Forum Archive Index - April 2001

["Peter Maiden" <pmaiden@xtra.co.nz>]

Brian wrote

In the context of the NZSE GPG is an interesting company. I class it as a "Value Based Mutual Fund", with no loads apart from brokerage, no annual fees, management who have been with the "fund" for a long time and very good consistent growth and returns.

 

Equity has grown something like 330% in 7 years which is something like 20% compounding (correct my maths if I'm wrong). And they have a lot of irons in the fire at present indicating they are making significant moves in a bull market which offers a lot of value plays for a company with GBP67m in cash to play with.

 

Unfortunately the GPG return to shareholders hasn't always reflected the company performance. Shareholder return in 1999 was -1.8% and 2000  +5.8%. So far this year +14%.

 

I brought some mid of last year when the world went funny and didn't like stocks like AIA, GPG etc. With bonus issues average price $1.29, so have made a pretty good gain in less than a year

 

As said in an earlier post the last year hasn't been brillant for GPG but with many of their deals likely to come to some sort of fruition this could be the catch up year for GPG. Have decided to hold what I have and collect big time this year. Tempted to buy some more.

 

As Phaedrus said yesterday - Cut your losses, and let your profits run

 

Cheers

 

Peter