I took time to go through all quarterly reports from Feb 2017 to Aug 2024.
I copy and paste all the "Non-current assets" and "Current assets" to a speadsheet.
And calculate the ratio of "Current assets" over "Total Assets", more or less is the Cash Level.

I plot a chart.
I can see a very clear picture, the Cash Level was very high at around 65% from Nov 2018 to May 2020.
Then from May 2020, it is clear that the Cash Level drop from 65% to 17% at Aug 2024, almost like a straight line.

My calculation.
1) KLCI
From May 2020 to Aug 2024, KLCI grew up at an annualised rate of 3.1%.
The KLCI Dividend Yield was averaging at 4.1%.
Therefore the CAGR for KLCI including Dividend was 3.1% + 4.1% = 7.2%.
2) ICAP NAV
From May 2020 to Aug 2024, ICAP NAV's CAGR was 10.3%, including the 20 sen dividend.

Conclusion:
ICAP was correct to reduce the Cash Level from 65% to 17%.
And the result was ICAP out performing the KLCI+Dividend by 10.3% - 7.2% = 3.1%.
My expectation on ICAP is very reasonable, I would be happy as long as ICAP could beat KLCI+Dividend.
To me, a 3.1% out perform is already vey Good.

Checked Yahoo Finance just now,

1) ICAP=2.89, and the adjusted close price on 19th Oct 2005 was 0.8588.
The annualised return = (2.89/0.8588)^(1/19.07years)-1=6.57%,

2) KLCI=1,610.13, and it was 914.17 on 19th Oct 2005.
The annualised return = (1610.13/914.17)^(1/19.07years)-1=3.01%,
However, KLCI Dividend Yield was averaging around 3 to 4% for the past 19 years.
A total of 3.01%+3.50%=6.51%.

So I would say both ICAP and KLCI performance are about the same for the past 19 years.

140m*0.1041*1.5%Fee=219K per year, and for every subsequent years.

Fund manager will receive less fee if the fund size shrinks.
However, I think TTB is a professional manager, he could have set the exercise price with huge discount so that certainly almost all unitholders would opt for DRIP.

Would someone pump up the ex-dividend price, otherwise look at the current market price, who wants to opt for DRIP?

But the Expense Ratio of Open End Unit Trusts / Mutual Funds in Malaysia also around 2%.

That is what ICAP said, foreigners have equal right provided they hold not more than 20%.
And it look like COL try to bring down their holding to 20% or less.

Under the written procedures established by ICAP pursuant to the Securities Industry (Central Depositories) (Foreign Ownership) Regulations 1996, foreigners who hold Shares which are within the prescribed limit of 20% of the total number of issued Shares ("Prescribed Limit") shall be entitled to the Interim Dividend and are entitled to participate in the DRP provided that such participation will not result in a breach of the Prescribed Limit.

I read the above remarks from the yesterday dividend announcement.

I have a few questions:
Meaning COL needs to dispose their shareholding to below 28m in order to entitle for the dividend and DRIP?
As on 21st Oct, they still have 30.8m, they need to dispose another 2.8m shares in the next few trading days?
Then we better don't rush in to buy now, as the share price could go further down?
What if COL could not dispose to below 28m shares, will they sue ICAP/TTB?
Who is going to pay for the legal fees then? ICAP or TTB?

If we are not fund managers that need big trading volume for easy in and out,
Better buy BKAWAN, with huge Conglomerate Discount.

They will sell by way of restricted offer for sale to directors, employees and loyal shareholders.
How to determine who are the loyal shareholders?
I would say, all shareholders will get the discounted shares.
Then the question is why do we think that those who get the discounted shares will sell it immediately?
Why can't they keep it for long term investment?

Of course it is a bank. It has:
1) Investment banking,
2) Insurance business,
3) Commercial banking via HLBANK.

You see, MAYBANK, CIMB, RHBBANK, PBBANK also have all this commercial banking, investment banking and insurance business. The only thing different is HLFG listed its commercial banking separately.

Base on latest quarterly result.
1) GENM's USD borrowings = RM8089m, i.e. RM3990m effectively belong to GENTING.
2) GENP's USD borrowings = RM955m, i.e. RM529m effectively belong to GENTING.
3) GENTING's USD borrowings = RM30872m, i.e. 30872-8089-955=RM21827m is GENTING own borrowings.

So total GENTING's USD borrowings = 3990+529+21827=RM26347m.
A 0.5% reduction in interest rate will save GENTING about 26347*0.005=RM132m.
Or EPS will increase by 3.4 sen, apply a PE of 8 times, GENTING fair value should go up by 27 sen.

