Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
I forgot to mention, I’m long and still buying, whilst on paper there are better buys now.
I also think BP will increase their dividend; blatant bribery for the dead in the water share price. If that goes to 7 cents, four times a year it’ll prove a good income fore many, at over 4% yield tax free.
Forget?
Look at the whole market, don’t look through a straw. The recent price rise is mostly about sentiment, and the feeling that there’s a special divi brewing up.
It’s worth looking at similar reputable companies to see what they’re doing. BP is a good example, but you’ve chose to ignore that.
A special divi will suit more than it doesn’t, heading into Xmas with a few extra £ will be great.
Plenty here saying it’s a bad idea.
For those that think so, jam tomorrow isn’t really a thing. Look at BP, paid off 1\7th of their debt and buying up shares with no real difference in share price.
Take the special divi, treat yourself, come back and the share is the same price.
If there’s no difference in share price, why self flagellate! Get it spent or reinvested, but live your life, without fixating on the non existent rainbow.
No share price is based on NAV or sim of the parts calculations. They’re just ‘figures’, and if someone is willing to pay over the odds then the price goes up.
The city mice are reluctant to let this one go, it’s almost tantrum-like. They want a higher divi, and in a round about sway they’re applying indirect pressure.
What you need to ask yourself is is this worth 4 x 5.25 cents, when there are better paying stocks out there. It’s a game of attrion and Looney could easily blow whatever legacy he thinks he’ll be leaving. H2 May well see a rise in the divi, or a bigger swipe at the debt.
He will run out of time if he doesn’t find a happy equilibrium.
I’d like to start buying other good divi shares, but can’t whilst I think there has to be a special divi. If the divi doesn’t come does this stock become a take-over target because of the cash sat in the bank?
May and September are well divi’d months so I want to look for a decent FTSE 100 divi payer for Jan/June to balance it up. Except I’m suffering FOMO on a ‘potential’ special divi.
I know it’s post divi and boring at the moment, but surely the share buy backs should be realised when it’s no longer post divi, but approaching the interim divi!
Similar. I have enough for a decent divi in retirement. It’s a solid favourite, but it’s time to diversify into more defensive s with the solid divi.
If Iran comes back into the game or any OPEC member goes rogue then it’s back to uncertainty.
Android101.
Good post about tax working for you.
Sipp first then ISA each year whilst working. Once you are ready to live peacefully after age 55 then income from SIPP taxed, but with 25% tax free, pays into your ISA if you are not earning a salary. Then the dividend from your ISA enlarges. A very simple model, but puts you into Inheritance Tax territory. Swings and roundabouts, but if you don't start taking money out of a SIPP then I question what did it do for that person? I know it's a legit IHT avoidance scheme, but if someone is that rich I doubt they'd be on a free site!
My experience with AJ Bell is not one to boast about. I had made a trade during the day the divi went in, which locks your whole account until the contract date; two working days later, even though that dividend was after the trade, and 100% is not required.
HL we’re outstanding on that side of things, the only thing that made me leave them was the comparatively high charges to trade, plus no discount for trading over 10 times in a month.
AJ Bell don’t pay cash out quickly, either. They can take UP TO 5 days!
AJBell trading is haphazard at busy times too. They seem to be poorly staffed for a growing business.
So the market read this one well, hence the SP decline when the general market has been trending north.
If the cut to the divi happens then this has just become the market pig.
Losing market share and lots of figures in brackets. As you’d expect, they’re saying the future is bright....
The problem with income stocks is that you have to have them to get the income. If the stocks tank 10% they will recover, and you get the dividend. If you reduce risk by reducing your holding the money is safe, but it’s not working for you.
Does anyone have a strategy they would be happy to share?