Forum Archive Index - January 2001

["Ian Andrews" <iandrews@ihug.co.nz>]

I think the answer is "herd instinct" - which is the reason so many so-called "experts" are working for salary instead of being financially independent.Journalists are paid for startling headlines, not for making investors wealthy.

The best thing one can do in investing is to ignore them & do the study oneself.

FFS's underlying assets, even after completely discounting CNIF make it by far the best value for money forestry block around; the price made even more compelling by having processing & marketing economy of scale & plant thrown in, with political support( because of the company's importance to rural employment & the economy).

Actually, Credit Suisse First Boston , the lead underwriter, were recommending it as a buy. Too many people suspected them of conflict of interest, without appreciating they were also in the best position to know FFS's true value.

The technical story was also compelling, as motivated sellers started disappearing when the price dipped below 28 cents & a "basin" formed.   

Disclosure - FFS shareholder.