We just submitted an IND - So now what?, page-65

Dugiven
Insto's generally have a mandate with a set of rules that guide their decisions. These rules vary by fund as they are based on the fund managers overall goal. For example and ASX300 Index fund will already own PAR, it has to as its goal is to track the ASX300 performance as closely as possible consequently it will need to own PAR regardless of if we go up or down. A general long only fund can only buy and hold shares (they cannot short the market and these funds out number the specialist funds such as Long / Short funds, Short ETF's (such as BEAR), Hedge Funds or Algo's. So I would say it is the specialist funds that are shorting based on Finacial fundamentals and price action of PAR (ie trading ranges). At some point they will be wrong and the short's will need to cover which will actually help our share price (thats when FOMO could set in). There are not many Bio Tech only funds (especially in Australia) however the ones that I have seen are Core Bio which hold things such as CSL. Core Bio would not touch PAR until we have an approved product. You are morelikely to see the Bleeding Edge Hedge funds such as Merchant / Capital 51 buy early and then off load to the core funds once the inital registration and price push is acheivbed. Capital 51 were brave enough (and cleaver enough) to go we will hive off their over exposure in PAR to a stand alone side fund so the investor can now make a choice if they want to exit or not (ie sell the units in the PAR fund).

My take is that we are on many radars and they are watching ready to pounce as and when we meet the individuals fund's paramaters. You see we Paradimians are bias, we have looked at the research, negated the risk (in our own minds) but amoung all we have put up our own cash. A main stream Insto is looking at the risks of the deal, the time to market, first revenues etc etc and they want perforamance today, this quarter this year so that they acheive a good annual fund return to market (and a they get a nice performance bonus as well). They have different timelines and need to perform every year, so to be told that timelines have pushed out by 1-2 years I suspect has slowed them (I also think this is why we had a slump). Insto's are emotional they arte using other peoples money and need to perform to retain funds in a very competitive market.

Personally I think we build as we move towards Registration. The path is known as was clearly setout on R&D day and if we follow the scheudle, meet the timeline we will slowely move up as CUV did before registration, time and patience are our friends. If PAR come out with left of field issues / miss a milestones or in fact fail a test we will be in for a rocky ride just like MSB.