Posted by Sslee > 2 months ago | Report Abuse

It was the best of times, it was the worst of times, it was the age of wisdom, it was the age of foolishness, it was the epoch of belief, it was the epoch of incredulity, it was the season of light, it was the season of darkness, it was the spring of hope, it was the winter of despair.
Charles Dickens, A Tale of Two Cities

If only you had bought ............instead of icapital. A Tale of Two.......

Posted by i3gambler > 2 months ago | Report Abuse

Checked Yahoo Finance just now,

1) ICAP=2.89, and the adjusted close price on 19th Oct 2005 was 0.8588.
The annualised return = (2.89/0.8588)^(1/19.07years)-1=6.57%,

2) KLCI=1,610.13, and it was 914.17 on 19th Oct 2005.
The annualised return = (1610.13/914.17)^(1/19.07years)-1=3.01%,
However, KLCI Dividend Yield was averaging around 3 to 4% for the past 19 years.
A total of 3.01%+3.50%=6.51%.

So I would say both ICAP and KLCI performance are about the same for the past 19 years.

Posted by FastMoney666 > 2 months ago | Report Abuse

The fund manager always omitted the KLCI dividend when making comparisons and insisted that he had beaten the KLCI by a wide margin. 😎

Posted by JohnD0ugh > 2 months ago | Report Abuse

The concept of value investing is really simple. However, understanding and applying this time-proven investing style consistently is another story altogether.

Value investing is about finding the intrinsic value or sustainable earning power of a stock, a business or an asset and then buying it at an attractive price, which is always below the intrinsic value of the stock, business or asset.

Doing so provides the buyer a margin of safety, one of the central concepts in value investing.

i Capital.biz Berhad 4Q2015 Report

Posted by i3gambler > 2 months ago | Report Abuse

I took time to go through all quarterly reports from Feb 2017 to Aug 2024.
I copy and paste all the "Non-current assets" and "Current assets" to a speadsheet.
And calculate the ratio of "Current assets" over "Total Assets", more or less is the Cash Level.

I plot a chart.
I can see a very clear picture, the Cash Level was very high at around 65% from Nov 2018 to May 2020.
Then from May 2020, it is clear that the Cash Level drop from 65% to 17% at Aug 2024, almost like a straight line.

My calculation.
1) KLCI
From May 2020 to Aug 2024, KLCI grew up at an annualised rate of 3.1%.
The KLCI Dividend Yield was averaging at 4.1%.
Therefore the CAGR for KLCI including Dividend was 3.1% + 4.1% = 7.2%.
2) ICAP NAV
From May 2020 to Aug 2024, ICAP NAV's CAGR was 10.3%, including the 20 sen dividend.

Conclusion:
ICAP was correct to reduce the Cash Level from 65% to 17%.
And the result was ICAP out performing the KLCI+Dividend by 10.3% - 7.2% = 3.1%.
My expectation on ICAP is very reasonable, I would be happy as long as ICAP could beat KLCI+Dividend.
To me, a 3.1% out perform is already vey Good.

Posted by guatmingsuktbD > 2 months ago | Report Abuse

'The concept of value investing is really simple. However, understanding and applying this time-proven investing style consistently is another story altogether.'

Icap still living in dinosaur times, LOL.

Posted by JohnD0ugh > 1 month ago | Report Abuse

As a long-term value investor, icapital.biz Berhad does not engage in market-timing. Its fund manager continues to hunt for attractively valued stocks, irrespective of the prospects of the stock market and the Malaysian economy.


i Capital.biz Berhad 2Q2014 Report

Posted by Integrity. Intelligent. Industrious. 3iii (iiinvestsmart)$€£¥ > 1 month ago | Report Abuse

The market price swings like a pendulum.

By market timing, you buy when you think the price will be swinging upwards and sell when you think the price will be swinging downwards.

On the other hand, value investors tend to price the market, buying when the it is undervalued and may sell when it is overvalued.

Posted by i3gambler > 1 month ago | Report Abuse

On behalf of the Board of Directors of ICAP, RHB Investment Bank and Astramina Advisory Sdn Bhd wish to announce that based on the valid DRFs received by the Share Registrar, ICAP will be issuing 1,036,359 DRP Shares pursuant to the DRP. The DRP Shares to be issued represent 21.85% of the total 4,742,949 DRP Shares that would have been issued had all the entitled shareholders of ICAP elected to reinvest the Electable Portion into DRP Shares.

