UniFiber System   

UniFiber

jm2212,

You're considered very lucky not to lose any of your principle funds during this turmoil.

 

 

888max: lemme try to digest your sentence. u mean it is easier to buy a blue chip than to buy and identify early a penny/small stock? so ppl who buy blue chip are less skilful than one who buy penny/small stock? 

 

along the way, i did other transactions, sold some & bought some of other stocks...., end of the day still have a long list of stocks which i'm caught with (only "good" thing is that all paid up), cough back all the profits accumulated over so many many months..... back to square.

 

sohguanh,

Warren Buffett : "It's far better to buy a wonderful company at a fair price than a fair company at a wonderful price."

Picking any blue chip stock to hold  for long term is nothing to shout than to compare 'selecting a  penny stock' that turn out to become a blue chip stock one day.

 

 

"it will be a long long wait before it hits $0.3 again..... regret for not selling all, back to square again."

Nobody expect this subprime thing to affect STI so badly, tio bo?

You're lucky enough to have sold off 50% of your Unifiber holdings when it was @0.32cts.

But let be honest ..... did you use the funds after selling off your UFS shares and proceed to buy another recent 'bargain counter' and got stuck also with huge paper loss?? Or you're smart enough to hold onto all your cash without buying until today.

 

 

 

 

 

Hi novicetrader ,

I didn't sell when it was trading @0.34cts.

I  definitely won't sell at current price.

Will hold onto my share, waiting for my target price of at least.... 0.50cts.

 

 

jm2212: which is why when i go super long on a stock i make sure it has a good history of dividend payout cuz sometimes the price can stay stagnant for months but if dividends is good and fundamentals good sooner or later BB will come in and play. by that time they come in to fry the price goes up you reap both capital gain and during waiting time you are compensated with dividend yield

 

it will be a long long wait before it hits $0.3 again..... regret for not selling all, back to square again.

 

888max,

I am heavily vested in this counter and I believe there is definitely a very strong future for this counter but with the current sentiments in the regional stock markets, I guess we just have to dig our heels deep in and hold on.

No reason why the US stock markets should react as such with all the central banks pouring in money to sustain liquidity and to boost investors' confidence, and with the FED lowering the interests rates, it is all just sentiments that is pulling down the market. We just have to acknowledge the fact that it will take a while for investors' confidence to return. I am very confident that the markets will rebound, and rebound very strongly. Its a matter of whether one can hang on in there and have the guts to hang on in there.

Its bargains galore. Counters that are out of our reach are now affordable.

Afterall this is the name of the game and we have gone thru such cycles before.

 

 

