Kenneth, I hope that MQG survives for our markets sake.However...

Kenneth, I hope that MQG survives for our markets sake.

However your analysis show a few gaps in my opinion.

The business model of MQG is built and survives on Asset inflation (this could be said about most company's but is more appropriately associated with BNB, AFG and MQG).

I am hoping that the market has discounted the result due tomorrow and MQG has a very strong day. That would not surprise me.

In the long run, MQG is a high risk and fragile. Their balance sheet has assets valued at last years prices, to me that's above real value. So as far as I am concerned, their balance sheet hasn't got the validity to rely on. This was the case for AFG and BNB.

Risk management isn't enough to keep this company alive. keep in mind that Bear Stearns, Lehmans and Merrill Lynch all had risk management sectors that would put MQG to shame but what happened to them? They went bust.

I always believe that there is a strong message in any company's share price and it never lies (makes mistakes maybe).

5 or 10 years ago, the world was a different place. We were in a time of asset inflation and for this reason stocks like MQG, BNB and AFG had massive gains and looked like they were going to orbit.

Today's world relates more to asset deflation, all asset classes are falling and this is deadly to the MQG business model. Your argument that they are a bank does not suffice. Banks make most of their money through lending. In an environment of asset deflation, less lending is guaranteed as investors don't like to borrow money to loose.

If the trend continues, MQG at $5 is not out of the question. If we spiral into hyperinflation than MQG would be a strong buy.

I don't know what may lay ahead. Be cautious with MQG until the share price tells you otherwise.