Posted by chang21 > 2013-12-18 09:40 | Report Abuse

If you can keep for 1 to 2 years it will touch close to RM2.00

Posted by tkteoh80 > 2013-12-18 09:49 | Report Abuse

Thanks cytew and chang21 for ur generous guidance :)

Let's huat ahh with this baby!

Posted by chang21 > 2013-12-18 09:55 | Report Abuse

Even today I bought again .... this will be the baby for CNY.

Posted by tkteoh80 > 2013-12-18 09:58 | Report Abuse

Still a baby not yet full month。
Be patient, she needs time to grow up :)

Posted by passerby > 2013-12-18 10:05 | Report Abuse

it should be 2 ways equation....the premium level can be reached by lowering the underlying price as well....

someone just warned the risk yesterday if i'm not mistaken

Posted by tkteoh80 > 2013-12-18 10:07 | Report Abuse

I am preparing 2 basket to catch the falling baby dumped by others,at 0.85 and 0.75, and another for when her mother retrace to 3.96, if that happens.

Posted by Tiong Yong Soon > 2013-12-18 10:09 | Report Abuse

It's going to be hard fall this time around...

Posted by iafx > 2013-12-18 10:11 | Report Abuse

premium still above 30%

Posted by Icon8888 > 2013-12-18 10:12 | Report Abuse

we all know that the warrant is sexy (10 years tenure, gearing of 6 times). One of the question frequently asked by forumners is "will BIMB go up over the next 10 year ? how much can it go up ?"

In order to answer that question, I took at look at BIMB share price over past three years.

In mid December 2010 (3 years before today). BIMB was trading at 96 sen (yes, you read it correctly).

during the 3 year period, it declared total dividend amounting to approximately 26 sen (3.5+7.25+3.5+3.5+5+3.5). An investor who bought BIMB in December 2010 would be sitting on RM4.30 + RM0.26 = RM4.56. Gain of 375%.

I am not saying that history will definitely repeat itself. But there should be plenty of upside based on the following factors (1) past experience that they can deliver; (2) BIMB is one of the smallest bank in Malaysia with net profit of RM500m only (ranked same as AFG), hence plenty of room to grow, (3) the government's effort to promote Islamic banking

Let's be conservative, just imagine BIMB went up 100% in 3 to 5 years (instead of 375% in past three years, which might not happen again.), the mother share would be RM8.60.

Warrants price = RM8.60 - RM4.70 = RM3.90.

based on 89 sen now, that would be a gain of 333%

I leave it to you to decide whether it makes sense to invest in BIMB-Wa or not

Posted by tshwong > 2013-12-18 10:13 | Report Abuse

@tkteo80, your basket will soon to being filled. Got to borrow tankers to uploading it.

Posted by iafx > 2013-12-18 10:18 | Report Abuse

icon, in that sense, if u do a comparison to mbsb, it beats bimb down to lokang straight, does that mean mbsb a super buy? best of all, mbsb is not YET a bank :D

Posted by chang21 > 2013-12-18 10:21 | Report Abuse

Icon8888 ...... Islamic Banking is on the cards for B/Islam it will take time for this to be realized ..... it will definitely happen .... when your guess will be as good as mine........ BI have to meet certain criteria before this can happen. It will definitely appreciate more in years to come. You must be an "Informed Investor".

Posted by iafx > 2013-12-18 10:23 | Report Abuse

all major banks in m'sia provide Islamic banking services, this service is not exclusive to bimb, even Citibank, hsbc etc doing the same, although less variant (but global scale).

Posted by bowman > 2013-12-18 10:24 | Report Abuse

Thanks for sharing Chang21. If my guess is correct, it may been sooner. Compare performance of BI with the rest over the last one year and hence

Posted by Icon8888 > 2013-12-18 10:25 | Report Abuse

iafx, you are right (actually, half right). BIMB not necessarily rank better than MBSB. So why not put your money in MBSB instead ?

