Woodford Concerns

lon_don

Broker research on WPCT published today

https://stifel2.bluematrix.com/sellside/EmailDocViewer?encrypt=878f7dac-7bb1-4e45-927a-5d6a43c604b4&mime=PDF

AnotherJoe

Thanks.
Overly long though.
Could just have been this

Reaper

lon_don wrote: »

Broker research on WPCT published today

They say:
we calculate that as a percentage of NAV 79% is in unquoteds, 23% in "quoteds with no trading" and 17% is in quoted companies


Wow. I had no idea. Another misleading name, he should have just called it Private Equity.

AnotherJoe

Reaper wrote: »

They say:
we calculate that as a percentage of NAV 79% is in unquoteds, 23% in "quoteds with no trading" and 17% is in quoted companies


Wow. I had no idea. Another misleading name, he should have just called it Private Equity.

Down 10% this week. And nearly 20% over the last two. Given it's been bumbling along for a while at the mid to low 40's someone knows something that's not public. Yet.
My guess is one of ;
They are going to close it and sell off the assets and investors don't want their money stuck in it for a year or more while that happens.
They are going to value IH at its true worth, zero.. that alone must be 15-20% the current price because it was stated at nearly 10% NAV when the fictional NAV was set at 80-90p.
BH is selling his investment over a few days and that is depressing the price.

Moe_The_Bartender

And down another penny (2.63%] today.

ffacoffipawb

Reaper wrote: »

They say:
we calculate that as a percentage of NAV 79% is in unquoteds, 23% in "quoteds with no trading" and 17% is in quoted companies


Wow. I had no idea. Another misleading name, he should have just called it Private Equity.

So 119% invested.

Gearing or poor maths?

bowlhead99

ffacoffipawb wrote: »

So 119% invested.

Gearing or poor maths?

Gearing, as described in the earlier linked report from which the quote was taken.

hamishdog

When (IF) the fund opens again and say only 50% (or any other figure) want out. How do you make sure you are at the front of the queue?

AnotherJoe

hamishdog wrote: »

When (IF) the fund opens again and say only 50% (or any other figure) want out. How do you make sure you are at the front of the queue?

Its most likely they will apply a mechanism to dissuade sellers.

Might be a premium to sell, thats what REITs did a few years back.Gradually lowered over time.

Or might be a maximum amount you can sell per holding.
Their plan/hope will be that the mechanism means they dont run into liquidity problems.
However, if say 50% wish to sell despite the dissuasion, thats going to be close to impossible.
A second gating would be very embarrassing though so i thought he wouldnt risk that but as i type this, what occurs to me is that Woodford might do this precisely so he can blame panicking investors for being forced to shutter the fund rather than it being his decision.

Yep, I can see that happening. He's already blamed them for not being patient enough with WPCTs list of failing investments so why not. That way its not about him and his catastrophic investment records, "it would have come good if only investors had understood"

poppy10_2

Reaper wrote: »

They say:
we calculate that as a percentage of NAV 79% is in unquoteds, 23% in "quoteds with no trading" and 17% is in quoted companies


Wow. I had no idea. Another misleading name, he should have just called it Private Equity.

They got it wrong. 79% of GAV is in unquoteds. That includes the approx £100million overdraft. If you only take net asset value the percentage of unquoteds is significantly higher