Member Info for CHEQUEMATE

Good evening all. I am surprised by how many folk have posted today, thought this was (and still is) a quiet board. Some interesting and informed posts.

I didn't see or was aware of any article in the press regarding the (latest) windfall tax proposal. I tried to log onto the Times article but I was unable to access it. I read something very small on the Independent site, but it gave me few details.

I had expected a possible small fall in the share price this morning due to the B of E's bond buying due to end sometime this week and the market awaiting what would happen, if anything, next. Maybe that has compounded todays' fall. If the B of E does decide to end their bond buying and with the govt. still not giving any guidance as yet as to how they are going to fund their so called growth plans then will we be back to where we were a fortnight ago when the pension funds were selling off their assets to raise funds to cover their positions?. I sold just before the announcement a fortnight ago at 142 because there was no obvious sign of a let up in the share price fall. I shrugged my shoulders and took the loss before it got larger, knowing that it may have been the wrong call as indeed it appeared. Then along comes the windfall tax again.

Should profits fall because of the windfall tax will it not put pressure on the dividend?; it certainly can't be in line with the RPI as stated in the companys' objectives. Will the dividend be reduced with the knock on effect on the share price?. Many ii invest for dividends so will this lead to a sell off?. Just thinking out loud, nothing more. If the dividend is maintained but profit is reduced will the dividend be adequately covered, i.e above 1.0?. Less than that the dividend could be threatened. Again just thinking out loud. As far as I am concerned for myself, at this particular time in the economic situation, finding a good dividend paying company is very important, if not critical.

As a private investor, it has always seemed we are investing to a large degree in the dark. By the time news breaks the market is already aware of it, good and bad, and the price will already be primed for adjustment by the market makers. We always seem to be playing catch up one way or the other. What can seem so good an investment can suddenly change with no or little pre warning. Renewable energy seemed a good place, safer (or less risky), than most others, but it just goes to show nothing is without risk.

Interested to read that folk were unable to sell their holdings. In the past with other investments if I found it wasn't possible to sell my full holding in one go, I was able to in smaller tranches. Didn't apply here, I only held 1000 shares.

Good luck to all invested here. I remain on the side lines with interest.

CM

Thanks for the post Monkswood.

I haven't heard of BSIF. I am having a look at it now to see what its' merits are. It seems interesting. Are you invested there?.

CM

Well, there you go. Share price now recovering from last week and now above what I paid initially as there was always the chance it would. Do I regret selling out?.......well.........I had to make a decision at the time not on hind sight. I'm a little surprised the price has recovered to what it is today and it may go higher of course. The market has settled to a degree but for how long?. Is there going to be another leg down?. What is the PM going to say at the Con Party conference later this week which may effect things?, is it worth taking the gamble to invest anywhere?.

At least if I am not invested here, or anywhere, I have nothing to lose sleep over. And I have other things to think and concentrate on without in the back of my mind wondering what is happening when my thoughts should be elsewhere; such is investing. Perhaps I am just getting old!.

I'm still looking in. Good luck all

CM

Shaun, you are of course entitled to your view but I have to totally disagree with you when you state that folk should never cash in on their loss and they should double down on the drop. Really?. In all cases, in all shares?. If you want to do that then that is up to you and I wish you well. I was one who did sell out and took a small loss, I didn't capitulate. I would rather take a small loss and have funds to re-invest even in the same company at a subsequent higher price and admit I was wrong, rather than average down and potentially see the share price keep falling and my losses get larger and larger and THEN admit I was wrong. Better to take a small loss than watch it get larger.

Although no longer invested in BOO, I sold out years ago, I keep an eye on it out of interest, maybe partly because I am in retail, and have seen it fall from a high of above 400p to below 40p. I read on their board folk saying effectively, yippee!, I'm going to buy even more!. Some folks are in it up to their ears and far deeper and are losing a fortune. I am not trying to suggest for one moment that UKW and BOO can be put in the same bracket they are very different but the principle is the same.

When UKW was falling rapidly I was unaware of why it was falling so fast, all I could see was that it was falling fast. Was I to hold on and wait for a recovery, which may or may not happen, or take my losses and wait with funds on the side lines?. I chose the latter; each to their own. Where was the bottom going to be?. It happened to be 138p; it could have been 128p, it could have been 118p, may still be. Regardless of the strength of any company the over riding economic climate can and will drive the price lower. Although I believe renewable energy could be a good sector to be invested in, when the mess hits the fan generally, it can and will effect most if not all companies regardless of their strength, some will just be in a better position than others. I will not invest much, in the first instance, in any company but will wait and see how things progress and will sell out if the price drops more than what I am comfortable with, regardless. But again, each to their own, each to their own risk appetite. What is right for me may not be for you and vice versa.

I have been investing for far longer than I care to admit, but must be over 25 years. I have made mistakes, but overall I have made a profit, not a huge profit but a profit. Had I taken the view of doubling down on the drops I dread to think where I would be. There would have been far more sleepless nights, share dealing would have become obsessive and my life far less enriched than what it has been.

