AGF - AMP Capital China Growth Fund

[robusta]

Anyone watching this stock/fund?

Some massive volume today with over 11 million shares changing hands, roughly 3.3% of the issued shares...according to my chart the largest volume day by far in the last 2 years.

AGF and IZZ will be a bargain at some point. :dunno: its a hell of a down trend.
~

Hunter Hall have been watching, they reported becoming a substantial holder today.

Had a look at AGF a while ago myself, but the complicated set up and the majority being invested in financials with questionable reporting standards was not enough to entice me even with the discount to NTA.

Maybe however the stock market in China will finally play catch up with the growth in GDP. Surely there would have to be some relationship eventually, or would there???

 

[So_Cynical]

Anyone watching this stock/fund?

Some massive volume today with over 11 million shares changing hands, roughly 3.3% of the issued shares...according to my chart the largest volume day by far in the last 2 years.

AGF and IZZ will be a bargain at some point. :dunno: its a hell of a down trend.
~

Yet another bottom picked, didn't buy it though, 55c when i posted back on the 6th-September-2012....to be fair i didn't call bottom, but i was very interested.

 

[Ann]

G'day all, this is a stock I have held from inception and still hold. I feel China is the new massive kid on the block.

This fund has the added benefit of offering an optional DRP which then gives it the magic of compounding value.

A little more insight... https://www.aussiestockforums.com/f...t=9746&page=25&p=855131&viewfull=1#post855131

 

[Ann]

Another chart for AGF. This time a daily chart using the simple EOD line. It is currently forming into a ascending triangle which is a continuation pattern, meaning it should continue upward the way it has been going.

 

[Smithy1967]

As a holder, i don't understand why AMP permits this vehicle to trade at a discount. Surely they must have a duty to shareholders to realise that the inherent value of the underlying shares is and always has been greater than the value people are willing to pay. If i could i would buy more, but seriously, isn't it something that AMP should address? Restructure to an ETF and bring in market makers.....that'll do it.

 

[notting]

Got some at 1.09 to keep myself amused.
It was just below the 61.8% retracement from start of year to top.
Why not join in the fun!
'The People' appear to be doing the buying so far today with less help from market dictators who only helped briefly at the open and just after.

 

[notting]

Yes it's a hard decision, but after many hours of pondering. I think it probably would be prudent to take profits, on an index fund, that has risen 20% in two days. :microwave.

On a more serious note. They should reinstall the halted stocks, like now.



Remembering that half the stocks aren't trading which on a value added basis for half the index traded would make it 40%.

 

[notting]

This fund has 15% of it's value suspended, I should add. A good place to have been for a very short while.

 

[sinner]

http://www.abc.net.au/news/2015-07-10/amp-faces-shareholder-revolt-over-china-fund/6610186

As if the carnage in Chinese equities was not bad enough, AMP Capital is facing a shareholder revolt over its China Growth Fund.

Investors blame poor governance, and say the fund's board and its largest shareholder, AMP Life, have ignored its pleas for change.

"Shareholder total returns have been less than half of this fund's benchmark since this fund was listed in 2006," said Miles Staude, investment manager at London-based Metage Capital.

...

"We always take the concerns of our investors seriously and over the years we have had discussions with a number of them about the fund trading at a discount to net asset value," responded AMP Capital in a statement to the ABC.

...

"If the share price of this fund moved up to its asset backing, all shareholders would be 30 per cent better off straight away," argued one fund manager.

Why does this trade at such a heavy discount to NAV?

 

[notting]

http://www.abc.net.au/news/2015-07-10/amp-faces-shareholder-revolt-over-china-fund/6610186
Why does this trade at such a heavy discount to NAV?

It's all about the philosophy of the fund.
The holders call for the fund to be liquidated when the fund was 30% behind the composite were spot on. The gap had becomes so stretched that it was easy to liquidate and wait for a pull back when it was so obviously a bubble. It's another bum AMP product with lazy stupid management.

AMP would argue that it is 'a long term A class asset fund' and that gaps will level out over time.
I guess Ausi investors were not believing in the bubble or the Chinese market and giving themselves 30% risk adjustment. Trouble is that it's always going to lag as it should. So it can be cashed out at any time and the 20 to 30% or so taken at any time.
What are you gonna do, return the money to share holders and start again at market and float it at a 30% discount to get investors, leaving AMP with the risk?
It is what it is - a traders fund.

May as well just leave it trading so ausi punters have something to play with on China.