So, what are you seeing, Señor Frugs?
I've been peripheral to Naos for quite a while, followed their info, dug deep, even been to seminars and met the players , but never bought (the story).
It's a good story, resonates with my thinking, but .. but ..
i could not see the compelling angle here , caught my eye ( and imagination ) yes , several times .
while i have have some nice success in small caps over the last 11 years , i was aiming for div. income
plus growth , this LIC seemed to go more for capital growth ( without jumping on every 'hot new IPO story' )
did i make a mistake by buying elsewhere ... ( say in the 2011 to 2018 period ) , maybe but then it really didn't scratch the correct itch ( for me )
what about the current scenario of the market , i see a looming credit crunch , and these small caps. will certainly be tested keeping the cash-flow positive , can the fund managers find enough growth stories to keep the narrative intact , or does it resort to robust small caps trading at steep discounts , in temporary market moves ( a small cap. is often a victim in generic 'flights for safety ' )
a LIC looking for small cap. opportunities in a tumultuous market ( without resorting to straight out trading .. like say WAX ) certainly a strategy for the brave contrarian , but do you wait for the market to be much lower ??? ( when i am more likely to be shopping for GEAR [ the ETF ] or cherry-picking large and mid caps
the
other problem for LICs in small caps in trying to get the cash into ( or out of ) without moving the market , i can shift my one or two thousand dollar trades without much difficulty (
most of the time ) , but what about a hundred thou. or even a million ( without investing in cap. raises , and share placements )
certainly one to watch in a market panic ( for education ,primarily ) will it be a victim or master the storm