Member Info for Asperger1

Trevor - just a few day to wait to see if Barc pays theirs on Fri,
And Lloy in way better shape than most
Lloy goes ex divi 16th April - last yrs final + 3x interims will make an awesome yield this year :-)

Lloyds Bank plc Commences a Cash Tender Offer for Any and All of Its 12.00% Fixed-to-floating Rate Perpetual Capital Securities.

Understanding perpetual securities?
https://www.moneysense.gov.sg/articles/2018/10/understanding-perpetual-securities

I don't pretend to fully understand what is happening here but my guess - Lloyds is taking advantage of UK's extremely low interest rate to buy back bonds that potentially cost Lloy 12% ???

Astrazeneca plc (AZN) -
Just one example of the majority of companies who are still paying their usual dividend

The Astrazeneca plc dividend was 190c and it went ex 1 month ago and it was paid yesterday.
There are typically 2 dividends per year (excluding specials), and the dividend cover is approximately 1.3.

https://www.dividendmax.com/united-kingdom/london-stock-exchange/pharmaceuticals-and-biotechnology/astrazeneca/dividends

If you can keep your head when Roo is losing his and blaming it on you,
If you can trust yourself when Roo doubts you,
But make allowance for his doubting too . . .

https://www.poetryfoundation.org/poems/46473/if---

#careinthecommunity
#rooaintgotaclue
https://imgflip.com/i/3urix9

Eviking -
Many companies are paying their Divi's as normal (a handful have had to cancel)
I can't tell you the divi will be paid - same as others can't tell you it won't - no announcement either way so far - Barc due to pay theirs of Friday, so getting a bit late to 'pull it' - IMO it will be paid

I don't know about the 12% thingy,
maybe the buying back of 12% bonds???
anyone else know?

Bigtwig -
“Given current uncertainties and the importance of finance providers being able to play their vital role in supporting the economy... finance providers are likely to want to discuss their dividend policy with their boards, shareholders and supervisors and review their 2020 distribution policy carefully,” UK Finance said.

https://www.reuters.com/article/us-health-coronavirus-banks-dividends/uk-banks-could-review-2020-dividends-due-to-pandemic-trade-body-idUSKBN21H1QA?il=0

So fortunate Lloyds Dividend is projected to be 2x covered by earnings !!!
Respect to AHO and the board

Dividend most likely to be paid !!!

We have received multiple reports about coronavirus-themed 'cancelled dividend' scam websites attempting to trick people into panic selling their bank shares.

Reporting numbers are expected to rise until Barc pays theirs dividend on Friday 3rd April.

https://www.actionfraud.police.uk/alert/coronavirus-scam-costs-victims-over-800k-in-one-month

Do you have the balls to post your trades live Jameroo - answer no!!!
#waltermitty
#Rooaintgotaclue

11 UK stocks where experts think the dividend is safe

https://www.ii.co.uk/analysis-commentary/11-uk-stocks-where-experts-think-dividend-safe-ii511057

“Given current uncertainties and the importance of finance providers being able to play their vital role in supporting the economy... finance providers are likely to want to discuss their dividend policy with their boards, shareholders and supervisors and review their 2020 distribution policy carefully,” UK Finance said.

https://www.reuters.com/article/us-health-coronavirus-banks-dividends/uk-banks-could-review-2020-dividends-due-to-pandemic-trade-body-idUSKBN21H1QA?il=0

So fortunate Lloyds Dividend is projected to be 2x covered by earnings !!!
Respect to AHO and the board

Divi 2x covered by earnings !!!

2020 projected results
Q1 Underlying £2.0bn Pre tax £1.6bn post tax £1.4bn divi 0.674p
Q2 Underlying £4.0bn Pre tax £3.2bn post tax £2.8bn divi 0.674p
Q3 Underlying £6.0bn Pre tax £4.8bn post tax £4.2bn divi 0.674p
Q4 Underlying £8.0bn Pre tax £6.4bn post tax £5.6bn divi 1.51p
= 3.53p total (cost~£2.5bn)
ie Dividend 2x covered !!!
Leaving the other £2.5bn for contingency, buybacks or acquisitions

Call for Government to underpin pensioners by 80% if bank dividends are cut

Banks under pressure to keep paying dividends

https://www.telegraph.co.uk/business/2020/03/30/banks-poised-pay-dividends-despite-virus-crisis/

That's the plan Caitlin - turn £5k into £10k within 6 months - will post the progress each weekend

If you can keep your head when Jamesroo is losing his and blaming it on you,
If you can trust yourself when Jamesroo doubts you,
But make allowance for his doubting too . . .

https://www.poetryfoundation.org/poems/46473/if---

Well - I've just placed my money where my mouth is -
15,000 @ 33.606 = £5079 inc tax & charges
Reasons -
* FCA advised banks not to increase divi (ie divi will not be cut),
* I expect Barc to pay its divi on Fri, other banks inc. Lloy will follow suit
* Bought now to qualify for the 2019 final divi
* News today, Early signs Covid-19 take up is slowing
* Gov projections yesterday, back to normal in 6 months
* You can all watch it's weekly development at the bottom of my fantasy portfolio

Will we see our usual dividend increase this year?

Measures taken by the BoE and PRA
On 11 March 2020, the BoE announced a package of measures to support UK businesses and households through the economic disruption that is likely to be associated with the coronavirus outbreak. Among other things, the Financial Policy Committee (FPC) has reduced the UK CCyB rate to 0% of banks’ exposures to UK borrowers with immediate effect, in order to support bank lending to businesses during the crisis. The FPC expects to maintain the 0% rate for at least 12 months, so that any subsequent increase would not take effect until March 2022 at the earliest.

The release of the CCyB reinforces the expectations of the FPC and the Prudential Regulation Committee that all elements of banks’ capital and liquidity buffers can be drawn down as necessary to support the economy through this temporary shock.

In a statement accompanying these measures, the PRA said that banks should not increase dividends or other distributions, such as bonuses, in response to these policy actions. It has advised that a Senior Manager should scrutinise any proposals related to dividend distributions or share buybacks and be prepared to discuss these with the PRA. Proposals to amend bonus pools should also be scrutinised by the Chair of the Remuneration Committee or relevant Senior Manager.

The PRA also set out a number of considerations that firms should take into account when deciding whether to use their capital buffers.

https://www.lexisnexis.co.uk/blog/financial-services/coronavirus-(covid-19)-what-does-it-mean-for-financial-services

Relax Eviking, if banks cancel their divi we'll be able to claim 80% of it from the government :-)

Day 7
Prince Charles now out of self isolation