TIM 0.00% 4.4¢ timbercorp limited

huge eposure, page-11

  1. 1,689 Posts.
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    In my haste to write the poste and get back to the market, I neglected to mention my usual disclaimer, which in this case is that I don't own any TIM shares or interests in olive plantations. Furthermore, the last word in the second paragraph was a typo. It should read:

    Australian Olives (Viva brand) has also said(www.olives.net) in it's latest brochure "at the moment Australian production only supplies around 5% of our local consumption".

    The above indicates little of what we consume locally is produced locally. That's certainly beginning to change, as is the space devoted to olive oil at the super market, rather than the delicatessen.

    ASIC are not investment experts. They simply draw attention to things they don't think look right, in their opinion (note - they were unable to get Van Eyk to respond early last year to some claims the company was making. Van Eyk refused to debate an olive grower on national T.V. at around the same time.) It's interesting to read the Hansard from last years enquiry in which the ATO, ASIC etc reps were asked opinions on things like dot com prospectuses, which they have to approve and did by the bucket load 2-3 years ago. One clear response in the transcripts was that not one of them should have been issued. Was ASIC at fault? Were grub stake holders in DVT who saw their investment go up 100 fold in quick time at fault?

    Olive oil investment is for the long term. The prospectus issuers are at pains to point out the best returns are due 25 years down then track. As far as planting the wrong trees or not are concerned, one can buy olive trees several feet high down at Woolworths when they are in season for about $12 last time I looked. Timber growers usually insure the first year for free, while olive growers hardly need to. Trees can be replaced at any time and with ease in the early days. Olive trees generally live and fruitfully produce for a great many decades, as the Spaniards and Italians know only too well. Investing in such ventures purely for the tax deductions, as many apparently do, is not a good policy in general.
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