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Strategies & Market Trends : Asia Forum -- Ignore unavailable to you. Want to Upgrade?

To: peter michaelson who wrote (1867)	2/3/1998 8:24:00 AM
From: Mohan Marette	Respond to of 9980

Peter and all : here is some data on the Nations economy,in case anybody is interested.Data is published by NAPM on FEB.02 and is the most recent. JAN. 1998 NAPM BUSINESS SURVEY AT A GLANCE Series January Direction Rate of Change Index Jan vs. Dec Jan vs. Dec ÿ ÿ ÿ ÿ PMI 52.4 Growing Slower Production 53.3 Growing Slower New Orders 55.2 Growing Faster Backlog of Orders 47.0 Contracting From Growing Supplier Deliveries 52.0 Slower Slower Inventories 46.7 Contracting Slower Employment 50.1 Growing Slower Prices 44.7 Decreasing From Growing New Export Orders 45.0 Contracting From Growing Imports 53.9 Growing Slower THE ECONOMY AT A GLANCE Overall Economy Growing Growing Slower Manufacturing Growing Growing Slower

To: peter michaelson who wrote (1867)	2/4/1998 4:49:00 AM
From: allen menglin chen	Read Replies (1) \| Respond to of 9980

I'm quite curious about these ADR premiums. Could someone buy these shares in the local markets, and convert these shares to US ADRs? Therefore premium should disappear quickly? A few weeks ago, in Yahoo TLK news mentioning that people sell TLK in US with high premium, and then buy TLK in Indonesia cheaper through brokers the next day. My question is: if these people are short TLK in US, and long TLK in Indonesia, how they close their 2 positions if premium in always exists in US? Anyone have an answer? Allen

To: peter michaelson who wrote (1867)	3/19/1998 12:56:00 PM
From: Bob Rudd	Read Replies (1) \| Respond to of 9980

Peter Michaelson wrote: One rationale behind the difference in premium between, for example, Malaysia Fund and Malaysia Webs might be that MF investments are in shares (of Malaysian businesses)that are eligible to be held by only local Malaysians but not by foreigners while EWM holds shares (of the same companies) that are available to foreigners. Since the foreigners' shares often sell at premiums (Korea is well-known for its 100% premium foreigner shares), then MF's premium may be composed mainly of the foreigner premium, and is in fact at no higher a premium than EWM if using the local share price as benchmark. Is this true? Any thoughts would be much appreciatedOne rationale behind the difference in premium between, for example, Malaysia Fund and Malaysia Webs might be that MF investments are in shares (of Malaysian businesses)that are eligible to be held by only local Malaysians but not by foreigners while EWM holds shares (of the same companies) that are available to foreigners. Since the foreigners' shares often sell at premiums (Korea is well-known for its 100% premium foreigner shares), then MF's premium may be composed mainly of the foreigner premium, and is in fact at no higher a premium than EWM if using the local share price as benchmark. Is this true? Any thoughts would be much appreciated>> Excellent insight, Peter. I did a chart with MF & EWM converging in 1st 6 months of 97 - the premium you mentioned would have been reflected in pricing during this less eventful period. As of 3/18/98 MF was trading at 14.5% premium to EWM and the premium had been much higher. This probably reflects the broad tendency of closed-ends not to follow completely the collapse of underlying assets. Look at premiums in several emerging country funds for verification. The key question is: Where can one buy the assets without paying anybody's premium? bob