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1-12 out of 16 results.

The catalyst for a LICs rebound

The discounts on listed investment vehicles are at historically wide levels. There are lots of reasons given, including size and liquidity, yet there's a better explanation for the discounts, and why a rebound may be near.

Why LICs may be close to bottoming

Investor disgust, consolidation, de-listings, price discounts, activist investors entering - it’s what typically happens at business cycle troughs, and it’s happening to LICs now. That may present a potential opportunity.

The fascinating battle between Nick Bolton and Magellan

Nick Bolton wants to force Magellan to pay out the 7.5% discount on the Global Fund (ASX:MGF) options. Magellan will resist as it must act in the interests of all unitholders and the cost comes from Magellan itself.

Why LICs are closing and more should follow

The heyday of LICs is in the past, when issuers paid generous fees to brokers and advisers to put their clients into new structures. Most LICs now trade at a discount and more managers should change the structure.

Why LIC discount harvesting is a buy-and-hold decision

LIC discounts can be a pain for existing investors but an opportunity for new buyers. To avoid further losses from discount widening or buy/sell spreads,  hold for the long term and enjoy the increased income flow.

Magellan on LIC discounts and fund changes

The majority of Listed Investment Companies trade at a discount to the value of their underlying assets, which may be good for buyers but annoying for sellers. Managers struggle to remove the discount, as explained on ASX:MGF.

LIC discounts widening with the market sell-off

Discounts on LICs and LITs vary with market conditions, and many prominent managers have seen the value of their assets fall as well as discount widen. There may be opportunities for gains if discounts narrow.

How can the worst feature of LICs also be the best?

Apparently, Listed Investment Companies trading at a discount to NTA are both the best and worst of worlds. They are either exciting opportunities or not in the best interests of investors. Which is right?

LICs need a genuine raison d’etre

The Listed Investment Company structure is under siege, but for the right type of asset and manager, it still carries strong appeal. Every LIC should review whether it has a genuine reason to exist in this form.

International LICs can have a fully franked future

Australian investors usually turn to local shares to generate fully franked dividends, but it is possible for a global equity fund to have the same mandate in a broader universe of stocks.

Five famous investors with cheap listed funds

Why invest in an unlisted fund by a well-known, experienced fund manager when the equivalent listed fund is offered at a substantial discount? Maybe there's a structural problem to fix here.

Managing LIC discounts and premiums

Many Listed Investment Companies, or LICs, have developed persistent discounts to NTA in their share prices, and buyback programmes are struggling to have much impact. See also the latest update on new issues in the LIC space.

Most viewed in recent weeks

Meg on SMSFs: Clearing up confusion on the $3 million super tax

There seems to be more confusion than clarity about the mechanics of how the new $3 million super tax is supposed to work. Here is an attempt to answer some of the questions from my previous work on the issue. 

Welcome to Firstlinks Edition 566 with weekend update

Here are 10 rules for staying happy and sharp as we age, including socialise a lot, never retire, learn a demanding skill, practice gratitude, play video games (specific ones), and be sure to reminisce.

  • 27 June 2024

Australian housing is twice as expensive as the US

A new report suggests Australian housing is twice as expensive as that of the US and UK on a price-to-income basis. It also reveals that it’s cheaper to live in New York than most of our capital cities.

The catalyst for a LICs rebound

The discounts on listed investment vehicles are at historically wide levels. There are lots of reasons given, including size and liquidity, yet there's a better explanation for the discounts, and why a rebound may be near.

The iron law of building wealth

The best way to lose money in markets is to chase the latest stock fad. Conversely, the best way to build wealth is by pursuing a timeless investment strategy that won’t be swayed by short-term market gyrations.

How not to run out of money in retirement

The life expectancy tables used throughout the financial advice and retirement industry have issues and you need to prepare for the possibility of living a lot longer than you might have thought. Plan accordingly.

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