Member Info for Gary59

Fellow posters Porsche is a pathetic child trapped in an adults body, definitely of little if any intelligence, I think the latter. Anyone who takers a blind bit of notice anything that he / she says needs to go have a lie down.

Trotsky, I strongly recommend you open you eyes. The reality is that most of the money, collected from premiums has to be paid back either in the form of claims, operating expenses or taxes. Hence, if insurance were simply about taking in and giving out money, it would not be a very profitable business. The key point to understand is that there is a time lag between when the money is collected as premium and when it is paid out. Since there is a time lag involved, insurance companies invest the money they receive from other people and receive investment income on the same. This investment income forms a significant chunk of income earned by insurance companies. Since a lot of this money is invested in the stock market, the increasing market volatility has a major impact on the income generated by insurance companies AND when the stock marker falls so will the SP of the investor.
Furthermore, if you read my comment thoroughly you will see I also mention bonds of which insurance companies also invest. When bonds fall, so does the investors SP It really is very simple. You mention declarations, company's balance sheet may show funds it has invested in other companies. Investments appear on a balance sheet in several ways, as common or preferred shares, mutual funds and notes payable.

Trotsky - if I am “wide of the mark” in suggesting insurance companies buy equities perhaps a bit of reading is required by yourself. What do insurers do with the often huge sums of cash generated by premium payments? The companies put some aside in reserve to ensure that they'll have enough to pay all claims anticipated over the near term. But then they invest the rest of the money in bonds or stable blue chip stocks. This has been done for decades & for a company the size of Aviva this amounts to many millions of pounds. When the stock marker tumbles so does the investor, fairly logical I think & fairly simple. PS I wouldn’t invest in a share that I didn’t fully understand, perhaps greater understanding is required all round!!

Is investor sentiment towards Vodafone becoming more positive?
I ask as with the rest of the FTSE 100 in rapid decline VOD has been performing better than normal, I know it has been going down but not by as much as one would have thought.
Perhaps the decent dividend on offer from a massive business is tempting institutional income investors / pension funds to buy in or buy more, or is that just cr*p?

Tinker, there are a number of reasons but a very big one is rising interest rates. When interest rates rise, the value of stocks tend to take a beating. Stocks are where insurance companies make most of their investment income from. A fall in the value of the stocks reduces the surplus cash available with insurance companies.
I for one was thinking of buying here & LGEN around the current SP's but in this rising interest rate environment (more rises to come) I have reduced my personal buy in price by about another 7%.

Welcome home Mr Rob I'm glad you kept away from stocks whilst on hols. I always have a quick glance though whilst away & remember selling my RMG straight after they went public a few years ago whilst I was in Barbados with the lovely Mrs G. That little deal paid for that holiday so happy days back then.
I would like to ask a serious question if okay? Having sold 50% of my VOD, my oilers & with this years ISA for us both I have a healthy wedge sitting doing nothing. I want to buy some good old FTSE income shares purely for dividends to supplement pensions & I would be grateful for opinions as what to buy / research. I have made my mind up to buy AV. LGEN, MRCH, LLOY & NWG when they get to a level I am happy with. I need three or four others, apologies this is not about VOD but there are wise heads here.

Agree both YF figures are misleading, the actual yield at todays SP of £1.279 is 5.98%, so that's good.
Not so good is the last dividend cover figure as at 31st March of 0.95, remember anything over 2.0 is classed as good so VOD are not even half way there.
For those interested the dividend coverage ratio indicates the number of times a company could pay dividends to it's shareholders using its net income. Generally, a higher dividend coverage i.e. over 2.0 ratio is more favourable. So if cash earnings don't cover the dividend, VOD would have to pay dividends out of cash in the bank or by borrowing money, neither of which is sustainable long term. I'm still not selling anymore though.

Sorry Dan I didn't realise I bid the same after Sidi, so if the rules allow I'll now be 1.271

Thanks Cheap & others, I’ll go for 1.261 as the finish price this week.
My average is the same as you @ 1.20 but I did sell 8,000 which was half my holding @ 1.39 some months ago. I won’t be selling anymore as I was interested to read that a recent study from Juniper Research has found the global number of roaming IoT connections will increase from 300 million in 2022 to 1.8 billion by 2027. This represents about 500% growth so just imagine that effect on the SP.

