Re: WMIH Junta Accionistas 5 Junio
"- WMIH has now been held in the portfolios for nearly 11 months, fluctuating between a mid to large sized position the entire time. Since the position was initiated in July of 2012, it has gained 76%. Perhaps more importantly than pure appreciation, the market for the stock seems to be developing recognition as monthly volume in May was eight times the amount of volume as July 2012. For the month of May, WMIH gained 47% contributing greatly to overall performance. The stock ended May as a large position due to both additions to the stock made early in the month and appreciation.
During the April summary, I pointed to the increasingly rich environment for mortgage insurers/reinsurers. The attention being paid to these names only seems to picking up steam as there are increased reports that some of the largest hedge funds are making significant moves into the space. Specifically, here is a Bloomberg article from May 20th outlining moves Paulson & Co, Maverick and Soros, among others, are making into the mortgage insurance/reinsurance space.
The consequences of this increasingly affable trend towards this sector does make a positive outcome for WMIH, whose only operating entity is a mortgage reinsurance company, that much more likely. The chances are becoming increasingly slim that the mortgage reinsurance company contained within the holding company that is WMIH will only serve as an entity that is meant to “runoff” prior obligations. The present Board of Directors is being handed a favorable operating environment for their sole possession on a proverbial golden platter. To squander such an opportunity, especially when you have tax incentives that leverage profits created in such an environment, would be modern capitalism’s contribution to Shakespearean tragedy using sheer incompetence instead of swords."
http://www.zenpenny.com/may-2013-performance-summary/
Seems like Zenpenny has done some buying during May.
