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aims to provide a high level of dividend as well as capital appreciation from a diversified portfolio
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30th August: "Out of interest I sold after I started posting on this board."
31st October: "Never said I was not a Shareholder"
Transparency matters.
Mr Guitarsolo
Never said I was not a Shareholder you asked and seem unhappy my holding was small.
Other stuff I did not understand.
"mr guitarsolo what is this?"
last comment as no need to get side-tracked. i never said the fascists, xenophobes, covid conspi******s etc were on this board. read it again.
anyway, glad you're a clearly stated shareholder now. transparency matters.
12% yield. Contrary to the opinion of some I am supporter of this company and want it to succeed.
To those of you who may be more heavily invested than me I suggest the dividend and estimation of the dividend amount is now paramount.
I cannot really say anymore about dividend expectations until the second half of next year when the income is earned.
For those who are undecided I would recommend Actuary03's posts.
i invested 30 years ago which i am sure you know.
there was no dividend washing then the fund was run by michael watt who was one of the best regarded far east fund managers around, the current manager was his deputy. i know you know this but there are newer members/shareholders now.
"ps lse did some sort of reset and removed all those i had blocked. it's a right pain as it was an eclectic mix of right wing fascists, rascists/ xenophobes, covid conspiracy theorists, general w******s and the disingenous (where you fell)"
mr guitarsolo what is this?
i never spotted any fascist comments ,mention of covid,, ****** or zenophobic comments on this board and you know how i constantly mention the boards hostility.
it seems you want to remove any comments you do not like for your own personal reasons.
1.4% of assets makes me a shareholder people.
When did I ever ask you to sell (or buy for that matter)? Believe me, my happiness is not tied to what you do!
So now you claim you are a shareholder. Why on earth would you buy shares in a company that you have accused of dividend washing? That's completely illogical. But you've invested because you hope the dividend is maintained or even increased! Talk about going full circle!
[PS. LSE did some sort of reset and removed all those I had blocked. It's a right pain as it was an eclectic mix of right wing fascists, rascists/ xenophobes, Covid conspiracy theorists, general w******s and the disingenous (where you fell).]
I am a shareholder you all asked me to sell I sold some and now you are not happy. I thought you banned me Guitarsolo.
I have not mentioned the dividend washing for a while now.
I don't think it matters much now there is now a 12% yield. If the dividend is maintained or even increased as the Managers aim to do HFEL will be a very profitable investment.
We should all be concerned with the maintenance of the dividend.
Ade2a: why would it matter to me if you either buy or sell? You've pumped the dividend washing line for years and I've asked you for evidence of it. You still haven't provided it which may not be your fault because I don't think you can get that data. I can't prove otherwise because I too don't have the data. It's fine to put forward ideas in this kind of forum if you're being transparent but you did so certainly giving a clear indication that you were a shareholder, until you let it slip you weren't.
Ct
From the horses (HFEL) mouth.
''on share issuance, we have increased the premium at which shares can be issued to ensure that existing shareholders benefit from the uplift of issuing new shares at a premium to net asset value. The increase in the size of the Company has the additional benefit of spreading the costs over a wider shareholder base. The proceeds derived from issuance are invested into existing shareholdings ''
Tbh ade, I don’t care what you do and I don’t bother reading yours or any of your new mates that pop up here whenever you say something particularly ridiculous as you just have so good luck with your investment decisions and all the best to you.
Ct
''I worked in the broking community for 20+ years my friend; I suspect you are perhaps very naive''.
whoopee - that hasn't stopped you from being clueless - money raised from issuing new shares at a premium has been used for further purchases in the underlying assets.
Do you now want me to buy?
Jamesmaggs Longtimeinestor and Guitarsolo made me do it. They asked me to sell. Do you know want me to buy?
Hi GS, I concur mate, I think half the time people get worked up about stuff they can’t do anything about and just look to find someone,anyone to blame!
Sometimes I wonder if trust managers/brokers know anymore than anyone else, I sometimes look at the broker upgrades/downgrades and I think I might be right!
canetoad,
"you seem to have this idea that issuing new shares and diluting existing shareholders is a great idea".
if you worked in the broking community for 20+ years i hate to think of the damage you must have done, because you are totally clueless. investment trusts don't dilute shareholders on an assets per share basis when they issue new equity and use the proceeds to buy more of the underlying assets. in the case of hfel they have (unbelievably) issued new shares at premium, so this will have been accretive to existing shareholders.
the reason the nav per share has declined is because the value of the underlying assets has tanked . it's got nothing to do with the issuance of new equity, it's the asset managers making poor asset allocation decisions.
good god. the number of people who come on here with a ****tail of arrogance and ignorance. it's cringing.
