Posted by ZhugeLiang88 > 2024-03-05 16:43 | Report Abuse

@patient

Incase you missed my message:

"Doing share buy back increase overall fund exposure to portfolio holdings."

Might not be so. The fund manager can sell all stock holdings and cash proportionately. Not necessarily just use Cash. And by selling proportionately all the stocks in the portfolio and cash,
1) The NAV per share rises, and
2) The fund manager still have cash (in the same proportion) as before share buyback.

The only person loses in this is the management, since he is paid based on the fund size. And share buybacks makes the fund smaller (even if it is good to retaining shareholders).

Posted by dumbMoney > 2024-03-05 23:47 | Report Abuse

@ZhugeLiang88 Let me do the maths for you, in case some still don't understand it. Since the maximum buyback allowed is 10% of the outstanding shares, sell 10% of the existing share portfolio and buy back 10% own shares at say a 25% discount, the effective portfolio has not changed, but the cash would have increased, instead of decreased.

Posted by dumbMoney > 2024-03-07 11:30 | Report Abuse

There is always the option of keeping the bought back shares as treasury shares instead of cancelling them. Accounting wise, AUM then includes these shares, so AUM is not affected.

Posted by sense maker > 2024-03-07 11:40 | Report Abuse

Why COLIM didn’t boot out lousy Boo in order to slowly liquidate all shares and then close the funds at near market value? All shareholders will be happy that way to cash out at a proper exit price.

Posted by FastMoney666 > 2024-03-07 14:01 | Report Abuse

COL bought shares again on 4/3/2024.....price lifted from 2.80 to 2.90 but the next days people watered it down...clamoring to exit......NAV naik sikit but share price kept getting stuck......no interests from retail investors ady....😂😂

Posted by FastMoney666 > 2024-03-07 14:05 | Report Abuse

If this we were to go on....iCap soon will be like a zoombie and we can see widening of discounts again....TTB is still very quiet about the dividend thing.....what takes it so long? It's 3-4 months past AGM......still sweet talk or think we all got Alzheimer?

Posted by dumbMoney > 2024-03-07 22:24 | Report Abuse

@sensemaker Please read back on what I wrote about the possibility of liquidating the fund. Dream on!

Posted by Patient Investor > 2024-03-08 22:38 | Report Abuse

@sense maker if Boo is lousy,why COL keeps buying? where do you get the idea of "all shareholders"?

Posted by Lester Teow > 2024-03-09 09:41 | Report Abuse

TTB is not lousy, but he has selfish motive of the management fee

Posted by Patient Investor > 2024-03-09 09:52 | Report Abuse

To address selfish motives, shareholder can request a change in company constitution where fee is based on portfolio value instead of NAV.

Posted by ZhugeLiang88 > 2024-03-09 17:56 | Report Abuse

@patient

Incase you missed my message:

"Doing share buy back increase overall fund exposure to portfolio holdings."

Might not be so. The fund manager can sell all stock holdings and cash proportionately. Not necessarily just use Cash. And by selling proportionately all the stocks in the portfolio and cash,
1) The NAV per share rises, and
2) The fund manager still have cash (in the same proportion) as before share buyback.

Posted by JohnD0ugh > 2024-03-10 18:16 | Report Abuse

I expect China’s economy to expand at another healthy rate in 2024. I am certainly not in the camp that sees China’s economy peaking or in crisis. In fact, when the current reforms are over, I see China’s economy becoming stronger in the coming years.

In 2023, while China’s economic expansion was uneven, it was of high quality, and it was setting the stage for China’s economy not only to expand faster beyond 2024 but for the 2nd largest economy in the world to be on a much stronger footing.

As I wrote in the iconic i Capital publication, “with wise and disciplined leadership, the new Chinese economy will be even more resilient, more robust and dynamic than before.” Like it or not, what happens to China is important to Malaysia.

In 2022, China remained as Malaysia's largest trading partner for 14 consecutive years with 17.1% share of Malaysia’s total trade, expanding by 15.6% to RM487.13 billion compared with 2021. Exports jumped 9.4% to RM210.62 billion and were the highest value ever recorded. China was also Malaysia’s largest import source, accounting for 21.3% of total imports, and jumped 20.7% to RM276.5 billion.

In the 2023 Investor Day of icapital.biz Berhad held on 5th Nov, I gave a rare presentation on Malaysia’s longer term investment outlook. My talk was titled “Why Now is the Right Time to Invest in Malaysia.”

