According to its parent's 3Q results, Marina Bay Sands (MBS) Singapore saw aggressive operations ramp, with gross gaming revenue rose 58% QoQ to S$7.8m. We estimate that Singapore gaming market may have grown 11-12% QoQ to S$17.5m a day based on our S$9.7m/day est at Resorts World Sentosa (RWS). Annualised, this suggests Singapore gaming market size of S$6.4bn. In terms of market share, we believe MBS has gained share to roughly 45% vs 31% in 2Q. More importantly, management indicated strong gaming revenue growth in October to S$10.9m/day (up 40% from 3Q) partly due to Golden Week holiday and heavy VIP hold. We maintain our view that Singapore could end the year at S$7.0bn annualized, with upside risk. Genting Singapore will report on 11 November. For 3Q, we expect RWS to report EBITDA of S$380m vs S$503m in 2Q due largely to low VIP hold. DB forecasts 3Q RWS EBITDA of 50.8%. Beyond the weak 3Q, we remain positive on the longer term outlook of Singapore market and maintain our forecasts of US$6.0n market in 2011. Our TP of S$2.60 TP values Singapore gaming at 14x 2011 EV/EBITDA. Key risks: prolong delays in junket licensing, regulatory changes and lower-than-expected market share.
Key statistics at MBS. MBS reported US$414.5m of net casino revenue or c. US$549m of gross gaming revenue in 3Q. This implies gross daily gaming revenue of US$6.0m or S$7.8m, up 58% QoQ (or S$8.0m on normalized hold of 2.85%, up 45% QoQ). Gross gaming revenue breakdown - 50% VIP; 36% mass and 14% slots. Growth were underpinned primarily by higher VIP rolling which rose 89% QoQ, averaging at US$113m a day vs US$60m in 2Q. VIP rolling grew further to US$168.3m in October (+50% vs 3Q). Property EBITDA margin stood at 49.7% in 3Q (or 51% on normalized hold).
Thursday, October 28, 2010
Monday, October 25, 2010
Miller: Best Time to Buy Stocks Since Early 80s
Legendary Legg Mason fund manager Bill Miller is seeing a variety of factors aligning to make this the best time for long-term investors to buy stocks since the early 1980s. Miller, who beat the S&P 500 for 15 straight years before falling on hard times in recent years, also tells CNBC that he’d “be surprised if the market isn’t up 20% in the next 12 months”, thanks to Federal Reserve policy, a strengthening economy, and “the fact that stocks are incredibly cheap” relative to bonds.
Sunday, October 10, 2010
Singapore News : S$6.5m Insurance Scam
Oct 10, 2010
$6.5m Insurance s.cam
'First of its kind' case spins web of deceit that includes fake policy and forged signatures
By Lorna Tan, Senior Correspondent
THE police and insurance giant AIA are investigating claims by a semi-retired Indonesian businessman that his insurance agent sold him a non-existent insurance policy that cost a whopping US$5 million (S$6.5 million).
The sensational case, which industry experts say is the first of its kind in Singapore, is currently before the courts.
The businessman, Mr Ong Han Ling, 72, is suing the agent, Ms Sally Low Ai Ming, for about $3.6 million plus loss of use of his funds. The $3.6 million is the amount left outstanding after the agent made restitution for some of the policy premiums.
In her defence, 33-year-old Ms Low, who was sacked by AIA in September last year, has alleged that the fake insurance plan - called the 'AIA Thank You Policy' - was part of an elaborate ploy conceived by Mr Ong to defraud AIA. She claimed she was merely an accomplice.
The Sunday Times obtained legal documents filed by both parties and they revealed intriguing claims that included a fake policy schedule and forged letters from AIA officials such as Mr Mark O'Dell, then the insurer's general manager in Singapore.
In his suit, Mr Ong said that the trouble began when he and his wife Enny Ariandini Pramana, 71, bought several policies from Ms Low, from 2000. Over time, Ms Low became a trusted friend to the Ong family and visited their home in Scotts Road regularly, he added.
$6.5m Insurance s.cam
'First of its kind' case spins web of deceit that includes fake policy and forged signatures
By Lorna Tan, Senior Correspondent
THE police and insurance giant AIA are investigating claims by a semi-retired Indonesian businessman that his insurance agent sold him a non-existent insurance policy that cost a whopping US$5 million (S$6.5 million).
The sensational case, which industry experts say is the first of its kind in Singapore, is currently before the courts.
The businessman, Mr Ong Han Ling, 72, is suing the agent, Ms Sally Low Ai Ming, for about $3.6 million plus loss of use of his funds. The $3.6 million is the amount left outstanding after the agent made restitution for some of the policy premiums.
