MXUPA scares me to be honest :). I understand the market can be...

MXUPA scares me to be honest :). I understand the market can be wrong... but it sure is pricing in a LOT of risk. I know NOTHING about the company, and don't think it fits my risk profile. Furthermore, whilst they will keep TRYING to pay dividends.. there is no reason that they won't.

I can also see it trading at a "stepped up rate" for several years to come; outside of my investment horizon. So, I wouldn't expect any of my holdings to convert (June 2012 timeframe)... and, there is every chance that a safer bond like GNSPA, and then a "safe" bond like PerlsV, etc could outperform MXUPA... if you sold MXUPA at market value (quite possibly, like, $80) June 2012...

But cheers.

Balance sheety looks great for GNS... but, I guess it is susecptible to write downs. However, the stated net assets is impressive... and really makes me wonder just how risky GNS is. Why is the market pricing in much more risk to GNS than what I can see?

Is the MIS really that risky? Could GNS make an OPERATING loss in the near future? Could asset write downs of $1Bn actually occur?

Finally, GNSPA looks better value at current prices... but, I am slightly worried that I'm pricing the risk significantly differently to "the market"...

So, I picked up $2,500 of FXJPB near close today at my target price (85.52)... I have $2,000 GNSPA...

I'll soon have slightly more spare cash...
I COULD invest $1,750 more...
I just have to pick if I want a speccy (MXUPA? ERJ? CCU?)... or $1,750 more GNSPA... or a solid stock like WOW?

So many choices :)