Jpmorgan Russian Securit... Share Discussion Threads

[loganair] 04/3/2022 10:40

As many of JRS largest holdings are in commodities, these have not been effected by sanctions.

Due to the price of oil being over $100, the likes of Gazprom, Lukoil and Rosneft are currently raking it in.

[loganair] 04/3/2022 10:16

QP "and need to consider why trading has been suspended in them."

An Open-Ended fund has to sell assets every time any of the units are sold. As many of the assets can not be sold at the moment there in no choice but to suspend it for the time being.

[quepassa] 04/3/2022 09:49

latest news from Bloomberg says that domestic stock exchange will not re-open until at least 9th. March.

all imo. dyor.
qp

[quepassa] 04/3/2022 09:47

logan.

obviously.

They are SICAV's not Trusts.

A SICAV is open-ended.

The fundamental difference between an open-ended fund and a closed-end which is listed and traded on a stock exchange.


you miss the point.

and need to consider why trading has been suspended in them.

all imo. dyor.
qp

[amt] 04/3/2022 09:35

Amazing how the share price is at a huge premium.

[loganair] 04/3/2022 09:26

QP - Are these funds that are suspended, Open Ended Funds. If they are when people are selling these, the Fund has to sell assets to cover the sale unlike with JRS which is like any other share on the FTSE.

[galeforce1] 04/3/2022 08:18

Smithie - it does look that way. Can the Russian game-plan really be to occupy the whole country? It seems crazy.

[amt] 04/3/2022 07:30

So 70p today or lower then if nav 87p. 20% plus discount seems about right with all the uncertainty.

[smithie6] 03/3/2022 22:41

Galeforce1

Odessa unfortunately appears to be next target on Russia's list. Russia has moved various navy ships be in front of it. Whether they send troops ashore or shell Odessa we don't know.
They might command it to give in & if they don't that they will be shelled from the navy ships. (the Russian troops made similar demand at one town with no Ukrainian military there).

[quepassa] 03/3/2022 20:23

An interesting article dated 1st. March in the WSJ headed "JPMorgan Suspends Russia Fund as Finance Scrambles to Adapt".

The article refers to two investment vehicles, namely Russia Equity Fund (SICAV) and Emerging Europe Equity Fund (SICAV) both of which had been suspended for trading with immediate effect on Monday, according to WSJ

See article for full details and context.

Link herewith

hXXps://www.wsj.com/livecoverage/russia-ukraine-latest-news-2022-03-01/card/jpmorgan-suspends-russia-fund-as-finance-scrambles-to-adapt


ALL IMO. DYOR.
QP

[honestmarty] 03/3/2022 20:03

NAV tonight 87p

Gulp

[quepassa] 03/3/2022 18:24

galeforce, following your logic:-

1. With a market cap now reduced to a miniscule £55m
2. And the biggest/fastest flop I can ever recall seeing in an Investment Trust with a crash from near 900p to 130p.......

let's hope your words that "the Trust has been a flop and it's still too small to be economic" are not prophetic and self-fulfilling about this situation.

one notes that two Directors of The Trust have just left as per recent RNS's.

personally I take at face value the given reasons for closing the Brazil Trust over politics given the news surrounding the government at that time.



all imo. dyor.
qp

[galeforce1] 03/3/2022 17:21

Smithie - presumably Ukraine would still have the Black Sea coast west of Crimea, including the grain export port Odessa.

[smithie6] 03/3/2022 17:16

Galeforce1

I think that Putin definitely wants to command/control all of the coastline.
(& pushing to do it before any ceasefire is considered)

That would also weaken Ukraine long term. They need some port access of their own to freely export any heavy stuff, such as wheat, maize etc.

If they had to export by road or rail it would be a big increase in their costs & reduce their nett income. And block/hinder sales to distant markets such as Spain, currently supplied by ship.

[galeforce1] 03/3/2022 16:52

QP - It was probably more convenient for JPM to say 'We don't like Brazil's politics' than saying 'the Trust has been a flop and it's still too small to be economic'.

[quepassa] 03/3/2022 16:23

Re Brazil:-


they recommended to vote against the continuation the Trust due to political concerns.

ALL IMO. DYOR.
QP

[nametrade] 03/3/2022 16:17

hxxps://www.energyintel.com/0000017f-4c35-d78a-af7f-efb5753e0000

They already are down by a 3rd...don't expect they want to willingly turn off the gas.

I expect they would be very pleased with USD atm..as nobody in the free world wants RUB..

[loganair] 03/3/2022 16:11

I understood JP Morgan liquidated their Brazil Trust due to the Trust being too small in value.

[galeforce1] 03/3/2022 16:11

nametrade - that always used to be the theory, but with pipelines into China, Russia is now in a much stronger position than it was. They have an alternative market for their gas. And the clients don't pay in USD.

Looking at the map of the conflct. I can see that the land bridge to the Crimea is slowly forming. Perhaps the attacks on Kyiv and Kharkiv are really just a diversion and it is making the land bridge to Crimea that is the real goal here. Perhaps when this has been achieved the Russians will cease hostilities. But they may be determined to achieve regime change.

[nametrade] 03/3/2022 16:04

I don't think Russia can turn off the gas...its giving them currency atm...

[galeforce1] 03/3/2022 16:02

JP Morgan Brazil Trust was quite small, and my feeling is that JPMorgan hasn't got much time for trusts with assets worth less than £200-£300m.

So JRS's current tiny MCap is a danger. If in 6 month's time it doesn't recover to something more respectable like £150m then it might get the chop.

That would be a pity. It was established long ago (in the 1980's or 1990's) by Flemings, and has provided a reasonably cheap and liquid way for individuals to invest in Russian businesses, some of which are very good.

[quepassa] 03/3/2022 15:31

One recalls that a couple of years ago, JPM closed down and liquidated one of their other London-listed Investment Trusts, called JPM Brazil Investment Trust, citing risks of doing business there.

The Trust had been trading at a discount but upon liquidation, investors received near par value, if memory serves correctly.

However, the Brazil Trust's investments were all liquid with readily available quotations/prices and on fully quoted exchanges open to overseas investors.

I would personally be wondering to myself whether JPM may or may not be considering a similar course of action here - although liquidating assets in this case is a very different matter.

Good Luck All.

ALL IMO. DYOR.
QP

[smithie6] 03/3/2022 15:14

I would smile if all the EU assets of Putin & family were seized. And later sold to pay compensation. In 2022 the world needs to hold people to account. Putin can't get off scot free.

---

Apparently a daughter of Putin phps has a villa in Barritz in sw France. And an ex wife has a villa somewhere else in Europe.
Well, Macron seems very charged up recently, so we could see more asset seizures in France I think. Hope so.

------

The world needs to close down all of the global tax havens.
Otherwise the rich, & people like Putin, & dictators from Africa, just register their yachts & villas & stolen millions in say the Caymans or Panama & escape the law & never pay taxes etc etc. Needs to end.

[smithie6] 03/3/2022 15:08

Gazprom ADRs, suspended from trading or ?

[smithie6] 03/3/2022 15:08

France & Germany have acted.

I get the feeling that the UK is not very keen to do anything. :-(
Lots of oligarchs with properties in London.
How much these oligarchs are to blame, I don't know. (they are perhaps to blame for becoming billionares in owning assets which belonged to all of the Russians, & seemed to have ended up in their names ! That was surely illegal or dodgy but the west happily accepted it, & encouraged them to buy property in the UK, so it would be difficult, perhaps, to go back on that. Or not ?