RE: What is the appeal of HFEL?28 Oct 2022 17:15
Mark
''Last year 31st Oct 2021 to today Henderson issued 3,955,000 of additional shares effectively 2.55% increase in the number of shares, which wonโt help the NAV of this stock''
The issue of new stock would have been beneficial, as they are priced at above NAV per share.
https://www.lse.co.uk/rns/HFEL/issue-of-equity-4e5o4ehr352lib9.html
''irrespective of the economic headwinds Chinaโs zero covid policy is having.''
If the Chinese policy has been a headwind, then the direction will change when the policy is no more.
''if anything the chairman will do to support the share price and actually do something about capital appreciation!''
Investments are being made to fit in with the remit of the trust.
We have have many years of very low interest rates/bond yields. Now that has changed, which means high yielding stocks have more competition with safe cash saving accounts and higher bond/gilt yields.
In anticipation of this, I have been drip feeding my purchases of HFEL.
I will continue to purchase if lower levels continue. When interest rates peak and/or start to fall back again , then HFEL will look more attractive again. I would have benefited when this happens by having purchased at low levels.