Contrarian Investor: What is the value of an illiquid asset?

clock
Contrarian Investor: What is the value of an illiquid asset?

There is a sad corner of hell reserved for those investors (me included) who spend a large amount of their time scrutinising the tables showing 52-week lows and highs for individual share prices.

Occasionally, you will find an amazing stock that has been unfairly beaten up by the market, and that might end up being a legendary ten bagger. Unfortunately, a rather more common appearance is of businesses that you once knew very well that have now received a well-deserved kicking from the market. I realise we do not tend to talk too much about individual stocks on these pages, but the travails of Britain's pre-eminent collectables business Stanley Gibbons is worth looking at. It tells us about illiquid alternative investments and the things investors should watch out for. Democrat...

To continue reading this article...

Join Investment Week

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on UK

European-focused investment grade and high yield credit have highest inflows since April 2020.

Fixed income dominates ETF flows in July

Accounted for $32.5bn

clock 08 August 2022 • 2 min read
The bank’s 0.5% hike is the largest increase since it gained independence in 1997.
UK

Bank of England predicts recession as it enacts largest rate hike in 27 years

Inflation peak of 13%

Elliot Gulliver-Needham
clock 04 August 2022 • 2 min read
Total funds under management have fallen on the previous year, down to £1.4trn from June 2021’s £1.5trn.

Every asset class suffers outflows in second worst month on record

Responsible investment holds up

James Baxter-Derrington
clock 04 August 2022 • 2 min read
Trustpilot