None of us know what is going to happen tomorrow, next week, next month or year but times are scarey and things could blow up at any moment, in all manners of speech. There is no good news anywhere that I can see or is likely to be in the immediate future.

Good luck all.

CM

Excuse me chuckling Dave, but your post has brightened my day somewhat because to a large degree I am thinking exactly the same!. I didn't bottle it, I just decided that things could get worse before they got better. Maybe today, right now is just a temporary relief - time will tell.

CM

I need to get out and do something too Velo on my day off.

Share price recovering somewhat since I sold out although it went a deal lower, but is this recovery just short term as it has been during the last couple of trading days before trading lower again?. Has this been a case of early morning jitters and should not trade during the first hour?. Is the Chancellor or our "enlightened" PM going to open their mouths again to "re-assure" us and/or the markets?. Hmm.

Better get on with those chores Velo, they don't do themselves. Good luck.

Don't worry Velo; your comments wasn't linked to my selling decision but gave me another chain of thought to reflect on which I hadn't thought of and was helpful. Both you and I are well experienced not to be unduly influenced, one way or the other by others.

CM

Thanks for the post Velo. Just read it. I agree with what you say. I may well take my loss and move on with a view I can always buy back in. I don't like taking a loss of anything more than 10% on my initial investment but really should use a rising stop loss rather than what can be regarded as a historic (buy in) stop loss. Too many investors look for reasons for NOT selling, and finding them, rather than reasons NOT to buy in. At least I will have had some dividends. Often it is better to sit on the sidelines. I can't see this suddenly reversing much that I would like. 10% stop loss would mean bailing out at around 140, but why wait for that.

Stay around.

CM

Hello there Velo. Hope all is well. I remember you well , yes, a blast from the past, a golden oldie.

I don't post much these days. This is my only holding. However, I keep a keen interest on investment matters. No, the market doesn't do kindness. Overall I've done okay, but I did think whilst out walking earlier today has all the stress been worth it over all the years for the probable little gain I've made?. Trouble has been, blink and your profit has gone after the time it has taken to build up. It's knowing when to sell, not when to buy.

Yes, the companys' investment strategy is good, providing an annual dividend which increases with RPI, but that is far easier when the RPI is very low. And of course the dividend yield increases if the share price falls, but not if you invested at a higher price, ie if you invested at 150p and the yield is say 5%, then the yield is still 5% on your investment should the share price fall to 75p and the yield on that is then 10%. The dividend cover at the last count was 2x.

Stay well.

Regards

CM

how relevant this is, but trying to make a little more sense of the share price fall......

top falling industry sectors today includes:

Electricity generation and distribution - 7.17%

Looking at the graph following share and sector movement during the day there are clear similiarities.

Not sure how much it may be down to Keir Starmer announcing that Labour would nationalise green energy, but who knows for sure.

CM

I invested here back in around April at just under 154p. Not a huge holding, just 1000 shares, but enough for me. I prefer to start small and build up any holdings, being prepared to average up on a rising share price rather than average down on a falling share price. After the last couple of days, today particularly, I find myself underwater, if compared to many not by a huge amount. I thought at the time that investing in renewable energy was a good investment but not expecting spectacular returns, and in the longer term it may prove to be the case.

I have been trying to get a handle on why the share price has fallen so fast over the past couple of days. I appreciate the comments below outlining the probable reasons, even if they are a little beyond my full level of understanding. I had noticed that the share price has been at a premium to the NAV and that over time the premium tends to return to near the NAV, so I haven't been surprised that it has fallen (to an extent). However, the steep decline has caught me a surprise.

I suppose the question is - is this/can this be seen as a good long term investment in future renewable energy with the greater picture in mind regarding the high energy costs and climate change etc.?. Are alternative renewable companies in any better position?. Sorry, that's 2 questions.

Is part of the share price fall down to the general malaise in the market (outside of the FTSE100)? Oh, that's a 3rd question.

I thought this may be more recession resistant but there is obviously more to it than that.

Some good discussion on here. Thanks all.

CM

Sorry, message sent before it was meant to.

In the past GBG has always recovered and provided very positive updates. On that basis I am not expecting anything different but don't quote me on that one.

Bigtosh, Doze, good to see you still posting here. Hope all is well with you and your nearest and dearest. Bigtosh, expect you are well and truly settled into the house by now and the not so puppies are behaving not quite so much like puppies!. No doubt, Mrs. BT has another list of jobs for you to do, so I will let you get on with them!.

Don't rule me out from re-joining the merry gang on here as an investor. This is pretty much down to the price I sold out some time ago now.

Regards and good luck to all

CM

Just looking in to see how folk are doing here, having been absent for some time.

