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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?


To: Spekulatius who wrote (48373)6/19/2012 4:20:38 PM
From: paulelgin  Respond to of 78667
 
Investor AB is the investment vehicle of the Wallenberg family. It trades at the discount, but it may trade at that discount forever. There is a dual-class share structure in Investor AB (as there are in many of the Swedish and Finnish companies) in which some shares have greater voting rights than others. Since the Wallenbergs own roughly a quarter of the outstanding shares in Investor, but control 50% of the voting rights shares, it may trade at a permanent discount to assets (unless the company is liquidated - which is very unlikely). Investor has underperformed the EWD Sweden ETF for some time now. I'd also rather now be bogged down with Ericsson in my portfolio.

Paul Elgin