The Lemon Fool

Wonder if anyone else has notice the massive change of sentiment over the past few months in the Growth Capital sector.

Yes, we hear investors are supposedly changing from growth to value, and that seems particularly evident here where the big drop in values is much more about sentiment, as expressed by the premium/discount, than NAV changes.

E.g. Schiehallion has had a premium drop from 59% to 3% YTD vs a NAV drop of 27% https://www.theaic.co.uk/companydata/MNTN/performance

And fun punt (I haven't (yet)) Seraphim Space has gone from a 20% premium to a 37% discount vs a flat NAV. https://www.theaic.co.uk/companydata/SSIT/performance

And there are similar stories throughout the sector. The market being a voting machine ... today at least.

mc2fool wrote:Wonder if anyone else has notice the massive change of sentiment over the past few months in the Growth Capital sector.

Yes, we hear investors are supposedly changing from growth to value, and that seems particularly evident here where the big drop in values is much more about sentiment, as expressed by the premium/discount, than NAV changes.

E.g. Schiehallion has had a premium drop from 59% to 3% YTD vs a NAV drop of 27% https://www.theaic.co.uk/companydata/MNTN/performance

And fun punt (I haven't (yet)) Seraphim Space has gone from a 20% premium to a 37% discount vs a flat NAV. https://www.theaic.co.uk/companydata/SSIT/performance

And there are similar stories throughout the sector. The market being a voting machine ... today at least.

Thanks for highlighting those. Though sometimes NAVs need a pinch of salt: where the underlying holdings are not listed, a last-published NAV may not be up to date.

As for falls, c.f. Scottish Mortgage - noone believes in growth right now! Not a substantial discount, nor ever was a big premium, because they manage it proactively, buying or selling their own shares to keep close to NAV.

mc2fool wrote:Wonder if anyone else has notice the massive change of sentiment over the past few months in the Growth Capital sector.

Yes, we hear investors are supposedly changing from growth to value, and that seems particularly evident here where the big drop in values is much more about sentiment, as expressed by the premium/discount, than NAV changes.

E.g. Schiehallion has had a premium drop from 59% to 3% YTD vs a NAV drop of 27% https://www.theaic.co.uk/companydata/MNTN/performance

And fun punt (I haven't (yet)) Seraphim Space has gone from a 20% premium to a 37% discount vs a flat NAV. https://www.theaic.co.uk/companydata/SSIT/performance

And there are similar stories throughout the sector. The market being a voting machine ... today at least.

With Seraphim Space being a relatively recent new issue, I suspect a significant slab of the NAV is still cash.

rabbit wrote:With Seraphim Space being a relatively recent new issue, I suspect a significant slab of the NAV is still cash.

The IPO cash raised had an immediate use: see viewtopic.php?f=54&t=30175 (not least the links in SalvorHardin's post).

UncleEbenezer wrote:

rabbit wrote:With Seraphim Space being a relatively recent new issue, I suspect a significant slab of the NAV is still cash.

The IPO cash raised had an immediate use: see viewtopic.php?f=54&t=30175 (not least the links in SalvorHardin's post).

25% of their NAV described as "liquid resources" as at 31/3/2022 according to their Quarter 3 RNS. https://polaris.brighterir.com/public/s ... ry/wvn6d3x