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My average comes out at 98p! That’s a yield of 12.23%! Lol!
I will be delighted if it stays at 98p and amazed if the 12p divi (3p quarterly) is held but you never know. I am getting over 10% at DEC. It does happen!
Nothing ventured….
Usual caveats
Trek
Trek
I just bought some at 111p on the same premise as you, it is most odd as the company is tightly run by the family, but this is a reputational issue now, no question.
But everything has a price...
From the website client B is clearing…..
“ Since launching our Model 'B' Clearing and Settlement Service in March of 2005 we have developed relationships with several leading IFAs, Stockbrokers, Asset Managers, Investment Companies, Building Societies and Banks.”
Anyways that was fun I grabbed nearly 6k worth. You actually couldn’t buy a set number of shares on ii it would only take cash.
I bought in three lots, 99p no surprise there! 92p and 94p as it bounced.
I figure the company will draft a statement over the weekend and then when folk think it’s an overreaction I will sell them again. Well that’s the plan!
Can always grab em back later.
I think at worse is a fine of sorts or a systems change. But the FCA’s role is to help not fine unless it’s deliberate obfuscation. I have had dealings with them before.
This could prove to be an opportunity or not but a 50% drop seems well overdone. It’s not exactly a duster! Lol!
Usual caveats
Trek
Could it be some account(s) that their subsidiary manages that the FCA might be interested in?
Does anyone know what's going on?
From website….
Quality of Service
Jarvis position themselves at the most competitive end of the market on price but appreciate that service is the driver for long term success. Jarvis has grown mainly through recommendation, are multi-award winners and our customer-centric culture is underpinned by our Customer Charter.
Compliance
Jarvis has an excellent compliance record dating back to the foundation of the firm in 1984 and are committed to the highest standards of regulatory compliance, complaint handling and Treating Customers Fairly.
Security
The Financial Services Compensation Scheme protects customers who hold their assets with Jarvis. All stocks are held in a separate nominee company, as required by the FCA, and cash is deposited with Approved Banks in designated pooled accounts. All requests to transfer client cash and stock are subject to robust controls. We recognise that one of the most important responsibilities to all our clients is to ensure the safety and security of the assets entrusted to us. With this in mind we have put in place a professional indemnity insurance policy with a major third party insurer to provide the maximum level of cover.
Trek
Trek
I have carefully read this rns 4 times and I still can't understand the dividend thing, one point to bear in mind though is that this company always had an impeccable reputatation in management but this seems to have been a serious slip up on that front.
To be given a tug by the fast asleep FCA is something even Woodford has avoided, so why JIM ?
But even if this is sorted out swiftly the reputational damage is, imho, serious.
However at the current price an unchanged divi is a pretty high yield, and the family like those divi payments like we do (did?).
Who knows ?
What a **** show
Are the divi’s impacted yes or no?….
“These voluntary restrictions do not prevent JIML providing services to current clients and paying its ordinary expenses and commissions; nor do they directly restrict any payment of dividends by the Company.”
Directly restrict so they do indirectly??
Then…..
“ The additional professional fees and associated costs, and the asset restriction, however mean dividends payable to the Company (and therefore dividends payable by the Company) may be reduced and/or delayed pending FCA approval.”
Is that a may be or won’t be….
Terribly worded RNS…
Folks will assume the worse. But at least it’s near 3 months to the next divi whatever it may or may not be!
It could be worth trying to catch the bottom as this looks a finite regulatory thing but wtfdik!
Usual caveats
Trek
Well I've gambled on a big top-up. People forget how much money they have made from good old JIM over the years.
Obviously a lot of people have been "in the know" for some time.
Audentes fortuna iuvat.
Yep I got out just in time. Had sold most anyway but had to send the last to market at best but got 157 ish.
I am not sure if the impact that this could have on new customers. Have read RNS twice it seems pretty vague as numbers are an unknown so have bailed. Will watch from sidelines.
Usual caveats
Trek
This afternoon's rns has been less than helpful...
