Share split 1:5See announcement on 10 Jan 21. |
What is going on? Todays price down 80% |
Same subject, article also dated 23/12/2021 (I have just caught this on the weekly email roundup from Citywire), some additional bits on the story with AVI and Straude stating they had supported the chairman and found it unfortunate he had to resign. In other words, they deny having pushed him.
As for the rest, AVI and Straude do not have (yet?) the numbers to force anything, likely due to the voting structure. |
All getting rather nasty. One gets the feeling there is more to the resignation than is being said. Not sure Dan Loeb can be trusted really. Without a Chairman they are in a bit of a mess though, and I suspect there won't be a long queue of takers! |
Reports in the last few days that Steve Bates the chairman of Third Point Investors has been forced in to resigning under pressure from activist investors from AVI and Staude Capital. Dan Loeb, having rejected AVIs previous approaches requesting more attention to closing the wide discount on TPOU, now complaining at their underhand aggressive tactics. Boo hoo! No doubt it does not help that TPOU has suffered a rare 10% share price slump in recent weeks. Not sure where this is going to end up but AVI are not letting go. |
Nice bet on Wacom, it went up sharply. |
The November factsheet is out. |
Since you have not been wittering on about AJOT, or anything, and make helpful observations on topic that was obviously not a remark to you, but thanks for the feedback. |
Mt123, I'm wittering on!? A very brief polite answer to a question about AGT. I've been here since John Walton and 117p and would probably choose AGT as specialist subject. Fortunately we have an excellent manager here and I'm only mystified why the discount persists. I've just read your recent lecture on portfolio construction on this thread....hmmm. |
You guys do realise you are wittering on about a related investment on AGTs board as though AGT is the subsidiary? What affects the price here is much more likely to be driven by concentrated holdings in things like Pershing Square and Third Point.
Get your own board or get on topic you are spoiling it.
Please and thank you. |
No. NAV just announced is fine £1above share price Ergo it's an opportunity. |
Kind of a nasty drop today, not seen in similar/global ITs.
We do not hold Evergrande (defaulting today) through AGT do we? |
Another website set-up and strongly worded letters being sent, this time to MOL, the people who are trying to gobble up their own subsidiary (Daibiru) but on too cheap an offer. |
I posted on the AJOT thread:
"Takeover bid for Daibiru at 50% premium to add 2.7% to AJOT's NAV"
We may have some Daibiru in AGT, I have not checked yet. |
 AVI Japan Opportunity (AJOT) offers investors a highly active approach to Japanese investing. This is not only due to the highly concentrated portfolio of high-quality Japanese equities the trust owns, but also through the large amount of active engagement campaigns the team run. Currently, 85% of AJOT’s portfolio is undergoing some form of deep engagement by the team. A key strategy of the managers is to work with companies on creating shareholder value and correcting undervaluations by addressing poor corporate governance, encouraging better utilisation of cash (e.g. shareholder returns, M&A, capital expenditure), improving shareholder communications and working on corporate strategy including a takeover event.
AJOT’s team, in our view, implement an onerous investment process which requires deep expertise and skill, as they aim to proactively create and unlock shareholder value of their investments through active engagement. Not only does this mean AJOT’s investment process is a clear differentiator (and source of potential alpha) from many of its Japanese fund peers but, in conjunction with its highly concentrated portfolio, it makes it a strong source of diversification for many investors, even if they have a pre-existing Japanese equity allocation.
Since its inception in October 2018, AJOT has handily outperformed its benchmark, the MSCI Japan Small Cap Index. Over the last 12 months AJOT’s active, idiosyncratic approach to investing has borne fruit, and it is the second best-performing trust in its peer group over the period.
Besides its attractive diversification characteristics and strong performance, we also believe that AJOT is a good option for ESG-conscious investors looking to gain exposure to Japan. Activist approaches like AJOT’s will be pivotal in righting many companies’ poor ESG practices, making AJOT an important driver for better ESG practices.
