HGH - Heartland Group Holdings

[winner (n)]

Anybody going to or tuning in to the hui tomorrow?

[lorraina]

I will be tuning in.

[Stockgathering]

Yea, I will be there. What about you Winner?

[Basil]

Read the presentations, (except the Te Reo parts).  Nothing new in there. 
Hope the sausage rolls are hot for those who put in the effort to attend.

[Ferg]

Has anyone posted a question online?

[Ferg]

I'm watching online....Does Greg always speak like this or is there some sort of issue?  Is he stumbling due to having difficulty reading?  Or is he reading it for the first time?  Or maybe there is an issue with the streaming.  It's hard to work and listen to this at the same time...

[Fiordland Moose]

I'm watching online....Does Greg always speak like this or is there some sort of issue?  Is he stumbling due to having difficulty reading?  Or is he reading it for the first time?  Or maybe there is an issue with the streaming.  It's hard to work and listen to this at the same time...

better businessman than speaker, no doubt.

[Left Field]

ASM presentation

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/HBL/421386/406823.pdf

Claiming 40% of Aus reverse mortgage market
Targeting AU Bank registration (via Challenger Bank acquisition) to be complete late 2023 or early 2024..... much depending on this it seems.

[Basil]

I'm watching online....Does Greg always speak like this or is there some sort of issue?  Is he stumbling due to having difficulty reading?  Or is he reading it for the first time?  Or maybe there is an issue with the streaming.  It's hard to work and listen to this at the same time...

Quite a few voted against his reelection, even more against the whopping increase in directors fees.
Can't help wondering from the tone of speeches if the current level of dividend is safe in regard to the investment required for expansion in Australia.
http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/HBL/421394/406844.pdf

Lot of virtuous ESG signaling in the Chairs address http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/HBL/421386/406825.pdf (see sustainability section) including some really questionable policies around ESG based lending criteria, for example, phasing out lending on diesel passenger cars.  Then Jeff bemoans softer conditions in motor vehicle finance in the first quarter.   Talk about scoring an "own goal"
I do believe a lot of the ESG nonsense going on in companies today is just box ticking for the sake of being seen to be environmentally friendly, but it comes at a real cost to the business.  That cost goes like this for the example provided.  I am sure Turners Oxford Finance will be more than happy to accommodate the lending needs of those wanting to buy diesel cars.

[winner (n)]

Nearly 10% NO vote is unheard of for the re-election of such a high profile well respected Director

Obviously not just me who sent the message change is needed at Board level.

[Shareguy]

2024 forecast looks good. Concern re adequate funding of Aust bank. Will it be another stockco with a CR.

[Ferg]

phasing out lending on diesel passenger cars.  Then Jeff bemoans softer conditions in motor vehicle finance in the first quarter.  Talk about scoring an "own goal"

I saw this too and thought it was a bit weird.  How would they know or not if the diesel truck was to be used for solving climate change?  Or for some other purpose that benefitted mankind?  It shows the naivete of such a simplistic approach and that business will be picked up by someone focusing on making money.  It's not HGH's job to save the world.....

[Basil]

Other forms of lending now being run through their B.S. ESG criteria maceration process too and now the board are being paid a total of $2.4 million, (up 50%) to come up with this wonderful sanctimonious virtue signaling.   Just "brilliant"

[SCOTTY]

Challenger Bank requires a seperate independent board to meet Australian banking regulations. The increase in director fees will also cover this cost increase.

Regarding Greg's speaking style. I think he has a slight stuttering impediment which he handles very well and should be respected for having the courage to speak publicly.

[Fiordland Moose]

Challenger Bank requires a seperate independent board to meet Australian banking regulations. The increase in director fees will also cover this cost increase.

Regarding Greg's speaking style. I think he has a slight stuttering impediment which he handles very well and should be respected for having the courage to speak publicly.

Thanks Scotty, well put. Greg certainly performs well when its off the cuff and unscripted, I just get the sense he isn't a natural reading scripted comments. Regardless, his business & investment track record puts all of us to shame.

The incremental fees attributable to Challenger / getting an ADI only will be made if the acquisition is successful - if not, those itemised fee increases won't happen.

Re the ESG stuff - its not my cup of tea and grates on me too. I must zoned out the bit of not lending to diesel cars - not pleased about that and will express that to mgmt and the board. But, I rationalise most of the ESG stuff as a cost of maintaining heartland's social license. RM's are a good financial product but not without some historical controversy. Obviously its a specialist product and HGH does a fine job in lending responsibly, but there is probably an additional cost associated in being seen to be a good corporate citizen to assist with its profile. Or maybe its "heartfelt" - good question & dunno.