Writings were on the wall yesterday from 11.05 when price stuck at 220 and no one wanted to cave in and at that time the best ask was at around 235-240 then immediately suppliers started to drop prices at a rate of around 5 till it got to 220 when most bidders seemed not to give in. Sold my holdings then @220. I've realized one thing about the Kenyan Market, never get in on the day of the announcement, sell on the first hour of announcement or when the market is about to close on the same day. On the second day put your sale order in during the pre-order time and try and sell before 10.30.
This is because most guys buy the headline before reading in between the lines. Take an example of a share in a US company when once crashed on old news that had been mistakenly filtered by their systems and by the time people realized guys had made a kill while others had massively lost.

When msimon talks insurance, sikilizeni!

I see you are a believer in the "wazua effect" on the N.S.E. I've counter checked what m(simon) says [couldn't resist], and the figures are true. what i wonder is of the sale that he claims covered the "loss", exactly how much was just stocks? And please just tell us what you see, oh great guru of wazua. The events since release have softened my 250 price tag, and may buckle very soon.

sarcism?

mwanahisa- indeed i may be wrong on some matters no doubt, but i wouldn't be a net buyer of this stock at current levels. Its a great company no doubt, but its not a great investment at the moment.
Now here is a new gospel when it comes to insurance play. For plain corporate action aka special situation, you can consider Pan African, both before the book closure on bonus and div. and after the book closure. Why? Well its simple. They are selling their 40% stake in APA. What's that in shilling value? Depends on your valuations for APA. Now based on how we value insurance companies,(Float and its cost!) and book value measures, you would have a best case scenario of 1.7bn(40% on assumptions that it has a 95 underwriting margin and investment income using 3yr averages), mild scenario of 700m(40% on assumptions that 95 underwriting margins and investments are made only in long term government bonds), or worst case of 420m(420m is based on 40% of book-value end of 2009). That would provide support for the stock and will be a catalyst for a great dividend in the next financial year. So your overall returns could be well in excess of 40-50% for the year. We dont believe in stock tips but we think this would be great. The better thing is for the price to go below 90.
The other alternative for the long haul is Kenya Re. am more than certain that this stock will reward the patient ones. Jubilee at below 110, would be a steal, but what are the odds for those who lack it in the portfolio?
Disclaimer: These are personal views and are in no ways stock recommendations