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Investment Q&A

Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.

Q: Hi there,
How confident are you in DH management to get us through the bad news and grow the business?
How does DH stack up against competition in the fintech space? What is their competitive advantage? Is their acquisition last year helping or was it a drain on capital?
What is the short position today - do you expect short covering?
Thanks!
Read Answer Asked by Heather on October 27, 2016
Q: Many analysts are now advising building up positions in the lifecos in anticipation of a Dec fed raise. Obviously, these names have performed well over the last month and this is somewhat built into the valuations. Fortunately, I had sizeable positions in PWF and MFC before the run. Trying to buy more of any on a pullback but this may not be possible. Would you advise adding to any of these three names at these levels?
Read Answer Asked by Patrick on October 27, 2016
Q: This is a new one on me. I have been investing for 30+ years and have never suffered a 40+% loss in one day in a stock and my investments have included microcaps, junior golds, etc; 40% gains in one day - yes. Question is: is this a new world? or Is something else happening? The answers you gave for the crash isn't enough to explain such a big drop. It would require a chance in the next year of major collapse or big fraud or official investigation. The company is making money, paying down debt and a dividend. So, is it possible that we are in a world where hedge funds and short-sellers can engineer such a crash in a relatively small (by U S standards) company? or is someone hiding something? Thanks again Henry
Read Answer Asked by Henry on October 27, 2016
Q: I am by no means an expert, but I certainly am an observer of circumstances.

Since joining 5i one of my key observations is, when one of your companies is under a short attack, be amongst the first to leave.

If the ship stays afloat, you're still safe, having abandoned ship. If it sinks you're off and alive to fight another day.

My observations are based on CXR, HCG and of course today's DH. Certainly this strategy would have worked on all of these.

Perhaps a good strategy for those investors with a risk averse bent.

On to fight another day!!

Sheldon
Read Answer Asked by Sheldon on October 26, 2016