We can buy ICAP from market at 2.88 but there were still unitholders opted for DRIP at 2.92.

Posted by JohnD0ugh > 1 month ago | Report Abuse

Warren Buffett shared with us the virtues of patience, “We don’t get paid for activity, just for being right. As to how long we’ll wait, we’ll wait indefinitely.”

i Capital.biz Berhad 1Q2014 Report

Posted by Integrity. Intelligent. Industrious. 3iii (iiinvestsmart)$€£¥ > 1 month ago | Report Abuse

>>>
Posted by i3gambler > 2 days ago | Report Abuse

On behalf of the Board of Directors of ICAP, RHB Investment Bank and Astramina Advisory Sdn Bhd wish to announce that based on the valid DRFs received by the Share Registrar, ICAP will be issuing 1,036,359 DRP Shares pursuant to the DRP. The DRP Shares to be issued represent 21.85% of the total 4,742,949 DRP Shares that would have been issued had all the entitled shareholders of ICAP elected to reinvest the Electable Portion into DRP Shares.

>>>

78%+ chose to receive the dividends.

Posted by Patient Investor > 1 month ago | Report Abuse

It seems like Mr.Tan is spending so much time on geo political matters and expressing his supports towards China, what benefits does this brings to us as shareholders? I prefer my fund manager to stay away from expressing geo political views or act in the interest of other governments.

during investor day, he claimed Western media only focus on China September consumer spending on first tier city drops, yet didn't disclose all the other cities growth. But he also never disclose the whole picture on which sector fuels the growth, and what happened during that month.

In September, china government dish out "trade in" voucher for appliances and gadgets, and there's sudden spike in food inflation in September.
Look into the stats, the growth is indeed fueled by those category. Appliances +20%, telco gadgets +12%, basic food +10%
The growth in October even pick up paces, powered by e-commerce platform presale activities for 11.11
Will one change their fridge TV or handphone every month or quarterly?

References
www[dot]stats[dot]gov[dor]cn/sj/zxfb/202410/t20241018_1957039.html
www[dot]stats[dot]gov[dor]cn/sj/zxfb/202411/t20241115_1957427.html

While accusing western media selective reporting, why act in similar manner ? As shareholder, I feel disappointed.

I hope Mr.Tan will keep his political views and ideology to icap fan club or China fund meeting, not in icap shareholder meetings and newsletter. Unless China government is willing to invest in icap and buy until the share price to NAV level, please be as neutral as possible. There is enough polarity going on, why keep adding fuels especially on things beyond our limits?

Also stop bragging "success","smartest" "most innovative" "greatness" on oneself and policy. Even Warren Buffet, Charlie Munger and many legendary investor don't do that. Only China like to use BIG words to fan up nationalism.

Posted by Sslee > 1 month ago | Report Abuse

People brag for several reasons, often tied to psychological and social factors:

Self-Esteem Boost: Bragging can be a way for individuals to boost their self-esteem. By highlighting their achievements, they reinforce their self-worth and feel more confident.

Social Validation: People often seek approval and validation from others. Bragging can be a method to gain recognition and admiration, enhancing their social standing.

Competition: In competitive environments, bragging can serve as a strategy to assert dominance or superiority over peers. It can be a way to signal success and capability.

Insecurity: Sometimes, individuals who feel insecure may brag to mask their feelings of inadequacy. By projecting confidence, they hope to convince themselves and others of their worth.

Cultural Factors: In some cultures or social groups, boasting about achievements is more accepted or even encouraged as a way to inspire others or celebrate success.

Storytelling: Bragging can also be a form of storytelling, where individuals share their experiences to entertain or engage others, even if it comes off as boastful.

Overall, bragging is often a complex behavior influenced by a mix of personal insecurities, social dynamics, and cultural norms

Posted by JohnD0ugh > 1 month ago | Report Abuse

The investments of icapital.biz Berhad are selected based on the eclectic value investing style of Capital Dynamics. As such, the Fund Manager and Investment Adviser of your Fund are continuously seeking stocks that are attractively priced.

i Capital.biz Berhad 3Q2010 Report

Posted by Patient Investor > 1 month ago | Report Abuse

@JohnD0ugh Which fund in Malaysia will claim they are not continuously seeking stocks that are attractively priced? Or passively seeking overpriced stocks?

