Window of opportunity to get Buy-list recommended Witan on a discount


#1

Originally published at: http://whichinvestmenttrust.com/window-of-opportunity-to-get-buy-list-recommended-witan-on-a-discount/
The Board of the low cost fund-of-funds trust has acquired a large tranche of shares from an insurer that it’s selling back to investors, temporarily depressing the share price. The Witan Board (LON:WTAN) has purchased the 15.8% holding owned by insurance giant Aviva, which it acquired through its acquisition of Friends Life at a 6.5%…


#2

Not good news for the investment trust sector that one of the biggest investors is pulling out. I think it is short sighted on the part of Aviva. I bet the boss of their investment business who has made this decision has never invested in an investment trust in his life (no doubt it is a he).

He’ll probably be gone in a year or two and will have invested the money in to lower long term performing assets.

Not a bad opportunity however to pick up a holding in Witan on the cheap.


#3

If we go for Brexit in the European vote I could see all discounts widening so I’m not sure it’s a great time to be buying a trust right now, even though I rate this one.


#4

That’s true @jonno, but if you’re a longer term investor picking up a holding in Witan in any meaningful discount in relation to where it’s been recently is surely a good thing.

I can’t say I’ve examined Witan closely but they seem to be a big fan of it at Which investment Trust . com, if they’re right it’s probably a good opportunity to buy at a good price.