James, I think you’re mostly right with all of that! The bottom line is that the shares that HFEL has invested in have depreciated significantly in what is a horrid global market. Too much debt, too much frothy valuations based on what might be the next big thing. HFEL does seem to most closely align with the Hang Seng, which is somewhat strange as Hong Kong only accounts for 11.5% of the portfolio, about the same as S.Korea and Taiwan and less than Australia or China. But there you go.
Well done Bott for at least making the effort to engage with the company and for posting their reply to you. There are no great reveals of course but there are no obvious statements where they are hoist on their own petard. For example, an explanation that the funds from new issue are purposefully directed towards stock about to go ex-dividend (which is logical as those new shares need to be contributing to the pot as quickly as possible given the level of dividend cover).
Speaking of new issue shares, Cane Toad I don’t agree with your take on this. If new shares are issued at a premium (and they always have been) then that is beneficial to the existing shareholders, albeit marginally, at the time of issue. They have been used to buy more dividend paying shares which, unfortunately, have fallen in value as well. Hence we have the same book value but more shares, hence a lower book value per share.
As for the conspiracy theories raised re dividend washing, I agree with you James that there are agendas here. No one who espouses them has the evidence to back it up, primarily because I don’t think that data is available to us (individual trade data and lots of it). When people without any skin in the game want to talk down an investment I always wonder why. They may be right, they may be wrong.
I hate to have to admit but I’ve got worse paper losses on many individual holdings and trusts like EAT, JCGI to name but 2!
The only way forward I can see is wait for the constituent holdings to drag themselves back up in the cycle of shifting share prices and bank or reinvest the divs to average down, in other words wait.
I’m not prepared to crystallise a loss on a diversified fund just to buy other funds/investments and whoever said the letter from the chairman was well worded I concur.
Short fixes like director buys or even buybacks I doubt will get us back to a quid higher,only time.
I think the conspiracy theories on here about dividend washing etc are agenda driven, bitter nonsense(no offence) and most of my business friends as well as portfolio/shareholders are all saying this year has turned out to be a bad one and the ‘down a third’ fraction is pretty much across the board.
GLA
@longtimeinvestor: You seem to have this idea that issuing new shares and diluting existing shareholders is a great idea. FYI: irrespective of the price, It's only a good thing if *shareholders get the benefits*. In order to know if that's the case, we need to know what percentage of thap new money has gone into assets for the portfolio, rather than supporting the dividend and/or manager fees...
Apart from being unpleasant, can you provide something useful here? With each new share issue, the number of shares bought in the underlying portfolio? What is the current dividend coverage?
I worked in the broking community for 20+ years my friend; I suspect you are perhaps very naive how funds operate or you might be associated with the fund manager itself. Either way - we will find out as I will be here for the very long term to find out which one it is.
Would be good to see directors buying at these levels to boost confidence.
As predicted -- yet again -- HFEL plunging under the 200p level. The share is in freefall. All eyes now on the 180p low. China woes continue to drag the Asia region down.
Ct
''You don't seem to understand the effect that has on the shares of a company.''
I know perfectly well the effect on HFEL - issuing shares at a premium is beneficial, but you appear to not understand that
Ct
''Are you questioning how the number of shares has grown? That's a fact.''
and?
'' Shares in issue have increased about 40%, while the book value has decreased about 7%. The share price has decreased by 47%.''
and?
were shareholders not aware of a falling share price?
are shareholders not aware of falling asset values of the underlying stocks?
@longtimeinvestor: Just for your benefit again!
From Oct 2017 - Oct 2023, Shares in issue have increased about 40%, while the book value has decreased about 7%. The share price has decreased by 47%.
@longtimeinvestor:
Are you questioning how the number of shares has grown? That's a fact. You don't seem to understand the effect that has on the shares of a company.
What's your problem - are you a paid promoter for the fund? These channels are of use for sharing factual information about stocks,. which is what I've done. I intend to continue doing that here. They're not for people paid promoters to continually ramp an investment.