If you think about it, there is nothing great about BIMB. I wouldn't put my money in BIMB mother share as PE wise, it is not super cheap (10 to 12 times, depends on how you count it) (but not highly over valued as well)

the whole thing is interesting because of the warrants. BIMB-Wa has gearing of 6 times. MBSB-Wa gearing is 1.7 times only.

hence the play is BIMB, instead of MBSB

I hope I answer your question

Posted by yangkwang > 2013-12-18 10:29 | Report Abuse

warrant showing sign of weakness, will fall any time soon
since shot up more than 180%! Better get out n take profit!
becautious man! Pump n dump in play!

Posted by iafx > 2013-12-18 10:38 | Report Abuse

icon, no worry, am not seeking any answer from u but juz share of tot, so no right or wrong, the market speaks for itself. coming back to the subject, low warrant price leverage on asset a guarantee of good return? obviously no if not Cx fly to moon already. bcos of 10 years? 1.5 days also cannot wait already :D

last one year RoE bimb (13%), mbsb (30%), maybank (14%), affin (10%), hlb (14%), cimb (15%), ammb (14%), pbb (21%)

bimb is a lucky bank to be in a lucky country like m'sia.

Posted by cancincun > 2013-12-18 10:40 | Report Abuse

yes..u are right yangkwang

Posted by Icon8888 > 2013-12-18 10:50 | Report Abuse

iafx no worry. welcome your view. It s always good to have a healthy debate.

my view not always correct. Screwed up few times before

Posted by chang21 > 2013-12-18 10:52 | Report Abuse

Although most major bank provide Islamic Banking but only 2 have the license .......... you must go behind the scene to see the bigger picture. It started a few years back and this will accelerate soon after .....

Posted by iafx > 2013-12-18 10:54 | Report Abuse

it looks like the max premium market can accept is 30% for this wa, from this point onward will depends on mother share movement. let's c...

Posted by Icon8888 > 2013-12-18 10:55 | Report Abuse

ya mother share is key

Posted by NKN1 > 2013-12-18 11:05 | Report Abuse

BIMB-WA is different in the sense the major shareholder is LTH.

LTH always looking for investable securities that provide consistent decent yield.

LTH problem is that there is not many options when it comes to shariah compliant investable instruments

LTH will buy and support BIMB-WA for the dividend alone. Dont think it will fall significantly from this level. May be a bit to clear contra players but give it 1-2 weeks, it will go up above RM 1

Posted by passerby > 2013-12-18 11:07 | Report Abuse

hello friend....WA not entitle to any dividend payment:)

Posted by NKN1 > 2013-12-18 11:09 | Report Abuse

i want to say interest but since this is islamic instrument for lack of a better word i call it dividends.

Posted by NKN1 > 2013-12-18 11:10 | Report Abuse

unless bimb-wa doesnt come with interest hahaha

Posted by iafx > 2013-12-18 11:12 | Report Abuse

WA doesn't pay interest either, this is not loan stock.

Posted by leeyh > 2013-12-18 11:17 | Report Abuse

Thank you again Mr Cytew. 经一事，长一智.Really appreciate it.

Posted by NKN1 > 2013-12-18 11:28 | Report Abuse

iafx sorry my bad...guess more incentive for LTH to jack up the price hihi

Posted by ijanto > 2013-12-18 11:35 | Report Abuse

LTH will support mother.. hopefully mother will fly after fed meeting...

Posted by derrickinvestor > 2013-12-18 11:36 | Report Abuse

hi, what is LTH?

Posted by chris88 > 2013-12-18 11:39 | Report Abuse

LTH-I think Lembaga Tabung Haji..major shareholder of BIMB Holdings

Posted by chris88 > 2013-12-18 11:41 | Report Abuse

malaysian warrants do not out dividends..

Posted by Syed Abd Kadir Almushayakh > 2013-12-18 11:59 | Report Abuse

derrickinvestor,LTH is (lembaga tabung haji)- haj authority funds.. vry stable fund

Posted by n00bpelabur > 2013-12-18 12:05 | Report Abuse

NKN1 dude warrant did not get dividend. Heck even large institutional investor such as LTH or unit trust fund NOT allowed to hold asset in warrant because the high risk in nature of warrant and warrant did not provide DIVIDEND. In large institutional fund they cannot take high stock that high risk in nature. That is why when first day bimb-wa trading large instutional fund try to dump the warrant in the open market until it as low to 0.30. But next day retail investor know that 0.30 is to low in premium for warrant that have maturity date of 10 YEARS! Then goreng session start. But large institutional keep dump. If warrant have dividend heck it is better just buy warrant than mother share because warrant have better upside gain and if warrant get dividend it will be income security which is is profitable than mother share. That is why warrant did not get dividend.

