Some funds management 101 on display here by Cadence Capital. When your YTD and One year returns, start to go pear-shaped, just remove those columns from your updates & always report your returns, excluding fees, because investors don't care about that sort of stuff.

Hi Brendan2031 Did some rough calculations based of 13/09 NTA of 1.43.

13/09 TMC price 10.89 value of 85M AUD = 62M USD thus CDM holding based on these numbers ~5.67m TMC share 

22/09 TMC price 6.92 = 39.4m USD ~55m AUD and based on ~shares on issue brings a 13/09 Nta of 1.43 back to nta of 1.32 being all other CDM holding not moving.

These are back of the envelope calcs thus ~~~ 

Hindsight is a wonderful thing 29/09 TMC price 4.33 bleeding hasnt stopped yet if they would have IPOed in July may have been a different story, so listing at all time highs in Sept was always a risk. The issue now is confidence the SPAC beneficiaries have exited the story is long term with ship still being refitted, regulatory approval not expected till 2023 and production 2024. Have seen this type of response many times before with Aust miners, lot of hype selloff occurs and takes a long time if ever to recover, so dont think the separate LIC option will fly and CDM may trade backwards so will watch NTA discount as they do hold quality in the rest of the portfolio

Signficant fall in TMC overnight with volume, finishing near its low of the day at $6.92, early days but not a good look at the moment. Also not sure about CDM strategy of splitting TMC into a separate single stock LIC with some cash, it would be small, illquid and cant see the market being that enthusiastic, would have thought exiting the position if TMC doesnt kick on and paying the tax and putting the money to better use would be more prudent.

Disc Did exit my position at $1.21 on the basis that TMC did fall below Float price and TMC premium built into CDM evaporated. Will keep on watch list to see what Karl's next move is

Agree with afrowest, it probably wasn't the best debut for TMC, the writing was on the wall though when they fell well short of the raising they were looking for.  Given CDM buy in price I still expect an uplift in the NTA come Monday but am starting to think this is already baked into the share price.  Looking like there is potential for it to return to trading at a discount to NTA.  Perhaps that is the fair outcome

Probably not the best night for an IPO with TMC opening at 11.05 with a high of 11.08 low of 8.31 and close of 9.41 will watch with interest 

From this latest announcement from CDM we should see a material increase in the NTA on Monday 13th which will reflect TMC now having listed and trading on the NASDAQ. I've added a significant amount over the past few weeks and as this will be the last opportunity before details are released Monday I'll pick up a few more today in hope that Monday's trading results in the significant upside most are expecting.

ASX RELEASE:

10th September 2021 TMC The Metals Company Inc. Investment Update (Previously DeepGreen Metals Inc.) DeepGreen Metals Inc. announced overnight that they have completed their business combination with Sustainable Opportunities Acquisition Corporation (SOAC).

The combined company will operate as TMC The Metals Company and its common shares and warrants are expected to begin trading on the Nasdaq Global Select Market under the new ticker symbols “TMC” and “TMCWW” respectively today the 10 September 2021 (New York time - EDT).

Overnight the SOAC share price (SOAC US) closed at USD$ 10.62.

Monday’s 13th September 2021 weekly NTA announcement will include the full value appreciation of the TMC IPO. Wayne Davies Company Secretary

CDM ASX RELEASE 8th SEPT:

DeepGreen Metals Investment Update Sustainable Opportunities Acquisition Corporation (SOAC) overnight announced that its shareholders had approved the merger of DeepGreen Metals Inc. and SOAC, to create TMC The Metals Company Inc. (TMC).

The transaction is expected to close as promptly as reasonably practicable, but in no event later than the third business day following the satisfaction (or waiver) of the closing conditions between SOAC and DeepGreen.

In connection with the closing of the transaction, TMC expects to receive approximately USD$ 137.3 million in cash prior to transaction fees.

Approximately USD$ 110.1 million of the proceeds from the private placement (original commitments were USD$ 330 million) have been received to date. DeepGreen intends to waive the closing condition that the aggregate transaction proceeds shall be equal to or greater than USD$ 250 million.

With the expected proceeds, DeepGreen believes that the combined company will have the funding required to reach its previously stated key milestone of permitting to advance commencement of commercial production.

Overnight the SOAC share price (SOAC US) closed on the NYSE at USD$ 11.69. The SOAC press release can be found on the SEC website at: sec.gov/Archives/edgar/data/0001798562/000121390021046802/ea146779ex99-1_sustainable.htm

Our weekly and monthly NTA announcements will not include the full value accretion of the DeepGreen transaction until TMC lists. We will keep CDM shareholders informed of the progress of this listing through ASX announcements.

17-Feb-2021:  Media Release- Record Half Year Profits and Interim Dividend

plus:  Appendix 4D Half Year Report to 31 December 2020

Cadence Capital Limited (ASX: CDM):  Record Profits & Interim Dividend

Half Year Results to 31 December 2020:

• Record Profit before tax of $68.7m
• Record Profit after tax of $48.5m
• Fund gross performance of 27.7%, outperforming All Ordinaries Accumulation Index by 12.0%
• 2.0c fully franked Interim Dividend payable on the 13th May 2021
• Annualised Yield of 4.5% fully franked (6.5% gross including franking)
• CDM at a discount to NTA
• Continuing on-market share buy-back for up to 10% of CDM shares

Sydney, 17th February 2021: Cadence Capital Limited (ASX: CDM) today announced a record half year profit after tax of $48.5m. Karl Siegling, Chairman, said “The Company has had a strong start to the year with the portfolio up 27.7% in 1H21, outperforming the All Ordinaries Accumulation Index by 12%. The top contributors to performance during the first half were Resimac, Pinterest, Lynas, Money3, AP Eagers, Pointsbet, Credit Corp, ARB Corp, Redbubble, Qualcomm and Reece. The largest detractors from performance were short positions in Wisetech Global and Jumbo Interactive.”

