Your better than the actual fund management. Cheers
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Now good news from CEN. You might hold onto faint hopes for the warrants.
Agree, its a good buy today. Personally, I would like to see the warrants successful and new capital put to use in what looks to me to be a buyers market.
I hope u know it doesnt help existing holders of head share in any manner if warrants get exercised ...on the contrary it dilutes their head share NAV ...so I am not very concerned about warrants going dud ...surely who sold theirs made some extra buck ...Next warrant issue will be for the keeps till maturity ...so cycle running late by 1.5 to 2 years I reckon ...rates cycle ...but that happened in 2010 also ...took some time for KFL to take off from flatish
Yes I know but I figured if they get more ift mft etc we all benefit in the long run. Haven't done any math on it. I figured it would be like averaging down.
When ever they provide us with current NAV ie weekly ..thats the day 1 of all portfolio stocks prices ...it doesnt matter if the corpus is 100 Mil or 500 mil ...when they put new money in the portfolio ...only corpus increases not anything else ...only they get more fund management charges as they are based on corpus value ...we head share holders gain nothing from increasing corpus ...maybe better liquidity is our only gain
" Corpus is the total amount of money that a company has available to spend. This can include income from sales, investments, and loans. Corpus can also be used to refer to the funds available to a particular department or project within a company. "
Here it will mean FUNDS UNDER MANAGEMENT ...
^^ this is interesting, i had assumed that there was little to no dilution effect, (rough numbers here ) say there was 400M in the pot (320M shares) ~1.25 per share.
someone purchased and exercised their rights of say 10M shares at 1.27 the pot is now 412.7M and the number of shares on issue = 330M, so kind of making it neutral, (depending on how close the rights issue is to current share price)
Am I way off the mark on how this rights issue plays out Alokdhir? i'm keen to understand a bit more about the dilution, and what my best option to counteract it is.
Aah... actually i think I get it... does the dilution occur when the rights issue is significantly below the current share price, because no-one in their right mind is exercising rights at above current trading price..