Credit deflation and the reflation cycle to come (part 6)

[Joncrete Cungle]

1 hour ago, JoeDavola said:

 

What service do most of you lot use to buy and sell shares?

SIPPs, LISA and ISA with HL because they have been around longer than I have been alive and a number of politicians have their wealth with them.

Another ISA is with trading 212, no fees to buy, sell or monthly charge. Can buy on the app some shares HL are telephone dealing only (Japay) I have not been with them long, but its cheap and let's me scratch my small scale trading itch without charging me every time I buy or sell. Also when divvies land in the ISA the app notifies me, I like that.

[Funn3r]

1 hour ago, JoeDavola said:

What service do most of you lot use to buy and sell shares?

I am pretty much like you Joe more or less an amateur and I am permanently nervous about am I doing it right. I went with HL because that's what people on here predominantly use and they do seem alright actually.  I have lost money overall but just telling myself this is a relatively long term thing and swings/roundabouts. It does seem weird that I never seem to get any of the "divis" that people talk about; my HL "Income" tab is pretty much zero.

Like you I have a lot of cash in 4% GBP easy access savings accounts which is helping somewhat. Well I say that, I am being fucked by tax though. Although the frequent talk of the Pound going down hard is worrying me hence the "easy access" bit if it starts to look bad.

[desertorchid]

For a BAT lover an alternative if there are concerns over profitability and the sustainability of the dividend, is just to hold its debt:

Thats about 30 years of guaranteed income. Debt will always come ahead of equity.

[Bobthebuilder]

23 minutes ago, Funn3r said:

It does seem weird that I never seem to get any of the "divis" that people talk about; my HL "Income" tab is pretty much zero.

I wonder why that is? You are buying the individual stocks and not some accumulative fund I hope.

[Funn3r]

6 minutes ago, Bobthebuilder said:

I wonder why that is? You are buying the individual stocks and not some accumulative fund I hope.

It's tricky sometimes. Let's say people on here make a convincing case for buying Wizzbang Inc and I agree. So I search for Wizzbang and there are loads of different types of Wizzbang things. I usually pick the one that says ADR if there is one. No idea if I am buying the right stuff.

I think maybe I am just impatient. For example I had a look and I got 450 GBP between Jan-May in my ISA as income. Zero in my SIPP but I didn't start buying until early June.. 

[Bobthebuilder]

2 minutes ago, Funn3r said:

It's tricky sometimes. Let's say people on here make a convincing case for buying Wizzbang Inc and I agree. So I search for Wizzbang and there are loads of different types of Wizzbang things. I usually pick the one that says ADR if there is one. No idea if I am buying the right stuff.

I think maybe I am just impatient. For example I had a look and I got 450 GBP between Jan-May in my ISA as income. Zero in my SIPP but I didn't start buying until early June.. 

When folk talk about Wizzbang stocks on here, they usually quote the ticker, ie British American Tobacco= BATS, Henderson Far East Income =HFEL, etc, etc. ADRs are foreign stock that you don't own directly, more like a third party thing.

If in doubt ask, and someone will post the relevant ticker.

Still £450 in six months is OK, compounded will make all the difference.

Nice one.

[Bobthebuilder]

Off to Dorset tomorrow for more punk rock and pork chops, see you all in a week, have fun.

 

[JoeDavola]

10 minutes ago, Funn3r said:

I am pretty much like you Joe more or less an amateur and I am permanently nervous about am I doing it right. I went with HL because that's what people on here predominantly use and they do seem alright actually.  I have lost money overall but just telling myself this is a relatively long term thing and swings/roundabouts. It does seem weird that I never seem to get any of the "divis" that people talk about; my HL "Income" tab is pretty much zero.

Like you I have a lot of cash in 4% GBP easy access savings accounts which is helping somewhat. Well I say that, I am being fucked by tax though. Although the frequent talk of the Pound going down hard is worrying me hence the "easy access" bit if it starts to look bad.

