Dear Toby,
Well, it's the first time I've been called an intellectual. If you knew me a little better you'd know that nothing is further from the truth.
I'm sorry if my nationality and the way I write bother you -- unfortunately I can't do much about either. You know how stuffy we English are, and we don't mean to be.
If you thought my observations on European warrant valuation methods vs US ones were some sort of dig at America then you're wrong -- I just happen to believe that such methods are superior in this particular field in the same way that an overwhelming number of US valuation and trading methods have proven superior in other financial areas around the world.
As for innovation, raising capital etc., you've got me wrong there too. I have total admiration for the entrepreneurial zeal of corporate America, and over the past four years the majority of my investment has been in the US technology sector. I haven't avoided putting money into start-ups and development stage companies.
You have to accept that if you start hyping a stock on a public discussion group and start advising fellow investors to buy warrants at so-and-so a price, there's the possibility someone's going to disagree with you. Why the tirade?
The reason I said we have irreconcilable differences is because you are fortunate in being able to treat investment as a fun pastime -- like going to the racetrack or Vegas. To others it's a very serious business because if we get it wrong we can't pay the school fees.
If you sat down at a table with the five best poker players in the world, how long do you think you'd last? You'd win a few hands maybe, but in the long run they'd clean you out because sheer experience and their skill at assessing probabilities would be greater than yours.
It's the same in investment. Sure, you MAY make some good money on MVIS warrants buying them at $2, but IMHO (note the 'humble') if you consistently invest on this basis then sooner or later they'll carry you out in a box. You're fighting the odds, and you're fighting them in a big way. Remember that when you make a trade there's someone on the other side. Maybe he's an 'intellectual' who happens to have spent some time working the math. This is something that always preys on my own mind. When I'm buying, someone's selling, and there are investors out there with stacks more skill and knowledge than I have.
<<This is more than the retention of capital, more than safety, more than the calculation of downside risk. This is a visionary company, not a warrant argument.>>
Er, am I missing something here? On the one hand you're buying warrants to trade them short-term and have said you'll dump them if the company doesn't show signs of progress, but at the same time you're appealing to the altruism of others to support innovation and breakthrough technology. One rule for you and another for the rest of us....?
<<In fact the word NEGATIVE seems wholly appropriate.>>
About the warrants at $2 when the stock's at $5.5?.....You bet.
<<Richard Rutkowski does not owe you any explanation.>>
No he doesn't, but he gave one, and very eloquently I thought. Nice to see a CEO who can react calmly to veiled criticism eh Toby?
Regards,
Andrew |