Posted by derrickinvestor > 2013-12-18 12:06 | Report Abuse

@syed kenapa turun since a stable fund?

Posted by derrickinvestor > 2013-12-18 12:10 | Report Abuse

@n00bpelabur so bimb wa can u turn back to 0.90? sakit jiwa tengok merah merah ni

Posted by Syed Abd Kadir Almushayakh > 2013-12-18 12:20 | Report Abuse

@derrickinvestor, Bimb repositioning itself ,remember..dont loose sight

Posted by n00bpelabur > 2013-12-18 12:25 | Report Abuse

derrickinvestor I do not sufficient fund to goreng back to 0.9. Usually I buy mother share. I buy warrant or call warrant when I SURELY knew what going to happen to the company next few weeks because of new information. I have been hold warrant like inari-wa as low as 0.4. Now inari-wa have increase to 1. Bimb-wa down because mother share also down. Bimb-wa I did not touch because I knew large institutional gonna dump all their warrant. Actually when first day it touch 0.3 I was happy to buy but suddenly it shoot up to 0.8. Very large increase without valid justification from mother share. if possible try to hold for LONG TERM because warrrant need to pass exercise price of 4.72. Try hold until that price then I believe the price of warrant could reach 1 to 1.2 as mention by ICON8888. That is why when play warrant don't play CONTRA. warrant is leverage instrument and your up your leverage by contra. By that definition is not investing for long term but trading for short term gain which is high risk.

Posted by Sheridan Sulik Suleiman > 2013-12-18 12:47 | Report Abuse

kene goreng ke???...good stock maa....buy and keep ...1month or 1 year later then you check...my THHE bought 36sen in 2011..todaay i terkezut see 90sens plus...hehehehehe...maybe i let BIMB Wa at 2.. hhehhehehe

Posted by derrickinvestor > 2013-12-18 13:12 | Report Abuse

can hold it... not a problem.... if it is 2-3 months but take years... then my cash cant flow already.... hehehehe

Posted by derrickinvestor > 2013-12-18 13:13 | Report Abuse

btw thanks for sharing syed and noobpelabur

Posted by chang21 > 2013-12-18 13:18 | Report Abuse

No need to take years give it a year you can see a substantial gain ...... if you take the price at 0.86cents. You stand to gain at least 50% if you hold for another year.

Posted by derrickinvestor > 2013-12-18 13:36 | Report Abuse

the problem is I stuck at 0.89.... not 0.86...

Posted by chris88 > 2013-12-18 13:43 | Report Abuse

now at 85 sen..

Posted by chang21 > 2013-12-18 13:53 | Report Abuse

I bought at 0.90 ...... so if the price goes up to Rm1.20 in say 3-6 months time I gain 0.30cents which is 33%. You stand to gain more if your price is 0.89 so what's the problem ..... the bottom line you still stand to gain. WA is strictly not for contra players, and those who cannot hold on to it.

Posted by ktjaven > 2013-12-18 13:58 | Report Abuse

Today is someway bright blood red in most counters.... how gruesome

Posted by derrickinvestor > 2013-12-18 14:00 | Report Abuse

okay... okay..... as long as it can move up within months.... I will gladly to collect more.... hen I have enough fund.... I heard some caller in this forum ask to run becoz it will chop like knife.... that's y I got stressed up

Posted by Noraini Ismail > 2013-12-18 14:09 | Report Abuse

Derrick, I prompt you to have a look @ BIMB wa on Monday night 16/12. Price @ 0.78
How come you get 0.86 yesterday as opening gap up was 0.805.
I swing 3 times yesterday .....

Posted by jennylee1382 > 2013-12-18 14:14 | Report Abuse

Raja Kamil
what is the today Resistant and support