Salary Packager McMillan Shakespeare Was One Of The Worst-Hit Stocks On The ASX Today As Investors Cashed Out Their Election Bets

Getty/Spencer Platt

Shares in salary packaging firm McMillan Shakespeare fell 5.4% today as investors took profits on their bets on a Coalition victory.

McMillan Shakespeare recorded today’s second-biggest percentage fall of all ASX 200 companies, after troubled miner Discovery Metals.

The ASX200 was up about 0.7% for the day.

McMillan shares lost about half their value in July, when Prime Minister Kevin Rudd announced plans to scrap salary-sacrificing tax breaks to pay for a faster move to a floating carbon price.

Much of McMillan’s business is dependent on salary-sacrificed car packages, which would become far less attractive under Rudd’s plan.

Tony Abbott had promised to scrap Rudd’s plan, so investors called McMillan the “ultimate election stock” because of the extent to which the election result would determine its fate.

McMillan’s share price rose steadily to a high of about $13.7 last Thursday, when all signs pointed to a Coalition victory.

Investor profit-taking drove the share price down to $12.68 at today’s close.

Via investing.com, here’s what happened:

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