Member Info for gilesfitzh

@FekirTrader: I was, see post below :)

My valuation of ALGW after the acquisition:
If the new 160 million shares that are attributable to the Insurance Company are valued at 6p each (see 6/. above) and if you add the previous 240 million and new 27.5 million ALGW shares at no more than the 2p paid for the new shares then the total value of ALGW should be (160 million x 6p + 267.5 million x 2p) £14.95 million giving an sp of 3.5p.
IMO this is the MINIMUM current valuation of ALGW as the potential, which is what a share price reflects, for the Company is fabulous.
Sadly my family was unable to participate in the fund raise as we had just committed the balance of our cash to the purchase of a £4 million property in Oxford.

With this acquisition our BoD have pulled off a transformational coup – here is why:
1/. In a matter of a week or so Pello, via a couple of brokers, their clients and some TR-1 holders were OVERSUBSCRIBED for the £3.2 million fund raise to the tune of £550,000.
2/. Given that the fund raise was oversubscribed it’s good to know that further acquisitions, that are currently under review, could add a further £1 billion of AUM and add £1.5 million in annual net profits.
3/. Of the £3.2 million paid for the Parent of the Insurance Company, about £1.45 million was a cash swap as $2 million remains as the permanent capital of the newly acquired company. This means that ALGW have only paid some £1.75 million for the Parent Company of the Insurance Company with about £200 million of AUM and which is making an annual profit, to ALGW, of about £335,000 (95% of $487,000).
4/. This additional £335,000 net profit means that ALGW should pretty much be at break-even which, I am sure, will calm a lot of Investor nerves as ALGW shouldn’t have to raise more cash for operating costs.
5/. The Insurance Company, while owned by a Private Company, was not able to command the sort of Valuation that it should now be able to as part of ALGW, a listed plc. Similar publicly quoted asset management companies, such as Westwood Holding Group (AMG), Westwood Holding Group (WHG), Sivercrest Asset Management Group (SAMG), Diamond Hill Investment Group (DHIL) have an average 29x P/E ratio. You should also bear in mind that none of those asset management companies have the regulated licence(s) that ALGW does in order to provide insurance based wealth management solutions.
6/. Some 160 million shares have been sold in order to acquire the Insurance Company’s Parent. 95% of the Net profit, ALGW’s share, is expected to be £335,000. This is an earning per share of £0.0021, which, at 29x P/E, would give a share valuation, for the Insurance Company, of just over 6p, 3 times the investment.
7/. ALGW and it’s subsidiaries now have at least £220 million in AUM which may very well allow the current investors in BOAGF to increase their investment as well as a good probability of cross pollination from the Insurance Company’s clients to BOAGF.
8/. The life insurance license provides opportunities on a global level to attract investors into Alpha’s funds, increase AUM in longevity assets, source clients for longevity risk coverage and relationships in the reinsurance market. All of these strategies generate sticky and predictable income which, when combined with a lean operating structure, will generate substantial profits.

Here is my post from 15th January explaining GS and his attitude to PR/Comms:
What everyone needs to understand is that GS considers ALGW to be his and only his baby. In his mind HE is ALGW. He knows what the AUM is day by day but he's just had the Fund performance figures given to him for 2020 so he publishes them without giving a second thought to how the shareholders, who are unaware of the current AUM, will react. He is utterly convinced that ALGW will be fabulously successful and doesn't understand that some of the shareholders might not be quite so convinced. He truly believes that if you don't have complete confidence in him personally then, not only should you not be a shareholder but if it was up to him you wouldn't be allowed to be a shareholder.

Patience people :) Sometimes things take longer than expected. Let's see what tomorrow brings.

@bots: I find tea leaves to be more accurate than charts :)

Meh, churn is 1.3 million shares so far, value about £26k. MMs playing games pulling in momentum traders, ignore it.

@jgj99: Your comment from 13th January = I have sold out & not going to get back in. Why are you still commenting here?

No TR-1 reported. Maybe the new TR-1 holder doesn't understand that he/she has to copy the form to GS for submission to the LSE.

TR-1 from Marcus?

