Out of the blue my broker contacted me and asked whether I would like to subscribed some IPO shares of Accordia Golf Trust.
I was quite surprised because my broker has never done that in the past and normally he never bothered with small investors like myself. This was the first alarm bell.
I thought then that maybe the response for this particular IPO was just too lukewarm and they have many unsubscribed units.
I asked how many lots I can get and was told as many as I wished. Second alarm bell rang and I declined and told him that I have no money to purchase.
The outcome was really true that the public offer was undersubscribed. It was just approximately 0.7 times subscribed and it was such a long time since an IPO was undersubscribed.
The most likely scenario is Accordia Golf Trust will be a submarine when it starts trading.
I think many people will probably get burnt, especially those who applied 50-100 lots and thinking that they will be allocated only a few lots.
Saturday, 26 July 2014
Wednesday, 2 July 2014
|No.||Stock Name||Lots||Portfolio%||Avg Cost$||Breakeven$||Market$|
|AIMS AMPI Reit|
Dividends collected in Jun: $138.50
2014 avg dividends/month: $425.83
An interesting coincidence that my top three holdings are exactly the same total amount.
Poor dividend intake for June and also coming July. Can't wait for August to come...