So one sort of prilly has to

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Speaker 2: give them the benefit of the arta.

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Speaker 1: I mean, there's so many different things going on. I

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Speaker 1: mean that essentially the US President Donald Trump seems to

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Speaker 1: be suggesting that in fact, you know, ten boats are

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Speaker 1: allowed through the gift of AMusA is a gift from Iran.

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Speaker 1: I mean, it's impossible to know how this plays out,

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Speaker 1: and oil markets are still in a very difficult position

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Speaker 1: as a result.

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Speaker 2: Noah, it's very true. And you know, typically these geopolitical

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Speaker 2: things don't the impact on markets, don't tend to last

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Speaker 2: for four extended periods, and markets reasonably soon get used

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Speaker 2: to the idea that things are changing and then then

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Speaker 2: tend to tend to relax. But I must say this

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Speaker 2: is the probably the circumstances with the worst quality information

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Speaker 2: that I've seen you since since I've sort of been

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Speaker 2: exposed to financial markets, and and I think that's part

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Speaker 2: of the problem. At the moment. We're getting very very

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Speaker 2: poor quality information. It doesn't matter which side of the

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Speaker 2: spectrum you on. Sort of both sides are claiming that

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Speaker 2: the other side is begging for a shooting stand still basically,

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Speaker 2: and that leaves everybody who's trying to make decisions based

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Speaker 2: on pressing activity in a little bit of a quandary.

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Speaker 2: Certainly the situation. It also means, I think the markets

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Speaker 2: haven't although they've sold off quite materially, they're not passing

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Speaker 2: in a very very bad case scenario. And one can

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Speaker 2: dream up nasty scenarios if you, if you put your

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Speaker 2: mind to it, But you know, we I think the

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Speaker 2: world is hoping that we see things calm down and

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Speaker 2: come to a more peaceful state in maybe June July

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Speaker 2: or so.

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Speaker 1: Really, thank you Rudy for themva's Portfolio Manager Advice with