Also in the total liabilities, only 270,000,000 is loans. The rest are 'estimated' future payment for insurance liabilities, which depend on actual insurance claims in the future. :P

That is why re-insurance companies are very hard to value...

Learn to read the financial report better... :P These investment are quote and not illiquid. Cash is typically low, as all $$$ went into investment. From 1Q report...

Held to Maturity Investment = 334,330,000
Available for Sale Investment = 918,527,000
Cash = 32,646,000
Total Asset = 5,416,507,000 (in which only 135,000,000 is fixed asset)
Total liabilities = 4,017,557,000

Net Asset = 1,139,236,000 or RM 5.35/share.

The held to maturity and available for sale investment are mostly Malaysian Government Security and Commercial bonds, which are quoted and have ready buyer if they want to liquidize.

The reinsurance business in Malaysia is more or less saturated and growth is limited. However MNRB has an advantage that 20% of all re-insurance deals MUST be ceded to them, so the growth in business is assured.

What KC says is right, re-insurance is not like other insurance, they primary make their money from investments and not through net premiums. The investment is considered mostly interest free money. Most re-insurance (two of which is owned by BRK) make loss or break even on premiums.However MNRB do earn some fair premium due to the above 20% monopoly, albeit at low margins.

On the investment side MNRB has a total of RM1 billion investment, however almost 97% is in MGS, which yields a paltry 3-3.5% interest. Most of the BRK re-insurance money is managed well in higher yielding and higher risk instruments by you know who.

However MNRB has a very fast growing and profitable Family Takaful business which is earning very well, but MNRB CHOOSE not to put these profits in to the book as precaution against future claims and to bolster their financial strength.

Value will unlock for MNRB only if :-
1. They give higher dividends once thier investment portfolio is sufficient.
2. Venture out from their ultra-conservative investment into higher yielding instrument (like LPI)
3. Once the balance sheet of Takaful is sufficient and MNRB write those profits into the book.

When will any of the above happen, might be next year, might be 10 years? No one knows, but in the meantime everyone is treating it as a FD.. ie not interesting. :)

KC Going to bali ah.. with all your recent profits you must enjoy yourself. Remember to book a room at Four Seasons Jimbaran Bay yeah? Very nice place, fit for you. :P

Aiyah.. fandi. No need to get riled up like that. People buy and sell stocks for a reason, let them make up their own mind. In fact I am secretly wishing that it can come below rm 2, so i can stock up more. :)

If you are long term investor, no need to worry about the stock price just monitor the company and fundamental performance. No need to burst blood pressure replying to inconsequential remarks. :P

Target RM4 not too low meh? :P Full year EPS about 70-80 cents, can warrant RM 5-6 mah? Cash on hand itself already RM 3. Too bad almost no broker coverage in this stock. :P

Regarding the comment that kfima will post a few quarters of profit then post loss, did you even check that Kfima has been posting >5 year of CONTINUOUS growth and increasing profit year after year? Did you see that the dividend payout also increasing every year?

Be it a malay company, but it is a well run malay company and better than all those conman RC chinese company :P

Other than it's palm oil business which is driving the majority of the growth, it has other resilient cash cow business such as bulking (toll gate for import/export of liquids), security printing (guess who print your passport & money)& canning (eat before king cup tuna?).

If you think the share is overvalue then sell, and under value then buy. But currently I value it as fairly valued. :P

BTW, I have invested since 2010 with it P/E then at 5 and hold till now. :)

Here i write it for you...

"Cypark could rebound after a firmer close yesterday. A position can be initiated on a close above yesterday's high of RM1.72, with a close below last week's low of RM1.66 as a stop-loss. The price target is RM1.80. Failure to break higher should see the stock trend lower. Further supports are at RM1.55 and RM1.50."

The 1.55 is referring to SUPPORTS in TA and not price target. Pengsan...

Another lazy person who don't want to do their homework. Have you even read the OSK report? It is a TA report for trading which have zero relation to FA which is for investment.

Anyway u all know ALL malaysian as subsidizing cypark? 1% of all your TNB fees will go to RE fund.. in which cypark will gain a large chunk of it in 60mw solar & 27mw biogas plant. But this counter really need to be patience, no fast money here. :)

once all 3 solar park is online in end 2013, then the big profits will start rolling in. Remember solar park is a one time investment, and do not require much maintenance, so the profit margin will be good until end of concession, then cabut. :)

Did not say u stupid lah, just that what you write on catcha misled sjsoon (and many others) into believing that cypark this quarter got loss. Anyway i bought in at 1.72. slightly above your price, :P Expect sept results to reflect higher profit due to solar contributions. The last quater only include 1 month of solar contribution.

Both of you dreaming ka? Quarter result not out yet leh.. end sept. Haiya...

I like the diversity of Kfima compared to TDM, in fact plantation is only 20-30% of Kfima's earnings. The main earning is the bulking installation which acts like a 'toll' for CPI/RBDPO export/import. :) Also the canning and printing business is quite resilient during bad times. :) Not to mention Kfima currently has better valuation than TDM, btw I own TDM as well...

Oh.. sorry for the mistake above.. Kalimantan land is 20,000 hectares.

So effective interest = 20,000 x 0.6 = 12,000 hectares, but more than 1/2 of it is uncleared jungle land. :)

Pssst... Kfima only owns 80% of Victoria Square and in turn it owns 65% of Amgreen in turns owns the 5,500 hectares of land in miri. Nunukan Jaya is a subsidiary of Fimacor which in turn is a 60% subsidiary of Kfima. The land in Johor has 1/2 palm and 1/2 pineapple plantation approval.

So direct interest of miri land is = 5,500 ha x 0.8 x 0.65 = 2,860 ha
Johor land for oil palm plantation (assuming they convert the pineapple) = 1,500 ha
For Nunukan Jaya effective interest is = 3,000 ha x 0.6 = 1,800 ha.

Don't get me wrong, Kfima is a wonderful company, but let's not distort the facts eh? :)

Apa lah nubhan... 21,000 ESOS share gonna dilute 822 million shares? Dreaming ka?

Hoohaa, check the announcement at Bursa. If until now you don't know where to check for regulatory announcement, it is better you stay off the market until you get more experience.

Read properly lah.. not acquired. The 1 mil shares is from ESOS.

Ahmad Khan,net dividend is 13.1 cent, if the price is RM 3 then you get 4.37%. Also note that the price will be adjusted downwards after ex-dividend, so don't just buy 'buta-buta' for the dividend as the price already factor in. Buy for valuation and growth for long term is another story.

Again, go learn your economics before you speak. California pension fund got into trouble when they invested in CDO (Collaterized debt obligation) due to bad risk management. EPF/MNRB has no CDO but loads of MGS (Malaysian Govt Security). If California Pension fund has invested in US treasuries (MGS equivalent) they would have made a cool 30% profit to date.

Batavia air is a very lousy investment... frequent crashes, bad service & old 1980's 737 plane. Anyway airasia has a big presence in Indonesia so actually no need to buy Batavia air. Suspect is to bail out crony company so Airasia Indonesia can list.

BTW, MNRB got net investment+cash combined at >RM 3 per share, basically now we are buying the company for free!

Negative investment income? You got read the account statements or not? 99% of the investment is in Investment grade bonds, including a large percentage in MGS. If MNRB got negative investment income, then EPF can also have loss. :)