LIC & LIT Future Generation Investment Company Share Purchase Plan (SPP)

What are people's thoughts on the FGX SPP?
https://www.asx.com.au/asxpdf/20181015/pdf/43z8972ftjdzwx.pdf
I lack experience in these things, but it doesn't look as dilutive as the earlier BKI offer! That seems like a good thing, but also means I don't feel as obligated to participate.

Also with the current market volatility I'm more interested in index funds right now. What factors do you tend to consider when deciding whether to participate?

 

Wouldn't say I'm greatly experienced,but I'm happy with my current exposure to FGX & won't be adding to it at this point in time.Am holding onto funds to take advantage of any potential, serious corrections of other holdings should they occur.

 

I'm probably feeling the same way. The only thing that would sway me is if there is a serious market recovery by November 23rd, such that October 31st's NTA becomes a ridiculous bargain.

 

FGX has announced the price for the SPP to be $1.18 which was the calculated NTA at 31st October. Anyone taking up this offer? The market is still swinging around a bit, so I’m not planning on participating this time.

 

I just received a phone call from someone representing FGX, making sure I was aware of the offer and if I had any questions. Also gauging if I would be participating

 

If I received such a call I would not be impressed one bit.

 

Admit it I reckon if it was Geoff Wilson himself you be weak in the knees with excitement.

 

The FGX was down today to 1.16, that is less than the offer price of 1.18 by Nov.23rd. just would like to know what will happen in this scenario?

 

The offer was at a fixed-price so $1.18 was it irrespective of market conditions.

I see it raised $7.2M under the SPP and $44.9M through the placement (Yes, I got curious despite not holding the thing.)

Naturally management is pleased with the outcome and that's fair enough given the fluctuations in the market.

I haven't looked very thoroughly but does anyone know how much the company was aiming to raise? Usually, the docs give some indication of this but I've only had a quick glance at the outcome.

 

Curiousity killed the cat.

 

More like the prawn.

Actually my eyes were tired from attempting to interpret this, so I gave them a rest by reading something lighter.

https://www.thisisclassicalguitar.com/wp-content/uploads/2013/06/Sor-Etudes-Op6-no12.pdf

 

=

 

SenK, 21st Nov, 2018


Back there again




Div Yield 4.03%

 

FGX portfolio returns have underperformed the index and some older LICs over it’s roughly 5 years of existence. But the share price return as @Redwing posted has to some extent been impacted by NTA premium to discount. NTA vs Share Price total return in the table below shows FGX doing much better based on NTA. Problem is I suppose “price” (not NTA) is what one gets if needing to sell.

At one stage I thought these charity LICs would be worthwhile holding but decided to get rid of them fortunately at a nice profit as part of portfolio simplification and having doubts about their longer term performance based on data and indexing theory. We keep hearing how active management will come into its own when the current bull market cycle turns. I am somewhat sceptical of this even more so with multiple Mgrs (funds of funds), time will tell.

Still FGX is better than a lot of other funds out there with multiple Mgrs perhaps appealing to those who feel the need for Mgr diversification. As usual it comes back to the “all about me” factor. If one knows why they’re holding it and are happy to continue holding it then that’s the main thing.

 

For my comprehension keeping it to words of one syllable or less what's the difference between FGX and FGG?

 

Local vs imported coffee.

 

I see. Light bulb moment. Ta.