Sequoia Economic Infrastructure Fund Share Price (SEQI)

Actuary63

Thank you for your informative reply@

Hello Zzzz91,

There are other high yielding investment trusts (e.g. NESF) with even more baffling prices.

I think prices will rebound when there is greater certainty about expected interest rate cuts.

When December's CPI figure came in lower than expected there was a rapid price rebound which reversed when January's CPI figure came in higher than expected.

March 20 is the date of the next CPI release, when the annual inflation rate is very likely to drop significantly. Let's see what happens then.

Having held SEQI since pre Covid I am baffled that it remains in this price range.

Quarterly dividends which rise every so often are the 'bees knees' to me in my retirement.

Are interest rate reductions needed?

It's a win win for investors. The buy backs mean the company saves the 8% it would pay to holders in dividends. If you don't need the dividend and are confident in the future of the trust then you're getting more shares at a knock down price

Does anyone have any knowledge of how the Dividend Reinvestment Policy is going to work? Are we getting part of the 90+ million shares held in treasury and paying twice, once through the buy back (loss of dividend) and again if purchased through drip?