Is it worth another look ?, page-4

@garrye. astute and accurate assessment and analysis. Karl has a large holding in CDM and what he must be making in management fees, he must be losing as a SH, as we are. (And you were) I can only wish that Karl had had an epiphany PRIOR to his “dabble” in ARQ and can only wonder what on earth he wasn’t thinking prior to ARQ going to approx 18% of CDM. I wouldn’t have touched aRQ with a barge pole, because I thought the business was “old fashioned and outdated” and I couldn’t see the growth........... and I’m not the smartest kid on the block ! It’s fairly easy to have a small epiphany when you lose 30% of shareholders funds, but I wonder how long (if ever) it will take to recoup SH funds. We have seen our holdings go down in the lift and I wonder what startling and amazing pick Karl will make, to make the stair climbing SP any easier. As you have pointed out, of late there hasn’t been one, and I believe your faith in your decision is probably the correct one. LICs are generally trading at a discount to NTA at the moment and if the market has a reversal, then those managers holding the smaller, emerging or illiquid stocks are going to get a hammering. CDM doesn’t need that, as well as poor investment decisions by management. I still haven’t been able to bring myself to watch Karl’s explanation of the “funds” excuses for its investment and poor returns. There didn’t seem to be any Mea culpa whatsoever and I dare say there’s not much chance of one coming ! Strange though, that the problem with ARQ is seeming to have such an effect on CDM given its small percentage of the fund. Perhaps it’s all got to do with ( lack of) confidence in the manager. (And who could blame them?)