4 thoughts on “WAM CAPITAL, RECENT WILSON LIC PERFORMANCE, WAM MICROCAP”

  1. Steve,
    There is one other issue at play here and that is the $30M in carried forwarded tax losses and I think Geoff Wilson has also alluded to it also. If there is a substantial change in the CYA business then the tax losses will be forfeited. So you can expect no action on mergers etc until the tax losses have been utilised. I expect this will take 2 to 4 years before change become viable.

    1. I agree James this could take some time and 2-4 years would be my guess also. Markets of course are quite unpredictable so could also easily fall outside of this range, whether that be earlier or later I wish I knew!

  2. I’d suggest some have decided to take some profits (nil CGT in a SMSF pension) in small cap holding WAM and WAX at a premium to NTA and invest it in WMI at near NTA, resulting in the falls in their prices. CYA holding large caps, and WLE medium caps (as well as no capital gain at this stage) are not being sold. I thought about doing this, but I’m more a buy and mostly hold type and have large capital gains (not in super) on existing WAM and WAX holdings. I’ll buy some priority WMI, though it will be the first to go if I’m not sleeping well.
    I also hold CYA, Aveage entry 76c, but a few which date back to the IPO, so a rather interesting history. Whether CYA is merged (with WLE?) or not doesn’t bother me.
    I wouldn’t support a Wilson international. They have always relied heavily on company visits, which I doubt would be as effective overseas.

    1. Thanks for the comments Graeme, all very good points you make.

      The weakness in WAM & WAX is probably a good sign for the very short term prospects of WMI, assuming a few have decided to try their luck in switching.

      I know CYA & WMI are totally different, but I’m wondering if them conducting the raisings at the same time contributed to CYA not raising the maximum amount. When I began posting about the comparisons of the Wilson stable I didn’t think the WMI float would come along so quick.

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