Does any hold Schiehallion fund in their ISA? I found it in T212 but it doesn’t seem very active, the numbers are grey and there’s no chart available… does anyone know what’s going on with it?
@Dougal1984 does, he’ll give you the lowdown.
I’ve been tempted to add it too but I have exposure to many of the companies via other BG trusts, which are cheaper, tighter in terms of premium/discount and spread, and much more liquid.
Well it has on average say 15-20 trades a day, and trades around a 40% premium to its NAV
Then there is also MNTC, which IIRC is only 32% invested but trades at a 30% premium to NAV
So you have the choice of either, but remember the premium you are paying to get it.
https://www.theaic.co.uk/companydata/0P0001H5AC
Alternatively this award winning Schiehallion is trading at par:
Been trying to buy this for a few days now, no success. Will the order go through quicker if I buy fewer shares at a time?
No the liquidity is quite poor on this hence the premium to nav.
Does the low liquidity worries you, when you would want to sell your shares?
Specially during selloffs or troubled markets? (with a lot of sellers and few/no sellers)
Not in a long game no.
Look up the history. It was initially launched to high net worth investors only, with a long term mindset. It launched 2019 but only got added to 212 in June if memory serves right.
If you’re worried about liquidity, check out CHRY that launched a year earlier. There’s some chatter on that one in the Jupiter thread.
Some or most ITs have some liquidity issues, I don’t know if that is because of them and/or the stock exchange segment they are in. Or even due to their market makers or their nonexistence.
Due to that I have some reluctance in investing in ITs, although I find some of them, interesting financial instruments.
Thats like saying it may or may not rain where you are tomorrow
Nope, Dougal.
May or may not rain is a binary reality/probability, that mutually excludes each other. And it has only 2 possible outcomes. (Statistics)
And some or most of a “thing” that have some specific characteristics isn’t a binary outcome.
It could have various possible outcomes:
- “some” could be any number of observations
- “most” is a majority, it could be a higher majority of number of observations (almost 100%, if it was “all”, it would be 100%) or a lower majority number of observations (50.xxxx%)
Back to ITs’ liquidity, they have several liquidity degrees, some are more liquid than others, e.g. SMT vs. MNTN.
Having only one stock exchange and in GBP, that limit a quite the liquidity. Also knowledge and/or information about ITs outside UK is rather small.
Let’s agree to disagree on this one.
Is MNTN slightly more de-risked now after recent price drops?
I’m trying to avoid China where I can, so not a fan of their 8.3% ByteDance position. But The Schiehallion Fund is too interesting in the grand scheme of things.
MNTN has certainly had a fair ol’ re-rating, down 60% in share price terms and swinging from a hefty premium to a 40% discount.
I’m increasingly tempted to add this. MNTC shares are due to covert over the next 12 months too.
The lack of liquidity is a concern though. There may be further short-term volatility to come, but now seems like a good time to open a long-term position.
Anyone else still waiting on their MNTC being converted to MNTN?
MNTC shows as sold for myself on September 13 but no sign of MNTN being added.
Edit: turns out I need to pay more attention. There’s no entry in the instrument history but they’ve all been added.
We’ve reflected the corporate event and distributed the MNTN accordingly
I’ll check your account and will send you a DM with more details.