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PAI - Platinum Asia Investments

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Platinum Asia Investments Limited (PAI) has been established to provide investors with a convenient means of gaining exposure to the fast growing equities markets in the Asian Region (ex Japan) and to take advantage of the investment opportunities it presents.

The investment objective of the Company is to provide capital growth over the long-term through investing primarily in undervalued listed securities of companies in the Asian Region (ex Japan) across all sectors. In doing so, the Company aims to achieve net returns over a five year plus investment horizon that are in excess of the benchmark MSCI All Country Asia ex Japan Net Index.

It is anticipated that PAI will list on the ASX during September 2015.

http://www.platinumasia.com.au
 
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Interesting. This morning, options to buy PAI at $1.00 (expiring 17th May) were trading at 0.4cents ($0.004). Meanwhile, PAI opened at $1.00.
I picked up a modest position here on the open as a result.

Given the underlying NTA of this is $1.063 (pre-tax) per share, even if all options are taken up, this becomes $1.0315 per share.

On balance, this seems like a low cost bet with odds in my favour. I might end up regretting it, but it's a relatively small position.
 
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Interesting. This morning, options to buy PAI at $1.00 (expiring 17th May) were trading at 0.4cents ($0.004). Meanwhile, PAI opened at $1.00.
I picked up a modest position here on the open as a result.

Given the underlying NTA of this is $1.063 (pre-tax) per share, even if all options are taken up, this becomes $1.0315 per share.

On balance, this seems like a low cost bet with odds in my favour. I might end up regretting it, but it's a relatively small position.
interesting: where do you trade your options on PAI, none was available on belldirect.You are using CFD?
 

Dona Ferentes

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The Quarterly review is out; for an Asian exposure, PAI seems to be doing OK
.... though, as a LIC, its trading at 96c with a latest NTA of $1.12
From our perspective, economic risks emanating from the spread of coronavirus and containment measures instituted were always going to significantly dampen economic activity. In contrast, market sentiment early in the quarter was somewhat complacent. We acted quickly and reduced our net exposure. By the end of February, PAI's net invested position was lowered to 55% (from 90% at the beginning of the year) by liquidating positions and putting in place a range of short positions on stock market indices to hedge against market declines.
Exposure to South Asian stocks was drastically reduced, particularly India, with the gross (long) invested position reduced from 11% to 4% over the quarter. The impact of the virus is expected to be greater in countries that lack the economic capacity or organisational ability to contain the spread and deal with the fallout.
China, Korea, Taiwan, Hong Kong and Singapore have shown an incredible ability to contain the spread of this virus within their respective countries. People’s lives have returned to various degrees of normalcy. While we reduced exposures to these regions early in the stock market panic, positions in these markets have since been reinstated at more attractive valuations.
 
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Was getting interested by PAI after this thread but then saw it was invested 52% China - instant turn-off personally. Also invests ex Japan. As an aside, I don't understand how it is "taxed at source" but PAI can distribute available profits to shareholders in the form of dividends, usually fully-franked.

Screenshot_20200421-215330_Drive.jpg
 

So_Cynical

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Platinum is a smart active manager, arguably the premier managed exposure to international markets.
 

Dona Ferentes

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The 2020 financial year can be broken down into three distinct investment performance periods, as follows:
 The eight month period from 1 July 2019 to 29 February 2020, during which the Company’s investment return of 8.3% compared favourably to the Index return of 7.8%.
 The month of March 2020, during which the Company’s investment return was negative 1.2%. There was a steep sell-off in markets, resulting in an Index return of negative 7.4%. Actions taken to protect the portfolio during a highly volatile period, including shorts on stock market indices and higher cash holdings, helped the Company’s investment performance.
 The three month period from 1 April 2020 to 30 June 2020, during which the Company’s investment return of 7.0% exceeded the Index return of 3.7%. The Company’s investment portfolio was well positioned for the market recovery during this period.

The Company declared a fully-franked final dividend of 3 cents per share, bringing the total dividends declared for the 2020 financial year to 5 cents per share. This represents a dividend yield of 4.95% based on the closing share price as at 30 June 2020
Platinum is a smart active manager, arguably the premier managed exposure to international markets.
and franking on international shares, un atout.

(Hold)
 

Dona Ferentes

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Since PAI was begat from Platinum some 5 years ago, it has travelled a similar path to the mothership, PMC (in light blue). As a value investor trying to position itself on the Asian century, it hasn't really enjoyed the lift one would expect. In fact it has been marked down as investors look for the growth stories and IPOs. Furthermore, the underperformance as shown by the shareprice has come from trading below its NTA for most of the time. Hovvever, the last few months have seen a lift for PAI (dark blue) while the more international ((US and Europe-focused) PMC has struggled, and shown no sign of recovery since the Covid turn-down.

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