Evil Knievil: Profitable banking and gold update

Caribbean (LON:CIHL) is moving to the British Virgin Islands (BVI). This is of no consequence from the point of view of UK shareholders. I then found when enquiring in Belize that rather to my surprise the business is going well. This raises the possibility of a second dividend this year. Certainly, I have no intention of reducing my target price of 50p right now. As regular readers already know I expect 100p in the longer term.

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I do not see why the price of Golden Prospect Precious Metals (LON:GPM) should be at a discount to net asset value. But it is. NAV closed at 39p yesterday whilst GPM finished at 32.5p. This presents yet another buying opportunity for those who want gold mining coverage through what is a unique vehicle. I have asked the directors to borrow, say, £5m at 5% p.a. Indeed, I would not mind if GPM were to borrow twice that sum – although I dare say that lenders might want to raise the coupon if they were so asked.

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Finally, the late Dennis Norden, a keen follower of cricket, remarked that for a cricket fan October was a difficult month since there was no more cricket and the fan might also find that his wife had left him the previous May.