Aberdeen New Thai - a bumpy road but is it paved with gold?


#1

For long term investors Thailand has represented a very profitable if volatile investment opportunity, with politics proving to be the most significan
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#2

The long term performance here is certainly very good here and Aberdeen are the house to invest with in Thailand and the region, along with First State. But I don’t think that right now is the best time to go in.

It is one to watch though and I’ve added it to my watch list.

Thanks for the article though because this wasn’t on my radar, partly because it’s rarely covered and never so comprehensively.

 


#3

Hmm, this is an interesting trust that not many people are aware of. I hadn’t heard of it.

The discount is at about the level they control it at so it’s not going to get any cheaper. I am thinking this is worth a punt. What’s my downside? They’ve already had their revolution.

I think buying some of this and putting it away for a few years could make loads as Thai’s get richer and their companies take advantage of this new trade agreement.


#4

This might be a good option for Aberdeen’s investment trust saving plan. If you save regularly @Lucas. Have you heard of pound-cost averaging?

 

This is where you smooth out the peaks and troughs of the market buy buying throughout the year, usually monthly, rounding out the ups and downs.

I think the discount on this makes it attractive but I’d rather be a regular buyer than a one off purchaser.


#5

They published a guide to saving schemes here a while back @Harjinder @lucas

I think this new Common Market agreement is quite an opportunity, not just for Thailand but for other countries in the region. South East Asia generally should be a good place to benefit in the next few years.


#6

I think there is just too much uncertainty with Thailand to invest whilst the market is so expensive but I agree with some of the other comments and the general tone of the article I think that this is one to watch.

I don’t know much about investment trust savings plans but I’d check the fees.

The suggestion of investing regularly on a monthly basis is pretty sound though.You can do it through Alliance Trust Savings for I think £5 per month. I’m sure other platforns would allow it too.


#7

It’s a damn shame what happened to Thailand and especially what has/is happening to the people who have voted in a Thaksin Government of one flavour or another for three elections in a row.

What this article is highlighting though is the entrepreneurial of the Thai people. This is a well managed fund though I agree with other comments about saving regularly or adding it to your buy list until the Thai stock market becomes cheaper.

Be warned though, there are plenty of opportunities coming up that this fund will profit from. It’s a very difficult thing to time the market and with the discount it’s on right now you’re already getting the market for less than the stated P/E.


#8

The situation in Thailand is intolerable Sam Smith (@Smithy101) but it wouldn’t put me off investing.

I don’t have a holding in Aberdeen New Thai but it does seem interesting though like others have said I’m adding it to my watch list for now.


#9

I agree with what has been said about how unfortunate it is for Thai people but from an investment perspective I think it looks pretty good from a long term perspective.

 

I think it is wise to drip cash in to this. I bought just over £2,000 worth today to dip my toe in the water, with a view to gradually increasing it over time.


#10

It’s got such potential this fund so definitely one to add to the watch list. It’s long term performance figures are bloody impressive.


#11

I have done business in Thailand and it is a place with so much potential, even more than this article suggests.

The problem is the relatively well off don’t want to share much of it with the poor. This part of Thai society is in denial, it’s really hard to even have a serious discussion with them about it.

On the flip side Thai’s just generally want to get on and they’re very entrepreneurial. This fund is not without risk but there is such an opportunity to make serious profits but it’ll be a rollercoaster guys.


#12

This share is an out and out gamble, not what I would call an investment. A single country fund, in an unstable country, with dubious financial regulation. I have a holding in the far more diversified Aberdeen New Dawn IT, which has less than 5% Thai exposure and has the boots on the ground to move money in and out with more knowhow than me sitting in a leafy UK suburbia. If more exposure is desired the Aberdeen Asian Income Fund has about 10% in Thailand.


#13

It is certainly high risk @rogerdecrecy, evidence of that is the low allocation to Thailand that the other Aberdeen funds you mention have made. But there is a risk/reward potential and people such as myself who with a relatively small part of their overall portfolio they like to take some calculated risk with a fund like this is very interesting.

Aberdeen New Dawn IT is certainly a great fund too. It would be good to see that reviewed WhichInvestmentTrust guys.


#14

@casper. Good luck with your side-bet. I get my thrills from the monthly premium bond draw, with no risk to capital, apart from inflation. I do feel it is important that casual readers realise that this is far from a widows-and-orphans share, which, once bought, can be safely ignored for years.


#15

It too risky for me too and I believe for most ordinary investors as @rogerdecrecy implies.

Aberdeen’s Asian Income fund (not familiar with New Dawn trust), or First State Stewart’s Asia Pacific Leaders or Scottish Oriental investment trust are what I would choose for exposure to the region.


#16

Due to its income mandate, AAIF can be expected to have a higher allocation to Australia than other trusts in the region - usually around 15%-20% - and this might not quite be the type of exposure that is expected.

 


#17

They will be investing in Oz for the income @ArkWelder. Personally, I wouldn’t mind that if it was an income fund and I was after income but if a non income focused Asian fund invested in Oz I wouldn’t want that.

It’s not exactly what springs to mind when you think of Asia.