Forum Archive Index - November 2000

["tennyson@caverock.net.nz" <tennyson@caverock.net.nz>]

>
> I see you referred to 1.50 which is the price of AIRVA.
> Historically AIRVB recovers better therefore you can sell at a
> higher profit...?
>
For capital gain I would agree.   With Singapore Airlines holding 
half the AIRVB shares on issue, and wanting to buy more should the 
government change their mind, and with overseas institutions only 
able to buy AIRVB, the potential for price appreciation must be 
better in AIRVB by the simple laws of supply and demand.

OTOH, Brierley investments is really only a long term holder of AIRVA 
because they can't sell it to anyone obvious.   And that factor alone 
seems to mean a cloud remaining over the share price of AIRVA 
forever. Add to that the fact, that if you want income from Air New 
Zealand you might be better to buy the upcoming capital notes which 
should pay you a better return than the shares, and convert to shares 
anyway in 5 years or so.
>
>You talk about our friend Warren...Buffett as you mentioned hardly
>ever sells his stocks.. if you do that here...you WILL NOT MAKE
>MONEY!!!!
> 
>Selling is crucial and is one of the big flaws in applying
>Buffettology to the NZSE.
> 
I am holding Restaurant Brands and don't plan to sell down my holding 
until it gets to $3 or so (in other words probably never).   In the 
meantime I am getting an 11% return on my investment.   So how can 
you say that I will not make money? SNOOPY



---------------------------------
Message sent by Snoopy 
e-mail  tennyson@caverock.net.nz
on Pegasus Mail version 2.55
----------------------------------
"Q: If you call a dog tail a leg, how many legs does a dog have?"
"A: Four.  Calling a tail a leg doesn't make it a leg."


----------------------------------------------------------------------------
http://www.sharechat.co.nz/          New Zealand's home for market investors
http://www.netbroker.co.nz/        Trade on Credit, Low Brokerage. Join now.
----------------------------------------------------------------------------
To remove yourself from this list, please use the form at
http://www.sharechat.co.nz/forum.shtml.