I have no need to be fabulously wealthy - so the sensible thing will be for me to snap up a modest house outright when the time is right and then shield the rest from tax via ISA's. The housing thing - well I wanna see what IR's peak at, and it'll probably take a year after them peaking for some reality to hit.

My best chance as a cash buyer is some distressed BTL-er if such things exist.

Home owned outright plus growing ISA's with dividends plus getting my income up towards the 50K tax limit sounds like a pretty good position to be in.

[Lightly Toasted]

54 minutes ago, Funn3r said:

It's tricky sometimes. Let's say people on here make a convincing case for buying Wizzbang Inc and I agree. So I search for Wizzbang and there are loads of different types of Wizzbang things. I usually pick the one that says ADR if there is one. No idea if I am buying the right stuff.

I think maybe I am just impatient. For example I had a look and I got 450 GBP between Jan-May in my ISA as income. Zero in my SIPP but I didn't start buying until early June.. 

ADR = American Depositary Receipt, a way for (primarily) Americans to own "share equivalents" in non-US companies.

The only reason I can see as a UK citizen to buy ADRs, would be for foreign shares where there are ADRs available on your trading platform but not the shares themselves.

 

[honkydonkey]

6 minutes ago, Lightly Toasted said:

ADR = American Depositary Receipt, a way for (primarily) Americans to own "share equivalents" in non-US companies.

The only reason I can see as a UK citizen to buy ADRs, would be for foreign shares where there are ADRs available on your trading platform but not the shares themselves.

 

It's often ADR or nothing. I don't know why we don't get access to emerging market stock exchanges. Even South Korea or Japan? 

If I want to buy Nintendo I can't buy it on the Nikkei or wherever it is but OTC which is basically buying it off a broker who has access and only in usd not jpy. Why? 

Edited July 12, 2023 by honkydonkey

[Loki]

5 minutes ago, honkydonkey said:

It's often ADR or nothing. I don't know why we don't get access to emerging market stock exchanges. Even South Korea or Japan? 

If I want to buy Nintendo I can't buy it on the Nikkei or wherever it is but OTC which is basically buying it off a broker who has access and only in usd not jpy. Why? 

They struggled with a similar issue in Mad Max.  From memory (It is hazy now) they convoyed down and surrounded the stock exchange and said that listing EM stocks locally would bring an end to the madness

[honkydonkey]

3 minutes ago, Loki said:

They struggled with a similar issue in Mad Max.  From memory (It is hazy now) they convoyed down and surrounded the stock exchange and said that listing EM stocks locally would bring an end to the madness

Is that the film that because of ESG ratings in the past they stopped pumping oil and almost everyone died? 

[Loki]

Just now, honkydonkey said:

Is that the film that because of ESG ratings in the past they stopped pumping oil and almost everyone died? 

Your memory is a lot better than mine, it sounds right, they'd run out of something called 'guzoline'

[Wight Flight]

51 minutes ago, JoeDavola said:

I have no need to be fabulously wealthy - so the sensible thing will be for me to snap up a modest house outright when the time is right and then shield the rest from tax via ISA's. The housing thing - well I wanna see what IR's peak at, and it'll probably take a year after them peaking for some reality to hit.

My best chance as a cash buyer is some distressed BTL-er if such things exist.

Home owned outright plus growing ISA's with dividends plus getting my income up towards the 50K tax limit sounds like a pretty good position to be in.

What you really need is a wife and a couple of kids to fuck up your plans.

(A misqoute from the opening lines of some famous novel that burds like)

[JoeDavola]

4 minutes ago, Wight Flight said:

What you really need is a wife and a couple of kids to fuck up your plans.

Yes that would be nice, but the odds are, much like me, looking very slim.

If I do buy a gaff outright I don't actually know what the fuck I'm going to spend the next 20 years of earnings on.

Might do a CCC and get myself a wee cocaine habit,

Edited July 12, 2023 by JoeDavola

[Wight Flight]

1 minute ago, JoeDavola said:

If I do buy a gaff outright I don't actually know what the fuck I'm actually going to spend the next 20 years of earnings on.

Kitchens, bathrooms, new roof and live, life, love posters.

And driving lessons?

