Jpmorgan Russian Securit... Share Discussion Threads

[loganair] 24/3/2022 22:07

Doesn't really effect Russia as:

1. They do not need to sell any of their gold reserves, still selling/exporting $2bln of oil and gas each and every day.

2. If Russia ever needed to sell any of their gold I'm confident in saying that China would buy any from them.

[johnwise] 24/3/2022 20:54

Putin final lifeline ruined as £100bn 'fortress Russia' about to CRUMBLE – gold stash hit

WESTERN leaders have agreed to crack down on Russia's gold reserves as countries move to cut off one of Vladimir Putin's key lifelines that could help Moscow evade sanctions imposed in response to the war in Ukraine.

[tigerbythetail] 24/3/2022 18:57

This didn't quite roundtrip today - which was what I expected, given the constant institutional selling pressure. Maybe it will tomorrow.
The next big date is April 1st when foreign investors will legally be allowed to sell their shares. Exchanging and/or exporting roubles will still be a massive problem, though.
IMO, nobody can accurately value JRS at the moment, including JRS itself. It's all stab in the dark guesswork.

[johnwise] 24/3/2022 18:10

Russian stock market faces heavy restrictions as limited trading resumes

Foreigners could not sell stocks, and traders were barred from short selling — or betting prices will fall — while the government has said it will spend 10 billion dollars on shares in coming months, a move that should support prices.

Russian stocks were only a small part of emerging market share indexes even before the war and only for those with a high risk tolerance, given extensive cronyism, non-transparent accounting and widespread state interference.

They lost any attraction for most foreign investors when the Moscow Exchange was dubbed “uninvestable” about a week into the war.

“The stock market is really almost a sideshow at this point,” said Chris Weafer, CEO at Macro-Advisory Ltd, a consulting firm. “It’s more a sentiment indicator because obviously companies are not raising any money on the stock market, and they won’t be able to.”

He said, however, that state-owned banks or funds may have been buying to support prices. “It does look like state-supported buying rather than any genuine interest on the part of investors,” he added.

[biggest bill] 24/3/2022 17:22

Undervaluedassets, have a look at the new nav which comes out tomorrow at about 11 am.

[amaretto1] 24/3/2022 16:50

If you don't hold ... and don't understand the Mkts ....This is not for you ! Goodbye.

[undervaluedassets] 24/3/2022 16:42

Beg pardon ..JRS list NAV as 39.5p!

[glavey] 24/3/2022 16:26

National grid? Must have missed that. Is that an I.T. or a Fund, apa34?


But gosh, how things have changed, Russia was eastern Europe in my school days, now it's the Wild West. Ahh, one learns something new every day!

[undervaluedassets] 24/3/2022 16:25

Russian market is up 4% and this is up 30%? It don't compute.

Especially when the company themselves are telling you NTAV is around 50p not 104p.

Even at this level. those taking up positions here risk losing 50% of their equity over a very short period of time .. And I would argue potentially all of their investment . The Russian market is essentially the Wild West now.

[undervaluedassets] 24/3/2022 16:13

Is this an investment currentlty? or just a punt? that is what I want to know

[biggest bill] 24/3/2022 15:36

Velocytongo, there will be a new nav published tomorrow which will be a lot higher than 40p. This will still understate the real nav since not all of the trust's shares are currently trading on the Russian stock market.

[apa34] 24/3/2022 15:06

Good question VelocyTong

You need to know about return on equity or return on assets, with future estimated cashflow.

National grid in UK has visibility on regulated cashflow and the shareprice is 2.9 times net tangible asset value for a 4.39% dividend.

Russian equities are not for widows or orphans!
Sanctions are likely to last years, there is geoplitical risk, confiscation risk, war risk, poor visibility with cashflow and asset valuation, probably no dividend for the foreseeable and big unhedged investors sitting on massive losses.

Just trade and enjoy the ride

[smithie6] 24/3/2022 15:03

Clocktower

"...Tony Blair..."

Please no ! No comeback, please !!

[rob_tme] 24/3/2022 14:52

VelocyTongo - Its a false NAV. There is not an accurate way of valuing the Russian stocks in the fund's pf as prices have been so volatile Company I'm assuming is valuing close to zero in the short term for the purpose of the daily NAV RNS'. This will be corrected once the Russian exchange is able to trade more normally, which could be a while yet. Have the underlying assets here really dropped at the same rate as the NAV - IE 773p down to 40p? I don't think so. Neither does the market evidently, sitting at 105p.. Question is, where between 40p and 773p is the REAL NAV? Won't find out for a good while... expect more volitility. IMO, etc.

[velocytongo] 24/3/2022 14:39

Excuse me for being thick but why would you buy anything trading at 2-3 x's NAV.

[wskill] 24/3/2022 14:29

Thanks for your input clocktower unlikely the holdings in this Investment trust will be valued at zero it holds world class companies not Aim rubbish.
As usual after this conflict the west will be courting Russian companies to rejoin their stock markets .
No matter what the leadership is banging on about today Putin’s time in the limelight will end .
It is in nobody’s interest to isolate Russia .

[amaretto1] 24/3/2022 13:56

Did u have all your jabs ?

[clocktower] 24/3/2022 13:45

Hopefully these shares become worthless but of course every investor wants to save their skin rather than see the aggression of the Russian State put back 50 years.

[bondholder] 24/3/2022 13:20

I've already loaded up with these shares. Absolutely agree fair value looks multiples of current price.

[clocktower] 24/3/2022 13:16

Production will move to the West. Factories are already being built to produce the chip that run almost everything now - cars - washing machines and every IOT item these days.

Robots will do the more basic jobs - China will suffer and they will come under pressure from their own people who could suffer the sort of fate that a lot of Ukrainians are now suffering, and bear in mind it is much like the England bombing NI, as Russia/Putin and his gang of gangsters just want money and power.

Third World Order on it's way. Tony Blair wants to be it's leader imo.

[smithie6] 24/3/2022 12:59

"Stop buying goods from India, China, Russia"

Easy.
Just increase the import taxes.

(In the end the west will have no choice

Either we throw all our employment laws in the bin & work 10 hours/day, 6 days/week, like the Chinese

If we want to compete

Or we increase inport taxes

Or we end up with high unemployment & see things like health care get cut very hard.

The west can not just keep borrowing more money.

[biggest bill] 24/3/2022 12:54

Bondholder, if we waited two weeks for everything to become clear, there wouldn't be a buying opportunity here.

[clocktower] 24/3/2022 12:52

Everyone just needs to reduce the amount of energy they use - Western Governments need to start taxing fuel on a sliding scale - high private users should be made to pay very high fuel taxes to heat large homes with few occupiers, and those with oil heated swimming pools should pay top dollar, and reduce the tax rate to the basic need level of the average home.

All leisure boats to be taxed on fuel at more than domestic fuel, along with a host of other measures to reduce the West's requirements.

Stop buying goods from China, India, Russia etc - the west just needs to adapt even if we have to pay more for everything produced in the west.

Take responsibility for ourselves and change our ways is the way to solve this sort of aggression. It should not take a government to force you to change, your moral code should be the driver.

[bondholder] 24/3/2022 12:47

Relax and wait for the first or second week of April to get a better picture of where stock prices should be once Moex opens to foreign sellers

[biggest bill] 24/3/2022 12:46

Congratulations, 1Liam, on the most ridiculous post of the day.