In her defence, 33-year-old Ms Low, who was sacked by AIA in September last year, has alleged that the fake insurance plan - called the 'AIA Thank You Policy' - was part of an elaborate ploy conceived by Mr Ong to defraud AIA. She claimed she was merely an accomplice.
The Sunday Times obtained legal documents filed by both parties and they revealed intriguing claims that included a fake policy schedule and forged letters from AIA officials such as Mr Mark O'Dell, then the insurer's general manager in Singapore.
In his suit, Mr Ong said that the trouble began when he and his wife Enny Ariandini Pramana, 71, bought several policies from Ms Low, from 2000. Over time, Ms Low became a trusted friend to the Ong family and visited their home in Scotts Road regularly, he added.
Marc Faber : Oct Market Commentary
Marc Faber is out with his monthly report in which he discusses quantitative easing, equity markets, the dollar, gold, and other commodities. Here are a few highlights:
1. Equity Markets--Faber was correct last month in predicting a rally based upon extremely negative investor sentiment. He is more cautious about October because stocks are very overbought according to the % of stock above their 50 day moving average. Another reason for concern, is that after a strong September, markets often fall sharply in October and November. He is underweight equities right now.
2. Emerging Markets--Countries like Indonesia, Malaysia, etc are likely entering a price bubble thanks to worldwide money printing. Faber would not be buying these high-flying markets right now even though they could enter a final parabolic phase. He would be selling positions.
3. Dollar and Currencies--The dollar is extremely oversold and investor sentiment is very bearish. Conversely, investors are very bullish on the Euro (96% bullish according to DSI). Faber believes that a inflection point could be at hand leading to a nice move upward move in the dollar. He would not be short the dollar right now.
4. Gold and Commodities--Because he is bullish on the dollar right now, Faber believes there could be a significant correction in gold and other commodities. This could be a rather large decline, but would represent a buying opportunity. Why? More QE would be on the way.
5. Bonds--If the market declines and the dollar surges, this would be good for treasuries. However, upside is limited to 2.08% on the ten year. Faber does not expect yields to fall to new lows.
6. QE--Almost a slam dunk, according to Faber. The decline in asset markets will provide cover for the Fed to print more money.
1. Equity Markets--Faber was correct last month in predicting a rally based upon extremely negative investor sentiment. He is more cautious about October because stocks are very overbought according to the % of stock above their 50 day moving average. Another reason for concern, is that after a strong September, markets often fall sharply in October and November. He is underweight equities right now.
2. Emerging Markets--Countries like Indonesia, Malaysia, etc are likely entering a price bubble thanks to worldwide money printing. Faber would not be buying these high-flying markets right now even though they could enter a final parabolic phase. He would be selling positions.
3. Dollar and Currencies--The dollar is extremely oversold and investor sentiment is very bearish. Conversely, investors are very bullish on the Euro (96% bullish according to DSI). Faber believes that a inflection point could be at hand leading to a nice move upward move in the dollar. He would not be short the dollar right now.
4. Gold and Commodities--Because he is bullish on the dollar right now, Faber believes there could be a significant correction in gold and other commodities. This could be a rather large decline, but would represent a buying opportunity. Why? More QE would be on the way.
5. Bonds--If the market declines and the dollar surges, this would be good for treasuries. However, upside is limited to 2.08% on the ten year. Faber does not expect yields to fall to new lows.
6. QE--Almost a slam dunk, according to Faber. The decline in asset markets will provide cover for the Fed to print more money.
Friday, October 8, 2010
Oct Market Commentary : Asset Bubble..
The surge in global liquidity now underway is likely to provide further fuel to the next major asset bubble, which is likely to already be in the process of forming. Potential candidates are gold and commodity prices, emerging markets and resources shares. But the absence of obvious overvaluation suggests we are still in the foothills of the next bubble, which likely has years to run, providing plenty of opportunities for investors in these assets in the interim.
Special Situation Call : TongHer.KL(5010)
Profile:-
Makes Stainless Steel Fasteners.
Major Shareholder: All Star International Holdings Ltd
Tong Herr business is cyclical in nature. Nickel is one of material use in Stainless steel fasterners production. Nickel price should be higher in coming months.
See the Nickel Price Chart...
The Nickel Price as precious metal, expect to go up because of high inflation trend.
High Nickel price allow TongHerr sell its product at higher price and increase profit margin.
With RM1.2 cash per share, Tong Herr is really an attractive investment for Savvy Investor.
Makes Stainless Steel Fasteners.
Major Shareholder: All Star International Holdings Ltd
Tong Herr business is cyclical in nature. Nickel is one of material use in Stainless steel fasterners production. Nickel price should be higher in coming months.