Other than China’s economy propelling ahead, the political stability that Malaysia has been enjoying recently will allow the country to address her many structural problems.

In the midst of the pandemic recovery, geopolitical tensions, political turmoil, soaring inflation, volatile exchange rates and extreme climate, the future seems like a scary place to be in.

My simple advice then was that now is the right time to invest in Malaysia and that icapital.biz Berhad deserve a place in portfolio of investors. I continue to maintain that view.


i Capital.biz Berhad 2Q2024 Report

Posted by EngineeringProfit > 2024-03-11 04:40 | Report Abuse

Yup, still holding my tickets here

Posted by Patient Investor > 2024-03-11 08:11 | Report Abuse

Buying icap now is like buying the stocks in their portfolio at 25-30% discount.
that includes KGB, SAM, PADINI, Capital-A.
As long you have business owner mindset instead of traders.

Posted by ZhugeLiang88 > 2024-03-11 19:12 | Report Abuse

and share buyback now is using 70 to 75 cents to own a dollar of assets that includes KGB, SAM, PADINI, Capital-A, as long as you have basic fundamentals in math and a basic IQ of 100 points.

Posted by Patient Investor > 2024-03-11 22:02 | Report Abuse

@zhugeliang
we are not the fund manager, so just stick with what you can instead of wish. If you are not happy with the Fund manager, go to AGM to call for a vote.

Posted by dumbMoney > 2024-03-13 16:59 | Report Abuse

There is a very simple explanation on why most CEFs trade at a discount. If you assemble an investment portfolio yourself, the returns are all yours. But if you hire a fund manager to manage the same portfolio, you pay him a profit share off the top. So a theoretical returns of say 7.5% p.a. becomes 6% after a 1.5% management fee, your theoretical value of the portfolio after fees becomes 6/7.5 or a 20% discount. The easiest way to overcome the discount is for the manager to then produce an alpha of 1.5% to cancel the drag of his fee on the portfolio valuation.

Posted by Patient Investor > 2024-03-14 07:10 | Report Abuse

For iCap shareholders who want to sell, take advantage of the situation by queuing at high price as close as possible to NAV, or even at a premium.

Why?
1. Despite being redflagged on governance and lousy fund management/policy in i3 forum on daily basis, COL is still buying.
2. Since COL keeps buying even the row with the fund manner, it means they need to buy, so take advantage when demand is there.
3. If someone is bidding for the rights to slaughter our goose and if lucky we get a fair portion of the egg but none after that, wont you want a premium to it? So never sell at a discount price.

Posted by EngineeringProfit > 2024-03-14 08:16 | Report Abuse

Of course- not! KLSE index is uptrending to hit 1888 before next GE

Posted by JohnD0ugh > 2024-03-17 13:51 | Report Abuse

In the last quarterly commentary, I explained that despite a very tough and rough environment, icapital.biz Berhad has achieved a very strong performance with its NAV and share price appreciating handsomely. This strong performance has continued since then.

Over a 5-year period, your Fund’s share price has outperformed the gain of its NAV and the plunge in the MSCI Malaysia index. Your Fund’s share price jumped 21.59%, way ahead of the 16.88% rise in its NAV and the 19.88% plunge in the bellwether index.

What shareowners should acknowledge is the fact that the discount of your Fund’s share price has narrowed very substantially from a high of around 40% to only about 20% recently. This did not happen by accident.
It is the result of the hard work and heart work put in over the years by Capital Dynamics and myself as the Designated Person of icapital.biz Berhad.

The substantial narrowing of discount highlights one of the most important benefits of investing in a well-managed closed-end fund like icapital.biz Berhad. It allows an investor to enjoy 2 sources of returns – one from the rise in its NAV and the other, from the discount narrowing.

The strong performance of icapital.biz Berhad is a result of your Fund Manager and Designated Person patiently and deliberately sticking to its time-proven Bamboo value investing philosophy, despite being continuously harassed by a few large foreign wrecking balls.

Although icapital.biz Berhad still has around RM109 million cash, it has been investing more with its cash assets falling steadily.

With Capital Dynamics’ time-proven value investing philosophy, and icapital.biz Berhad still undervalued, it is actually an excellent time to invest more in this truly low-risk, high-return investment. A rise of 21.59% in its share price as the stock market plunges nearly 20% is indeed low risk and high return.


i Capital.biz Berhad 2Q2024 Report

Posted by Sslee > 2024-03-17 14:28 | Report Abuse

Anyone know what is bellwether index?
And where did icapital get the information 19.88% plunge in the bellwether index?
Or the stock market plunges nearly 20%?

