time to accumulate!, page-25

Well I differ from both of you - I measure my performance weekly against the index. Its a benchmark and in fact each week I see whether I am in the market for more or to re-balance.

That discipline , includes a short term view , a medium term view and a long term view.

I however think that shareholders that dont care what the share price is are short sighted. My reasons are as follows:

If management dont keep active the flow of news the share price drifts down that means that the market may well be not fully informed - any deal done is normally done on the basis of a small discount to current price or if vendor accepts shares at a price around the share price. That has a material impact.

Essentially if PGC were to find a deal that they wanted to conclude today and they needed to issue shares or cash they would struggle to issue those shares to Sophs at 37c and if they issued them to the vendor the vendor would not value them at 37c.

Then there is the psychology of the vendor who took a part of his purchase price in shares @37c and now is facing the reality that it is valued less.

Then there is the SOPHS who took up equity @37c who often are investment houses looking to perform and that performance is measured either daily , weekly or monthly. If the market is climbing and this is dropping it effects their performance.

I would suggest that if the share was 42cents today - which by the way is where I think it should be the newer shareholders would not be underwater - Being underwater nearer the tax year end could put a lot of pressure on the share price.

Dont underestimate sentiment and time. Time without share price movement is a cost and I value my performance by income and share price movement.

I think the share price is only irrelevant if you dont measure your performance and its all your own money. even then the markets irrationality may also make it harder to do a deal - If you are on say a 3 PE an acquisition may well cost you more and reduce earnings per share.

Any way Caketin I think you may have missed the boat for now but I think after the DRP and again towards tax year end you may well have another chance.