Do the big boys know more than you?

Today, ANZ went as low as 21.87, probably driven down by shorts. Sure it recovered a bit... to close at 22.42.

I sold almost all of my holding at 33.00 on the way up only to see it go over 36.00.  (entry price 14.60) At the time I kicked myself for missing out on  that last 10%.  Now, I look upon my exit as a great escape and it will be a pleasure to pay the capital gains tax bill.

I see others on this forum pointing energetically at the 10+% dividend & franking.  In a zero or near-zero interest rate world, that is an astonishing yield.  Yet the big boys have not scooped up this screaming bargain. They will have looked it over every which way as it is a world-scale bank.


Their fear is bad debts in all 4 big Oz banks, which are super-saturated with jumbo mortgages.

http://www.theguardian.com/business...the-issue-thats-just-a-neo-con-scare-campaign

The analysts can read the tea leaves - better than you and I. Their call: Avoid.

I have kept a handful of shares to participate in the share issue that will be required when the inevitable dud loans come home to roost.  I think this stock will go much lower, probably 12 or 14.00.

I do not short.

DYOR