Wondering whether to dip into that term deposit and pick up some shares in our state owned enterprises beginning with Mighty River Power?
Financial writer and advisor Martin Hawes will share his three-stage process for investing as well as answer your questions about the share offer process.
It remains unclear when the initial public offering will take place however now is the perfect time for investors to study up on the issues and prepare themselves.
Join the discussion as a registered user on interest.co.nz or as a friend of interest.co.nz on Facebook.
Martin can not give personalised investment advice but is able to discuss in general terms the IPO process and some considerations for whether it makes sense for you.
9 Comments
Well if you can demonstrate that you own it, yes. Perhaps "using a document" may be fore appropriate. However don't expect police to act, it is likely you would have to submit a private prosectution under the crimes act. Could be done however, wasn't it Trevor Mallard that was charged with assault that way?
Would be damn interesting to see it tried.
Some comments and questions for Hawes below
I cant wait , but it depends on the price / yield , it must at least be better than Gilts ( Goverment Bonds) and way over the current bank deposit rate.
In other words for me this would need to be a yield of the current inflation% plus , say 6%.
It would then give me a net after tax yield of around 5% for me to be happy , anything over that and I would be delighted .
What forward yield does Hawes see?
Personally , I dont see sparks in the price after listing , because Parastatals take time to transform from fat- top- heavy bureacracies to slim profit driven entities.
What is Hawes view on initial post listing price movements ?
Given my view about quick profit taking would one need a very long term view for capital appreciation?
Is this an accuratre assumption and given the recent scams in Feltex, Allied Farmers etc , are SOE's the likely to be the kind of share you can put into the bottom drawer and not worry about or forget about ?
I think it this is a brilliant opportunity to invest in NZ would be really dumb for Kiwi's not to invest in their own infratructure instead of buying shares in Austrlalian oil pipelines and stuff like that .
What is Hawes view?
From year zero we are told to borrow to buy income generating assets...why sell the net that catches the fish unless you desperately need the money for something else? - especailly when we already own those assets...it's against the grain for me...won't be buying on principle...
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