Unlisted, "the Internet-based trading facility"

[JAMP]

Of late two stocks in my portfolio have popped up on Unlisted (www.unlisted.co.nz). I am a tad uncomfortable with the reduced levels of protection offered to small shareholders by this facility. I am aware that the Minister may move at some point in the future to bring them under the Securities Market Act umbrella, but what will it take to trigger such an intervention? Corporate shenanigans to the detriment of small shareholders?

Whilst SUB is likely to sit in my bottom drawer until the day I die, my trigger finger has now begun to twitch nervously whenever I think of KCE. Should I take the easy out and decide to sell, this poses a problem. The broker that I have used from day one is not an Unlisted approved broker. I am hoping that this situation will change in the near future as I have always found their level of support to be excellent. If not, I will be faced with the requirement of "jumping through hoops" as I seek out and sign up with a new broker (at this point I am favouring Direct Broking). I am not adverse to going through the process, but consider it to be an unnecessary distraction from the main event.

Judging by the number of new listings with Unlisted it would seem that they are here to stay. This being the case, it is highly likely that the number of approved brokers will also increase in due course. Problem solved (hopefully).

No doubt I am being unnecessarily cautious in my critique of Unlisted. Nonetheless, I am keen to hear the views/experiences of others.

Regards JAMP
NZX: MCH MFT RBD SAN SKX SPN VTX WRI
Unlisted: KCE SUB

[foodee]

Jamp
Why do you need a new broker[?]

[lewinsky]

I am not too sure why KCE went the unlisted route.However their shares are up 11% this month.
Tightly held,Todd Family involved(ala MET)great div yield. I wouldn't be too concerned!The shares are readily tradeable through Direct and ABN Amro's. Just sit back and enjoy the ride.

[Futurz]

quote:Originally posted by foodee

Jamp
Why do you need a new broker[?]


Not all Brokers are set up to trade on the new unlisted market, I'm assuming Jamp's broker is one of these...

[JAMP]

Futurz, correct in one.

Lewinsky, I am indeed sitting pretty whilst KCE continue to rise in value. A part of me is crying out to realise the 60% gain, but the other part is urging patience. We shall see which side wins out. With luck KCE management will in time determine that the additional benefits of a NZAX listing outweigh the additional costs.

Regards JAMP
NZX: MCH MFT RBD SAN SKX SPN VTX WRI
Unlisted: KCE SUB

[foodee]

KCE
Share price has been rising steadily and now buyers are building. Any ideas out there.

disc: long term holder

[JAMP]

Foodee...I have been out of KCE for over 8 months now, so can shed no light on the matter sorry. Whilst I realised a healthy gain, my primary reason for selling was a distrust of my protections under Unlisted.

No great horror stories (that I have heard of) from Unlisted yet, so perhaps my concerns were a little over the top. Nevertheless, I remain somewhat dubious of the benefits that exist for small shareholders of companies signed up with Unlisted.

Regards JAMP
NZX: FTX MCH MVN PPG RBD SAN SKX SPE SPN VTX
Unlisted: BRK

[blackcap]

Gidday Jamp

I see you are a fellow BRK holder. Got some in the placement.

RE: Unlisted, you are unsure whether it is transparent enough and provides enough protection, but surely it is a better pricing mechanism than company secrataries allocating a share price for trading purposes?

BTW all the companies on unlisted must still comply with COMPANIES ACT 93 as well as the Financial Reporting Act. So in that regard shareholders do have some protection.

[Rangi1]

KCE has applied for resource consent to build a new dam and power station, the resulting lake will be approx 4 km's long at Aria( the middle of no where) as far as I am aware the only people moaning about this are a few kayakers who think the water will disappear if the dam is built(water in must approximately equal water out once the dam is filled) so hopefully it should go through.

[foodee]

Thanks for the feedback. KCE has been good to us. I have it at the back of my mind that one day Todd might take it out. Maybe the numbers coming up in June result are robust.

cheers

[foodee]

The June result is indeed solid 3.86m NPAT and 18 cps gross div.