Yesterday I made some small additions to the private portfolio. Whether this proves to be an exercise in bottom fishing or catching the falling knife is a question that I will only be able to answer with hindsight. Here are the details:
1. Russia ETF (HK:2831): I paid HK$39.50 for some additional units. This compares with my original purchase price of HK$19.12. Average purchase price is now HK$20.32. Selling on a projected 2011 PE of around 6x, Russia looks cheap;
2. Anhui Expressway (HK: 995): toll road operators have taken a pounding as targets of the PRC government's attempts to transfer the cost of managing inflation (at least partly created by PRC government policy) onto businesses. I think this is overdone and, with a projected yield of more than 4%, the shares offer reasonable value. I paid HK$6.45 for some additional shares. My original purchase price was HK$4.33 and my average purchase price is now HK$4.57;
3. Sino Oil & Gas (HK:702): this has been one of my more disappointing investments with the shares trading well down on my original purchase price of HK$0.52. However, with gas now flowing risk associated with the company's projects should be reducing. The additional shares cost HK$0.43 and the average purchase price is HK$0.49;
4. China VTM Mining (HK:893): this has been another disappointing investment. However, I have seen nothing to indicate that the company's fundamentals have changed. The additional shares cost HK$3.01 which compares to an original purchase price of HK$3.73. Average purchase price is now HK$3.71.
Prices include transaction costs and ignore the effect of dividends received.