Posted by FastMoney666 > 1 month ago | Report Abuse

@Patient Investor......be careful lo, later you will be labelled as the running dogs again

Posted by FastMoney666 > 1 month ago | Report Abuse

I think TTB is setting up a trap for himself now on the dividend tinge since DRIP take up rate was only 20%....NAV will drop if his performance does not matching the dividend rate. He will receive a bit lesser management fees but at least most people will feel a bit better. In the most extreme case he may suspense dividend, then it will cause iCAP shares to drop...more and more people will feel no incentive to invest with iCAP.

So, I think this most innovative dividend design to auto-correct discounts gap as good as dead to me. Just look at the discounts now, it's approaching 25-28%. Beginning of the year was 20%, it has gotten worse by 5-8%.

Posted by i3gambler > 1 month ago | Report Abuse

The DRP Shares will be issued to you at the issue price of RM2.92 per DRP Share (“Issue Price”) as determined by our Board on 27 September 2024 (“Price-Fixing Date”). The Issue Price is fixed based on the VWAMP of ICAP Shares of RM3.0192 for the 5 market days immediately prior to the Price Fixing Date, after adjusting for the Interim Dividend of RM0.1041 per ICAP Share to the 5-day VWAMP of ICAP Shares.

Base on the above statement in the NOTICE OF ELECTION,
3.0192-0.1041=2.9151, and fixed the Issue Price without any discount.
If he is money face, he could have given 10% discount, the Issue Price would be RM2.63.
Then almost all unitholders would opt for DRP because ICAP bear the cost of DRP.

Posted by Patient Investor > 1 month ago | Report Abuse

@Fast unlike you, I’m long term shareholder and I don’t question his ability and integrity in managing the fund.

Posted by FastMoney666 > 1 month ago | Report Abuse

@Patient Investors- so you took the DRIP?

Posted by JunHoHoHoHo > 1 month ago | Report Abuse

Is it worth to subscribe DRIP ... ?

Posted by Patient Investor > 1 month ago | Report Abuse

@JunHoHoHoHo it depends on how much shares you want to get, if only a little you can get it from the market since the price is below the DRIP price, But if you need a huge amount, the market might not able to give you the volume below 2.91. Also there's brokerate to be paid getting from market.

Posted by JohnD0ugh > 1 month ago | Report Abuse

ICAP was listed on the KLSE on 19 Oct 2005. From then until Sep 2023, ICAP served as a pure long-term capital appreciation fund.

It paid out dividends only on two special occasions – in FY2013, when a special 9.5 sen dividend was paid out to utilise tax credits which were expiring then, and in Dec 2022, when a Special 20 sen Covid-19 dividend (totalling RM28 mln) was paid out to help shareowners whose finances may have been affected by the pandemic.

ICAP is the only listed company in the entire world to have paid out such a dividend. In response to long-held requests from a diverse array of shareowners and the tireless hard work of the Fund’s Designated Person, ICAP launched the most innovative dividend policy in the world in 2023.

Unlike conventional listed companies, where dividends are paid as a percentage of net earnings, net earnings are irrelevant to a closed-end fund like ICAP. Its dividend must be based on its Net Asset Value (NAV), and not merely calculated as a simple percentage of its NAV.


i Capital Newsletter Volume 36 Issue 18

Posted by FastMoney666 > 1 month ago | Report Abuse

I am shocked by the claim by ICAP is the only listed company in the entire world to have paid out such a dividend during Covid. To claim only the only ONE meaning if we can find one, he is lying?

Posted by FastMoney666 > 1 month ago | Report Abuse

1. Maybank
https://klse.i3investor.com/web/stock/entitlement/1155

Posted by FastMoney666 > 1 month ago | Report Abuse

2. Public Bank
https://klse.i3investor.com/web/stock/entitlement/1295

3. RHB Bank
https://klse.i3investor.com/web/stock/entitlement/1066

Posted by FastMoney666 > 1 month ago | Report Abuse

4. Heneiken Malaysia Berhad
https://dividends.my/heim-3255/

Posted by FastMoney666 > 1 month ago | Report Abuse

5. IGB REITs
https://klse.i3investor.com/web/stock/entitlement/5227

Posted by FastMoney666 > 1 month ago | Report Abuse

6. Coca Cola
https://www.morningstar.com/stocks/xnys/ko/dividends

Posted by FastMoney666 > 1 month ago | Report Abuse

7. P&G
https://www.morningstar.com/stocks/xnys/pg/dividends

Posted by FastMoney666 > 1 month ago | Report Abuse

The fund manager think we all are Pak Chee?