My opinion on Conglomerate Discount:
1) Only applicable if the mother did not own controlling stake in Sons, for example, OSK / RHBBANK case and Closed End Fund.
2) Should not apply to GENTING, as it has full control on GENS, GENM and GENP, it can direct them to do anything it like. for example, ask them to pay out higher dividend, because GENTING has high borrowings, need cash money.

But what to do? The market tendency is as what you said!

Market Cap = 1359m,
Total Liabilities =502m,
Biological Assets = 28m,
Total Current Assets = 747m,
Total Harvestable Area = 32367Ha,

Enterprise Value per Ha = ( 1359m + 502m +28m - 747m ) / 32367Ha = RM35,000 / Harvestable Ha.
Very Cheap.

Market Cap = 614m,
Total Liabilities = 223m,
Biological Assets = 72m,
Total Current Assets = 306m,
Total Harvestable Area = 19507Ha,

Enterprise Value per Ha = ( 614m + 223m +72m -306m ) / 19507Ha = RM31,000 / Harvestable Ha.
Very Cheap.

If I am not mistaken, the proposed dividend will come with DRIP.
Then it is kind like a combination of Dividend + mini Right Issue,
or put it simple, is just like a mini scale of Bonus Issue.
I don't like it.

My way of GENTING valuation:
1) Market price of GENS, GENM, GENP.
2) 50% of NAB for the rest unlisted assets, minus liabilities.

At End of Year 2017, I get GENTING fair value = 13.15, price was 9.20, Price / Value = 9.20 / 13.15 = 70%.

Now, I get GENTING fair value = 8.94, price is 4.71, Price / Value = 4.71 / 8.94 = 53%.

GENTING now is extremely CHEAP.

Comment provided by Copilot:

Certainly! Genting Berhad, a prominent Malaysian conglomerate, serves as an investment holding and management company. Founded in 1965 by the late Tan Sri Lim Goh Tong, the Genting Group embarked on a visionary journey to create a mountaintop resort in Malaysia. Let’s delve into the concept of Conglomerate Discount and its relevance to Genting Berhad.

Conglomerate Discount refers to a situation where the market values a diversified conglomerate at a lower price than the sum of its individual parts (i.e., the value of its subsidiary companies). Essentially, the conglomerate’s overall worth appears discounted due to its diverse business portfolio.

In the case of Genting Berhad, analysts at financial services group Nomura have observed significant market cap discounts. Here are the key points:

1）Market Cap Discount: Genting’s current market cap seems to discount all non-Singapore assets. It has been trading below the value of its 52% stake in Genting Singapore. Additionally, the market appears to disregard the value of other businesses under Genting, including listed subsidiaries (e.g., its 49% stake in Genting Malaysia and 55% stake in Genting Plantations) and unlisted businesses (such as Resorts World Las Vegas, energy, and utilities).

2）Estimated Contribution: These discounted, “free” businesses are estimated to contribute approximately 62% of Genting’s FY23F EBITDA.

3）Discount Levels:
Genting is trading at a 66% discount to the value of listed subsidiaries.
It is also trading at a 47% discount to the value of both listed and unlisted subsidiaries.

4）Unjustifiably Wide Discount: The holding company’s RNAV (Revalued Net Asset Value) discount is considered unjustifiably wide. Analysts believe this discount will narrow as macro risks ease and tourism recovery continues in FY23F/24F.

5）Upgraded Rating: Nomura has upgraded Genting Berhad to a “Buy” rating, raising revenue and EBITDA estimates for Genting Malaysia. Although profit estimates were adjusted due to higher depreciation and interest costs, the overall outlook remains positive.

In summary, while Genting Berhad faces the Conglomerate Discount phenomenon, analysts believe that the current discount is unwarranted and may narrow over time. As macroeconomic conditions improve and tourism rebounds, the market’s perception of Genting’s diversified assets could change.

Remember that investing decisions should consider various factors, including risk tolerance, financial goals, and market dynamics. Always seek professional financial advice before making investment choices.

If you understand and have confidence in that company, DY is not important at all.
But to people like the person who called me little boy and said I failed my Mathematics,
He pay much attention to DY, end up his investment in RHB is much more than his Maybank.
He would have made more money if he has invested equal amount in RHB and Maybank.

I view DRIP negatively.
1) If the company want to pay out 31.5 sen, let pay 31.5 sen Cash, no need to pay 30 sen Cash + 10 sen DRIP. DRIP serve no purpose except it is painting a fake picture of high DY.
2) DRIP come with a significant cost to the very small investors, stamp duty, service charge and odd lot etc.

For my own case, I own 100,000 units RHB before this round of dividend. I do not like odd lot, so I opted only 2,000 units, which make my DRIP take up rate of 97.6%, but it is still much higher than the average ~85% take up rate, the RM15.00 stamp duty and service charge by BoardRoom is very minimal for my 2,000 units DRIP, but for the very small investor, the cost of RM15 is big in term of percentage, better off to opt for Cash.