Sorry to see the share price has fallen right back again. If it is of any consolation, most of the market is pretty dire at present. A lot of the growth stocks are no longer growing by the same amount and many tech stocks are getting hammered regardless of how good they are, GBG including. I would have thought the market GBG are in would be to a degree less volatile. In the past GBG

"Plenty of time for you to get back in, go on you know you want to :).". Hmm :). Didn't want to sell out to be honest. I am surprised it fell back to the level it has today, 3 bad days, or is it 4 in a row?. It would be easy to fall into the trap of thinking this has bottomed; it may have and for holders I hope it has. I may reconsider if it falls to 700p.

Sorry to hear you are nursing some big losses. As I said previously, buying is easy, selling is what is difficult but we need to take a loss before it gets bigger. That is a hard discipline. And no, don't over expose yourself....you can get locked up for that!. I now have just one holding and not looking, at present, to change that........then again.........

Good luck and regards to all

CM

This has probably bottomed now my stop loss was triggered, (below what I set it at)!. However, yesterday it fell, recovered, then fell more in the afternoon. Yes, this is "cheap" now, but it may get cheaper yet, difficult to say of course.

Selling is always harder than buying. I for one, always think as soon as I sell it will rise, usually to be proved wrong by holding. Oh, and the price must surely rise now after such a fall - getting too attached to the share. Too busy doing other things this week to have sold earlier which is why a stop loss at 800p would have been wiser.

Not sure when next Divi is due, but come ex Divi date the share price will likely fall by the same amount and therefore from which level?.

I will keep this on my watchlist and possibly look for a re-entry point.

Good luck all

CM

Not sure investors will keep more money in the bank with interest rates at around 2% and inflation likely to hit 10%. Means money saved has less value, so spend it now on things you need rather than things you want before prices go even higher. This inflation has been caused largely by circumstances that higher interest rates will only have limited effects. It is more of a supply issue than a demand issue. But......the central banks probably believe they need to be seen to do something.

With the DOW down over 1000 points, 3%, and the NASDAQ down by 5 %, tomorrow does not look good. Higher interest rates are not good for equities on the whole. Difficult to know how low this will fall before there is any recovery. The fall isn't a true reflection of the companys' performance more on the economic climate. As such I may well sell out by setting a stop/loss, take my losses and wait for a new, lower buy back price. I am not the only one who has been taken aback by the fall over the last couple of days, this week. Had I foreseen this I may well have sold out before. If I add in my dividends received then my loss could be worse.

From the Naked Trader (Robbie Burns) blog today, just seen:
"IG went for a profit of £84. The reason I sold? I was making a phone trade with a different SB company who said they were "quiet" so I thought maybe the same with all the SB firms at the mo.". Make of that what you will.

Wishing all well.

CM

Another case of should have taken the opportunity of selling at around 840p, but "it will be different this time". IGG seems to have bouts of rising to mid 800s only to fall back. Chances are it will happen again. Personally, at this moment in time, I don't have an issue with the company and see the price movement as a reflection of the market uncertainties generally. Many of the uncertainties should help IGG over time, theoretically. All very frustrating.

CM

Well.........that was always an alternative.....buy more to take advantage of the lower price. However, that would be breaking a strong rule I have for myself regarding taking a % loss. And I would have felt uncomfortable at this time.

No, I can't see the rally lasting much longer. But....the market can remain irrational for longer than I can stay solvent; sometimes/often there is no logic in the way the market moves. Not sure Mr. Spock would have been a good investor or even if he would have even contemplated investing at all.

FTSE falling back close to finish.........SUK2 inching back up!. 2p difference from when I sold out. And no, not the price I wanted, such is life.

Earlier, after I had sold, I had an email from HL, reminding me of the volatility and dangers of using an ETF. I thought it was good of them taking an interest in my interests.

CM

Thanks for that W.
I have "bailed out". Think the first time I didn't push the sell button within the 15 seconds, nor the second time come to think of it. The price has stayed much the same since I sold, little bit higher (surprise, surprise).

I read into the sort of fund SUK2 is and the risks associated with it; which to a degree you outlined a while ago. It is high risk and although some, including you, seem to be happy to take that risk, indeed even get a buzz from it, I am less inclined to. It states on the Hargreaves Lansdown site under SUK2, that it isn't really designed for anything more than a quick trade, and not intended to hold for any length of time which is out of character for me and what I am able or want to do. I am sure I could play it better in the future.

My general strategy is to start thinking of taking my losses when they reach 10%, plus maybe a day or two (just in case). Take (relatively) small losses before they become large losses. In this instance my losses have amounted to just around 12%. Of course things could improve from here; but isn't that what so many folk think to justify keeping their positions open?. Then they state that they are "locked in" - no they're not, they're just reluctant to admit they have made a mistake and take a hit, which then gets bigger.

The Chancellor will make a statement tomorrow which may well give the market a boost. If so and if most if not all the bad news is already reflected in the market price then there may be another opportunity to dip in here at a better price, somewhere below 400p. We're merely pawns in this game, somebody else is moving the pieces to satisfy their game plan.

I will look at what other opportunities are out there. As you have said, it's more of a trading environment at present.

CM

hmm, trade didn't execute!. Still in it seems!

CM