Close Enh Ii Share Discussion Threads

[davebowler] 15/4/2011 14:30

World Bank: Food prices have entered the 'danger zone'



Philip Aldrick
London Telegraph
April 15, 2011

Food prices have entered the "danger zone", threatening to condemn a generation to extreme poverty and malnutrition, the World Bank has warned.

Robert Zoellick, World Bank president, said food prices are at "a tipping point", having risen 36pc in the last year to levels close to their 2008 peak. The rising cost of food has been much more dramatic in low-income countries, pushing 44m people into poverty since June last year.

Another 10pc rise in food prices would push 10m into extreme poverty, defined as an effective income of less than $1.25 a day. Already, the world's poor number 1.2bn.

Mr Zoellick said he saw no short term reversal in the damaging effect of food inflation, which is felt much more in the developing world as packaging and distribution accounts for a far larger proportion of the cost in the advanced economies.

[praipus] 07/3/2011 16:23

Inv Obj & Perf Update

7 March 2011

Close Enhanced Commodities Fund II Limited (the "Company")

The investment objective of the Company is to provide to shareholders, on the Redemption Date in June 2013, a capital amount of 100 pence per Share and a growth amount equal to two times any percentage increase in the End Value* of the Commodity Portfolio relative to its Start Value. There are currently 45,250,000 Shares in issue.

The Commodity Portfolio is a notional portfolio of commodities comprising by value on the Start Date, being 31 May 2007, one-eighth of each of oil, copper, aluminium, zinc, nickel, sugar, corn and wheat.

Based on the values of the commodities as at 28 February 2011, and assuming these values were to remain unchanged through to the end of the life of the Company, the redemption proceeds per Share on the Redemption Date would be 199 pence( ) . This is not a forecast nor is it a reflection of the net asset value per Share and takes no account of any unforeseen circumstances and is provided for informational purposes only and should not be relied upon for investment decisions.

[davebowler] 02/3/2011 12:38

17 February 2011

Close Enhanced Commodities Fund II Limited (the "Company")

The investment objective of the Company is to provide to shareholders, on the Redemption Date in June 2013, a capital amount of 100 pence per Share and a growth amount equal to two times any percentage increase in the End Value* of the Commodity Portfolio relative to its Start Value. There are currently 45,250,000 Shares in issue.

The Commodity Portfolio is a notional portfolio of commodities comprising by value on the Start Date, being 31 May 2007, one-eighth of each of oil, copper, aluminium, zinc, nickel, sugar, corn and wheat.

Based on the values of the commodities as at 31 January 2011, and assuming these values were to remain unchanged through to the end of the life of the Company, the redemption proceeds per Share on the Redemption Date would be 195 pence( ) . This is not a forecast nor is it a reflection of the net asset value per Share and takes no account of any unforeseen circumstances and is provided for informational purposes only and should not be relied upon for investment decisions.

[mangal] 03/2/2011 15:55

NAV around 133p. The recent rise in sugar has pushed it along nicely. sugar now constitutes more than a third of the portfolio.

[praipus] 01/2/2011 18:52

Agri doing better than gold!

Weiss have a holding here so I've added CED2 to the holdings list in post 3 of the thread.

[davebowler] 12/1/2011 16:40

Based on the values of the commodities as at 31 December 2010, and assuming these values were to remain unchanged through to the end of the life of the Company, the redemption proceeds per Share on the Redemption Date would be 183.00 pence . This is not a forecast nor is it a reflection of the net asset value per Share and takes no account of any unforeseen circumstances and is provided for informational purposes only and should not be relied upon for investment decisions.


As at
Commodity Start Value 31 December 2010
Brent Crude Oil $68.04 $94.75
Aluminium $2,733.50 $2,461.00
Copper $7,440.50 $9,739.50
Nickel $50,900.00 $24,960.00
Zinc $3,685.50 $2,432.50
Corn 390.25c 629.00c
Sugar 9.34c 32.12c
Wheat 517.00c 794.25c
Commodity Portfolio
= 100.00% 141.74%

[praipus] 10/12/2010 09:26

Still here erstwhile? Any thoughts on DCL?

[praipus] 23/11/2010 15:19

Thanks, so credit risk reduced "theoretically", political risk increased...

Do you track the credit ratings on the debt portfolio? If so is there an easy way to do so online?

[praipus] 23/11/2010 12:21

Has the Irish situation made these any safer?

[praipus] 18/11/2010 16:45

What's driving food prices?3:07 PM Javier Blas, commodities editor, explains why the UN's Food and Agriculture Organisation are giving the global food market 'critical' status, and considers what must be done to stave off a repeat of the 2007/2008 crisis. (6m 37sec)

[sleepy] 09/11/2010 22:22

Does that mean that they rank equally with depositors in the banks?

[sleepy] 09/11/2010 12:40

Thanks Erstwhile. How senior is the debt that CED2 holds?

[davebowler] 09/11/2010 11:45

I calculate GRY of about 15% to June 13, so investors must be wary of the counterparty exposure.

[sleepy] 09/11/2010 11:31

Erstwhile - thank you for your very helpful posts. Could you clarify something for me pls. In the example above, if none of the banks repaid CED2 would shareholders still receive the 74.2p profit?