Posted by hooi > 2013-12-11 23:29 | Report Abuse

Short-term investor or speculator want to narrow the gap between share price and NAV quickly so that they can take profit. Icap.biz bhd will give long-term investor or shareowner high return when liquited in 2020!

Posted by kcchongnz > 2013-12-12 07:11 | Report Abuse

High return if kept until 2020? Really? What is your basis of saying so? In relation to the broad market?

Lets check the data. The last 5 years, icap NAV rose by 100% whereas share price rose from RM1.34 to RM2.35, for 75% gain. The compounded annual rate (CAR) of return of the stock is 12%, not too bad. However, the broad KLSE grows from 876 to 1843, or 110%, or a CAR of 16%. This implies icap share price underperformed KLSE by 35% in the last 5 years, or 4% a year.

What about for the last one year? icap's NAV rose by 2.7% and its share price dropped by 0.8%. However, KLSE gains 11.6%.

So what makes you so sure that icap will provide you with high return till 2020 in relation to the broad market?

Posted by Fat Cat Tim Buddy > 2013-12-12 07:27 | Report Abuse

hooi! if u listen to me and advise ur boss to buy 5% inari, now icap already can reward it shareowner la, need to wait till 2020!?

Posted by sense maker > 2013-12-12 18:19 | Report Abuse

If many companies are traded below their Net Asset value, so should icap be unless its fund manager, TTB, can demontrate investing prowess expected of him and start paying dividend to convince investors to value icap at book value or a premium. In the long run, market is a weighing machine and this principle applies equally to icap.