In investing, we must 以小人之心度君子之腹，
Whenever there is deal / transaction between Mother and Son,
It is always that Mother is at the advantage side, or the worst is both sides equal.
It is impossible for the Son to be at the advantage side.

I can not understand what more bright prospect GENTING need to show?
Investors already value GENS, GENM, and GENP prospects and their prices are the market consensus.

The only thing we do not know is consensus for GENTING other assets / businesses.
For other assets / businesses, it is still worth NAB = RM2.69,
If we think that this part of GENTING is hopeless, then assume it worthless.

Then GENTING fair value = Part A Market Value = 1.65*GENS's + 0.73*GENM's + 0.13*GENP's = RM7.64

From the number of shares, one single unit share of GENTING owns:
1) 1.65 share GENS
2) 0.73 share GENM
3) 0.13 share GENP

Divide GENTING into two parts:
Part A: GENS + GENM + GENP
Part B: Others

GENTING's NAB = RM8.98
Part A's NAB = 1.65*GENS's + 0.73*GENM's + 0.13*GENP's = RM6.29
Therefore Part B's NAB = 8.98 - 6.29 = RM2.69

Part A Market Value = 1.65*GENS's + 0.73*GENM's + 0.13*GENP's = RM7.64
For Part B, No clue, so look at its NAB, we can assume X% of its NAB, for me, X=50%,
Fair value of GENTING = 100% Part A market value + 50% Part B's NAB = RM8.99.

But many analysts think that Conglomerate Discount is applicable, which I do not agree.
GENTING hold about 50% and can instruct GENS / GENM / GENP go North East South West,
No reason at all why Conglomerate Discount is applicable.

Or he is just a small kid that bought Maybank share with the monthly allowance from his parent?

He called me little boy, he said I failed my mathematics.
So, most probably he is a mature adult, right?
But the funny thing is, he wrote somewhere that he never opted for Maybank DRIP because not worth it due to holding too small quantity.
So who is he? A very poor B40 old man?

Hahaha....prudentinvestor.....
Did I say ESOS No Good?
But the fact is it is negative Dividend.

1) ESOS is negative Dividend.
2) Private Placement is also negative Dividend.
3) Right Issue is also negative Dividend.

4) Share Buy Back:
4a) A positive Dividend at the time of buying.
4b) No effect when the company cancel the treasury shares.
4c) It is negative Dividend when the company sell the treasury shares back into the market.
4d) It is bonus units when company distribute treasury share as "share dividend".

I do not expect prudentinvestor can understand this.

observatory,
Yes. Share Buy Back is equivalent to Dividend Payment.

prudentinvestor，
A) Pay 31.5 sen cash dividend, Money out from the company = 31.5 sen / share.
B) Pay 40.0 sen dividend with DRIP, Money out from the company also = 31.5 sen / share.

The above both cases A and B, company pay out the same amount 31.5 sen / share,
But you choose to believe that the DY are different, 5.72% and 7.27%,
Halo, who is magician? The company or the shareholder?

prudentinvestor,
I already told you, Selling Bonus / DRIP units = Selling your equity because of dilution.
So difficult to understand meh?

If you own 10 lots of RHB, and it give out a 1 to 10 bonus, you would receive 1 lot free.
You decide to sell the bonus unit and collect cash money,
Would you consider the cash money as dividend?

Same apply to DRIP lah, the cash you receive from selling the extra units is not dividend but actually selling your equity lah.

Hahaha.......prudentinvestor,
If you want, without DRIP you also can dispose part of your shares and claim DY = 7.27%.

It is OK if the company want to pay out less cash because of want to use it some where else for better purpose.
1) It is OK to declare 31.5 sen, everyone understand that the DY = 5.72%.
2) It is also OK to declare 40 sen with DRIP, as long as we understand the Real DY is still the same 5.72%.

However, there are some problem with DRIP:
1) Unfair to the relatively small shareholders, it create unnecessary odd lot, if you opt to round down to the nearest 100 units, then you lost out some value.
2) Worst for the very small shareholders, for example, Last time I read prudentinvestor wrote that he never opted for Maybank DRIP because not worth it. Not worth because of the troublesome or odd lot? Or not worth it because the stamp duty plus service charged by Boardroom = RM15.00 is greater than the discount?
3) For my case for RHB DRIP, I opted for DRIP because after round down to the nearest 100 units, my take up rate is 97.6%, which is much higher than the overall 85% take up rate., I did not calculate but I think worth the RM15.00 cost.

However, if the company already confirm paying dividend with DRIP. Unless your holding is small that not worth the cost of doing so, please go for the DRIP, then decide whether to keep or dispose the extra DRIP units.

