RE: Just wait it out a little1 Apr 2023 11:53
The time to make a decision about a RI is the day before it goes ex rights. I remember doing this with IAG in September 2020. I had a feeling it would go bad, so sold out the day before, what happened next was that the SP value was trading less than the RI price. IMO once you are in the ex Rights time zone, the only option is buy your full allocation, if you can’t, tail swallow. It ok hanging about to Thursday, but if the price bombs, your rights will be worth feck all. That is why the price always dips on the first couple of days, as the nervous sell their rights and normally their shares. My view is that the price will stabilise and like RR could be a nice earner in the coming years. I don’t have a lot of TUI shares, about 600, but I was never in doubt about taking my allocation and have already signed up to do so. That said, they are in my SIPP account, so I have a long term horizon of 5 years plus. Regarding, my trading account, I would never have entertained them.. IMO the price has stabilised, in September 2020 (IAG) the world looked very different and we didn’t even have a cure for Covid. The world is full of weary people and they all want a fecking holiday. GLA.