In reply to your question daniel about where the VOD SP will be in the near future.
My own thoughts are that we are already in a bear market & there is probably more bad news to come out of America next week concerning company profits, this will affect market sentiment as you would expect. Mikey is somewhat correct in his assumptions that the US continually bring the VOD SP down but what he doesn't say is that this goes for a fair bit of the market over here as well.
I always take heed of the US billionaire hedge fund manager Bill Ackman who recently said that with inflation spiralling out of control, aggressive rate hikes by the Federal Reserve & other central banks are the only way to tame it and that investors will ultimately favour those measures to avoid “economic collapse and demand destruction.”
Ackman recently quoted “If the Fed doesn’t do its job, the market will do the Fed’s job" & in my opinion that is what is happening now. The fed has been pushed into there aggressive interest rate stance. The best & probably only way to stop today’s raging inflation is with aggressive monetary tightening or with a collapse in the economy.
I personally think that we are in for 18 months to 2 years of market turmoil & any buying of any share should best be done in stages. VOD is a good share to hold in bear markets IMO & this may shelter the SP from the worst of what is to come, I think a good trading range at this time is 110 to 130.
As for being buddies or mates I hope we are all friends, after all aren't we all here to learn off one another, life's too short to harbour ill feeling, unless your Putin of course, now there is a prize tw*t. Good luck all, here's to health & prosperity.

Hey Mikey, VOD finished 1.11% up, oh sorry it must be the Americans again ... not.

Mikey writes ... And i’m not your mate thank god. Is there any need for that?
It seems to me that you just can't handle anyone with a contrary view.
Mikey you are just a child & the same posts everyday prove that 100%.
You are like a lighthouse in the middle of a desert mate; bright but not a lot of use.
Cancel the bright bit.

S.J. Biden is strongly mooted to be about to clobber the oil majors stateside. The comment makes sense as the US public, who are more vocal than us over here, are upon arms over the price of their petrol & Joe wants & needs the votes. If the US oil majors get clobbered this will affect BP, SHEL etc big time & this & everything else is playing on the SP here. Where will the SP sentiment be if the PPB comes down, any reduction will also weigh heavy. Interesting times to be a BP shareholder.

Or perhaps you should see someone mate, someone medical I mean

Sorry one minute past three post ... YAWN

Oh look its 3 o'clock & time for Mikey's daily Groundhog Day post, the US market must be open.
Mate, get a life or a hobby & hobbies don't include posting here ... YAWN!!!

They are all bad days & will continue to be so for this share.
By the time they get round to drilling it will cost $450,000 with no guarantee of any success, now tell me this is a sure fire winner. It'll be less than a penny share soon & the reason is ... no-one wants them.

My humblest apologies one & all I wasn’t for a minute saying that MNG was overvalued at its current price, only that the market is re-adjusting due to a possible recession, interest rates rises, US tech falling off a cliff, probable bear market etc etc.
I have though sold most of my individual shares over the last few months at decent profits & am looking to buy into good companies such as this at entry prices I feel comfortable with. If I’ve called it wrong & the market rises then I’ve dropped a clanger & it’s sausages for Mrs G instead of her usual fillet steak.

Greetings MNG holders / posters from a soon to be new investor. I read with interest the many informative & useful posts on this board, it can teach other LSE boards a thing or two about accuracy & politeness.
Anyway having previously decided to allocate my 20K ISA allowance this year to AV & LGEN I stumbled across MNG & having researched the company I am happy to include here along with the other two. I have been investing since the 1990’s but mostly in funds / ETF’s but I am also a long term holder of equities & I see MNG as a good addition for income.
I am thinking of a 180 to 185 entry point which may be reached soon if the turmoil in the US continues. Anyway thanks again & GL All.

Well Mikey your usual (repeated many times mantra) about the Yanks bringing VOD down isn't relevant here today ... so far.
Fed results from their current two day meeting are out tomorrow though so you could well be right then.
If the market takes a hit tomorrow as a result of the Americans I shall be buying AV. & LGEN shares & topping up my three Vanguard funds - S&P500 (ETF) & Lifestrategy 60 & 80. So here's hoping for some help from across the pond.