In my view;
1. you have to pay certain fees as the CA progresses. If they lose the case, you will end up losing your investment and losing your fees.
2. I have noted that you are currently holdings SGH shares. CAs generally lead to lower share prices of affected companies negatively affecting the value of your current SGH holdings. This is another loss.
3. MB gets a big media exposure ( I think that is actually MB wants rather than the money), which may negatively affect the industry share of Slater and Gordon, which in turn affects SGH share price. This is another loss.
4. If they win the case, you might get something, but that will be minimal after all the fees have been deducted.
That is why, current shareholders need to think carefully whether the benefits of signing up for the CA outweigh the costs.
SGH Price at posting:
38.0¢ Sentiment: Buy Disclosure: Held
