Alternative Asset Opps Pcc Share Discussion Threads

[horndean eagle] 21/8/2015 19:36

They have to pay more premium to reflect the age of their policy holders. Wouldn't be a flat rate.

[sleepy] 21/8/2015 10:50

Why are premium payments not falling (indeed they may actually be rising?) as policies mature?

[skyship] 20/8/2015 20:05

Should help turn this ship around...

[papy02] 20/8/2015 16:56

zzzz...

The Company has received notification of a further policy maturity on one life with a face value of US$4,000,000. The maturity is in the process of being verified and assuming it is certified will add approximately 2.0p to the NAV per share.

...zzzz

[extrader] 19/5/2015 09:21

Hi all,

Good to see a PMDR buy 40,000 @ 41.333, now has just under 400K shares.

ATB

[skyship] 15/5/2015 15:34

15 May 2015

The Board of Alternative Asset Opportunities PCC Limited (the "Company") announces that the net asset value of the US Traded Life Interests Fund at 30 April 2015 was 44.2 pence per share. This represents a decrease of 2.2 pence per share from the NAV at 31 March 2015. It is estimated that exchange rate movements during the month had a negative impact of approximately 1.6 pence per share.

The Company's borrowings as at 30 April 2015 stood at nil. Net cash, taking into account cash and capital debtors, amounted to US$3,380,337.

The Board are pleased to advise that a two year extension of the $10 million loan facility held with Allied Irish Banks has been agreed, subject to formal documentation, on improved terms. A further announcement will be made in due course following entry into formal documentation.

[poacher45] 04/5/2015 07:47

Half the policies were bought in the knowledge that no matter what age the insured reached they would pay out. Of the others some will pay out at a reduced rate and some will pay out up to a higher age. As for the rest at 100years you loose the lot. I think from memory we have 6 or 7 years to go before the first one reaches that age. There is a full table in the annual report which clearly shows numbers and valuations. The good news this year was the largest policy paid out which would have been worth nothing if the individual had lived to over 100.

[bisiboy] 02/5/2015 17:52

are you sure that all these policies will pay out if the insured live beyond the age of 100.
i seem to remember there is something peculier with certain us policies which are different to our whole of life.

[cockerhoop] 21/4/2015 07:50

I'm a patient man............

[langland] 12/3/2015 08:18

ex the 2p capital return of course.

[boystown] 02/3/2015 18:16

Cash-back is my preference, but if the real NAV and cash generation rises, they may start buy-backs.

There are roughly 87 policies left and the average age around 90 according to the FT piece which also said:

"On paper, the total value of outstanding policies is around $140m but the fund has them in the books at just $50m. It is still paying premiums for the policies in force. But by my reckoning, if the life expectancy of these retired folk is less than five years the current NAV looks fairly conservative."

So of necessity, all calculations are impossible / based on previous stats which may prove to be out of date etc.

Nevertheless, you have to have a broad target and the real total return in the end here has to be worth something in the region of 70p or more - it could easily be a lot more though.

[papy02] 02/3/2015 11:09

Langland, true, but given the NAV bakes in 12% IRR as the discount rate, for an average of iro 5yrs, my mileage may differ.

[langland] 02/3/2015 11:02

Cash return works best for me. I think share buyback only makes sense if the shares were at a big discount to NAV.

[papy02] 02/3/2015 10:33

Stemis, re distribution of "only 2p": surely it's better they avoid ending up calling down on the AIB loan to pay premiums, like they did last time?

(I'd still prefer they did buybacks rather than cash returns - may try to get that across to the new company sec - the prev one always said "the board considered all options and major shareholders wanted cash return")

[langland] 02/3/2015 09:12

I quite liked the fact that over 10% of the mkt. cap was received with the largest policy payout. Helps derisk a touch.

[stemis] 02/3/2015 08:23

Nice to see another distribution, and not that it affects my view of valuation, but disappointed that its only 2p (= £1.4 million).

[epistrophy] 28/2/2015 14:16

Another capital return on the way...

"The Directors are making a distribution of 2 pence per share to be payable on 20 March 2015"

[bdroop] 27/2/2015 16:40

Yes I agree. I have been checking the RNS lots recently to see if someone has "left the building" to explain the tick up, but it does feel like someone knows something, or an event of some kind will reveal itself, but definitely not complaining...

[skyship] 27/2/2015 16:14

I don't really believe that Technical Analysis can predict another "Maturity"; but the chart formation is suggesting a breakout North:


free stock charts from uk.advfn.com

[davebowler] 19/2/2015 09:39

7 February 2015

The Board of Alternative Asset Opportunities PCC Limited (the "Company") announces that the net asset value of the US Traded Life Interests Fund at 30 January 2015 was 48.8 pence per share. This represents an increase of 1.2 pence per share from the NAV at 31 December 2014. It is estimated that exchange rate movements during the month had a positive impact of approximately 1.8 pence per share.

The Company's borrowings as at 30 January 2015 stood at nil. Net cash, including the proceeds of the two maturities on two lives announced on 24 November and 27 November 2014, which were received during January 2015, amounted to US$7,409,022. As announced on 19 January 2015 the Company has received notification of one further policy maturity on one life with a face value of US$400,000, which once certified will add approximately 0.2 pence to the NAV per share.

Enquiries:

[stemis] 20/1/2015 11:16

Another maturity yesterday. Small amount (0.2p) but adds to the sense that they are starting to fall...

[skyship] 16/1/2015 15:09

Today's RNS (see below) perhaps suggests another Capital Repayment may shortly be on the way. $8.111m = £5.3m = 7.4p/share. 3p/4p might be on the way shortly. This is how the last one was reported in Jun'14:

If the Resolution at the EGM is passed, the Board intends to make an initial capital return to Shareholders of 2.0p per Share (approximately GBP1.4 million in aggregate). This will be paid on 8 August 2014 to those Shareholders on the register at the close of business on 1 August 2014. The Shares will be marked ex on 30 July 2014.

================================================================

16 January 2015

The Board of Alternative Asset Opportunities PCC Limited (the "Company") announces that the net asset value of the US Traded Life Interests Fund at 31 December 2014 was 47.6 pence per share. This represents an increase of 5.3 pence per share from the NAV at 28 November 2014 and reflects the two maturities on two lives announced on 24 November and 27 November 2014. It is estimated that exchange rate movements during the month had a positive impact of approximately 0.2 pence per share.

The Company's borrowings as at 31 December 2014 stood at US$1,000,000. Net cash, taking into account the cash balances and capital debtors (being the maturity proceeds from the two policies referred to above) amounted to US$8,111,029.

[ironstorm] 08/1/2015 17:22

I have only owned these a little while and showing a nice profit. Following recent weakness I have more than doubled my stake and am looking for a busy quarter from the man with the scythe.

[boystown] 05/12/2014 16:13

Skyship - you're right re the 2p - apologies. As for the real NAV (which I kind of regard as 'moot' in a way anyway) it depends when they set the exchange rate calculation - is it done on a rolling basis at a mid price?

[skyship] 05/12/2014 15:28

That said, the direction here seems entirely positive; and I too like the non-correlation with the wider Markets.