FIRST CAPITAL HOLDINGS PLC (CFVF.N0000)

further rate cut and reported Covid cases here and there may be a blessing in disguise for CFVF i guess. Even though the interest rates may not fall any lower (just guessing,u may never know), it is guaranteed that the rates will not increase. Not that we should wish for corona, but we should learn to see the silver lining in the dark cloud.  wishing for a swift end to the Covid clusters.

Higher the covid fears, higher the liquidity, lower the yields, better for CFVF

@chathura123 wrote:Tbs primarily trade with discounted price that is if face value is 100 it is issued at 94 means coupon rate is 6% .
You can sell TB at 100 at the end of period .
If interest going down in economy these TB purchased at 94 can sell 95 ;96 etc. In terms of this you can get Capital gain .
With Huge volumes trading this would be very big gain
Eg - 1000mn in to 2% .= 20 mn .

"If interest going down in economy these TB purchased at 94 can sell 95 ;96 etc. In terms of this you can get Capital gain ."
can someone pls explain the above in simple way if possible, a example would be great. Thx

First Capital money market fund current yield is 12.08% (as advertised). In the present low interest regime how is this possible?

Ha ha, coz they are making over 30% trading in secondary bond market.. according to yield movements, you should see it in jun qtr reports

@EquityChamp wrote:CFVF passed the resistance @ 45/- with high volumes. They are definitely on a good platform to record great quarters including Q1 & Q2 2020. Sometime we might see a new 52 week high price as well in the weeks to come.

So as expected CFVF now establishing new 52 week highs. Just one rupee away from hitting 60/-. Investors who have this stock are strongly advised to keep their holdings with them. Others better to analyse the trend and see. At the moment its difficult to predict the peak of the current trend line due to expected massive profits.

It will go 70 to 80 this time

What will happen ????

CFVF come again to 30-40. Since,Interest rates are try to pick near future. Not remanded to buy.

@Love Boy wrote:CFVF come again to 30-40. Since,Interest rates are try to pick near future. Not remanded to buy.

Why do u spread this kind of false BS? 

There is actually a high chance of a further rate cut. They have passed their last whole FYs EPS in this quarter alone.Why would it go back to 30 -40???

Another rate cut on Thursdays policy meeting highly likely

@Love Boy wrote:CFVF come again to 30-40. Since,Interest rates are try to pick near future. Not remanded to buy.

You must  be joking right. Last year profit was 1.3 billion and this year Q1 profit it self was 1.4billion how will it ever reach 30 again is out of my comprehension. Could you shed some light ??

Day dreaming.....

There is no rate cut seemingly since market has excessive liquidity right now to money creation.
CFVF earned capital gains through FIS.
BUT the share price is at its peak.
Dividend announcement can be predicted.
Trade the share within your limits is the best

@INDY 500 wrote:There is no rate cut seemingly since market has excessive liquidity right now to money creation.
CFVF earned capital gains through FIS.
BUT the share price is at its peak.
Dividend announcement can be predicted.
Trade the share within your limits ishe best

I hope u missed buying CFVF ..wait and see

Kalu ? Any news

https://cdn.cse.lk/cmt/upload_report_file/698_1597655370067.pdf

1st qrt result out. 3 month EPS 13 rs.

@Equityinvestor wrote:

@Love Boy wrote:CFVF come again to 30-40. Since,Interest rates are try to pick near future. Not remanded to buy.

Why do u spread this kind of false BS? 

There is actually a high chance of a further rate cut. They have passed their last whole FYs EPS in this quarter alone.Why would it go back to 30 -40???

Fair Coin has both chances. That is my comment.There is high chance to increase the rate now. 

Reminder: Economy growth is negative factor yet!. So,government has no chance to increase the rate as soon as possible. 

But,I am not investing it now. will see.

@Love Boy wrote:

@Equityinvestor wrote:

@Love Boy wrote:CFVF come again to 30-40. Since,Interest rates are try to pick near future. Not remanded to buy.

Why do u spread this kind of false BS? 

There is actually a high chance of a further rate cut. They have passed their last whole FYs EPS in this quarter alone.Why would it go back to 30 -40???

Fair Coin has both chances. That is my comment.There is high chance to increase the rate now. 

Reminder: Economy growth is negative factor yet!. So,government has no chance to increase the rate as soon as possible. 

But,I am not investing it now. will see.

Bro, what was your source when u posted that the interest rates are going to be increased in near future?

We are looking at another rate cut on Thursday by 100 base points. Appreciate if you could put the source of your info when u post in the forum. otherwise the credibility of the forum members as well as those who refer to the forum will be reduced.

I am not forecasting near future brother. Now inflation and T-bill rate has very small gap. As a result, there is no chance to do the significant rate cut. Now,Country has high risk result of significant rate cut(Approximately 3000 base points withing 4 Months).Moreover, Growth factor of economy is negative. As a result,Government is try to add more liquidity to the market.That rate cuts are result of bad Economy growth. But, remember this is not a real growth. It has added by government artificially.

There exist high rare scenario that country t-bill rate comes bellow the inflation. That has very small probability. Other vise country has interest rate up ward risk now.

Note: Check other countries,T-bill rate movement after covid 19 also. they are not more tha 1000 base points. 

Finlay, Sri Lankan peoples financial literacy can see this using market moment and you are asking my credibility also.

@Love Boy wrote:I am not forecasting near future brother. Now inflation and T-bill rate has very small gap. As a result, there is no chance to do the significant rate cut. Now,Country has high risk result of significant rate cut(Approximately 3000 base points withing 4 Months).Moreover, Growth factor of economy is negative. As a result,Government is try to add more liquidity to the market.That rate cuts are result of bad Economy growth. But, remember this is not a real growth. It has added by government artificially.

There exist high rare scenario that country t-bill rate comes bellow the inflation. That has very small probability. Other vise country has interest rate up ward risk now.

Note: Check other countries,T-bill rate movement after covid 19 also. they are not more tha 1000 base points. 

Finlay, Sri Lankan peoples financial literacy can see this using market moment and you are asking my credibility also.

I do understand what you say. In fact most of the forum members understand that the present economy of the country isn't the greatest. But if you go back and check the financials of CFVF for the last decade, you see these fluctuations giving traders great opportunities to grab this at a low and sell it at a big profit. CFVF made massive profits in last 2 quarters primarily due to interest rate cuts and and T-bills. Government's policy of lower interest rates will continue to be lowest throughout the current year and that's all what a trader of this share needs. When you say that the interest rates will be increased in near future without giving a time frame, it sounds  as if you don't know what you are posting. If price cuts are a temporarily gain for CFVF, ST to MT traders will make use of such opportunities to trade the share as lower interest rate means higher profits for the company. This has got nothing to do with long term economic prospects of the overall country even though I believe with added liquidity and surplus in trade will give a little push towards slow economic recovery of the country.

will there be a dividend announcement soon

@KavinduTM wrote:Even in this dead situation this share didn't disappoint me. They declared a 5 rs dividend on 26th of May.
Satisfying.

GG guys.

Sri Lanka policy rate floor unchanged, central bank to slap loan price controls


https://economynext.com/sri-lanka-policy-rate-floor-unchanged-central-bank-to-slap-loan-price-controls-73189/