Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
13% below long-term average which I was surprised by - it seems like it has been wet and windy for months now!
The past three Decembers (El Nina's ) have been below the long term average so it will be interesting to see what happens now we are back in a El Nino phase.
Safe and boring definitely has its place for me when it comes to providing a pension income.
I moved from a more speculative growth pot of individual shares to a more income focussed IT based one last summer in preparation for my partner retiring next year (although this may now be pushed back).
I like divi paying IT's as they provides a steady income without me having to make the decision as to when to top slice.
Given that they also have revenue reserves the amount you need to keep in cash in case of a protracted down turn is arguably less than with some other strategies. Platform charges are also lower than OEIC's on the one I use.
I don't change things much but I will move the odd chunk around if I think the price or macro considerations warrant it. I also have some growth orientated IT's in the mix to provide some capital gains.
Total returns since last August have been 11.2% which compares reasonably to four mixed asset income funds from the the main names that I bench mark against (the worst -Fidelity is actually 2% down!)
I did keep enough back for a reasonably sized small cap pot to keep me entertained but, with the odd exception, that has not gone so well this year, however it has been very good at times in the past and is far more fun than premium bonds....
Thanks, glad it is useful. I have a large holding in Bips and I find that writing makes me focus on the details rather than just following it with a cursor look.
A couple of the banking bonds I follow (not CoCo’s) that are held by the fund are now back close to their February 2023 highs (clearly still off from historical highs though), this is not reflected by the AT1’s (from the AT1S) which are still around 14% off this level. As circa 25% of the fund is in AT1’s it indicates that there is good scope for further increases in the share price as confidence in this sector continues to return.
The next quarters income is now covered.
It would have been nearly a couple of weeks ago but 0.34p 'disappeared' from the income account around the same time as the big drop in the Signa bond (between 2nd and 3rd Nov). I did email to ask where it went - fees/reserves /reinvested? but as always it is hard to get any response from Board or Investment Managers.
It is interesting to note this is a 10 month update rather than a Q3 as is typical.
The profitability is there, but as you say the growth rate is not. Marginally ahead of the last Broker forecast so nothing to shock the market either way.
Lets hope they land the new contracts they mention next year.
Signa have filed for insolvency. Their bond (DE000A3KS5R1 held by Bips) has dropped from 60 down to 10 although most of this fall was at the start of the month. It was (at the last portfolio update -August ) 0.53% of holdings so will have taken about 0.4% off the nav although this should have been priced in by now.
Shhh, don't spook it. It's really picked up nicely since the start of November.
There is usually a Q3 update around now, in the past they have typically hit the previous full years revenues at this point but I cannot see that happening this year. Hopefully they will have still managed steady growth and be focused on profitability now that they should be coming to an end of the major capex they spent on salesforce, a training center and training a lot of new technicians (the later is still ongoing).
I had not realised until this year that they had some dependency on new builds in the US in their revenue stream. Hard to see that this element will have picked up in the last quarter but it should provide an uplift next year.
Likewise, I hold it with BRFI (with a larger weighting to the latter) for my EM allocation. Although there is sometimes a little overlap they generally complement each other in the regions as well as the sectors they each invest in.
Sterling Index back up to around 3200. Also nice to see that Santander got off a $2.5B issuance yesterday at 9.625% . This follows UBS's oversubscribed $3.5B issue a week ago and another $1.75B for Barclays this week which settled at a similar rate to Santander. It looks like the market has finally settled down now after the Credit Swiss problems in the Spring.
From a recent presentation by the fund manager I think that BIPS is currently holding circa 25% in CoCo's.
100M shares is a 40% dilution for existing holders.
The financial benefits of moving away from a batch process are more than lost with this. I know it is easy to view in retrospect and I am sure that they were not expecting so many problems, but if they had stuck to the original plan and settled for a little slower initial growth they would have had the financial resources to move to a production line system at a later date.
It will be interesting to see what impact this has.
Bloomberg-
The UK government is preparing to offer significantly higher subsidies for new offshore wind farms to get the country’s clean-power strategy back on track after developers shunned a previous auction.
The ceiling for bids from offshore wind companies in the next auction round is likely to be considerably more than this year’s £44 ($54) of guaranteed revenue per megawatt-hour of power produced, according to people familiar with the matter. The price, due to be published later this month, is likely to be set at about £70-75, one of the people said.
Well an even better harvest than I was expecting, 86% is a massive increase.
The move to AIM is welcome, I thought they may use this for an equity placing for the new winery, but they are not. I am not convinced hat they will be able to fund the £30M development from an rcf though. I think this ill be used as an interim measure with the expectation of a placing at a higher share price once they have achieved a higher share price on AIM.
Thanks for the AGM update.
The auction does not seem to have moved the share price, so the concept that it would lets the sellers out has not really held up , at least in the short term.
I think that they will need to show a larger volume of distributions from selling portfolio companies before we get a real rerate. Selling a very limited number above valuation is not enough to convince the market, it will always be the best that is sold first in these times of tight credit. The question will be how representative of the entire portfolio is this?
With low volumes of distributions they will also need rely on more debt to continue funding the buybacks.
In practice there seems little more they can do beyond waiting for sentiment to change - probably on the prospect of lower interest rates at some point next year.