Well done for adding. I am a seller at 200 though. May be a tad earlier dependent on volume.
This one is following rates higher but as always things don’t keep going up.
In at 157 and looking to get out at 200ish with a divi in the bag is a good return.
Will then come back for another run!
Usual caveats
Trek
On basis of the dividend, and recent SP strength, I have just doubled my holding in JIM, as a long term hold.
Already difting upwards. Is an increase of 75bps in the base rate on the cards?
Well it went to 155 after my post poss lower intra day. I couldn’t add nor have I been able to recently but for those following there is now likely a recovery to 200p on the cards.
If you just factor in a 3p divi being held that’s a decent quarterly return from 170p of 7% or 6% at 200p.
This has normally delivered around 6-6.5% yield so imo the bottom is in based on it being an income play.
Factor in the higher interest rates (helps deposits) and markets holding up and that adds to the SP strength.
Obviously usual macro risks etc apply but this imo is a pretty good entry now for those looking for a boring income with capital and divi growth potential!
I have to wait to top up once some higher risk pays off. As always though timing is everything and I may just miss the last chance at a decent tuckaway price here!
Usual caveats
Trek
Err, as per the RNS.
"The Board of Jarvis announces that it is declaring a third quarterly interim dividend of 3 pence per share, to be paid on 8 September 2022 to shareholders on the register on 19 August 2022 and the shares will become ex-dividend on 18 August 2022."
I'm abroad and haven't received my pack... What's payout date this quarter?
Jarvis divi remains at 3p for third quarter, which is as good as we could hope for.
I have noted the recent SP strength going through 160.
Technically there is likely another retrace to test 150 before it moves up again.
I think for now though the few pence either side is irrelevant for most.
I haven’t bought back in fully yet but depending how the balls that I am juggling land JIM is defo on the income buy list!
I would of course like to get in sub 160 if poss.
Usual caveats
Trek
Trek
I dipped in again yesterday at 155, I am also hoping that the divi stays at 3p but if it went down to 2.5 a quarter the yield is still good and covered.
Agree with your summation of the company and in 6 months time we will start to see the effect of rising interest rates on their cash balances, which could be significant.
I added a few back in today now SP settled. The 3500 and 1500 buys are mine. Doesn’t look like 150 is on at least yet but will pick up more up or down later.
Thrugelmir,
There is a a 3p quarterly divi paid Mar, Jun, sep, Dec. So for my 5k shares that’s £150/quarter assuming divi held at 3p which I hope as it had just been cut to 3p or a yield of 7.58% on my new buy in average.
It only takes one set of numbers for these brokers to change the rev dynamic significantly as they are very low cost and cash generative.
It’s about retaining and growing customers and increased activity per customer.
IGG and PLUS are doing it well but more international. JIM could be a good recovery play from this level with a 250p target very possible.
Good luck with your investments
Usual caveats
Trek
What's the relative % changes once dividends are taken into account? Likewise if dividends had been reinvested.
% change In 1 year….. in 5 years
Cmcx - 31. +103
Plus. +19 +162
IGG. -11. +27
Jim. -50. +31
HL. -48. -36
AJb. -28. +37
Source google finance
Just goes to show hold and hug only works if you have the right shares and of course timing of buys & sells.
I like the low cost model that JIM holds and that they have a good BoD with good holdings but I was a little peeved at how the divi was cut almost incidentally and that at the last TU they then haven’t mentioned wether it will be cut or held going forward.
That makes this more of an ops play than income play until that unknown is known. If however, the SP drops below 150 then even with another cut the yield should still be good and well covered.
On sidelines atm.
Usual caveats
Trek
AJB reported a decline in trading activity in their half year to 31/03 (and reduced profitability). AJB's share price is currently down 31% over the past 12 months . Shouldn't come as any surprise that JIM is trending along a similar path.
Out with the last at 160. Will see how it goes before reconsidering. If it recovers plenty of time to get back in.
Moved some to DEC for now.
Usual caveats
Trek