Meeting:

Monthly Meeting - October 2007

 

Held at:

The Brocklebank

Date:

18th October 2007

 

 

Time:

17:20 – 18:30

Prepared by

Dave G

 

Chairperson:

Adrian T

 

Present:

Adrian T

Chris B

Dave G

Kit P

Richard W

Simon B

 

 

Apologies:

Kit P

 

 

Chairman’s Acceptance of Minutes

 


_____________________________________________


____ / _____ / ____

Signature

Date

 

 

 

1           NEXT MEETING

Proposed dates for future meetings are:-

Thu Nov 15

Thu Dec 20.

2           Minutes of previous meeting

The buy proposal was for Blue Planet Worldwide Financials, not Blue Water Financials.

Otherwise Accepted

3           ACTIONS FROM PREVIOUS MEETING

3.1          Actions Closed Since Last Meeting

Ref.

Description & Progress

Status

DG/0621/07

Write to tax office to seek clarification on what can and cannot be paid for out of club funds

0720: Not yet done

0829: No progress

0920: No progress

1018: Chris and Dave had discussed during the month and taken the view that the agreement already in place between ourselves and the tax office could reasonably be interpreted as covering the circumstances we’re talking about so no need to explicitly write to them for clarification.

DROPPED

SB/0621/09

Bring the pot llama to the AGM

0720: Not done but the llama is in the office in Crewe so at least we know where it is

0829: No progress

0920:Simon remembered but as Dave wasn’t present it remains in his desk draw in Crewe

1018: Handed to Dave.  If anyone has any ideas for what role the llama could play long terms then shout up.

CLOSED

3.2          Actions Carried forward to Next Meeting                         

See end of these minutes.

4           Treasurer’s Report

4.1          Monthly Report Summary

See separate report for detail. 

Highlights/Lowlights:  £1930 profit in the month but still down on the performance of the FTSE (3.0% v 5.1%), now five consecutive months of underperformance.  A wide range of performance within the portfolio ranging from Alexon down 18.4% on the month to Ceres Power up 19%.

The Unit Value was up from 796.82 to 818.562

Overall club assets stand at £74,899 (profit of £33,404). 

4.2          Matters Arising From Report

Nothing to discuss.

5           PORTFOlio Management

5.1          Monthly Money Management Checks

The Fundamental portfolio is still “too low”, despite the Blue Planet purchase last month, with 17.5% held in this portfolio against strategic minimum of 25%.   However, the purchase has meant that Fundamental portfolio no longer has any breaches of the strategic limit of 30% in any one stock (though it is close, with Tesco representing 28.5% of the Fundamental portfolio).

The Fundamental also remains too low in UK stocks with 75.2% held in UK stocks against a strategic minimum of 80%.

Alliance Trust is still above the strategic limit for any single temporary investment vehicle (12.5% v 10%) though this issue was acknowledged at the time of deciding to buy so is acceptable.

Fundamental buy proposals of UK based stocks are still encouraged.

5.2          Mechanical Portfolio

No report had been produced this month but there were no transactions due.

The table below now reflects the sell situation for each mechanical holding.  The appropriate sell condition (i.e. “Anniversary” or “Sell If Below”) is shown in bold.

Company

Annivers-ary date

Purchase Price

Target Price

Trailing Stop Loss

High

Target Met?

Sell If Below

Lookers

Nov-07

167.72

251.58

25.16

219.75

No

251.58

Oxford Instruments

Jan-08

273.73

410.60

41.06

309.00

No

410.60

Royal Dutch Shell B

Feb-08

1702.53

2553.80

255.38

2167.00

No

2553.80

ScS Upholstery

Feb-08

422.90

634.35

63.44

437.50

No

634.35

Renold

Feb-08

131.96

197.94

19.79

143.00

No

197.94

Taylor Wimpey

Mar-08

402.44

603.66

60.37

469.30

No

603.66

Character Group

May-08

175.00

262.50

26.25

185.00

No

262.50

M&C Saatchi

May-08

169.00

253.50

25.35

166.50

No

253.50

Alexon

Jun-08

260.16

390.24

39.02

260.00

No

390.24

Persimmon

Jul-08

1178.31

1767.47

176.75

260.00

No

1767.47

Empresaria

Aug-08

132.00

198.00

19.80

137.00

No

198.00

Ukrproduct

Aug-08

78.20

117.30

11.73

78.50

No

117.30

 

5.3          Monthly Reports For Each Company in Fundamental Portfolio

Qinetiq

HOLD - Not yet met sell criteria (see table in 5.6 below) – though it got very close !!

Wipro

HOLD - Not yet met sell criteria (see table in 5.6 below)