Suggestions for a speculative punt?

Moe_The_Bartender

DireEmblem said:

Moe_The_Bartender said:

It’s suggested that Ajax's target is TransferWise. I'm not a big fan of SPACs although I bought SBE recently. You can get access to TransferWise through CHRY.

Do you not see these SPACs as being high risk/reward holdings.  They're not people with money to do it themselves, they are asking for you to invest in their ethos/though process in the hope it returns you a profit, and in return they charge a management fee.

Its win/win for them, and win/lose for you.

For the likes of TransferWise, etc, I hope they go to IPO rather than sellout.

I went for SBE because I've had my eye on Chargepoint for a while. I've only put in an amount I'm willing to lose but the upside could be enormous. I hope that TransferWise go to IPO too (they’ve appointed banks to start the process) and I'm in if they do.

adindas

DireEmblem said:

Moe_The_Bartender said:

It’s suggested that Ajax's target is TransferWise. I'm not a big fan of SPACs although I bought SBE recently. You can get access to TransferWise through CHRY.

Do you not see these SPACs as being high risk/reward holdings.  They're not people with money to do it themselves, they are asking for you to invest in their ethos/though process in the hope it returns you a profit, and in return they charge a management fee.

Its win/win for them, and win/lose for you.

For the likes of TransferWise, etc, I hope they go to IPO rather than sellout.

Thrugelmir

Blank cheque companies. None of the requirements of an IPO listing. 

bowlhead99

adindas said:

DireEmblem said:

Moe_The_Bartender said:

It’s suggested that Ajax's target is TransferWise. I'm not a big fan of SPACs although I bought SBE recently. You can get access to TransferWise through CHRY.

Do you not see these SPACs as being high risk/reward holdings.  They're not people with money to do it themselves, they are asking for you to invest in their ethos/though process in the hope it returns you a profit, and in return they charge a management fee.

Its win/win for them, and win/lose for you.

For the likes of TransferWise, etc, I hope they go to IPO rather than sellout.

[Buffett quote]

Risk does not really come from not knowing what you're doing. Rather, risk is generally there whether you like it or not and whether you know it or not. But at least if you research the heck out of some opportunity you're considering, you'll be better placed to consider whether the risk it presents is reasonable compared to the risks and rewards of all the other things that you've considered in detail instead. 

Buffett made the quote from that 'words on a photo' meme above around a quarter century ago, in relation to buying unloved businesses like Washington Post and Coca Cola in the mid seventies when he'd done his research and assessed that the intrinsic business value of the companies and the various properties they held were going to be worth more to him than it cost to buy an ownership share at the time. He felt he knew what he was doing in buying them and it would have only been risky for Berkshire shareholders if he hadn't gone into it with his eyes wide open and didn't really know what he was doing.   

That is quite different to hopping aboard the latest SPAC in the hope it will put a favourable deal together that makes its value 'pop' (with a skew of the lucrative gains towards the founders/sponsors, but still benefitting casual investors) rather than sitting around unused consuming management fees and operating cost and eventually returning capital after you have suffered the opportunity cost of having your money tied up in it.

csgohan4

I see THG has been doing well, it was mentioned by someone else on here previously. I have a small holding which is doing well now, got in sub 670p, decent financials and management at this time. Much promise for a company recently floated.
https://www.ft.com/content/f8aa9f75-8bc4-45fc-b190-c38bda95fb57

As always do your own research, investment has risks as usual

on a side note, what is going on with EQT, so volatile, up by 40% then to 10% up, ? pump and dump

Old_Lifer

With EQT,   there is lots of stuff in the pipeline with news expected in the near future  and the Airies claim  which if  I remember correctly is due in court in California on 25th January  is expected to be resolved.

I understand EQT  finished even higher in Germany today,  2.54p I think.

csgohan4

Old_Lifer said:

With EQT,   there is lots of stuff in the pipeline with news expected in the near future  and the Airies claim  which if  I remember correctly is due in court in California on 25th January  is expected to be resolved.

I understand EQT  finished even higher in Germany today,  2.54p I think.

Well done to you and people who got in early and researched it well. It looks like it's going to sky rocket still, maybe even as much as SBE in due time

Moe_The_Bartender

An outstanding lawsuit to be heard in California by an Irish company against an American company is a massive red flag for me. I've looked at both sides of the argument and there are some very deeply entrenched positions. EQT is an interesting company but I wouldn’t invest pending the outcome.

Old_Lifer

My understanding is that EQT  regard the claim as a speculative punt.   I believe they  have been advised  that  that the claim is without merit as they have 'prior art'.    If I understand correctly EQT tech is different anyway.   Others will know more about the claim than we do and don't seem to be bothered by it.

Old_Lifer

Speaking more generally,  litigation is a fact of life  when doing business in America.   A large company may perhaps face  dozens  of claims a year.  Someone may claim  half a million dollars and settle for twenty thousand.     It is often cheaper to settle a claim early,  rather than face ongoing legal  costs.