See the Nickel Price Chart...
High Nickel price allow TongHerr sell its product at higher price and increase profit margin.
With RM1.2 cash per share, Tong Herr is really an attractive investment for Savvy Investor.
Thursday, October 7, 2010
Bank of America : New Banking Crisis !
WASHINGTON (MarketWatch) — The U.S. banking industry is entering a new crisis where operating costs are rising dramatically due to foreclosures and defaults, an analyst said in remarks prepared for Wednesday afternoon.
“We are less than one-quarter of the way through the foreclosure process,” said Christopher Whalen, managing director at Institutional Risk Analytics in remarks prepared for an American Enterprise Institute event.
“Rising operating costs in banks will be more significant than in past recessions and could force the U.S. government to restructure some large lenders as expenses overwhelm revenue.”
Markets focus on central banksA day after Tuesday's big rally, Paul Vigna looks at what may be driving Wednesday's markets, with much of the focus on the possible actions of global central banks, as well as the ADP report, which was less-than-expected.
He added that recently agreed-to foreclosure moratoriums by GMAC, Bank of America Corp. /quotes/comstock/13*!bac/quotes/nls/bac (BAC 13.42, -0.14, -1.03%) and J.P. Morgan Chase & Co. /quotes/comstock/13*!jpm/quotes/nls/jpm (JPM 39.71, +0.07, +0.18%) are “only the start of the crisis” that threatens the financial foundations of the entire U.S. political economy. See earlier story on 'robo-signer' crisis.
The three lenders announced recently they would halt some foreclosures until they could determine whether or not employees signed off on affidavits without verifying the information in the paperwork.
Whalen argues that the largest U.S. banks remain insolvent and must continue to shrink. “Failure by the Obama Administration to restructure the largest banks during 2007-2009 period only means that this process is going to occur over next three to five years – whether we like it or not. The issue is recognizing existing losses -- not if a loss occurred,” he said.
The U.S. government recently wound down its Troubled Asset Relief Program, one that the Treasury Department said was effective but has been largely scorned by the broader public. Analysts say it would be politically difficult for the government to adopt a similar program. See story on Treasury's estimate of TARP costs.
Whalen is speaking at an AEI event, entitled, “Living in the Post-Bubble World: What’s Next.’ In addition to Whalen, other participants include Nouriel Roubini, the famous pessimist and economics professor at New York University, and UBS Investment Bank’s Thomas Zimmerman.
Ronald D. Orol is a MarketWatch reporter, based in Washington.
(Source : MarketWatch.com)
“We are less than one-quarter of the way through the foreclosure process,” said Christopher Whalen, managing director at Institutional Risk Analytics in remarks prepared for an American Enterprise Institute event.
“Rising operating costs in banks will be more significant than in past recessions and could force the U.S. government to restructure some large lenders as expenses overwhelm revenue.”
Markets focus on central banksA day after Tuesday's big rally, Paul Vigna looks at what may be driving Wednesday's markets, with much of the focus on the possible actions of global central banks, as well as the ADP report, which was less-than-expected.
He added that recently agreed-to foreclosure moratoriums by GMAC, Bank of America Corp. /quotes/comstock/13*!bac/quotes/nls/bac (BAC 13.42, -0.14, -1.03%) and J.P. Morgan Chase & Co. /quotes/comstock/13*!jpm/quotes/nls/jpm (JPM 39.71, +0.07, +0.18%) are “only the start of the crisis” that threatens the financial foundations of the entire U.S. political economy. See earlier story on 'robo-signer' crisis.
The three lenders announced recently they would halt some foreclosures until they could determine whether or not employees signed off on affidavits without verifying the information in the paperwork.
Whalen argues that the largest U.S. banks remain insolvent and must continue to shrink. “Failure by the Obama Administration to restructure the largest banks during 2007-2009 period only means that this process is going to occur over next three to five years – whether we like it or not. The issue is recognizing existing losses -- not if a loss occurred,” he said.
The U.S. government recently wound down its Troubled Asset Relief Program, one that the Treasury Department said was effective but has been largely scorned by the broader public. Analysts say it would be politically difficult for the government to adopt a similar program. See story on Treasury's estimate of TARP costs.
Whalen is speaking at an AEI event, entitled, “Living in the Post-Bubble World: What’s Next.’ In addition to Whalen, other participants include Nouriel Roubini, the famous pessimist and economics professor at New York University, and UBS Investment Bank’s Thomas Zimmerman.
Ronald D. Orol is a MarketWatch reporter, based in Washington.
(Source : MarketWatch.com)
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