Woodford Patient Capital Share Discussion Threads

[ltcm1] 03/4/2018 18:03

Well it does matter IQ151 because to quote Woodford, he says "when I sell I source liquidity across all holdings". This from a recent HL video interview on the income fund.

I am nervous that another £1BN of redemptions will negatively impact the WPCT cross-holdings.

However it could be a buying opportunity for WPCT, or people may want to add. I think there are those that feel discount to NAV is too skinny right now.

As for the income fund, it is well positioned to bounce back if UK growth does hit 2% or more. Woodford's stance is at least clear .

[jonwig] 03/4/2018 16:02

FT, 15:45 today:

Neil Woodford’s woes keep on coming.

Assets in the star manager’s flagship fund have dropped below £7bn for the first time since 2015 on the back of disappointing returns and investor redemptions.

The fund’s assets hit £6.58bn at the end of March, down from an all-time high of almost £10.2bn in May 2017. The last time the fund’s assets were this low was in June 2015.

The decline in assets comes after a series of bad bets left investors nursing large losses. Several big investors, including John Chatfeild-Roberts, head of Jupiter Asset Management’s Merlin fund range, have withdrawn hundreds of millions of pounds from the investor in recent months.

Mr Woodford has been under intense pressure to meet redemptions while balancing liquidity in his flagship fund, which has large holdings in unlisted securities that can rarely be sold quickly.

But the fund manager has so far managed to avoid breaching a 10 per cent regulatory ceiling on the proportion of his fund that can be invested in unlisted securities.

The fund’s unquoted securities accounted for 9.66 per cent of the portfolio in February, down from 9.69 per cent in January. The number for March has yet to be disclosed.

The Woodford equity income fund has underperformed its benchmark over one month, three months, year to date, one year, three years and since its launch in 2014.

Over three years to the end of February, his fund has returned 3.94 per cent, while the FTSE All-Share index returned 18.82 per cent.

[brwo349] 03/4/2018 13:43

Does WPCT hold Capita? I thought it was the income funds only that held this.

Purple Bricks is tanking today, down 9%

[ltcm1] 03/4/2018 13:27

Thanks LiquidKid. I think we should hire Littleweed to investigate.

Minerve the market MUST be wrong then. Hopefully Neil is filling his boots today, he assured us just a month ago Capita was a great investment!!!

[minerve] 03/4/2018 10:41

Does my recent missed opportunity of a 10% dead cat still look bad? LOL

[solonic] 03/4/2018 10:04

Who cares what you say?

[ltcm1] 03/4/2018 09:51

What is fake news about Capita at 138???

Presumably Woodford is out buying more of this 'great business'.

[ltcm1] 03/4/2018 09:17

Great fun I'm sure but WPCT and Capita both sharply down this morning.

I honestly can't see how one person can run 3 different funds and also have such a small staff.

How does that leave time to travel the investment universe???!!!

[topvest] 02/4/2018 21:23

Think you have made a good point and not one that anyone else has made. The accounts normally get finalised at the end of April and so it will be interesting to see what the "Independent" Board say. Think it will be more "head in the sands" stuff, but it will be interesting to see whether the Auditors sign-off the valuation!

[ltcm1] 02/4/2018 18:48

Indeed it will be Topvest. I think a new manager would be good because NW has probably got too emotionally involved with WPCT and it might be easier if someone else rationalized it. Also there is the incentive issue as you say.

It would be a chance for NW to depart with dignity and let a new manager take the fund on.

[topvest] 02/4/2018 17:45

Unlikely, but it would be an exit for Woodford before everything really goes pear shaped. I bet you Woodford is now privately wishing he’d never incorporated this vehicle. Not only has it earned him zero fees, but it has spread its toxicity to his main fund. Any new Manager would likely get a revised valuation done. As I’ve said, this years Annual Report will be an interesting read. When is it due to be published?

[ltcm1] 02/4/2018 13:24

Well what can't be denied is Woodford's record on start-ups, disruptors and Biotechs does not stand up to scrutiny. The back story does not fit the facts.

We've got Sam Allerdyce in charge here when we need Pep Guadiola. Why don't we call an egm and vote for a new appointment??? Blackrock must be getting concerned too.

If WPCT had a new manager we would have a greater degree of separation from the other funds. And Neil can get on with what he is best at so it is a win-win situation.

I do think new management is in the best interests of WPCT.

[ltcm1] 02/4/2018 11:15

Looking back to the 2014 Woodford buys from his time at Investec we have RM2, Reyolymer the non stick chewing gum, E-Therapeutics (I presume the 'E' is not ecstasy!), and Benchmark Holdings.

Just saying that like Allied Minds these four ain't exactly pulled up any trees have they???

I saw Itaconix tanked on Friday too, perhaps they have been spinning a yarn???!!!

Woodford says WPCT is built upon the framework of his experience of disruptive investing while at Investec. However it seems to be more John McDonnell's definition of disruption than a profit generating process.

What ever became of the non stick chewing gum by the way???!!!

[ltcm1] 02/4/2018 10:25

Just an update to let you know the analysts at Shareprophets have published a note on RM2. Not a member here but would be grateful to hear a summary

Now the faangs are turning lower hopefully investors will come running back to Woodford's income stocks when they realise how cheap the UK market is.

IN WOODY WE TRUST!!!