Resources Investment Trust Share Discussion Threads

[bionicdog] 23/5/2007 12:08

I do hold some EEN anyway , unfortunately.

[bobobob5] 23/5/2007 11:49

bionicdog: Emerald Energy EEN (and their 50% partner in Syria, Gulfsands Petroleum GPX) have very recently struck oil in Syria, their KE-1 well is being tested as we speak. The president of Gulfsands Syria made some very positive noises to 'Syriasteps' recently about this well, and the companies announced last Friday that they are starting another well on the same prospect early next month. Anyone holding large large amounts of stock in these companies is aware of the significance, Evolution said very recently that a positive result could add £1 to the Emerald price. But I don't know if REI still hold their considerable # of EEN, or if they've sold recently. bob

imho DYOR etc

[bionicdog] 22/3/2007 08:24

I was able to sell my entire holding for 240p as my broker lumped all of their clients in together. Keeping an eye open for a re-entry point for maybe half of the money.

[bionicdog] 10/1/2007 16:02

Good news today , but very hard to scan through the RNS without reading it as "Walkers Crisps".

[frizzers] 16/11/2006 13:17

Well, sorry to abandon you guys. This was a great trust. But I sold the last of mine today.

[skyship] 10/11/2006 17:40

Anyone have the link to all of REI's holdings? It has been suggested elsewhere that they have a large holding in BMG. Personally I think these forced sales may well throw up one or two buying opportunities, BMG being just one such....

[lizafl] 08/11/2006 09:37

No. Their website is shockingly out of date. The top ten holdings have changed quite a bit from those in the header. Here's the list of 3 October. I see that 4% is in gilts - is that the start of the liquidation of assets, or is it because they couldn't see any better investments at the time?

Company Value # % of portfolio

ECU Silver Mining Inc 4,759,336 9.4%
Weatherly International Plc 3,690,000 7.3%
Max Petroleum Plc 3,612,000 7.1%
Emerald Energy Plc 2,721,699 5.4%
Summit Resources Limited 2,492,909 4.9%
Yamana Gold Inc 2,485,605 4.9%
UK Treasury 7.5% 07.12.2006 2,008,117 4.0%
Great Panther Resources 1,670,645 3.3%
Niko Resources Ltd 1,607,486 3.2%
Paladin Resources 1,606,208 3.2%

Total #26,654,005 52.6%

[frizzers] 07/11/2006 11:54

Anyone got a latest on this?

[frizzers] 30/10/2006 00:12

Yep, that's the one liz

[lizafl] 27/10/2006 17:07

Thanks for the pointer about the forthcoming liquidation. I can't get your links to work - is this what you meant?

[frizzers] 26/10/2006 10:44

They're currently winding up this fund and returning cash to shareholders. Should take about 6 months.



return will be at NAV - currently 238 - - but if they do liquidate it will put pressure on price of shares they do hold. Broker seems to think this would be done gradually so as not to affect price.

'Another move up in the mining sector will override anything anyway'.

[frizzers] 26/10/2006 10:02

202 today, but spread 199 to 206. The rip-off merchants strike again.

[Abuse team] 18/9/2006 10:28

Post removed by ADVFN

[tuffbet] 08/6/2006 16:44

It is said that good investors are capable of changing their minds when circumstances change . This looks like more than a normal market correction to me so following their example I am out until I see where this all settles down - good luck to everyone it might be a very bumpy ride America looks more and more like an economic disaster waiting to happen and it might just be happening right now - I am not hanging around to find out for certain

[tuffbet] 24/5/2006 10:32

NAV 252 today

My expectation is that as the volatility of the equity markets increases and the Dollar continues to fall Gold will rise strongly again as a safe haven. Just my opinion but nothing I have seen in the last few days could convince me that the long term up trend in commodities ,especially minerals will not remain in place -it's just a question for REI holders of whether the price can stand aside from general weakness in the non commodity stocks

[hargri] 16/5/2006 11:43

NAV 12 May 288.71 : 15 May 271.66. Down 17p, so you were spot on Munin. At current mid price 225 gives 17% dicount. I'm in these for the long term as expect commodity prices to continue overall upward trend.