Posted by FastMoney666 > 1 month ago | Report Abuse

By the way, he is EPF dividend history for past 70 years++

https://www.kwsp.gov.my/en/others/resource-centre/dividend

Posted by FastMoney666 > 1 month ago | Report Abuse

Just take a stone and throw also can hit, please la... Also be profressional to use word like Total Shareholder Return. Even Ah Fook like me also know !

Posted by JunHoHoHoHo > 1 month ago | Report Abuse

Lol. Why you shok sendiri, FastMoney666 😆

Posted by FastMoney666 > 1 month ago | Report Abuse

Aiya......Fast and Furious mah.....beh tahan when the Fund manager making false claim🤣🤣

Posted by ericlee18 > 1 month ago | Report Abuse

Find me a Company in the entire world that named its dividend as Special Covid-19 dividend. Tak ada kan ?

Posted by FastMoney666 > 1 month ago | Report Abuse

Good try. Best of luck for those buy into such spin🤣🤣

Posted by Patient Investor > 1 month ago | Report Abuse

Upon the implementation the Most innovative DRP programme, the NAV gap remains.
City of London still left with less than 1 million to dispose to par down holdings to 20%.
We shall wait and see if the NAV gap close up when they finish unloading.

Posted by JohnD0ugh > 4 weeks ago | Report Abuse

Designing ICAP’s dividend policy proved a complex undertaking as it has to meet the differing needs of shareowners without abandoning the raison d’être of ICAP. After careful research and conducting numerous simulations, the most innovative dividend policy was designed to meet three objectives:

(i) For ICAP to trade at a rational price;
(ii) To cater to shareowners who desire long-term capital appreciation; and
(iii) shareowners, young or old, single or with households, who need regular income.

Consequently, the innovative dividend policy of ICAP became an aggregate of 2 components:

(i) Base Rate: 1% of NAV per share.
(ii) Top-up Rate: 8% of the difference between the share price and NAV per share.
a. The NAV per share is an average of 4 weekly NAVs before the dividend payout date.
b. The share price is the volume-weighted average price over 4 weeks before the dividend payout date.

The first ICAP dividend to be declared under its innovative dividend policy went ex on 5/11/2024.

At the same time, ICAP introduced a Dividend Reinvestment Plan (DRP) so that shareowners can receive their dividend either as cash or a reinvestment in ICAP. This plan has also been completed.


i Capital Newsletter Volume 36 Issue 18

Posted by JunHoHoHoHo > 3 weeks ago | Report Abuse

Haha, those fund managers obviously IDSS this stock everyday, FastMoney666 😁

Posted by JohnD0ugh > 3 weeks ago | Report Abuse

At RM2.89, ICAP is capitalised at RM407.6 mln. For this, what do investors get in return?

ICAP is not only a well-managed closed-end fund but also an iconic institution that other listed companies should emulate. For long-term investors, anytime is an excellent time to buy ICAP shares. For those more focused on the short and medium term, that right time is now. Why?

The KLSE has been correcting since its recent high of 1,684 points on 29 Aug 2024. This correction is ongoing. Besides that, the two London activist voters have been manipulating the share price of ICAP – they have sold a few million ICAP shares since 14 May 2024.

This contrived selling has pushed ICAP’s share price down hence widening the NAV discount from 17.5% in mid-May 2024 to the 24.5% of the present day. The KLSE correction and manipulative selling combined make for a fantastic window of opportunity to buy ICAP shares and lock them in for the longer term.

The NYSE and NASDAQ are very frothy and have been sucking up investment funds from other markets, especially emerging ones like Malaysia. A US crash would release hundreds of billions of global funds into emerging markets and currencies like the KLSE and Ringgit and, in turn, cause those to rally.

Investors more focused on the short and medium term should position themselves with ICAP shares before these funds come flooding in. ICAP will benefit from rising stock prices, a rising NAV, and more positive investor sentiment, not to mention the most innovative dividend policy. At the moment, it provides a dividend yield of 4.1%.

The one-year return based on ICAP’s share price is nearly 12%. The three-year return based on ICAP’s share price is over 39%. Both of the impressive one- and three-year returns were in fact produced by a Malaysian stock market that was, on the whole, rather lacklustre.

