Ann: Net Tangible Asset Backing, page-7

Hi Egordemon.

I see no reason to expect an NTA discount of 10% - 15% in the SEC share price. That is the long term position.

Yesterday's 20%+ discount was, lMO, totally attributable to the massive impact of the b big seller and the shock to small holders.

Moving over 1m shares in a single day was huge.

The daily price fall of yesterday's magnitude was one of of the box.

Small caps are in the dog house. Spheria are present on the register of many of my direct holdings hence l am positive on their investment style though they have made some blunders in the last 12 months.

I only entered the stock a couple of months ago, expecting to dollar cost average in over the next 12 months. Have already reached 100% of my target investment by allocating a lot of cash below $1.80, a price l was not expecting to see so soon and without good reason.

As M & A continues to take out more SEC stocks, liquidity of the Fund should improve and the NTA gap may close with some capital management measures.

Until that time, l am not expecting any catalyst to change the current NTA discount. Just happy to be patient for the next year or 2 and accept 5% yield with comfort of lots of NTA head room not priced in.

GLTASH