[tuffbet] 16/5/2006 09:04

Just to make clear what I meant by "I think we are in a long long term reversal in hard commodity prices what I was trying to say was that I think their is a very sound argument for suggesting that we are still at the relatively early stages of a long term bull market in hard commodities but in long term bull markets you should expect corrections - when they happen it is generaaly much better to be in investments trading at a significant discount rather than at or around NAV - those in assets trading at a big premium should have more to be concerned about.

I think the case for Gold is however good enough that the Gold price itself may well correct very little because it will be seen as a hedge against falling financial asset prices and a falling ,possibly collapsing Dollar . How that strength in the Gold price( just my expectation) translates into resources stock prices remains to be seen but I would much rather have my money there right now than residential property or a cross section of UK/US ordinary shares.

[munin] 15/5/2006 20:21

And good luck to you too, Armistead34. And you Tuffbet.
I think the next few days will be interesting, never mind the next two weeks.
Fully expect a sharp drop in NAV tomorrow, but I've no idea if the fall in the share price will lead to a wider or narrower discount.
If we get back to a 20%+ discount, I'll be tempted to get a few more.
And I'm not too bothered, (yet), about the resource stock correction. I reckoned that we could expect a 10-15% drop, and as long as it doesn't go beyond 20% I'm comfortable.
If it's not a correction, but a turn, I've screwed up.

[tuffbet] 15/5/2006 11:43

Munin and armistead

agree with the points you both makin that it makes sense to buy at a discount in the hope that you can get that double whamee ie the rise in the underlying asset value and a narrowing of the discount.

Lots of Investment trusts have now put in place schemes to cause the discount to narrow and stay narrow eg buying back shares and holding them in Treasury etc so any trust at a big discount right now could benefit from their board taking this approach soon .

It was obvious the mining stocks were going to hit the wall at some point soon and its better that some of the froth is blown off now. Personally I think any blow off will be temporary, as far as the better quality stocks are concerned, because I think we are in a long long term reversal in hard commodity prices. The fact that REI is at such a big discount to NAV should give the share better than average support.

REI is also reasonably well diversified it's not a pure mineral or gold play so I am happier here than I would be in a single metal ETF - will just pop the copper and zinc helmet on and keep the head down for a few days looking up occassionaly to see if the market has done anything daft I can profit from.

[armistead34] 14/5/2006 21:50

Nope, what you say makes sense as far as maximising an exit price, now.

I'm just trying to point out that in comparison to the rise in share price over the last two years, say, a ten-fifteen percent discount is relatively insignificant. And should you wish to make further purchases, and still believe in the merits of the investment case, a discount is better to buy into.

Anyway, good luck with your holding. It will be interesting to see how it negotiates the next couple of weeks.

[munin] 14/5/2006 20:19

I bought in at a discount, 3 years ago. When I sell, I'd like to sell without the discount.
What is so good about being able to "buy een and mxp at a discount", if I then have to sell them at a discount?
Surely, the idea is to buy at a discount, and sell at the full price.
Or have I got this all wrong?

[armistead34] 13/5/2006 19:40

Munin,

Why would the liquidation of the company get your vote? It seems to be that a discount to NAV of secondary importance to the performance of the underlying shares - the former will tend to follow the latter.

In the meantime, you can by into a folio of shares including een & mxp at a discount.

Just wondering!

[munin] 13/5/2006 07:36

Re EGM Requisition
Any proposals, " ....... which may include the liquidation of the Company, pursuant to which the discount to net asset value at which the Company's ordinary shares trade in the market is intended to be substantially reduced or eliminated", get my vote.

[tuffbet] 10/5/2006 15:54

Todays NAV 293p big discount for such a popular sector provides a margin of safety Gold through $700 last night to 25 year high