The Clime preference shares CAMPA have now fallen to 1.16 and Clime have started buying them back. Each preference share will convert to 1.39 CAM ordinaries at end April 2017 - but before then, Clime will pay a fixed preference dividend of 32 cents including franking.
Based on today’s CAM price of 0.78, each CAMPA will convert to 1.084 worth of CAM ordinaries - that is, a capital loss of 7.5 cents. So for an investment of 1.16, there is a net return of 0.245 over 13.5 months - or close to 19% pa.
At this yield you would expect CAM to be a high risk investment - however they are one of the most conservative value-based fund managers on the market. I estimate present NTA to be 0.86 after taking into account the CAMPA dilution. They out-performed the market during the GFC and under-performed during the 2010-2013 spurt - as you expect of value-based funds. They are holding almost 20% in cash, 10% in hybrids, around 17% in large overseas companies, 20% in ASX20, another 13% in ASX100, and the rest in mid- and small-cap ASX companies.
The actual return for CAMPA will depend on the CAM price at conversion. I expect CAM will rise/fall according to the All Ords index. There is no obligation to sell the CAM ordinaries issued on conversion - if the price is low, you can hold them until the market recovers - the ords have been paying 4.8 cents pa plus franking, a gross yield of 8.8%.
My opinion only, please do your own research - however I have been buying as the CAMPA price has been dropping.
- Forums
- ASX - By Stock
- CAM
- Fixed preference yield of 19% pa
Fixed preference yield of 19% pa
-
- There are more pages in this discussion • 6 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add CAM (ASX) to my watchlist
|
|||||
Last
82.0¢ |
Change
0.000(0.00%) |
Mkt cap ! $119.2M |
Open | High | Low | Value | Volume |
82.0¢ | 82.5¢ | 82.0¢ | $46.88K | 57.09K |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
1 | 6503 | 81.5¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
82.0¢ | 44144 | 3 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
1 | 6503 | 0.815 |
3 | 156107 | 0.810 |
5 | 115759 | 0.805 |
4 | 65950 | 0.800 |
5 | 31539 | 0.795 |
Price($) | Vol. | No. |
---|---|---|
0.820 | 44144 | 3 |
0.825 | 9708 | 1 |
0.830 | 105732 | 2 |
0.835 | 68325 | 4 |
0.840 | 6172 | 1 |
Last trade - 14.24pm 25/06/2024 (20 minute delay) ? |
Featured News
CAM (ASX) Chart |