[Loki]

2 minutes ago, JoeDavola said:

the odds are, much like me, looking very slim.

 

Might do a CCC and get myself a wee cocaine habit,

That will keep that extra weight off 

[Loki]

Just now, Wight Flight said:

Kitchens, bathrooms, new roof and live, life, love posters.

And driving lessons?

 

[JoeDavola]

1 minute ago, Wight Flight said:

Kitchens, bathrooms, new roof and live, life, love posters.

And driving lessons?

Nah ching sounds more fun.

Bit of ching never killed anyone.

[Bobthebuilder]

6 minutes ago, JoeDavola said:

Nah ching sounds more fun.

Bit of ching never killed anyone.

My mate had a heart condition that neither he or anyone else was aware of. Did a few lines of bifta one night, and dead, heart attack.

I can show you his grave if you want.

Edited July 12, 2023 by Bobthebuilder

[JoeDavola]

Just now, Bobthebuilder said:

My mate had a heart condition that he or anyone else was aware of. Did a few lines of bifta one night, and dead, heart attack.

I can show you his grave if you want.

I know ching has killed people.

I was making a joke.

 

 

 

 

 

 

 

 

 

I'll get me coat...

[JMD]

6 hours ago, AlfredTheLittle said:

Won't make much difference, just the interest is unaffordable anyway, and will be more so if labour introduce mad schemes like this

Actually there is a big difference. For example according to UK stats, the average loan is 25 year/£200k. So If assume a 5% rate for next few years then monthly payment for repayment mortgage is £1200, and £800 for interest-only. A £400 difference...

'Coincidentally', today the banks announced their estimate, that by the end of next year, as fixed rates end, the typical mortgagee will be incurring an average monthly mortgage payment increase of £500.

Is the £500/400 bank-estimated increase/interest-only saving a coincidence? Or is this a first step by the banks in gradually stealing housing wealth from most of the UKs homeowners?

[sancho panza]

The death by a 1000 cuts continues

https://uk.finance.yahoo.com/news/1-3-million-households-missed-230100886.html

An estimated 1.3 million UK households missed or defaulted on an essential bill in a single month as cost-of-living pressures build up, a survey suggests.

Which? found 60% of those who could not afford a household bill such as energy, water or council tax, defaulted on more than one payment in the month to June 9.

It urged utility firms and supermarkets to work harder to support customers as pressures build on household finances.

 

Among those who missed one or more bills, two in five (42%) did not pay their energy bill, four in 10 (40%) missed their council tax payment, nearly four in 10 could not afford their water bill (38%) and a third (32%) struggled to pay for their broadband or television package.

Which?’s consumer insight tracker also estimates that 560,000 households missed or defaulted on a housing payment over the month, with one in 20 renters (5.2%) and 1.4 per cent of mortgage holders missing a housing payment.

Overall, two million households missed or defaulted on at least one mortgage, rent, loan, credit card or bill.

The 7.2% missed payment rate is in line with the level seen at the same time in the last two years, but higher than June 2020’s 4%.

[JMD]

3 hours ago, Funn3r said:

I am pretty much like you Joe more or less an amateur and I am permanently nervous about am I doing it right. I went with HL because that's what people on here predominantly use and they do seem alright actually.  I have lost money overall but just telling myself this is a relatively long term thing and swings/roundabouts. It does seem weird that I never seem to get any of the "divis" that people talk about; my HL "Income" tab is pretty much zero.

Like you I have a lot of cash in 4% GBP easy access savings accounts which is helping somewhat. Well I say that, I am being fucked by tax though. Although the frequent talk of the Pound going down hard is worrying me hence the "easy access" bit if it starts to look bad.

Re not seeing dividends. Maybe check in case the automaticaly reinvest income function is enabled.

https://www.hl.co.uk/help/isas/stocks-and-shares-isa/managing-your-isa/what-happens-to-any-income-from-my-investments-within-the-hl-stocks-and-shares-isa

 

[RJT1979]

Is it really easy for people with no assets but who have kids to never pay a water bill? Just moving from rental to rental never paying?