Barramundi ( BRM )

[Ttops]

quote:Originally posted by 777

Not yet but price is now more realistic. A discount may develop if the trend continues although probably not as great as the KFL discount.

Why not as great? Exchange rate may not change for ages so better be a holder. Unproven in Aus? Made 3%increase in NAV in 5 months. BRM will go below $1 soon and start a death rattle among the edgy holders when bad overseas news arrives. Buy in the high 80's.

KFL is still a better bet at present when it is oversold.

[Flying Goat]

BRM bought a decent stake in VGH as one of their first purchases since launching the Barramundi, which has subsequently nose-dived. Although I admire this team based on their NZX merits over the last five years I must say I have no idea what possessed them to go buying into a business (VGH) with over 180 million in debt and nothing on the balance sheet at a price earnings multiple above 24, that looked to me likely a highly amateur move at the time and is turning out to be the case... the lesson I guess is that no matter how long you've been in the game you never can be too careful!

[Ttops]

Is it the same team? Aussie in charge of buying for BRM?

KFL +KFLWA =1.49+49 =1.98 Nav 2.14
BRM +BRMWA =1.04+25.5 =1.295 Nav 1.05

BRM or BRMWA seriously overpriced? Which is it?

[Ttops]

Finally bought BRM at 1.13 and BRMWA at 34.5c! Seems high but so did KFLWA once.
The rate of dil NAV increase is accelerating due to AOE so it was time. Finally at a disc to dil NAV imo at 1.137 and bought twice as many warrants given they have a while to run. Finally can see what shares she is in how well they were doing. BVA looks a loser though.

Disc: KFL & KFLWA GPG CEN TPW WDT SCT AIA ABA SLG SKC FPH, now BRM and BRMWA
AVE on ASX

[lakeside]

I think the premium is for exposure to the Aussie dollar which Kiwi investors like. Not counted in the $50 000 overseas limit.

How will it go for taxes - I don't think it will be a PIE but won't need to pay on capital gains?

[gisborne_gold]

Good on you for backing BRM. The Fisher Funds Australian Growth Fund unit trust, formerly Coronet, has performed extremely well over the last couple of years, and one would imagine the same expertise would be being applied to Barramundi.

But it still seems to be at an unjustified premium to diluted NAV per share; $1.14 vs $1.12 NAV? Especially when other listed investment funds continue to trade at discounts to NAV.

[Ttops]

quote:Originally posted by lakeside

I think the premium is for exposure to the Aussie dollar which Kiwi investors like. Not counted in the $50 000 overseas limit.

How will it go for taxes - I don't think it will be a PIE but won't need to pay on capital gains?

Lakeside
The currency is "predicted"(BNZ) to fall to around 78c to the Aus over two years but for me I like her style of investing having watched it for a while now in KFL. Just had to see that it worked in Aus as well. I still have 5:1 KFL: BRM I can see that the Carmel factor plus the Kiwisaver boom to come plus the 50K limit explains the premium imo G_Gold. Took me some time to get used to that premium. Buy on any dips into disc imo. Good buying today on the warrants as holiday weekend sellers.

[Lawso]

I could never see the sense in putting money into managed funds, when you can pick and choose and invest directly without paying all that commission etc. But in the last couple of weeks I've bought Barramundi shares direct and also invested in FF Aust Growth Fund, because I respect their judgment and recognise their outstanding track record. Also a way of increasing my exposure to ASX, which I don't know a lot about. Platinum excepted, of course [^]

[Ttops]

Heresy Lawso. Any others? [:0] They shall confess before the Sabbath.

I was tossing up between the two as well. Couldn't afford both and have been tempted lately to the dark side and buying individual shares. [8)] Will be interesting which of FF and BRM does best. Glad you came out anyway. [:o)]
TT

[Lawso]

quote:Glad you came out anyway.

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[:X]