Nice post jam. Just to add to discussion: 1. ALF went market...

Nice post jam.

Just to add to discussion:

1. ALF went market neutral (6.2% exposure) end of December 2014.
2. Market rallied 10% over next couple of months so ALF missed tide. ALF share price hammered.
3. ALF stayed market neutral when ASX200 almost reach 6000. More hammering.
4. Market dropped nearly 10% to now. ALF still market neutral (4.9% end April). ALF hammered more.

We are nearly back to market level at end of December and ALF NTA is roughly the same (1.29). You would think a rational market would be at same price. Nope - $1.42 dropped to $1.16. Momentum is aimed even lower.

I hope the irrational behaviour continues. I will be buying back in when the NTA discount gets well below their average (10.26% disc or 7.4% disc after tax). Its about average now assuming NTA $1.28 for end May.