Member Info for damofarl

SD235; TORG - can't answer that but as i pay no FX charge on TORO, has no interest to me.

As for being unloved, i really don't care! I suppose more interest/more small investors would drive SP/reduce NAV discount and create initial investment appreciation, but i don't think that would change the raison detre of this company, or crucially it's income (our income) or the reason i am here, namely yield and to a lesser degree, diversification. As for the companies they invest/loan to being weakened by covid, well, looking at TORO's regular reports suggests not. Paused progress as oppossed to detriment is how i read TORO's assessment. (see bottom note).

Gavster-NBC; - "I definitely think you should take the wide spread and buy TORG and I hope you'll enjoy posting your comments and start an engaging enjoyable discussion on that LSE page."

Brilliant!

Generally, this from the latest report says all you really need to know - business as normal (albeit i note the divvy RNS is late?) -

"During the August payment window, the annualised payment on NAV of the horizontal risk positions, TCLO 7, BOPHO
6 within Taurus was 13.1%, and 18.9% respectively. We continue to see strong performance in the underlying
portfolios in Toro and no deterioration in deal metrics. We also see some underlying prepayment in assets enabling
managers to purchase collateral at cheaper prices than modelled with loans trading significantly lower, this is also
enabling managers to trade out of weaker credits and replace them with similarly priced risk....."

trader76; i agree the divvy yield seems to have been missed by many (but gladly not us!), albeit there is now an element of paying out/back our market cap with only 2 years of production/income left at Kwale; that said, i personally feel that Kwale will extend again, albeit at greater cost/lower margin/lower profit. As i said before, that 2 years production and cash at hand equal SP, so any extension is free money, and Toliara a possible bounty creaming the cake.

5 major holders, holding 75% of the stock aren't blind to it, the divvys. Only time will tell, but i see little risk to my investment and much upside.

trek; on your 18/10 post..

"So like I say the sp will follow HH gas prices but will/should disconnect both up and down outside of a bandwidth. The trading range we have seen over the last 6 months is 126/140 ish

If one is invested here for income then that range should be tolerable ...."

A point well posted.

ha ha! it was a poor attempt at sarcasm.......i'll get back in my box!

The imminent dividend announcement will be no surprise, at a fixed 2c "healthily" covered by income, but be interesting to see the next progress/NAV RNS to see if the recent rate volatility is being managed, the cover is still healthy, and if the buyback is positively impacting.

It doesn't seem to be uplifting SP, but it does seem to be putting a floor on it - if all the rest is 'business as usual', buying back 10% has got to lift the divvy cover, and whilst actually liking the surety of stating a fixed quarterly 2c, has to at some point crystalise into a special divvy. Be interested in others views...

come back Opulentia, we need you to lighten the board/boost the SP.....

putup; i don't think paying out excess capital is defensive either; neither do i think holding onto it is.

i personally don't see much change in the political uncertainty here, and that discounts the SP/potential here; yes a more secure investment environment would gyrate this up in value/SP appreciation, but a worsening could just as easily decimate such.

The paying out of capital allows ONE to take a stance; take some of your investment back to surety of cash, or reinvest because you believe in better days...

Totally agree with you regarding the costs to GKP of the FDP, seemingly lost on too many here.

Agreed current SP doesn't reflect current production/environment.

straycat; whilst i'm not really interested in what happened 10 years ago,( having only been here 4) and the resource roulette euphoria of mgmt/investors then, i am interested in the now; and on that you raise some engaging questions.

I actually have a more positive view on the mgmt now; what some might see as inertia, i see as a managing of the realities; in the face of political/contractual/payment uncertainty, seemingly perpetual, why committ to further development whose environment would be similarly unpredictable? Surely better to garner/maximise the current situation. Surely better to pay our current cashflow, out of the Company (to shareholders) than leave it sitting on the balance sheet, should the nuclear option for us, of governmental nationilisation happen, whereby GPK will again be worth pennies.

Agree it should increase production incrementally, but if we were just to churn the current production into profit oil only for the next 10 years, that would allow a 10% yield ongoing; i'm happy with that, and i'm happy that the 'cluelessness' of mgmt seems proactive on such in the face of it's seemingly inactiveness to kick on.

trader76; yes - the cash in hand in tandem with the ongoing sales supports such, irrespective of costs for Toliara.

If Toliara does kick in, i'd expect (be happy) it would be the last , to support Kwale income end/Toliara cost start migration.

And i'd be happy with that viewpoint being realised - but then i'm taking a 3 year view here

capitilizer; yes its a long term hold; i won't do you wrong....

Good progress update that.

Bit of a no brainer this; 2 years profit and cash at hand equal market cap so if kwale ends, end 2024 and no further production/progress, your money back. With the prospect of Toliara thrown in for free. Happy to sit patiently.

Reading the comments that the current economic/governmental malaise is going to send this/housebuilders down shows an insular disregard to economics. The suggestion for instance that inflation/higher mortgage costs will cause chaos to house unit sales/sale prices is exagerated. Of course it will reduce, but it won't slump. It will merely reset the buoyancy of long overflattered sales/prices/profits.Yes, easy to see a drop of 20% in both unit and sale price, and ergo such a drop in profit (more as fixed costs eat into unit profit), but the SP has already reduced, is priced in, disproportionately to such a drop.