	August 14, 2007
	Investing In Timber The Only Money That Grows On Trees? And How to Invest in the Two "Redwoods" of Wall Street An Investment U White Paper Report by Stewart Miller, Investment U Research If you've never considered investing in timber as a profit strategy, you should? The fact is, managed timber (as the professional investors call it) has actually beaten the stock market - with less risk - over the long run. From 1973-2002, the sector returned roughly 15% annually. Stocks returned 11%. Even better, the returns on timber are less volatile than those of the stock market. And they are especially good in bear markets?  During the Great Depression, for example, timber was up 233%, while the price of stocks fell more than 70%. In fact, during the three worst market downturns of the 20th century (1911-20,1929-41 and 1966-81), timber outperformed the S&P 500 by a wide margin. Glamorous? Not really. Profitable? You bet. China and oil may take up all the headlines, but timberland can make you rich. Investing In Timber and It's "Double-Compounding" Growth Rate Every American "consumes" a 100-foot tree every year. Look around. Chances are you're sitting at a desk or conference table made of wood, in a wooden chair, in a room with wood trim all around, in a house that was framed in (what else?) wood.  Perhaps you're taking notes on paper right now (from a tree). Consider these facts: The Food and Agricultural Organization of the United Nations forecasts that world demand for wood will nearly double by the middle of this century. The USDA-Forest Service projects that demand for U.S. forest products will reach 25 billion cubic feet annually by 2050, up from nearly 18 billion in the1990s. Based on rising consumption, and slowing growth in timber inventories, most experts believe prices for timber should rise considerably over the next two to three years. Another advantage of investing in timber: unlike other commodities like oil or steel, timber literally grows by anywhere from 4%-10% a year. But the value of the wood compounds, too. In fact, according to legendary investor Jeremy Grantham, it's risen 3% more than inflation for the last 90 years. And the cost of doing business for timber companies remains steady: timberlands function as factories and warehouses simultaneously, while costs remain constant. So while the stock market gyrates, timber keeps growing on the stump - and increasing in value - year after year? and so can your timber investments. Who Owns These Timberlands? Contrary to popular thought, most timber is no longer harvested from public lands?   Remember the controversy over protecting the spotted owl habitat under the Endangered Species Act in the early 1990s?  Well, the results are in, and the owls won.  Under intense public pressure, timber harvests from the U.S. National Forest System have been reduced dramatically. The U.S. has about 500 million acres of potentially productive timberland, more than two-thirds of which is now private. Environmental restrictions and loss of land to development pressures have greatly reduced global availability of timberland.   Reduced cutting on public lands has increased the value of private forests, and has also increased imports from international sources. In 2004, the U.S. became a net importer of wood for the first time. Meanwhile, the Bush administration's recent Forest Health Initiative, designed to reduce fuel loads and fire danger, is also aimed at reducing costly lawsuits from activist environmental groups. That just means more timberlands will end up in private hands. "Monetizing" Timber Assets with TIMOs? Up until the 1990s, most private timber was owned by integrated lumber companies involved in all aspects of the timber processing business. Companies like Weyerhauser and Georgia Pacific produce construction lumber, bulk paper, cardboard and even pencils. But then they began looking for ways to "monetize" their timber assets in order to increase the value of their stock. The most practical way to do this was to sell the land outright. Enter TIMOs - Timber Investment Management Organizations. TIMOs raise pools of money mostly from pension funds, university endowment funds, and other institutional investors. They use the funds they raise to buy and manage the land. Worldwide, TIMOs have attracted more than $20 billion of investment from institutional investors.  For instance, Harvard Management, which invests $27 billion of the university's endowment and pension money, has 10% of its assets in timber. For these institutional investors, their timber portfolios have been growing like redwoods: slow and steady. But there's another advantage to investing in timber we haven't talked about? Tax Breaks Galore on Timber Investments The federal government likes timber, too. Tax laws dictate that timber be carried on the books at cost. Essentially, land purchased many years ago is valued at the purchase price as opposed to what it will fetch on the open market. So the timber assets of publicly traded corporations tend to be undervalued on their books.  Also, profits on the sale of timberland (or harvested timber) held for more than one year, are taxed as a capital gain instead of the higher earned income rate.  On top of that, as timber is cut, another tax break called a depletion allowance kicks in.  All you need to know is that current law reduces taxes, which increases cash flows to investors. But How Do Individuals Profit? By Investing In Timber Until recently, the advantages to investing in timber have been limited to large investors with deep pockets. For the "saplings" of the investor forest, investing in timber has been prohibitively expensive. But not any longer? Several public companies are profitably harvesting their own timberlands. And the financial press has virtually missed their stories, which means this rising market is still "invisible" to most investors. But when Wall Street realizes these stocks have been outperforming other investments, these companies are going to light up the radar. Two Top-Tier Timber Companies The Investment U research staff has identified two businesses we think deserve your attention? Rayonier (NYSE: RYN) and Plum Creek Timber (NYSE: PCL) are, by far, the largest direct timber investment plays you can buy. Plum Creek is larger and more diversified, but Rayonier is still an excellent timber investment, with over 2 million acres of quality lands. Together, they own more than 10 million acres of timberland, which, at $1,000 an acre, would be valued at over $10 billion dollars. Both traditionally pay dividends in the 4% range. And they're both relatively cheap, with timber assets valued at only $800 to $1,500 per acre (depending on how you crunch the numbers). Think about it. You get paid high dividends. And you own millions of acres of exceptional real estate in the U.S. for around $1,000 an acre. Just imagine if you owned that? and you just saw lumber prices double. Your trees are just sitting there? and your cost of production doesn't really change. So your potential investment earnings have gone through the roof. If history is any guide, timber may turn out to be a safer place to invest than the stock market or the real estate market over the next five years. Timber companies offer steady capital appreciation over the long run. Their cash flow is high and reliable. And management tends to funnel excess cash back to shareholders in the form of dividends. Good Investing, Stewart Miller and The Investment U Research Team

 

It the only tree around in sgx to bark around.

The next closest counter is GZ,  only dealing with seedling and sapling and NOT timber.

 

After a therapeutic break (trees n cool fresh air) I went back to civilisation n found out what a rout the mkt took these past weeks. After looking around I think the mkt will be weak for a while. I m surprise to see my friend still barking up the wrong tree! Anyway your persistence and patience hopefully will pay off. I got to go now and get supplies for my next hibernation out of civilisation. Chao!

 

 BBs & funds are turning into timber investment for safe heaven during market downturn.