Posted by Kevin Tam > 2024-03-19 21:12 | Report Abuse

Not everyone here like sense n the guy follows the COL proposal on share buyback to lift the share price of Icap; Icap has performed quite badly in 2018-2020 maybe due to high cash level plus more than 20% gap below NAV. In these 2 year plus, the share prices n NAV have continue to climb up, with this positive trend, maybe after 9-12 months, the NAV can reach 4.50 or even higher. Short term investors n those think TTB is not a good fund manager always can sell most of the shares of Icap but for medium term investors, as long as NAV n share prices are growing much faster than EPF return rate , then it is one of the better choose for investor in this country.

Posted by Patient Investor > 2024-03-20 11:12 | Report Abuse

@Sslee you can google for bellwether index instead asking here. would that be faster?

Posted by Sslee > 2024-03-20 12:15 | Report Abuse

Is S&P 500 index considered as bellwether index?
If so did S&P 500 plunges nearly 20%?

If not which index is considered as bellwether index? and please tell me where did icapital get this data "19.88% plunge in the bellwether index"

Over a 5-year period, your Fund’s share price has outperformed the gain of its NAV and the plunge in the MSCI Malaysia index. Your Fund’s share price jumped 21.59%, way ahead of the 16.88% rise in its NAV and the 19.88% plunge in the bellwether index.

Posted by metaverse > 2024-03-20 12:16 | Report Abuse

ICAP fund (2.96 MYR) was listed on YR2005 just in time to catch the KLCI high-speed-rail took off from around 900 (YR2005) to 1800 (YR2014) or a return of 100% due to our boss's (YR2009–2018) pump priming economic model. Warren Buffet said "only when the tide goes out do you learn who has been swimming naked" so the impressive return of the ICAP fund during the period from YR2005-2014 was statistically speaking fueled by the tidal wave effect so we zoom in further to most recent ten years (YR2013-2023) we will see more evidence that when the high tide receded ICAP fund actually will only give you around 2.5% return per year which statistically speaking underperformed EPF but of course this is not a red flag but just that those who enter at this level should not have too high expectation especially TTB is waiting for KLCI to hit 3000 level due to China's recovery but using Japan as a guide it will take around 20-30 years to clean up the twin bubbles of property crash and debt crash. If we see ICAP fund's YR2023 audited portfolio the result actually is not that impressive especially those investments losses associated with BIOHLDG (-RM7.8m) and Parkson (-RM20m). It is not easy to duplicate Warren Buffet's value investing in Bursa as most of Warren Buffet's stock picks are actually those market leaders with the ability to "control" the global markets and enormous capability to generate free cashflow for Warren Buffer to reinvest and grow his portfolio at 20% per year.

Posted by Patient Investor > 2024-03-21 14:43 | Report Abuse

@sslee i think the bellwether index plunge refers to KLSE level 5 years ago which is around 1800 points.

Posted by Patient Investor > 2024-03-21 14:44 | Report Abuse

For iCap shareholders who want to sell, take advantage of the situation by queuing at high price as close as possible to NAV, or even at a premium.

Why?
1. Despite being redflagged on governance and lousy fund management/policy in i3 forum on daily basis, COL is still buying.
2. Since COL keeps buying even the row with the fund manner, it means they need to buy, so take advantage when demand is there.
3. If someone is bidding for the rights to slaughter our goose and if lucky we get a fair portion of the egg but none after that, wont you want a premium to it? So never sell at a discount price.

Posted by Patient Investor > 2024-03-22 10:30 | Report Abuse

Hope everyone is happy now, COL, Dumb, ICAP supporters.
:)

Posted by EngineeringProfit > 2024-03-22 10:33 | Report Abuse

Cheers!! Park 1 mil here- no fears

Posted by Patient Investor > 2024-03-22 11:07 | Report Abuse

@engineeringprofit can belanja me wagyu meal?

Posted by JohnD0ugh > 2024-03-24 17:40 | Report Abuse

In a bullish Malaysian stock market, what is the best stock to invest in ?

icapital.biz Bhd is the best stock to invest in - A Low Risk, High Return stock. Why?

First, the performance of icapital.biz Bhd has been spectacular. Even when measured in US$ terms.

On a one-year basis, from 1 Mar 2023 to 29 Feb 2024, the share price of icapitalbiz Bhd jumped 34.07%, while the MSCI Malaysia fell 1.1%. In the same period, the S&P 500 rose only 28.36%. The NASDAQ Composite with Nvidia, Meta, etc rose 40%.

