How does Roger Montgomery read a Prospectus?

ASIC specifies the information that companies seeking to float on the ASX must include in their prospectus. Yet Australia's corporate landscape has a scattered history of hyped up floats followed by disappointment for many investors -- Telstra, Qantas and Cool or Cosy are just a few.

In this appearance with Peter on Switzer TV Roger Montgomery tells investors exactly what to look for in a prospectus. Roger's advice? Go to the second last page - the Pro Forma balance sheet. And Roger's advice for ASIC? Ensure vendors specify the impact of the float on the post listing balance sheet, write the prospectus in natural English and put the most important page -- the Pro Forma balance sheet -- on Page One!

Switzer TV with Peter Switzer was broadcast on the Sky Business Channel on 21 April 2011.


Visit ‪‪http://www.rogermontgomery.com/ for Roger Montgomery's step-by-step guide to valuing the best stocks and buying them for less than they're worth.

‪‪http://www.switzer.com.au/ from Peter Switzer is an online portal for retail investors and small business owners, offering daily news and articles on small business and personal finance. Switzer also provides industry-leading Financial Planning and Business Coaching services.

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News & Politics

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• Roger Montgomery
• value investing
• stock market advice
• Value.able
• Switzer TV

[tothemax01]

Wow, he is in 88% cash. Completely took me by surprise. I guess he doesn't like the look of equities at the moment.