View full research
Download a PDF
Kepler Partners
70 Conduit Street
London
W1S 2GF |
AJOT is also buying Wacom (tablet manufacturer), which is mentioned in the AGT newsletter as buying across the AVI funds. |
The newsletter for October is out. |
AVI are not criticising TPIL investment performance it is the lack of engagement and the refusal to explore ways to close the discount. Having conducted a small but persistent buyback programme themselves AVI have demonstrated that the expense can reap good rewards. TPIL argues that it doesn't need telling how to run its own business, it knows best, that money is well spent in other ways rather than being forced to close the discount. But maybe TPIL needs a dose of its own medicine. And the discount is much too wide, it ought to want to narrow it. I would not be surprised if other "value" investors want to see more effort from TPIL on this and are ready to support AVI in changing their boardroom. You are supposed to listen to major shareholders not rubbish them. Much rather they find a way forward, it would be a shame if AVI concluded with an exit. |
The spat is also mentioned here at the start of a more generic article on AGT. |
Fail to understand why they persistently target tpou, while in their portfolio there are far worse for far too long holdings like tfg, that they never utter a bad word about, while seeing the value of tfg falling from their old top ten to a top 30 holding now. |
Uh oh! Did they pick the wrong target...!!! |
AGT has a "Japanese basket" and that basket, while not being a direct holding in AJOT (I assume AVI cannot buy its own trust for AGT) it is very highly correlated to AJOT's holdings. The Japanese basket is roughly a quarter of AGT, so you already own AJOT indirectly.
Buying AJOT allows you to add a bit more of Japanese "value", while having the same risk as AGT: Same manager, skills and approach as AGT has.
AJOT has taken its time to lift-off and is still a relatively small trust. They did not get to the desired size at launch but went ahead anyway. I am glad to have been patient with it, but there is still some way to go for it to perform as plannned.
And yes, the trust side of LWDB is a big collection of UK blue chips which are milked for their dividend and a value-ish approach too. After all, this is what it says on the tin. Income is not supposed to be adventurous. LWDB has had a good run of late surfing on the return of value. |
Thanks for the ideas LWDB is interesting but really a lot of the same old FTSE stuff in the trust that i have over other trusts.
AJOT hmmmm not proven yet but definitely interesting I will look a little closer. I do actually have a few JSGI for a little Japanese exposure in the portfolio. Whist Japan seems to be shunned by most (demographics / xenophobia etc... ) They have got some world leading companies and from the outside seem a very very tech savvy lot to me. It's definitely diversification, for me at least.
marktime thanks. I do have some ETF global trackers. These are basically 60-70% US.
SMT! I was going to buy some at just over £8 when they fell back a little a while back. Doh i talked myself out of it. I agree with you in 10 years time who knows what the world will be like ( The guys at SMT ? Probably got a better idea than me).
I don't know about you when i have a price in my head like the SMT £8ish I do find it really really hard to buy much higher up.
I don't think it was buffet but someone else good with words said something along the lines of.
"Twice a stupid stock price is still just a stupid stock price".
Probably in relation to Tesla. But the wise men at SMT seemed to do very well out of it. |
mbu69 yesterday I was taking stock of my portfolio performance over the last five years, congratulating myself on an approx. 13.2% annual return rate compared to about 6.5% pa from a FTSE100 tracker or about 4.5% pa from the Aviva pension I rescued my funds from.
And then I was reminded of Warren Buffett's bet that a passive index tracker over ten years would beat almost all active fund managers. He was right. But, he meant the US S&P 500 index tracker which has returned an average 16.5% pa over the last five years. We could have performed so much better if only we had invested in or tracked the right markets eg US or global growth and large caps.
If your investment focus is on the wrong markets or index eg UK large caps you are probably going to do OK with a top manager but history says you will underperform a passive bet on global and/or US growth. If you don't have the skills to pick the right companies there are plenty of investment trusts with good records who do ... just look at the Baillie Gifford stable for some examples ... or as Warren Buffett says in the long run you might as well just pick a couple of trackers from the Vanguard iShares range. Buffett is usually right.
Personally I don't think any 10 year porfolio is complete without SMT, but recently I have reduced my holding there in favour of AGT (where there is a deep embedded discount versus a sometimes frothy premium)
In 10 years time what themes and where do you think will be the most vital busy markets, electric cars or luxury goods, the UK or Europe or the US or China or Japan or India?
One word of caution though. Even looking back over 20 or 30 years we haven't had a global economy entering what looks like a significant inflationary cycle on the way. In those circumstances different asset classes or equity sectors are expected to perform better than others. The inflationary cycle should hopefully be transient though.
If in doubt exposure to a diverse range of assets and equity sectors is always advisable. Large cap trackers is one way, or trusts with managers with a knack for spotting the next growth theme. Even so it is sensible to also have stakes in property, commodities, energy and utilities, financials and consumer retail. |
Register for streaming realtime charts, analysis tools, and prices.
Hot Features
Premium
