Regarding that bear
TheSPECtacle WAS more than a little intrigued to see that uber-bear investment instrument RECM & CALIBRE (RACP) had dropped its cash holdings to less than 90%. Famously reluctant to commit to the current market, any increase in its smidgen of equity exposure is sure to be carefully monitored by investors. As at end-June RACP’s cash and money market deposits stood at 86,8%, with listed and unlisted equities at 13,2%.
While market watchers will be wondering exactly what RACP has been nibbling at, TheSPECtacle reckons much of the investment over the past quarter could relate to the company’s involvement with diamond miner Trans Hex – through an unlisted structure – in the acquisition of Namaqualand Mines.
Whatever the case, the cautious manoeuvres by RACP hasn’t been to the detriment of shareholders (not to mention market-beating). Its net asset value has edged up to 1032c/pref share from 1029c/ pref share over the March quarter.