Weiss Korea Opportunity Share Discussion Threads

[davebowler] 15/5/2013 12:29

In other words, how to buy Korean shares at 35p in the £!

[davebowler] 15/5/2013 12:28

Midas Investment Management research;
Weiss have a proven track record, with average annualised net returns of 16.5 per cent since inception in 1991. They specialise in deep value and invest globally in discounted assets, working to exit these assets at narrower discounts.

They believe one of the most attractive and mispriced investment opportunities in the world right now is the Korean Preference Share market. Preference shares in Korea are currently trading at an average 65 per cent discount to their ordinary counterpart, with the main difference being they are non-voting (voting - in any event offers little advantage in Korea).

The fund will have no performance fee and will offer a full exit at Formula Asset Value ("FAV") after 4 years and every 2 years thereafter. There will be a 40 per cent annual share buyback in place from the beginning to avoid a discount.

At Midas, we like Korea and analysts believe that they may be the next country to embark on a round of Quantitative Easing ("QE"). Market watchers will have seen the gains in the stock markets of countries undertaking QE plus Korea is one of the cheapest valuation developed markets. Midas called the Thailand and Indonesia's markets well and now we believe Korea is the market of opportunity in Asia.

The fund also has an implied forecast dividend yield of between 2 and 3 per cent.

[davebowler] 14/5/2013 11:46

Link to their site www.weisskoreaopportunityfund.com

ETF for Korean Index