Moneypig,IMF is on the cusp of a big increase in profitability....

Moneypig,

IMF is on the cusp of a big increase in profitability. The market knows this and has bid up the IMF price despite earnings being very ordinary over the past few years. The sharp increase in profitability will occur once Fund 1 is closed and be ongoing for the foreseeable future (three to four years).

Investing in IMF has the huge advantage that it does not really matter what is happening elsewhere in the world (caronavirus, levels of interest rates, economic activity etc) its profitability is predominately determined by their case success. Of course, when shareholders get nervous about things like viruses, the IMF share price falls, however, ultimately as share prices follow profit performance if you are patient you should be well rewarded by buying IMF now when others are nervous.

One risk is whether IMF win the two remaining 'big' balance sheet cases. Wivenhoe and Westgem. They seem to be in front so far as they won Wivanhoe before it was subject to appeal.

The above is just my opinion.