Righto folks this will be my last post of this year....
First of all have a wonderful Christmas and new year and ill meet you all back here for a very exciting 2017.
Just want to leave you with some key aspects leading into 2017
1. The XEC index is making a bottom and all the money from the large caps being driven by large funds in recent weeks will start trickling back to the smalls caps in early Jan in which happens to be the biggest beneficiary of higher bond yields which will happen in 2017. "It's all in the money flow".
http://www.acuitasinvestments.com/insights/Acuitas_RisingRates.pdf
"A review of performance in both the US and Non-US markets demonstrates that periods of increasing interest rates have on average resulted in higher returns for Microcap and Small cap versus Large cap. Furthermore, the relative returns generated during these periods were greater than the long term relative return premium associated with investing in Small and micro cap. One important factor influencing these returns is the lower levels of debt. Rising rates often occur during periods of economic growth where some of the greatest opportunities to leverage the improving economy is through smaller stocks. Larger stocks with higher levels of debt and lower growth rates have not historically kept pace. Another factor is the benefit of investing in small, higher growth companies with leverage to an improving economy, which is often the case during periods of rising interest rates. Despite the market volatility in the third quarter of 2015 that we have seen, global rates remain low and the potential for yields to trend higher over time seems certain. While we are unsure about the timing of higher yields, we remain confident in the prospects for small and microcap stocks globally in a rising rate environment".
NTI is not only the most attractive in terms of value on the small caps but its execution of business plans is spot on so expect large funds to love this one as they get to over 145K units within 24 months and this is conservative. When the market see's this happening look out we will have this indication and SP raise within 4 months from now as the market is always ahead and as you know the sale and susciption model for 145K units is a SP multiples upon multiples from here.
2. The FDA email has been looked at and Wolfgang and the crew are discussing before any return email. Something is definitely happening here and off course when i know ill pass ti on. The best bit about this is if this can be expedited which i think it can you can throw your 145K units out the window for a even more amazing figure like in 300K.
Cheers bonkers
