Wealthy Silver Spenders Drive Investment Opportunities
- Here's a breakdown of the investment opportunities highlighted in the text, according to Kernow's fund manager, Wood:
- * Saga plc: Wood has a major position in Saga, a travel and insurance brand focused on the over-50s.
- The article also mentions that private equity owners Permira and Warburg Pincus are looking to exit investments, suggesting potential opportunities in those companies as well, though they aren't...
Here’s a breakdown of the investment opportunities highlighted in the text, according to Kernow’s fund manager, Wood:
* Saga plc: Wood has a major position in Saga, a travel and insurance brand focused on the over-50s. He believes it’s “materially undervalued” and its share price could surge over 400% in the next few years. His thesis is based on the increasing spending power of the over-50s (“Saga years”) who will account for 60% of all U.K. consumer spending by 2030. Saga currently makes up about 10% of Kernow’s portfolio.
* Pets At Home: Wood identifies Pets At Home as another potential beneficiary of the trend. He believes the company is facing near-term pressures but will ultimately benefit as older consumers spend more on their pets and less on their children.
The article also mentions that private equity owners Permira and Warburg Pincus are looking to exit investments, suggesting potential opportunities in those companies as well, though they aren’t specifically identified as Kernow holdings.