Member Info for johnson36

Nice 11.5% yield dividend now

TomE / Nige

How much are you expecting to get for GGP shares on a buy out deal ?

https://www.hl.co.uk/shares/share-research/202004/barratt-developments-covid-19-update

https://www.finews.asia/finance/31492-lessons-learned-from-hsbc-s-dividend-cancellation?start=2

An HSBC spokeswoman said the bank “deeply regrets” any harm caused by the suspension of the dividend, reiterating the move was at the request of UK regulators.

Retail investors in Hong Kong have threatened legal action against HSBC and will attempt to force the bank to hold an extraordinary general meeting, after it was pressured by UK regulators to cancel its dividend due to the coronavirus crisis.

The controversy surrounding the suspension of HSBC’s annual payout to shareholders for the first time in nearly 75 years has again highlighted the lender’s complicated situation in Hong Kong, where it derives most of its profits before tax.

Individual HSBC shareholders in the Asian financial hub — ranging from wealthy business people to low-income earners — have banded together in an attempt to reach the threshold of 5 per cent of outstanding shares required to secure an EGM.

https://www.ft.com/content/3681a998-8164-4fd1-a5e5-ae54f56a3b70

Has there been a case in recent years where a Dividend hasn't been paid after passing the Ex-dividend day and Record day ?

I would be very interested to know what companies have done this ?

I have no problem at all in accepting that future dividends this year may need to be suspended. My problem is with the dividend that has already been promised.
I have never bounced a cheque in my life and that is what none payment of this dividend due on 14th April is. I wouldn't of expected this from HSBC. I expected this Divi to be paid and the other 3 dividend quarters for 2020 to be suspended, that would of been the right thing to do.

https://www.thisismoney.co.uk/money/article-8198021/Top-bankers-FINALLY-pay-cut-not-Lloyds-HSBC-RBS.html

Sampson

So you think it makes good business sense to not pay a dividend after the ex-dividend date and Record date has been passed ? Is that not like welshing on an I.O.U or bouncing a cheque ?
You do know that is was the BOE that forced this on HSBC don't you ?. HSBC would of paid uk on 14th April

Groover
In the example below that would be a 1st payment of 3 x £2500 = £7500

Groover

All self employed are getting a payment in June for 80% of their profits whether or not they are still working.
To get the maximum £2500 per month that would require showing earnings of £3125 per month average earnings for either 12 / 24 or 36 months. Less than 12 months you can't get it.
The Government is paying all self employed 3 months pay in June evening if they have still been working.
So the plumber earning £3125 per month will get a government payment of £2500 on top as a nice little Corona bonus.
Meanwhile the Government are telling HSBC to not pay me my dividends which I live on.

The Goverment have stepped in to help the employed and self employed, BUT what about people living on Dividends ?

The employed that are currently out of work can get 80% or even 100% of wages if employer tops it up (HMRC pays 80% upto £2500 / month) and then they can go out and do another job ie: fruit picking for £500 a week.
Self employed are getting a cheque for 80% of their profits from HMRC even if they are still working, that's crazy. I know plumbers that are still working and now going to get £2500 a month from government aswell.

The BOE had no right in sticking their nose in and telling HSBC to bounce a cheque on us.

We held on the record date END of story !!!

GlaxoSmithKline are due to pay 23p dividend on 9th April,have they been told NOT to pay UK shareholders ?

Rio Tinto are paying a dividend on 16th April, have they been told not to pay UK shareholders ?

Why has BOE stuck their nose in and told HSBC not to pay us ?
It F¥@#ing stinks. Dividends are my only income, or were.

I am a small investor and mainly invest for Dividends, only buy FTSE shares and don't play on the AIM market.
On the Record date I owned 12500 HSBC shares and now because of the BOE £2020 has been stolen off of me.
Now the UK HMRC are paying the out of work UK workers 80% of their income if their job was affected by coronavirus. I wonder if the HMRC would like to pay me 80% of my Dividend from HSBC, I think not.
The BOE should of kept their nose out with HSBC.

That is the main bit. It is obvious now that HSBC didn't not want to cut the dividend. They will be paying again as soon as possible. I am happy to keep buying them.

The move is particularly damaging for HSBC, which generates more than four-fifths of its profits from Asia, despite being headquartered in London. A third of its shares are owned by retail investors in Hong Kong, who count on the dividend as part of their income.

“For the regulators at the Bank of England to put a gun to the head of the board of directors is terrible,” said one director. “This should be a decision for the board to take. We should not be in the UK. The calls for redomiciling will increase.”

Hong Kong investors have reacted with anger to HSBC’s decision to withhold the dividend for the first time since records began back in 1946. Shares in the lender fell 9.5 per cent in London and Hong Kong trading, wiping £8bn from its valuation.

The Bank of England’s pressure on HSBC to cancel its dividend for the first time in 74 years has reignited a debate at the top of the bank over whether it should redomicile to Hong Kong.

Several people familiar with the matter said the BoE’s intervention had prompted anger among some board members and executives, with calls to reopen the question of whether the group’s legal base should move from London.

HSBC was one of five UK-based lenders that agreed on Tuesday night to withhold 2019 dividends, bowing to pressure from the BoE’s Prudential Regulation Authority, the UK’s top financial supervisor.

The move is particularly damaging for HSBC, which generates more than four-fifths of its profits from Asia, despite being headquartered in London. A third of its shares are owned by retail investors in Hong Kong, who count on the dividend as part of their income.

“For the regulators at the Bank of England to put a gun to the head of the board of directors is terrible,” said one director. “This should be a decision for the board to take. We should not be in the UK. The calls for redomiciling will increase.”

Hong Kong investors have reacted with anger to HSBC’s decision to withhold the dividend for the first time since records began back in 1946. Shares in the lender fell 9.5 per cent in London and Hong Kong trading, wiping £8bn from its valuation.

One executive, who said they were now leaning in favour of the bank moving back to Hong Kong, said the BoE’s demand that HSBC withhold its dividend had sent “out a message that we are weak when in fact we are in a good position”. Another executive described the BoE’s pressure as “very questionable”.

Those opinions are not representative of the group’s position, according to one person briefed on its stance, who added that the bank understood the reasons behind the BoE’s push on dividends. The central bank said the dividend cancellations would conserve capital buffers and give lenders “extra headroom [to] help the?.?.?.?economy” during coronavirus.

Tom

https://www.ft.com/content/f2e746e0-d399-421e-b565-d3c9ebead3c5