RE: Market marking the share down13 Apr 2022 18:04
In reply to Wayne1976 - I understand that if company buys back shares then number of shares they have to pay a dividend of day 4% on reduces aka liability.
If you have debt that’s costing you say 1% (another liability) then it makes sense to close down the liability that costs you 4%.
Plugging pension hole with money you can invest for better returns than it costs you to plug hole e via continued debt also makes sense.
Well that’s my view on it anyway.
I always remember when I had a tracker mortgage and it’s rate of interest went down to .5% (1/2%).
I had £100k to pay off debt, however I left money invested paying me 3% at the time.
Mortgage was paid off scales tipped the other way.