What everyone needs to understand is that GS considers ALGW to be his and only his baby. In his mind HE is ALGW. He knows what the AUM is day by day but he's just had the Fund performance figures given to him for 2020 so he publishes them without giving a second thought to how the shareholders, who are unaware of the current AUM, will react. He is utterly convinced that ALGW will be fabulously successful and doesn't understand that some of the shareholders might not be quite so convinced. He truly believes that if you don't have complete confidence in him personally then, not only should you not be a shareholder shareholder but if it was up to him you wouldn't be allowed to be a shareholder.

@bamb: I am constantly surprised at how poor GS is at communication though, after all this time, I should be used to it. I would have held off announcing the Fund performance figures until I was ready to announce the AUM as well which I expect at the end of this month.

@Potter79: I'm not surprised by the share price movement today at all.
Most, if not all, the short term traders in ALGW are completely ignorant about ALGW. They seem to be trying to momentum trade a share that is not liquid enough as can be seen by the hundreds of ridiculously small trades that go through. The larger trades that went through this morning, likely due to those shareholders expecting an update on the AUM, were bound to move the sp a lot - you can't expect to sell 3 million shares in ALGW in the space of 20 minutes and have the MMs just sit there and take them. The MMs dealing in ALGW have no interest in ALGW beyond making a turn on the shares traded on a day to day basis. They don't want to carry a large position either long or short as they are not in the business of investing or speculating, they just look to make money on the spread.
As they don't want to buy a large quantity of shares the more people who want to sell today, the more they will drop the sp. If they were to receive buy orders for 3 million shares throughout today the sp will go right back to where it started and they would go home this evening having had a very profitable day.
ALGW is a Company that you need to research fully, understand the potential and the possible pitfalls then, and only then, decide if the Company is one you want to invest in. If it is then buy some shares and wait patiently for the BoD to get the job done. Do not constantly watch the share price and worry about every little movement as the payoff will not really come until the Fund proves itself and one of the US financial giants buys the Company.

Does your extended family's holdings rival Mr Wards yet?

GS is not answering many emails these days, ALGW appointed PELLO to field all these questions. On the face of it, it might seem that he doesn't care about PIs but lets hope that it's actually that he is really, really busy trying to get more AUM.

The MM's post their prices for lots of 100k shares, which can be seen on L2, and they have to trade at those prices IF you deal in lots of 100k shares. If you buy or sell ANY other quantity they do not have to give you the price quoted. This doesn't mean that you will ALWAYS get a worse price as they may be happy to buy or sell the quantity you want but they don't have to.

I disagree. The sp isn't going anywhere because the daily buying and selling is usually less than 2 million shares and this is because there won't be anything new until the January Quarterly Update is released. There is no reason for another placement as the Company has some £300k in cash at the moment. As I said a month or so back although the last placement also announced that there was the possibility of another 35 million or so shares that might be released by subscription when I asked if I could buy a substantial quantity of these I was told that the Company didn't feel the need to raise more funds.
So let's not have wild and unfounded speculation just because there is no news at the moment. When the deals are done GS is sure to let us know.

"bought them straight back" - well 30 minutes later.
What's with trading 20,139 shares? Do you know that the market size is 100, 000? Are you aware that this means that trading any other size leaves you vulnerable to the MMs potentially clipping you for several points as they do not have to give you their listed price?

From the most recent Corporate Update 4th November 2020:
The Company's discussion with the Warehouse Loan/Short Term Credit Facility counterparty continues and is nearing a conclusive step. The counterparty's COVID policy is limiting their ability to conclude site visits to the Company's and our servicing agents' US based offices. The Company will provide further updates as discussions progress.
So, in answer to your question - No, it's not dead and buried.

Yup, another classic example of sp manipulation by the MMs. All morning they keep the price depressed and weak holders sell out 'cos they are too impatient for news, then, hey presto, at 1:15pm the MMs sell all those shares that they bought at about 2.45p to the buyer whose order they have been working at 2.70p. A quick £4600 profit, not bad for a morning's work :) Of course they don't mention this until after hours allowing them to buy up a little more stock on the cheap.