Cineworld closure: don't blame James Bond, blame gearing

The crisis at Cineworld shows why it’s important to pick healthier firms when betting on the recovery, says Cris Sholto Heaton.

Cineworld wants to claim that it was the delay in releasing the new James Bond film that has forced it to close its doors indefinitely. And to be fair, a shortage of big-budget releases, terrible government policies that have left many people with an exaggerated idea of the risks that Covid-19 poses to the average healthy person, and the imposition of evidence-free rules on wearing masks to irritate those who are still willing to visit the cinema has created a very tough environment for a business like this. But it can’t blame all its woes on somebody else.

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Cris Sholto Heaton

Cris Sholto Heaton is an investment analyst and writer who has been contributing to MoneyWeek since 2006 and was managing editor of the magazine between 2016 and 2018. He is especially interested in international investing, believing many investors still focus too much on their home markets and that it pays to take advantage of all the opportunities the world offers. He often writes about Asian equities, international income and global asset allocation.

Cris began his career in financial services consultancy at PwC and Lane Clark & Peacock, before an abrupt change of direction into oil, gas and energy at Petroleum Economist and Platts and subsequently into investment research and writing. In addition to his articles for MoneyWeek, he also works with a number of asset managers, consultancies and financial information providers.

He holds the Chartered Financial Analyst designation and the Investment Management Certificate, as well as degrees in finance and mathematics. He has also studied acting, film-making and photography, and strongly suspects that an awareness of what makes a compelling story is just as important for understanding markets as any amount of qualifications.