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| Feb 20th 2008, 16:30 Neophyte Republic |
Best Investment Yet | |
| Given the fact that CapEx is going to buy the SLW shares back @ 1L per share the SLW is the best investment on the site. Its the only one that will certainly gain 60% over time. | ||
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| Feb 20th 2008, 19:05 Insouciant Yue |
Re: Best Investment Yet | |
| I heard that.... but the Official Prospectus (released a day ago) just says "buy back eventually at 20% over the Market Value". Any shares you had converted were converted at 1L. If you buy some now when the price went down, it's your speculation. But I don't see anything that will necessarily say it must get back up to 1L/share for the market value. Of course, if you do see it go to 10L/share and the buy-back gives you 12L then that's very very nice! (I put my funds into other stocks during "decision week", and I've moved more Lindens in and bought other stocks for what I think are good investments when some needed to sell out.) Anyway, I hope your investment (and SLW) works out well as I hope my analysis and picks do for the ones I bought more into. |
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| Feb 21st 2008, 03:00 Arbitrage Wise |
Re: Best Investment Yet
Edited by author Feb 21st 2008, 03:00 |
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| Neophyte - thank you for the support. Insouciant - if we're ever to take SLW private, the final buyback would have to be at least 20% above trading prices (but still has to be above 1.03). I just kind want to throw this discussion out there to hopefully move forward and work together to rebuild SLWallet. In the prospectus, I've wrote: "If we can reach these goals, we should make roughly 2.4M a month on revenue. Based on a real world 3-year valuation and assuming a monthly expense of 400,000 per month, SLWallet is worth around 72M (2M x 36months), which is relatively cheap for a company that has such brand awareness in SL." I would like everyone's inputs on some of the businesses that we've started. Can we reach our goal? Suggestions? Recommendations? I know they'll be people out there who still doubt us (without even giving us a chance). However, I'll tell them this - IF (a big IF) we do get out of the credit crunch, I'll use my personal profits FIRST to reimburse you for whatever you lost for dumping your shares. All I ask is that we keep this thread complaint-free so that we can have a productive discussion. |
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| Feb 21st 2008, 05:16 Ivan Halfpint |
Re: Best Investment Yet | |
| Hi Arbitrage, I am not going to form an opinion on the eventual performance of SLW. To me in fact it is irrelevant. From what I understand you will pay shareholders back a minimum L $1.03 when their invested deposits become liquid by purchasing SLW shares. So I just have some easy straight to the point questions so that former depositors know exactly where they stand. What is the amount of deposits that have not been honored? What is the current value of the deposit investments? Please post a complete list of investments that depositor money is invested in? What is the rate of return expected on each investment? What is the expected date of maturity on each investment? Thanks in Advance, Ivan |
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| Feb 21st 2008, 07:38 Yanik Lytton |
Re: Best Investment Yet | |
| I'll just throw in another question: Looking at the volume and price of SLW since the conversion, how will you be able to honour the minimum price of 1.03? Don't you think that investors will line up at 0.90 to get a neat profit? And round we go again. Won't the gap stay between 0.70 and 0.90 for ages? Just how will the bank depositors be able to get 1.03? Yanik |
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| Feb 21st 2008, 09:21 Insouciant Yue |
Re: Best Investment Yet | |
| >>Insouciant - if we're ever to take SLW private, the final buyback would have to be at least 20% above trading prices (but still has to be above 1.03). Ok, I'm sorry I missed that 1.03 explicily but I see where you have it being at least reimbursing the exchange transaction percentage and the 1L/share convertion). I should add that I didn't mean my post to be disparaging, though re-reading it sounds like it. I do think you are doing all you can but that you were severely crippled in what you could do -- the hemorhaging of liquid cash by the bank run caused by the FUD (Fear, Uncertainty, & Doubt) in how LL "announced" the new policy. I have not pulled anything out myself, but we (wife and I) are putting in selectively -- I think there are some sound values out there on CapeX. In light of my misreading, (and still believing in your dedication and faithfulness), I will take another look at getting in to SLW. |
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| Feb 21st 2008, 09:26 Ivan Halfpint |
Re: Best Investment Yet | |
| Volume and price on SLW has no impact on JTF returning deposits to ex customers. Quite simply JTF has money that is not theirs - they have decided (as far as I know without depositors consent) to hold customer deposits to try and maximize the deposit funds they will be able to return. SLW has no value and it doesn’t matter what it trades for - JTF has already stated it will repurchase shares and SLW will act the same as an IOU. Even if SLW trades for a penny JTF has an obligation to repurchase for L$1.00. The reason it is trading now at a discount is because the market sees the L$1.00 buyback as questionable and the 0.60-0.65 reflects the perceived risk. When Arbitrage answers the above questions I think former depositors will be able to make an informed and wise decision about what they should do with their SLW shares. Until he discloses fully what he is doing with THEIR MONEY and depositors do have to realize it is THEIR MONEY not JTF's - SLW is just a crap shoot. Don’t let all this talk of SLW distract people from he real question - where are the deposits – what is it invested in – what is the time frame of the investments – and how much of the deposits actually still exist. |
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| Feb 21st 2008, 10:01 Insouciant Yue |
Re: Best Investment Yet | |
| Ivan, those are good questions, and have been asked before. Some of their substance has been answered, but not the latest details. (the rest of this post is NOT directed directly to Ivan but to readers in general. Alas, many who need to know it probably won't be reading here but will be writing complaints or "so, where's my money") The following is NOT "fact as I know it", but opinion as I'm deducing: The sports arbitrage program (Juice Trading) needs some capital to work with -- take all the working capital away and it would all be a waste. (Development of the Juice Trading system cost money, and however good it may be, it would become worthless if not able to be used.) Some have said "sell the system itself" to raise money to pay back depositors. Maybe this is happening, maybe not. But the more working capital the system has to bet/work with, the better it can "pay off" when it detects a favourable opportunity. With the stock price under 1L, the "wolves" rightly see the opportunity (risk of SLW not being able to be bought back due to failure to raise the money eventually or LL stepping in). The sheep who are willing to settle for less than 1 for 1 can sell out to the wolves. (Arb is not the one "stealing and giving a smaller return than the 1L conversion", but many just don't seem to understand this -- the sheep are getting taken advantage of by the wolves with capital and willingness to risk... Arb just made it possible by doing the conversion because that was the best way ahead to be able to eventually get out and have everything settle up fairly and fully.) |
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| Feb 21st 2008, 10:16 Spm Aviatik |
Re: Best Investment Yet | |
| Sorry Insouciant, but you are missing the point completely. First people who run SLCapex took their client's money and invested them into other businesses WITHOUT ASKING THEM. That is usually called fraud. As a result people who had cash (i.e. something that doesn't change it's value over time/carries no risk with it) have now shares of SLW (i.e. something that does change it's value over time = does carry considerable amount of risk with it). The fact that SLW shares trade around 60% of its face valu only means that market priced the risk associated with the shares at 40% of the value of the initial claim. So don't blame those who are buying. They are offering a way how to opt out to people who lost their cash. Owners of SLW can't offer this. Blame those who unilatelarly coverted riskless cash into risky share. | ||
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| Feb 21st 2008, 11:56 Revolvo Rotaru |
Re: Best Investment Yet | |
| Spm -- Does any RL bank ask your permission before investing your money into other businesses? Or do you think they manufacture your interest by magic? It's not fraud - it's banking. LL gave JTF no opportunity other than to come up with a new business model on a very short notice (or just go away). I notice Arbitrage is still responding to posts; please tell me why he didn't just bail out SL altogether, leaving his depositors with NOTHING convertable. |
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