The trashing of the supply demand support fundamentals - "people can't afford the higher mortgages so won't buy" is irrational, as it disregards that even at current higher rates, for many, indeed the majority of PSN customers, it will still be cheaper than renting. The barrier, as it has been for a long time, is deposit, but then, as has also long been the case, the bank of Mum and Dad will help - not least because now their savings are throwing off more cash.

There will be no freefall in sales. If there was, rental costs would drive higher, pushing more people to buy at higher mortgage costs but still cheaper than rental.

Reset, a reduction yes. Freefall, no.

any views on GKP?

Not a fan of buybacks, invariably they only falsely flatter waning performance or trigger mgmt performance related pay/share issues.

If you are throwing off cash, throw it to all your shareholders, by increased/one off divvys .

I do like the assertion of growing divvys though..

agricore; it's a sparse board here, but thankfully ramping/deramping fluff free so welcome and thanks your contribution! You timing was fortuitous. I have found stocks in this arena have a very wide spread, but i have always took the view, based on the consistent and high dividend, that the first year's divvy would cover the spread SP loss, and then 10%+ ongoing - and so it has transpired . You managed to avoid that SP spread loss, so bravo!

Gavster-NBC; likewise, great to see you aboard. Ive been here around 4 years, precisely for the yield, and have never been disappointed. Paid consistently high throughout with only a hiatus during covid which was was done by proactive mgmt rather than concern of fundamentals/income.

Uniquely to the stocks i hold in this sphere, FAIR was actually once at a very small premium to NAV ( i always look for a large discount to protect the yield), and the recent comment exemplifies not only their mgmt of the loans/loan cycle, but their total belief in the medium to long term despite the current market/recession/interest rate gyrations and concerns. The sort of comment i'd expect from a 'ramper', or dot.com type opportunist float or SPAC. But the detail they provide, the honest fluff free updates shows it's supported by fundamentals/their proactive mgmt.

Yes i'm a big fan of FAIR; as for ..."when it comes to buybacks. They simply serve sellers, rather than holders.", whilst i generally agree with you, if like i, you believe in FAIR, sellers are selling into a NAV loss, and i'm incremently gaining when they do. In this instance, i'm willing to go with them, as i don't see the main concern that i have with buybacks - namely the 'false' inflation of earnings/triggering of share options for mgmt, and the masking of poor underlying ongoing performance.

Their recent extending of loans on either lower borrowing interest or high/higher yields, or both, in these turbulent market/economic times just shows their proactiveness/awareness/talent. And irrespective of buybacks, having fixed the quarterly dividend, i don't discount if the current income from loans trajectory continues a one off special dividend,

I found it quite perverse that a stock such as this, supposedly high risk, for professional investors only is one i never worry about and rarely look at - yet my supposedly safe/boring FTSE 100 stocks can 'lose' 10% in a week! An example being MNG which i hold that has dropped 18% in a month.. If as you have, you read the detail, take the time to understand how they operate, you realise how this is less high risk, and more predictable infrastructure style, albeit higher yielding.

Ignore SP gyrations, celebrate the unrelenting yields.

gavster/kentio; i am' over' in CLO's , and as you say they are not as complex/exotic as seemingly many think.

I was new to this arena, attracted by the dividends, and took my time understanding my first stock, their function/purpose/structure and from there subsequent stocks were easy to decide on - i actually find their reporting is both detailed and frequent and free of bumph/PR/spin.

One has to take the wide spread on the chin - i took the view , having seen their consistency, that the first year's divvy would cover the capital loss, and then onwards a 10%+ yield, and so it has transpired. What i didn't realise/expect is what a counterwieght SP wise they would be to the sort of malaise we are seeing in more mainstream/safe/vaunted stocks.

My 'mainstream' stocks, like yours Gavster, have dropped through the floor; this arena, for me has been the gift that keeps on giving. And counter intuitively, i monitor my CLO's far less than i do the rest of my stocks. And as for being a shame less followed kentio, well, in my experience - and maybe i'm just lucky - the less followed, evidenced by the few of us here and on similar CLO boards, the more succesful my investment has been.

I don't care if it's unloved/misunderstood, as long as it is profitable. Cheers

wiganwarriors; some great posts there....keep it up.

lucywu; as in life, with investing, there are always winners and losers but i'm still sad to see you've left us, at a significant loss. The honesty and openness of your posts here, has been so refreshing AND educating, and not only for it's rareness across these forums. Wishing you well with your other stocks....

thordon; i'm not sure the issue is personal tax on investor dividends, so much as tax on the company (STCM) paying them - obviously the major Malaysian shareholders don't want to lose 24% (which ultimately is in our interests). I still think the issue is that the money (company structure) is ultimately remitted from the netherlands, hence there hasn't been any prepaid tax to offset. Well see.

opu ...."As long as it doesn’t drop below £2 you will still be in the money Dividend will put cash into your balance sheet"

'The Sage of Salford' strikes again..........