Member Info for Tom78

Trouble with insurers is they are stuffed with Treasuries, gilts, bonds etc which have been decimated in value this year. It doesn't matter if the business is profitable or not the stock market will hammer it into the ground on asset losses even though they are not realised, as most hold to redemption anyway.

Net new business of £0.6B in three months down from £0.7B previous quarter, but new customers 8k vs 17k. So 85% net new business for half (47%) of the new customers. Suggests more wealthy clients moving to HL as well as existing clients making up for the shortfall in new customers. £0.6B of new business is still £6.6M per day.

On the website Q3 2023 Trading Update 24 Oct 2023

Share buybacks are price neutral anyway as cash comes off the balance sheet and is turned into treasury shares, reducing the shares in issue. Long term it reduces shares in issue so future dividends are divided by a smaller amount of shares so in theory increasing the pay out per share.

Also directors like them as it raises the EPS for the same reason making the company look more profitable even if the earnings stagnate.

In the past the shares were probably trading on too high a premium for it's growth potential. Now it is trading at 10.9 x earnings at 68p per share. The last results showed profit and revenue to be higher than any set of results in the last five years.

The last two full years of dividend and two quarters this year have not changed so no increase of payments to shareholders. Price rises and shrinkflation are necessary to cover costs. Nobody wants to to take inflation on the chin be it individuals, companies or governments (by not increasing personal tax allowances with inflation) so it gets passed down to the little man.

I think it is just because the results were much later this year. Last year the results were on August 5th.

Probably not, even a 50% increase in profits YOY can't breathe any life into it!

Pru follows the Hang Seng index closely, and if you think the ftse100 is a dog look at that over the last year and then five.. gulp.

Don't panic Mr Mainwaring! I bought at 133p and have had 44p in dividends on those including today. I wish all my shares were like M&G.

I have other trusts where the discounts have widened this year to unheard of levels historically. This one is the worst by far.

True, but if and when rates reduce investing and trading activity will increase it’s the same for similar investment companies. Most of the last decade has been very low interest rate environment and this done ok.

From what I read

The Group's net cash position at 30 June 2023 was £503.3 million (2022: £508.0m). Cash generated from operations more than offset the payments of the 2022, final ordinary dividend and the 2023 interim dividend. This includes cash on longer-term deposit and is before funding the 2023 final dividend of £136.6 million.

14k on an average house is nothing!

As many of us know owning a portfolio of UK based shares you will see some real losses

I think it is down to lack of volumes from quiet markets. All asset managers and spread betting companies share prices are depressed of late. Higher interest rates also mean less money for trading and investing.

Probably just a pump and dump, seen it before on MNG.

Wednesday 20th September is half year results.

Nobody can confirm you will have to wait until the results and they will declare the exact dividend then, that's how it works.

Last year was 6.2p so probably about that I would bet.

My money would have been better in the building society..

That's the main problem, apart from the last 6 months or so the last decade gave almost zero returns on no risk cash so everybody piled into bonds and infrastructure funds delivering a stable 5% PA. Sadly the worm has turned.

I have held this trust (unfortunately) for a number of years now. The discount has widened significantly to 10-13%%

This used to run around par for many many years. It is underperforming it's benchmark and nothing seems to happen.

Alex Crooke needs to get a grip and sort this trust out or the Chairman needs to start earning his keep.

Look at JGGI with a better dividend and running on a small premium!