Member Info for Grayling

Paradoxically as we slide into the inevitable post-Brexit recession (see the PMI figures today and the resulting sterling slump) the more money will be placed into shares (or at least the shares that yield an income) and this will be accelerated by any further reduction in interest rates. So while the "real" economy tanks, the share price bubble will inflate. Maybe I should stop reading the BBC news tho and switch to the Daily Express instead who chose to lead on "EU Exit Boosts House Prices" whoopee doo!

Warren East interviewed on R4 Today programme this am. He was asked about the seeming paradox between Derby voting out and the large presence that RR has in the city. He stated that RR employs 12000 people in Derby but that the city has a population of 250000 so little influence in vote. He was also asked about the impact of loss of free movement on RR operations in Germany, where they have another 12K employees. He acknowledged that this could cause problems for the business going forward, but was hopeful that a compromise over movement of highly qualified engineering staff between the UK sites and Germany could be agreed by the two governments.

Buzle. Good luck with that then :-)

I bought these sub £15 on the oil price fears selling my CWC stake in advance of the LIberty Global takeover to do so. I did not buy RDSB as a recovery stock, but purely for the income. People will make money trading these (and others) in the post Brexit volatility, but long -term these pay a great dividend and are protected by revenues in $ not £. If interest rates drop further RDSB will be even more in demand. Never sell Shell!

It is all about income here and the relative safety afforded by a company that earns the majority of its profits outside the UK and has guaranteed its dividend for at least the next 2 years. If interest rates fall further as expected, then this will be even more attractive. I am buying on any drops and same goes for AZN.

The defensives are softening a little and creeping up. Always happens in a panicked market everything drops together initially and then the value shows through. The true impact of Brexit has not yet sunk in and there will be a real bloodbath in certain sectors when it does. I wonder how many of the coffin dodgers that voted out will change their tune when they realise that real immigration controls are impossible (we have about as many border staff as Southern Trains have drivers) and that their savings/pensions are about to plummet in value. I do not believe what politicians say, but I do agree with the FT and the BOE. We are in **** street now and for the forseable future. Boris may have to move home soon, as the lynch mobs will be out in London.

Described by many as "A large pension scheme with an astounding deficit, which also happens to run an airline"

This has gone up so much, I may need to sell some and re-balance the portfolio. Same goes for AZN

This is holding up relatively well due to the post Brexit 90p pound as are all my other stocks that earn their keep in USD/Euro (GSK,AZN,BP, RDSB etc.). The property market is the major concern now and soon those who borrowed a shedload of cash and rushed into BTL will be bailing out (if they can) so this sector and commercial property will become toxic. Finally, aren't you glad you kept well out of P to P lending as that will be the next domino to fall.

Bad news for this uberdog of a share I fear. 60% of capital value lost since float.

I am fully invested at present and as I have my portfolio set to automatic dividend reinvestment I am buying a substantial number of shares constantly throughout the year anyway. The rest is in cash and I am happy with the balance of risk between the two. I might trade out and back in with certain stocks if I feel the market has rebounded beyond reason. I might also venture into property at some point if prices fall sufficiently as my brother has a large BTL portfolio in Derbyshire through his company (a diversification for him as this is not his main income driver) so I will take his advice on that as things unfold. He gets his advice from St James Place I get mine secondhand from him and for free.

At present a number of stocks are benefiting from the weak pound including AZN/GSK/RR etc. However, the other factor driving money into certain FTSE100 shares is that they are considered a safe haven in being global and thus not over reliant on the UK economy and yield an income that simply cannot be found elsewhere. Gilts are likely to yield less (hence the recent pension annuity falls), bank interest rates will be at 0% before very long and property prices are completely unsustainable at present levels (particularly in London) and must fall drastically. There will come a tipping point though and it is guessing when the market is overbought that is the trick.

At present a number of stocks are benefiting from the weak pound including RR. However the other factor driving money into certain FTSE100 shares is that they are considered a safe haven and yield an income that simply cannot be found elsewhere. Gilts are likely to yield less (hence the pension annuity falls), bank interest rates will be at 0% before very long and property prices are completely unsustainable at present levels and must fall drastically. There will come a tipping point though and it is guessing when the market is overbought that is the trick.

You are correct in so far as RR have 3500 employees in Dahlewitz/Obersaal involved in aero engine production and testing but your wife is probably not involved in or has forgotten that RR bought out Daimlers 50% stake in what was Tognum AG in 2014 and it became Rolls-Royce Power Systems AG. At takeover it employed 10700 people in Freidrichschafen and although there have been a few redundancies it accounts for the balance of the 12000 total for RR in Germany. Get your facts straight ha ha

No I am half Welsh half English and the employee figures for Germany were taken from The RR website thus: Rolls-Royce builds on a tradition in Germany that dates back over more than 100 years. Today we have a total workforce of almost 12,000 and significant operations for both divisions. Rolls-Royce Deutschland, headquartered in Dahlewitz, is Germany's only fully certified engine manufacturer with complete systems capability for modern civil and military turbine engines. So either they have sacked em and not updated the website or you are mistaken.

The only man in England with a viable strategy to exit Europe!

Rolls Royce employs a total of some 24,500 people across the UK, but it may come as something of a surprise to the general public that RR employ a further further 15,000+ in the EU, with Germany alone accounting for 12,000 of these jobs. Thus Mr East needs a rapid resolution to free movement. At present he can freely cross transfer staff between his EU sites with impunity and almost zero red tape as business circumstances demand.....but for how long?

I am surprised you did not see the irony in your post and particularly the words "the European Commission (EC) has granted marketing authorisation for Zavicefta". Let us see what that is worth now once the trade deal is hammered out post Brexit in 20..........................! If you think this is going to be straightforward think again.

So Warren (not Phil, he is my bioinformatician) East says it is business as usual for RR. Well he could not say anything else really amid the shambles that is Brexit. As we lurch from crisis to crisis over the coming weeks there will be blood on the carpet both political and financial. If anyone thinks that Friday and yesterday were the only buying opportunities to come out of this sad mess then watch this space.

Oh well! Easy come, easy go. Brexit seems to have done for PHNX (and Aviva) at least for the time being and I am now sitting on a (small) paper loss. Let us hope for a revival, although I see no prospect of one at the moment.