LBTYA is undervalued; market cap of $3.6B is covered by $2.4B cash and >$2B investments, leaving telecom assets effectively free.

We will also discuss Liberty Global as an investment in assets rather than as ownership of a company.

Let's continue with the example of playing assets, "Liberty Global". It's not a great company, it operates in the telecommunications sector, but its market value is $3.6 billion.

Just look at the sum of the parts. They have $2.4 billion in cash. Remember the market value. So, $1.2 billion is for the remaining assets. They have a portfolio of investments in media and sports.

They were making profits from it. Therefore, there must be a value of at least $2 billion. This means there is already weakness there. Then they have telecommunications assets with $8 billion in adjusted earnings before interest, taxes, depreciation and amortization that should be valuable.

I get it for free. This is value investment . They calculated some ratings there. They have spun off the Swiss telecommunications company Sunrise . That was for 12 per share. Now they are looking to separate the "Ziggo" group, in the Benelux region, the Netherlands, and Belgium.

That could also go as high as 10 or 15 per share. The share price is now 10 per share plus cash, investments, and the UK . That's also a large telecommunications company , the joint venture "Virgin Media O2".

First, consider: Can I lose? Can I get 10 or 15%, and maybe more with a little luck? That's my strategy.