On a three-year basis, from 1 Mar 2021 to 29 Feb 2024, the share price of icapital.biz Bhd jumped 29.78%, while the MSCI Malaysia plunged 20.41%. In the same period, the S&P 500 rose 33.7% but the NASDAQ Composite with Nvidia, Meta, etc rose only 21.98%.

In short, on a one-year or 3-year comparison, icapital.biz Bhd's share price has performed better than either the S&P500 or NASDAQ Composite in US$ terms.

What about the future performance of icapital.biz Bhd ?

icapital.biz Bhd will perform strongly in NAV and share price. Why? The KLSE will be rallying, its NAV and share price will rise together, and there will be bullish investor sentiment. Cash holdings of icapital.biz Bhd has fallen substantially in recent years. In addition, icapital.biz Bhd now offers the Most Innovative Dividend Policy In The World.

With the KLSE expected to rally over the next 3 - 5 years, in such a situation, ICAP's share price will jump. Why?
icapital.biz Bhd's NAV will more than double in 5 years - in the past, icapital.biz Bhd's NAV has outperformed the KLCI by a big margin. In such a bullish market, ICAPs discount will also disappear and a premium will arise.

What will be the target price of icapital.biz Bhd 5 years from now?

[1]. Assume its NAV doubling from RM3.93 - to around RM7.86 in 5 years. If its share price equals the NAV of RM7.86 then, this will be a rise of RM4.81 or a 158% rise from RM3.05.

If its share price then trades at a 10% premium to NAV, as the KLSE will be in a bullish mood, it will equal to RM8.65 - a rise of RM5.60 or 184% from RM3.05.

[2]. The NAV of icapital.biz Bhd has in the past outperformed the KLSE by 6 percentage points per annum. So, if the KLCI doubles in 5 years, the NAV of icapital.biz Bhd in 5 years' time will be RM10.19 Assume its share price trades at a 10% premium to NAV, its share price will trade at RM11.21 - a rise of RM8.16 or 267% from RM3.05.

The share price of icapital.biz Bhd in 5 years' time will double to either RM7.86 or rally further to RM11.21.
The above performance has not included the contribution from the Dividend Policy of icapital.biz Berhad. Taking this into account will see even higher returns.

Briefly, the Dividend Policy of icapital.biz Berhad is shown below.

The innovative Dividend Policy of ICAP is an aggregate of:
Base Rate: 1% of NAV per share.
Top-up Rate: 8% of the difference between the share price and NAV per share.
The NAV per share = average of 4 weekly NAVs before dividend payout date.
The share price = volume-weighted average price (VWAP) over 4 weeks before dividend payout date.

The Base Rate dividend now is 1% of its RM3.93 NAV = 3.93 sen. In 5 years' time, with a NAV of RM10.19, the Base Rate dividend will jump to 10.19 sen.


i Capital Newsletter Volume 35 Issue 29

Posted by Patient Investor > 2024-03-26 08:37 | Report Abuse

Congrats to the team winning over POP investment

Posted by FastMoney666 > 2024-03-26 09:07 | Report Abuse

Congrats?😨if COL cannot buy or no incentive to buy and forced to sell, what will happen to the share price? buy and hold forever?

Posted by FastMoney666 > 2024-03-26 09:09 | Report Abuse

Those have no positions or plan to increase position, think again. Do you still buy into TTB iCap dream, share price $ 8-11? Good luck!

Posted by Patient Investor > 2024-03-26 15:33 | Report Abuse

If COL keeps buying into TTB iCap dream, why shouldn't we?
In fact icap share price performance is boosting COL own portfolio performance, provide them a beautiful story to feed to their institutional investors.

Posted by human > 2024-03-27 16:16 | Report Abuse

TTB mentioned that COL buying cause the price discount. If after COL stop buying then price discount reduces or go premium that will proof him right.

Posted by JunHoHoHoHo > 2024-03-27 17:24 | Report Abuse

That's why iCap is able to attract the funds from London 😁

Posted by Kevin Tam > 2024-03-27 20:42 | Report Abuse

With the performance of ICAP in past 12-18 months, the NAV can reach 4.40-4.50 in 6 months time (provided SP 500 maintains n no collapse) n more retail investors n COL continue to buying in, the gap should be able to narrow to just 10-13% in next few months....Those very pessimistic about ICAP, it is strange that they r still holding ICAP shares or even more strange that they r not holding any shares but come here to talk bad about Icap...