"According to Grantham, forestry is the only low-risk, high-return asset there is: it has, he says, risen steadily in price for 200 years and has returned an average of 6.5% a year for the last century. It is also counter cyclical ? it has been the only asset class in existence that has risen in three out of the four market collapses of the 20th century, says Grantham. That?s not to say there haven?t been short-term blips in the fortunes of forestry investors. There have. " 

Sumitomo Forestry Expands Abroad as Home Orders Drop (Update3)

By Kathleen Chu and Kazue Somiya

June 21 (Bloomberg) -- Sumitomo Forestry Co., a Japanese homebuilder and timber producer, plans to spend 360 billion yen ($2.9 billion) in 10 years to buy local real estate and foreign forests as a drop in orders for new homes crimps profit.

Sumitomo Forestry's housing orders fell a second month in May, dropping 8 percent from a year earlier. That makes it harder for Sumitomo Forestry to meet its forecast for pretax operating profit to decline 1.2 percent to 21 billion yen in the year to March 2008, company President Ryu Yano said in Tokyo.

``We will probably have a hard time achieving our current profit target for the year,'' Yano, 67, said in an interview. ``With concerns such as the possibility of an interest rate increase and uncertainties about pension funds, we don't see any improvement in the housing sector on the horizon.''

Japan's longest economic expansion since World War II hasn't revitalized the country's house construction industry, with housing starts averaging 100,000 a month since the boom got going in February, 2002, lower than the average for the preceding five years. The country's existing real estate is luring buyers after land prices rose in 2006 for the first time in 16 years.

The company plans to finance investments using cash generated each year and by borrowings from banks, as well as possibly through bond sales. The timing and details of any bond sales haven't been decided, said Eita Muto, general manager of Sumitomo Forestry.

Sumitomo Forestry may struggle to redress its focus on home building, said Yoji Otani, a property and construction analyst at Credit Suisse Group in Tokyo.

Risks

``It's too late and risky for Sumitomo Forestry to take on such a large scale of investment, larger than we have seen before,'' Otani said. ``Prices have already risen. Sumitomo Forestry will need to study carefully before investing.''

Sumitomo Forestry shares dropped 4.4 percent on June 12, the biggest one-day decline in three months, after Daiwa Institute's Hiroki Kawashima cut his rating for the company to ``neutral'' from ``outperform,'' citing the drop in monthly housing orders.

The shares fell for a third day, dropping 26 yen, or 2.1 percent, to a seven-week low of 1,228 yen at the close of trading on the Osaka Exchange. The company's market value is about 218 billion yen.

With Japan's population expected to shrink, Sumitomo Forestry plans to reduce its reliance on home building by investing in foreign timber plantations and amid a rebound in Japan's real estate market as land prices rose for the first time in 16 years.

``We have been very cautious in terms of investment and have tried to avoid risks, but I think it is time for us to take on some risks to invest in new areas,'' Yano said. ``This is a big change for us.''

Timber, Nursing Homes

Sumitomo Forestry will spend 160 billion yen overseas over a decade to secure timber supplies, Yano said. The company will invest 200 billion yen over the same period to acquire land and develop residential properties and nursing homes in Japan.

Sumitomo Forestry plans to buy 80 billion yen worth of assets in Oceania and North America over the next five years.

``A majority of the investment will be spent for plantation land,'' said Yano. ``It used to take 30 to 50 years to harvest, now with industrial reforestation and the plantation of so- called fast-growing trees only takes 10 years to harvest.''

The company will invest 50 billion yen to buy land and develop residential properties and nursing homes over the next five years. Sumitomo Forestry plans to triple its investment in real estate to spend 150 billion yen in the following five years.

``We see a great need for nursing homes,'' Yano.

 

Abax is now all behind unifiber.... with a whole bunch of wealthy indonesias..... watch out........

 

about the same price as Banjoo(20cts) vs United Fibre's 22.5cts...switch and maybe can recover within a month but United Fibre..all hopes have vanished.Look ta Banjoo 25mil done at 20cts when mkt done ..it is up

 

I agree with your view .... but if the latest acquisition helps them to get the lottery business.... to me ... not an issue ..... the following has occured: 1. Managing Director has resigned 2. Change of auditors 3. Change of financial year end 4. Set up of subsidiary with business in trading 5. Latest acquisition 6. MOUs to sell shares at $0.20 & $0.40 7. MOUs to sell shares at $0.30 Are these all preludes to the lottery business?? Only time will tell ...

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I will rather buy GuangzhouIFB since doing abt the same things. Unifibre got to take a longer time.

 

Another bloodshed today !!

 

US Plum Creek Timber move to 'new high' despite housing slump and stock selldown in US.

http://finance.yahoo.com/q?s=PCL

"Timber has a low correlation with other asset classes and hasn?t been affected by the stockmarket downturn, says David Budworth in The Sunday Times. ?The trees have never heard of the Nasdaq bubble? and they don?t know what a War on Terror is,? says Steve Sjuggerud on Dailywealth.com. "

 

The prices fell across the board with the fall in the DJI.

 

i think only the trees are growing, but the share price is not moving...