Managed Funds NI share offer extension

Discussion in 'Shares & Funds' started by hillsguy, 14th Sep, 2005.

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  1. hillsguy

    hillsguy Well-Known Member

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    Just received notice that the share offer has been extended until Oct 21st.

    Just curious if anyone has borrowed to fund some of the share purchase. This news now means an additional 5 weeks ( possible more if you applied earlier ) of funds that could have been working hard in the share fund.

    Comments/ Thoughts ?
     
  2. Simon Hampel

    Simon Hampel Founder Staff Member

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    Glass half full / glass half empty really ... if you were going to borrow to fund some of the share purchase anyway, then you are no worse off than you were previously.
     
  3. TwoDogs

    TwoDogs Well-Known Member

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    Hmmm, 5 weeks extra interest charge with no possible gain and no income. For me that's about $168. For those who withdraw units from NI fund, then it's a greater loss as they miss out on part Sept distribution, not a small sum :D

    But... probably small price to pay in the big picture of, what I trust will be a good long term investment, going ahead OK - and I don't want to be corrected on that Sim !
     
  4. Steve Navra

    Steve Navra Well-Known Member

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    Hi All,

    Yes I have considered the interest component:

    Firstly though my reason for granting the extention is that very many clients have called me and asked for an extention because they want to wait to first receive their Sept distribution, rather than redeem existing units. (Which would reduce their quarters income.) Made sense to me . . . so hence the 21st Oct.

    Also we are expecting a record distribution this quarter :D

    Current performance as at close 14th Sept:

    14-Sep-05
    NIASRF 8.24%
    ASX200 5.63%
    Out performance 2.61%


    I will reward these who submitted their investment by this Friday with some extra shares (FREE) to make up for the interest :)
    (Please note this is something I will PERSONALLY do OUTSIDE of the offer . . . so as not to cost the Company any extra and which is just my way of doing business with my clients)

    Regards,
    Steve
     
  5. Alan__

    Alan__ Well-Known Member

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    Ooohhh.........I LOVE it when you do that!!
    :D :D :D

    Picture a bowling lane with the pins(mortgage) all set up at the end.........down comes the ball(September distribution) and if big enough knocks over ALL the pins(remaining mortgage).
    THE CROWD GOES WILD! :D

    Steve,
    Is the 8.24% you quoted the Net fund return(absolute return net of fees) for the Retail Fund that is typically found on:

    http://www.navrainvest.com.au/index.asp?content=fund_perf

    or is the 8.24% a slightly different definition? The reason I ask is that seems to be quite a big jump in one day.


    As for the extra shares to cover the interest for the slightly extended offer, that is a very generous personal offer and while not being at all expected or necessary is very much appreciated. Thank you. :)



    :)
     
  6. Steve Navra

    Steve Navra Well-Known Member

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    Hi Alan,

    The 8.24% is the Gross fund return.

    The out performance fee is approx 0.94% so nett = 7.3%

    See: http://www.navrainvest.com.au/index.asp?content=fund_perf
    After 12-00 noon today, when the website is updated.

    Regards,
    Steve
     
  7. Jenny__

    Jenny__ Well-Known Member

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    What a way to start the day. :)

    Great news, thanks Steve - for the record distribution news and, ditto Alan, extra shares - generous, unexpected and gratefully received :)

    Jenny
     
  8. hillsguy

    hillsguy Well-Known Member

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    Sim - you lost me with your half full / glass half empty analogy :confused:

    Steve - I agree with Alan on the extra shares to cover the interest. This is fair and very much appreciated.
     
  9. Simon Hampel

    Simon Hampel Founder Staff Member

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    I was just saying I'm personally pretty pragmatic about these things. If I was happy to borrow money to purchase the shares assuming the funds were due by the 15th September, then making the date they are due later doesn't make me any worse off than I was before that decision to extend was made.

    It might be different if I would be missing out on growth or income from the shares with the purchase being delayed, but there won't be any of that - so the position hasn't really changed.

    That being said, Steve is indeed extremely generous with his offer and should be applauded for his approach - well done.
     
  10. hillsguy

    hillsguy Well-Known Member

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    Steve - hope all is well ... just curious if there is any more news on the (FREE) shares ? ;)