In the BOD meeting,
CFO reported that the best dividend amount to pay out should be around 31.5 sen per share.
Director A asked: Can we pay out higher dividend, say 40 sen per share?
CFO replied: If we pay out 40 sen, next year we may face some cash flow problem.
Director B said: We don't care, you are highly paid, you go and think of a way.
CFO suggested: May be we can pay 40 sen with DRIP, the actual cash dividend payment will be 31.5 sen only.
Director C asked: How sure are you that shareholders will opt for DRIP?
CFO answered: Just give maximum discount.

Finish meeting, and all go for happy hours.

Come on lah, you can't even understand what is dilution due to DRIP.
RHB could give you 100 sen dividend with all DRIP,
And you would believe the DY =18%.

prudentinvestor
Do not pusing pusing like a snake, please lah.

The 2.5% dividend guaranteed by the Malaysia government is only applicable to the conventional account.
No such guarantee for the Shariah account.

I think prudentinvestor don't know about this, if he know, he would have said 2.5% instead of 2.0%.

Don't you know that for conventional account, EPF must pay at least 2.5% dividend?
Unless you are saying both EPF and the Malaysia government become bankrupt? You said it, I dare not to say that.
You are so ignorant meh?

RHBBANK dividend before 2021 were lower because no DRIP.
When there is DRIP, the hard Cash flowing out from the company is less.
If RHBBANK really want to paint a picture of very high DY, it can actually declare a yearly dividend of 100 sen.

Simple job, just make the whole lot of that 100 sen dividend can be DRIP,
The Fake DY= 100 / 550 = 18%
But the Real DY = 100 * 15% / 550 = 2.7%

Then some simple minded will grumbling even louder why DY = 18% but price can not move up?

CIMB and MAYBANK already gone up, but why can't RHB also fly?
Why ha? Dun know lah,
But base on yesterday closing,
CIMB Real DY = 6.2%
MAYBANK Real DY = 6.0%,
RHBBANK Real DY = (30+10*15%) / 550 = 5.7%.

EPF own RHBBANK 1.77B * 5.50 = <10B.
EPF Total NAV is now >1000B
If RHBBANK screwup, EPF Dividend will be lowered to 2%???
You must be joking.

Hahaha...
So many simple minded people believe that DRIP applicable Dividend is real Dividend.
They cannot understand the effect of dilution meh?

People come here to read/comment, may be with different agendas.
I will be a liability to some of them.

It is my freedom to voice up and provide my opinion.
If you want to argue with me, no problem, but up to me to respond to you or not, or you can just skip my comment.

RHB has already flown one time when it started increasing dividend to 40 sen with DRIP, which many people think it is a real increase.

What making fuss?
What fooling around?
I have explained in details why its DY is actually around 5.7%.
This is freedom of opinion.
A company implement DRIP may be is because of one or more of the following reasons:
1) Not much cash to pay dividend.
2) Have sufficient cash but do not like to pay out cash.
3) Have plenty of cash but want to invest in new venture/project.
4) Want to make-up the DY look like very high, hoping it could pump up the share prices.

Do not confuse the less educated newbie into believing RHB DY is very high at 7.3%.
That is not real, the real DY is around 5.7%, this is already high and good.

Fact #1 :
RHB paid 40 sen dividend only after they started DRIP.

Fact #2 :
The portion of dividend that could be DRIP is actually an useless mini scale of bonus issue. If you choose to sell the bonus units, then your holding will be diluted.

Out of the 40 sen, only 31.5 sen is real, the balance 8.5 sen is not real.
1) If you want to receive that 8.5 sen Cash, you are selling off your ownership in term of percentage.
2) If you want to maintain the same ownership in term of percentage, then you would not have that 8.5 sen cash.

Real DY = 31.5/548 = 5.75%.
5.75% DY is already very good, why still want to cheat yourself?
Or you can not understand at all what is dilution?

Hahaha.
Don't you know that before they started DRIP, the dividend were much lower than 40 sen?
The magic is that they could give higher dividend because of DRIP, so the the 40 sen dividend is not real.

Hahahaha....
You still dun understand what is dilution. 😀😀😀

Very funny lor,
You calculate fake DY by 40/550=7.27%, I calculate 100/550=18%,
What is the difference? 😀😀😀

You are the one who calculate the fake DY that way lor.
Total Dividend 40 sen, price 550 sen, fake DY = 40/550 = 7.27%.

Hahahaha......

RHB could actually give out 100 sen Dividend to make you happy.
No problem at all, just make all the 100 sen applicable for DRIP at 10% discount.
Base on 85% take up rate, RHB need to pay out 15 sen Cash only, the rest are all extra new shares.
Then the market calculate the fake DY to be = 100/550 = 18%.