Mandate Memo - 18th March 2026

Market Commentary

The markets recovered today. Technology led the charge at 1.6% up. Almost double the second best sector. Healthcare was the only negative. Strangely commodities were down across the board. AUD gain against the majors. I still don’t think we have hit the bottom yet so I’m staging into the market still. TradingView paper trading has a quirk with deposit receipt stocks like 360. They are done on margin (50:1).

SHA executed today but the volumes appear very low so will need to watch out for liquidity. Still waiting on other names to be executed. The prices have rallied away from my limit orders. Defence is looking interesting. Austal (ASB) came out with an announcement that 22 ships were ordered. Order book is 17.7b while 1H revenue is $1b.

Investment Rationale

Life360 (360) - Buy

Beat guidance on almost all metrics. MAU (monthly active users) were up. There are more customers paying for the subscription than ever. Sold off with AI sentiment but data in 360 is proprietary. AI less likely to replicate and more provide efficiency. Bought a small position as there is potentially more downside to come.

Shape (SHA) - Buy

Small scale building company. Been a slow and steady price rally. Trades on low volume and small mkt cap so can’t but a full weight all at once. Revenue growth average Low Double Digits (LDD) per half. Net income growing ~30% pa last 3 years. Sell side TP 8.25 (20% gain). Relatively low debt for a construction type business. Lots of cash on Balance Sheet (BS). Relatively high PE at 20x.