Posted by EngineeringProfit > 2024-03-27 20:44 | Report Abuse

I 100% with Icap- my favourite. Averaging up- no fears

Posted by FastMoney666 > 2024-03-28 10:45 | Report Abuse

Further to the announcements dated 3 November 2023, 16 November 2023, 17 January 2024 and 4 March 2024 (“Announcements”), unless otherwise defined, the definitions and terms used as set out in the Announcements shall apply herein.



The Board of Directors of the Fund wishes to announce that the Judge of the Kuala Lumpur High Court had dismissed Pop Investment Limited ("Plaintiff")’s suit on the Originating Summons No. WA-24NCC-581-10/2023 (“the OS”).



The Fund will make further announcement on the developments of the above matter as and when is necessary.



This announcement is dated 25 March 2024.

https://www.bursamalaysia.com/market_information/announcements/company_announcement/announcement_details?ann_id=3433355

Posted by FastMoney666 > 2024-03-28 10:48 | Report Abuse

To many may still thinking current situation is status quo, the implication of Pop Investment lost the case will have the implication of Foreign ownership may be capped at 20%....those still thinking COL or foreign investors will continue to buy, you may need to digest this latest development.

TTB did not publish this in a high profile manners is a smart thing to do. Else when panic sets in all rushing out at the same exit door, iCap price will undo all the advances.

Posted by FastMoney666 > 2024-03-28 10:54 | Report Abuse

One of the things that may directly impact COL will be their voting rights....even they have more than 20%....their voting rights will be clipped. If I'm in COL shoes, I certainly have no incentives to buy further.

Posted by human > 2024-03-28 15:36 | Report Abuse

This fund never targeted foreign institutional fund.
Ttb mentioned Col buying causes the discount, he is not proven wrong.
If Col stop buying then discount reduces or go premium will proof him right.
Majority of retail investors at AGM boo when Col mentioned, the sentiment show Col stop buying or exit will be cheered.

Posted by FastMoney666 > 2024-03-28 15:53 | Report Abuse

Time will tell............:)

See 22/3 189 k shares bought by COL and that large long green candle......for now many iCap shareholders that entered at lower prices are rejoicing.

Hope more water fish will take the bite.....

Posted by Patient Investor > 2024-03-29 17:41 | Report Abuse

I bet COL will keeps buying even the 20% cap on voting rights is implemented.
Just work out how much COL make for the past one year will clearly see this.

Though the fund manager make it clear the fund is not intended for institution fund, but if the performance prevail, local institution will buy in.

Posted by Integrity. Intelligent. Industrious. 3iii (iiinvestsmart)$€£¥ > 2024-03-30 12:59 | Report Abuse

I am rumour mongering here. Perhaps DLady's recent price changes had something to do with this counter. ????

Posted by JohnD0ugh > 2024-03-31 18:37 | Report Abuse

“To solve a problem, you need to remove the cause, not the symptom," said Liezi. Apart from Laozi and Zhuangzi, Liezi was also one of the most significant Daoist thinkers who lived in ancient China.

Solving a problem demands handling the root cause and not just the symptoms; the NAV discount is just a symptom of the underlying problem that your Fund needs the right type of shareowners, which it had for many years before the wrong type came in and caused the NAV discount to surface and persist.

By increasing your Fund's individual share ownership, we are addressing the root cause and finding a more lasting solution. Once again, do not let any investor who refuses to think and act like a share owner destroy a precious gem like your Fund.


i Capital.biz Berhad 2Q2023 Report

Posted by Sslee > 2024-03-31 21:03 | Report Abuse

神秀说：“身是菩提树，心如明镜台，时时勤拂拭，勿使惹尘埃。”
惠能说：“菩提本无树，明镜亦非台，本来无一物，何处惹尘埃。”

Posted by Sslee > 2024-03-31 21:15 | Report Abuse

Student: To solve the problem need to remove the root cause (remove the wrong type of shareholders)

Master: To solve the problem need to remove the root cause (remove the stagnant NAV). Need to increase NAV at faster rate.

Which is which, NAV or wrong type of shareholders the symptom or the root cause?

Posted by Patient Investor > 2024-04-01 07:38 | Report Abuse

SSlee, if you know the story, 惠能 left the temple right after he received the baton.

If apply what 惠能 says, When we leave i3 forum, we wont have to deal with all the arguments in here.