imutual.co.uk

Beachboy wrote: ↑

Wed Jul 08 2020 10:05pm

The counter argument if you feel it will drop back is to try and sell all our current holding before it does and then buy back in again once it has fallen. This could be with the proceeds from any PMG sale and/or the blue chip sales as well.

Just putting it out there as an option.

We welcome all opinions, especially non-conventional reasoning, AKA the Holy Grail "thinking outside of the box".

Thank you for your input.

garindan wrote: ↑

Wed Jul 08 2020 4:23pm

I don't have this feeling with any of the other shares at the moment and I don't know enough about any other "new" shares to replicate the aim. I'd hope PGM might make 200p before Christmas

Don't get me wrong, I'm delighted with our (potential) success with PGM and definitely want us to stay invested in it. But we are not privy to any information that the market doesn't also have. Words like "hope" and "feeling" worry me. Gold is flavour of the moment, with markets worried about a second wave. It might only take some positive developments on the covid front to reverse this trend; or worse, some kind of negative news about this particular company.

The fact that you don't know what else to invest the money in is surely the point of an investment club - ask the members for suggestions then hold a poll. Or make it really easy and just restrict the poll to all the small caps we currently hold

The point of our club is not simply to go all out for the biggest possible gain. We attract more members by showing consistent gains but also not unduly putting their money at risk. Insisting that any funds released from the blue chips MUST be invested in our biggest stock does not sound sensible to me. At the very least, separate out the two issues (selling and buying) and let the members decide

richard@imutual wrote: ↑

Thu Jul 09 2020 8:46am

Words like "hope" and "feeling" worry me.

This is all brokers do though isn't it - they don't use those words explicitly, favouring just giving terms such as overweight, buy, target etc... Essentially though hope and feeling is all they are expressing because they don't know what will happen, even having looked at the data on hand, as nobody has a crystal ball but would they would like their guidance to be right.

Additionally - I'm not just looking at the list of our investments and saying "this one is doing the best let's chuck all the money in that one". Yes, gold is flavour of the month just like bluechips aren't. However, I am looking at potential for us to make gains, as that is what we should be about, especially in the case of being able to turn around the losses those bluechips have made. The background information, peer discussions, financial backing, location of the mine, grades discovered through drilling and comparative share price suggest PGM has plenty of fuel in the tank to make considerable gain multiples. This isn't to say it will but the data suggests it could be the case, hence why the price has been jumping in big percentages. The price may fallback a little, as I mentioned earlier in the thread, which wouldn't be surprising as some will be inclinded to take the profit now and leave. However, this isn't unusual and I wouldn't personally risk selling the current holding in case it jumps again and we couldn't get back in. However, that presents a buying opportunity for us.

I'm open to suggestions, but I would want us to have a set-out plan for selling and reinvesting the bluechip funds into something that has excellent potential in the short term. There would be little point in selling the bluechips and putting the money into a share that might not do anything for months on end. The chances are the bluechips might gain as much as that share in the meantime as the world comes out of covid-19 issues.

How about a four-way poll?
- Sell blue chips and reinvest in PGM
- Sell blue chips and reinvest in Bakkavor
- Sell blue chips and reinvest in Ramsdens
- Keep blue chips for now

My reasoning is that Bakkavor and Ramsdens look poised to bounce back once the covid sentiment improves, so increasing our holdings in one of those would (to some extent) balance our portfolio

richard@imutual wrote: ↑

Thu Jul 09 2020 10:20am

How about a four-way poll?
- Sell blue chips and reinvest in PGM
- Sell blue chips and reinvest in Bakkavor
- Sell blue chips and reinvest in Ramsdens
- Keep blue chips for now

My reasoning is that Bakkavor and Ramsdens look poised to bounce back once the covid sentiment improves, so increasing our holdings in one of those would (to some extent) balance our portfolio

I don't have a problem with this apart from the number of options might make obtaining a clear result difficult, which in turn could delay things and result in a worse investment position. As long as members realise this when voting and could be flexible it shouldn't be a problem. It also means parchedpeas' suggestion of clamping down on the specific entry and exit points via a poll would be difficult to manage unless we have a blanket position for all three shares.

 It also means Beachboy's suggestion of clamping down on the specific entry and exit points via a poll would be difficult to manage unless we have a blanket position for all three shares.

Maybe I am not understanding what you mean by this, but I did not say that so maybe we are talking at cross purposes?

Beachboy wrote: ↑

Thu Jul 09 2020 11:12am

 It also means Beachboy's suggestion of clamping down on the specific entry and exit points via a poll would be difficult to manage unless we have a blanket position for all three shares.

Maybe I am not understanding what you mean by this, but I did not say that so maybe we are talking at cross purposes?

My bad - it was parchedpeas not you

garindan wrote: ↑

Thu Jul 09 2020 11:17am

Beachboy wrote: ↑

Thu Jul 09 2020 11:12am

 It also means Beachboy's suggestion of clamping down on the specific entry and exit points via a poll would be difficult to manage unless we have a blanket position for all three shares.

Maybe I am not understanding what you mean by this, but I did not say that so maybe we are talking at cross purposes?

My bad - it was parchedpeas not you

No problems, just wanted to check my comments didn't take us down an unintended path based on potential crossed wires

It would be beneficial to the imutual Cashback Investment Club to, like we used to, allow any member to put forward a share buy tip from a respected publication and not rely solely on ShareCast.

The Chairman can then filter, at his sole discretion, what he judges to be the finest of the fine, as we say in French, crème de la crème.

So I haven't heard anything to the contrary and I am assuming that those who have had input so far would be potentially happy with a four way poll - three options to sell the bluechips and invest in one of three existing shares and one option to stick with the bluechips. Each of the sell options will need a set sale threshold, which I'll have to work on some wording for.