SSIA effect on ISEQ index

Seeing that the Dow Jones and all the other major markets have hit record highs (for the year if not historic highs) while the ISEQ is over 5% off it's yearly high this seems quite strange. Could this be the effect of people cashing in their equity SSIAs?

Maybe but it would depend on (a) what proportion of SSIA money was in equity SSIAs (b) whether or not most equity SSIA holders cashing in (c) whether or not most equity SSIA holders were mainly invested in the ISE shares and (d) whether or not the SSIA influence could really be mainly or solely responsible for any short term volatility in this specific market. I have a gut feeling that the equity SSIA encashment influence on the ISEQ market might be minor or negligable but maybe somebody has evidence to the contrary?

Interesting theory....

The iseq is way down on what its market value should be. Some stocks are 12% below target price and these target prices have not moved much since the beginning of the year despite new acquisitions and increasing strengths.

I have a feeling that so much attention is being paid to the asset vehicle of property that the real asset vehicle of value is being ignored.

The rate at which private equities are entering the stock market has to give an indication of its potential value.

Sorry - I'm confused...

Amarin said:

The iseq is way down on what its market value should be.

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What does this mean?

Some stocks are 12% below target price

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What target prices set by whom?

I have a feeling that so much attention is being paid to the asset vehicle of property that the real asset vehicle of value is being ignored.

Click to expand...

What does "asset vehicle" mean?

The rate at which private equities are entering the stock market has to give an indication of its potential value.

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Can you explain what this means please?

I believe the ISEQ would be affected because many of the stocks are tied to the building industry (banking stocks, construction companies).
Anyone know better?

ClubMan said:

Sorry - I'm confused...

What does this mean?

What target prices set by whom?

What does "asset vehicle" mean?

Can you explain what this means please?

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I might be wrong but I can see you asking four questions but you seem to be only saying one thing. Your questions and declaration of confusion lacks a certain degree of sincerity.

I am not going to entertain such games so I thank you for your 'questions' but I shall not be responding to any of your posts.

Amarin said:

I might be wrong but I can see you asking four questions but you seem to be only saying one thing. Your questions and declaration of confusion lacks a certain degree of sincerity.

I am not going to entertain such games so I thank you for your 'questions' but I shall not be responding to any of your posts.

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TBH I have no idea either what any of this stuff means - I thought Clubman's questions were reasonable ones.

Interesting theory....

The iseq is way down on what its market value should be. Some stocks are 12% below target price and these target prices have not moved much since the beginning of the year despite new acquisitions and increasing strengths.

I have a feeling that so much attention is being paid to the asset vehicle of property that the real asset vehicle of value is being ignored.

The rate at which private equities are entering the stock market has to give an indication of its potential value.

Click to expand...

I think what Amarin was trying to say, before (s)he was banned, was this.

- Iseq "way down on market value", said Amarain. This caused confusion for some posters..... But it is pretty self-explanatory, I think. Amarain obviously thought the Iseq is undervalued and there are bargains to be had. As it happens, I don't agree.

- "Some stocks 12% below target prices". Can't help out here, I'm afraid. Amarin the company was miles below its Goodbody target price last week, but we all know what happened there. Again, I don't agree that many stocks are significantly below target prices from the brokers. If Amarin was able to post, (s)he might be able to provide some examples?

- "asset vehicle" also caused confusion. Amarin obviously meant 'asset class'. Obvious, no?

- "rate at which private equities are entering the market has to give an indication of its potential value". I believe Amarin was saying that the recent trend in private equity houses purchasing large stakes in Irish-listed companies, or at least attempting to, shows that professional investors see value in Irish stocks.... Therefore, Amarin was probably trying to suggest that if the professionals see value, there must be value. Again I don't agree. Private equity houses influence how companies do business, because they buy stakes large enough to have a say in how the business is run. This can change the potential performance, and hence the earning potential, of a company. But the point is irrelevant to small investors who are unlikely to buy more than a few grand's worth.

HorseBox said:

I think what Amarin was trying to say, before (s)he was banned, was this.

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Why was (s)he banned? Something from another thread?

Joe Nonety said:

Why was (s)he banned? Something from another thread?

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Amarin's last post was on this thread.