In view of better times ahead and the Fund’s proven performance, i Capital rates icapital.biz Bhd as a Buy for both the shorter and longer term.

i Capital Newsletter Volume 36 Issue 18

Posted by FastMoney666 > 2 weeks ago | Report Abuse

I asked free version of AI Gemini about this analysis

"The NYSE and NASDAQ are very frothy and have been sucking up investment funds from other markets, especially emerging ones like Malaysia. A US crash would release hundreds of billions of global funds into emerging markets and currencies like the KLSE and Ringgit and, in turn, cause those to rally."

Posted by FastMoney666 > 2 weeks ago | Report Abuse

"The analysis you presented is a common perspective among some investors, but it's important to consider several factors before drawing conclusions:

Capital Flows: While it's true that a US market crash could lead to capital outflows from the US, the extent and direction of these flows are uncertain. Investors might seek safe-haven assets like gold or other developed market currencies instead of emerging markets. Additionally, the impact on emerging markets could vary depending on their individual economic conditions and attractiveness to investors.

Currency Fluctuations: A US market crash could weaken the US dollar, which might initially benefit emerging market currencies like the Ringgit. However, the overall impact on the Ringgit would depend on various factors, including Malaysia's economic fundamentals, global risk appetite, and the actions of the central bank.

Market Sentiment: Investor sentiment plays a crucial role in market movements. A US market crash could trigger a global risk-off sentiment, leading to a sell-off in emerging markets, including the KLSE. This could outweigh any potential benefits from capital inflows.

Economic Fundamentals: The performance of the KLSE and the Ringgit ultimately depends on Malaysia's economic fundamentals. A strong economy with sound policies and attractive investment opportunities would likely attract investors even during times of global uncertainty.

Time Horizon: The short-term impact of a US market crash on emerging markets could be negative, but the long-term outlook might be more positive if the crash leads to a global economic reset and a shift in investment focus towards emerging markets.

Therefore, while a US market crash could potentially benefit emerging markets like Malaysia, the actual outcome is uncertain and depends on a complex interplay of factors. It's crucial to conduct thorough research and consider various scenarios before making investment decisions.

Posted by FastMoney666 > 2 weeks ago | Report Abuse

Please note that this information is for general knowledge and informational purposes only and does not constitute financial advice. It's essential to consult with a qualified financial advisor before making any investment decisions.

Posted by ericlee18 > 2 weeks ago | Report Abuse

hey fast guy, why you pop the dream bubble.......🤑

Posted by Sslee > 2 weeks ago | Report Abuse

Just wonder has TTB know of a common economists' quip , “When America Sneezes, the rest of the world catches a cold.”?

Is TTB trying to prove he is better than all the economists in the world to come up with his own analysis "The NYSE and NASDAQ are very frothy and have been sucking up investment funds from other markets, especially emerging ones like Malaysia. A US crash would release hundreds of billions of global funds into emerging markets and currencies like the KLSE and Ringgit and, in turn, cause those to rally"?

Posted by Patient Investor > 2 weeks ago | Report Abuse

When US market crashed in 2000, 2008, 2020, Did Malaysia market went up?

If US market experience a sudden crash, it means all the big tech will be cheaper, would institution investors prefer Malaysia companies over FAANG? If they don't, it will suck more money out from Bursa to invest in US.
4 seconds ago

Posted by human > 2 weeks ago | Report Abuse

For the past few years, TTB only correct about MYR strengthening.
He is wrong about the collapse of US market in 2024 and china 2024 boom.

Posted by ZhugeLiang88 > 1 week ago | Report Abuse

TTB wrote

"Warren Buffett shared with us the virtues of patience, “We don’t get paid for activity, just for being right. As to how long we’ll wait, we’ll wait indefinitely.”

i Capital.biz Berhad 1Q2014 Report

But the fund manager of icap gets paid 1.5% of the fund's NAV, which translates to a whopping RM 7 Mil just for breathing! So, yea, TTB gets paid RM 7 mil a year to wait, and he will wait indefinitely.

Posted by guatmingsuktbD > 5 days ago | Report Abuse

哎哟这个惯老板每年呼吸都会有七百万，真是个我该学习的榜样。基金换手率和利用效率都低，基金年复合增长率可以高去哪里哦😁。