Dundee Corp. (A) (DC.A.TO)

Some of these financials are still doing well. The trend is still positive. Stick with it for now. If it breaks the trend line, then you want to escape.

He has been involved in it in the past. They recycled the cash from the Dundee sale into resources. There is concern about the liquidity of their investment. They had some debt they had to refinance recently. Avoid it in the near term.

They are going through a transition now. The sons are taking over the company. Mutual funds were sold to BNS-T. They have Dream Real Estate. It is not one he has decided to own until he has watched how management does over the next couple of years.

Sell the preferred shares? Company recently said they have to negotiate with preferred shareholders, because when it comes due for payment in June or July, cash is going to be tight. That is never a good sign. His view is that if you wouldn’t buy more, then you cut your loss and move on to something else.

(A Top Pick Aug 7/14. Down 58.84%.) This was a mistake. Very good people but a balance sheet that deteriorated fairly rapidly. They need to decide what their focus is, going forward.

(Top Pick Aug. 7/14, Down 43.67%) The outcome of the company is in question. He thinks they lost direction. He sold.

This is a competitor of his. The recovery that he sees in resource markets will definitely benefit people like himself and this company. They have a great balance sheet and a great team. Sold their mutual fund business a few years ago to a bank, and they are now allowed to come back into that business and compete. They are ferocious competitors.

(A Top Pick March 20/13. Down 23.33%.) A long-term holding for him. It was a story of a lot of hidden assets not recognized by the marketplace. Had a strong belief that management was going to unlock that value. What they have done since is spun out a number of different real estate arms, selling a bunch of assets and returning cash to shareholders in the form of regular dividends and buybacks. Sold his holdings in August.

(Top Pick Apr 29/12, Down 16.21%) Exited about $21 or $22 after the spin-off. He thought it would release more value than what happened. REITs have not done well generally.

(A Top Pick March 20/13. Down 58%.)

They own a lot of the things they have invested in. You also get asset management fees. Trades to a discount to its net asset value (30% discount). Thinks their NAV will increase over the long term.

(Top Pick Apr 29/13, Down 1.25%)

(Top Pick Mar 31/13, Up 7.40%)

In a world where we are a bit worried about fundamentals for the market for growth, this is one where the catalysts are releasing asset values. Have filed documents to distribute their 50% interest in Dream Ltd to shareholders, which will happen in the next couple of months. This surfaces a lot of value.

He has an internal NAV calculation of $50-$55. Trading at a 40% discount to its NAV. Over time they will continue to do transactions in the real estate space like they have done recently, and unlock hidden value that the market doesn’t realize.