Karl Siegling noted, “It is pleasing that this strong performance has been delivered across both new and existing positions, while the fund has been on average 80% invested over the past six months.”

Karl added, “The Company has made significant progress on its strategy to improve the liquidity and reduce the concentration risk of the portfolio. Currently, more than 78% of the portfolio is able to be liquidated within one week, and over 87% of the portfolio within a month. The company currently holds around 55 positions with the largest position around 7% of the fund. Approximately 63% of the funds’ positions are invested in Companies with a greater than one billion dollar market capitalization.”

Fully Franked Interim Dividend

The Board is pleased to announce a 2.0 cents per share fully franked interim dividend. This equates to a 4.5% annual fully franked yield, or an 6.5% gross yield (grossed up for franking credits) based on yesterday’s closing CDM share price of $0.885. The Ex-Date for the dividend is the 29th April 2021. The payment date for the dividend is the 13th May 2021. The dividend re-investment plan (DRP) will not be in operation for this interim dividend as the Company’s shares are currently trading at a large discount to the underlying NTA.

Share Price and Discount to NTA

The Company’s share price discount to NTA has been improving from the nearly 40% discount reached at the panic lows in March 2020. The Company’s share price is now up more than 150% (including dividends) since the March lows of 35 cents, which was below cash backing. The Company’s tax asset per share is currently around 10 cents, from around 18 cents per share at FY20 year end. The Company can utilize this tax shield as and when it so choses to.

Karl Siegling said, “We remain strongly focused on continuing to reduce CDM’s discount to NTA. The Company has continued to implement its on-market share buy-back which increases the NTA per share for all existing CDM shareholders. The Company has now bought back 22.7 million shares for total consideration of $16.7m or $0.74 per share. Board and management, who are the largest investors in the Company, continue to add to their position in CDM.”

Karl Siegling added, “The current discount to NTA presents an attractive entry for investors to purchase a Listed Investment Company with a good long-term track record of performance and of paying substantial fully franked dividends”

Outlook

Karl Siegling continued, “The Australian market is approaching all time highs after a strong finish to 2020. Corporate profits are rebounding strongly out of the government induced lockdowns with businesses and households having built up significant savings through this period that is finding its way back into the economy. The better-than-expected corporate earnings recovery combined with ongoing central bank and government stimulus and near zero percent interest rates is driving significant demand for financial assets and is encouraging investors to take risk. We have come a long way from the panic in March and are seeing new investor euphoria in certain parts of the markets.”

Karl Siegling added, “While overall conditions remains supportive for equities, maintaining high liquidity for the portfolio remains a focus and will allow us to adjust to any changes in market conditions.”

Karl Siegling

Chairman, Cadence Capital Limited

--- ends ---   click on the 2nd link at the top for more

[I hold CDM shares and I'm happy with the way they are tracking now.  Since being coronered back in March, their SP trajectory has been all North East at a steady clip.  You can't ask for much more in a LIC (listed investment company).  Diversification, steady income, and a rising share price.  All good.  MUCH better than they were in 2019 when it was all South East.  And there are some decent US stocks in the CDM portfolio as well as a good mix of Australian companies that are quite varied by size and type.]

12-Oct-2020:  INVESTMENT UPDATE - September 2020

I recently mentioned here that I thought that CDM may have reduced or exited Webcentral Group (WCG, formerly ARQ Group, and before that they were called Melbourne IT), but they do mention (below) WCG as one of their better performers in September, so they clearly do still hold them:

Cadence Capital Limited returned a negative gross performance of 0.3% in the month of September, compared to the All Ordinaries Accumulation Index which was down 3.4% over the same period. The fund has had a good start to the new financial year, returning 13.2% - outperforming the All Ordinaries Accumulation Index by 12.1% during this period.

The largest contributors to performance during September were Resimac Group, Webcentral Group, Pinterest Inc, Citadel Group and Shine Justice Ltd.

The largest detractors from performance were EML Payments and Credit Corp Group.

The Company will be releasing its September webcast in the coming weeks. This webcast will give shareholders an update on the fund’s performance, dividends, its current portfolio positioning, discount to NTA, current investment themes and market outlook.

In August 2020, the Company announced its full year results and a 2.0 cents fully franked final dividend. This brought the 2020 fully franked full year dividend up to 4.0 cents per share equating to a 5.7% annual fully franked yield, or an 8.1% gross yield based on the CDM share price on the date of the announcement. The Ex-Date for the dividend is the 19th October 2020 and the payment date for the dividend is the 30th October 2020. The dividend re-investment plan (DRP) is not in operation for this final dividend as the Company’s shares are currently trading at a large discount to the underlying NTA per share of the Company. The Company has implemented an on-market share buy-back which increases the NTA per share for all existing Cadence Capital Limited shareholders.

At 30 September 2020, the Company was 78.0% invested.

--- click on the link above for the rest of the report ---

[I hold CDM shares.]