Thursday, February 11, 2016

Airasia: Sale by Wellington and EPF

I am not sure whether you will find this useful, but I have been working on some numbers in the selloff by Wellington and EPF (only data since this year). 56 million shares sold by both Wellington and EPF constitute about 1.47% of total shares of Airasia.

Wellington still has about 170 million stocks to sell, that is it intends to sell all. The way Wellington has been selling it seems so. EPF has around 150 million stocks. If both of them sells some 3 million stocks a day, it takes about 107 trading days (about 4 months) to fully sell. In an earlier article, I have mentioned of why Airasia's shares will not move up until the largest of holders have fully stopped selling.

I can't comprehend why these 2 largest shareholders have been selling. Wellington, perhaps are pulling themselves away from emerging markets. EPF? Well, you do not know what they are doing right? In my mind, they are buying worse off stocks. One should know, EPF will be able to control Malaysian stocks easily (which is also why the world have been facing selloff in the last 1 month while KLCI basically moved a fraction lower as against others.) If you noticed, now, basically EPF have been the biggest trader by far - and I am not surprise they have been supporting buying mostly composite stocks.

If one noticed, the last 5 trading days, despite both EPF and Wellington traded about 30% of the total traded, Airasia's shares have been trading around the RM1.36 to RM1.40 band. Someone must be buying religiously as well.

Well, I am not going to speculate on what happened, anymore.


Yap said...

Totally agreed with "Someone must be buying religiously as well". Patience is a key, cheers.

Unknown said...

Airasia start running up. Cheers!

However, I still wonder why you still keep the YFG counter?
Seems like no foreseeable future..For me I will cut loss and look for other opportunities.

felicity said...

Ya bad decision, thanks

Unknown said...

Can I say Wellington still losing money in their Portfolio? I think their average buying price was RM3 around 2009