Subject: Re: The Swatch Group Ltd (UHR.SW)
Thank you Manlobbi for your kind comments.

A full investigation into management is needed and the culture. I’m going to do that, as it is an interesting company that has clearly done some great things. It is just concerning to see one son as CEO and a daughter as chair. Might be nothing wrong with that but that would need to be established as it’s a clear red flag. I’m sure there are clues as to what drives them and their talents and energy. As Buffett would ask himself: do they love the money or the business?

They might be driven to continue the legacy. They might love their staff and believe in creating great products. They might be hard working and talented.

Or they might be interested in power, money and status and might be a little delusional about their abilities to successfully run a public company.

The CEO clearly hates the short term focus of Wall Street. Or that might be a cover for poor performance. Hard to know.

There is a margin of safety if it doesn’t work out. But yes it’s an interesting but tricky one.

There will be clues…