Royal London Uk Equity Trust Share Discussion Threads

[praipus] 08/2/2007 13:44

Strongly recommend others read the link erstwhile2 gives. This may even be worth shorting in the medium term. Though my own incurabble optomism may not allow me to.

[praipus] 08/2/2007 13:21

Thanks erstwhile2 excellent research £1.10 that will be interesting.

[Abuse team] 08/2/2007 13:11

Post removed by ADVFN

[linhur] 08/2/2007 11:19

Surprised that Hallwood have sold 4mill as they have been a steady purchaser of RLU during 2006.Perhaps there discussions with the board over possible reconstruction proposals in September 2008 or earlier have foundered? or they are calling the top of the market?

It will interesting to see who the buyers might be? How long before they might have to declare?

The NAV has not increased as much as the index recently - probably due to large holding of oils. Also a large part of the portfolio is in bonds to protect the annuity payments, where the outlook is not bright due to the possible hikes in inflation.

Just a few musings
kind regards
Linhur

[badtime] 07/2/2007 21:11

praps..its badtime :)

[praipus] 07/2/2007 20:37

bastime (should read badtime) - I suspect the zeroes will have a roll alternative. The annuities I assume will require a vote from us although they are owned by the manager so that should be quite an interesting meeting.

[praipus] 06/2/2007 20:58

Agreed tried to some up the situation with notes and comments in the header which I revised today. Would welcome your or anyone elses comments on my interpritation.

[badtime] 06/2/2007 19:02

Praps..re post 11..b best that u at least allow the fairly large amount of that discount that applies to the annuity holders...then of course ther is the zeros...but the annuity amount i think is more important

[praipus] 06/2/2007 13:54

Royal Ldn UK E&I Net Asset Value(s)

RNS Number:7997Q
Royal London UK Eqty&Income Tst PLC
06 February 2007

ROYAL LONDON UK EQUITY & INCOME TRUST PLC (the "Company")

As at close of business on 2 February 2007, the unaudited net asset value
("NAV") per share class of

the Company calculated in accordance with the AIC formula was:

NAV per Ordinary Share excluding current financial year revenue items = 43.91
pence*

NAV per Annuity Share = 75.00 pence

ROYAL LONDON UK EQUITY & INCOME SECURITIES PLC (the "Subsidiary")

As at close of business 2 February 2007, the NAV per Zero Dividend Preference

share of the Subsidiary, a wholly owned subsidiary of the Company = 157.10
pence.

*Notes:

1. The investments are valued at bid and the bank loan is included at fair
value.
2. Consent of the Annuity Shareholders to a winding up prior to their redemption
date of 14

September 2021 may require that Annuity Shareholders are paid an amount
equivalent to

at least the yield of 8.2% per annum. For illustrative purposes only, if a
voluntary winding-up

of the Company were to occur on 14 September 2008, when the Zero Dividend
Preference

Shares of the Subsidiary are to be repaid, a payment of 95.3p per Annuity
Share would be

required in order to achieve the yield of 8.2% per annum on the Annuity
Shares which would

reduce the amount attributable to the Ordinary Shareholders by 8.7p per
Share.

6 February 2007
This information is provided by RNS
The company news service from the London Stock Exchange
END

[praipus] 06/2/2007 09:48

RLU NAV 42.4p undiluted share price at 38.7% discount!

[praipus] 03/2/2007 21:00

hi badtime, yeah know what you mean trustnet says the average discount on split capital Ordinary shares is 8.5%!.

RLU is now 41%!

[badtime] 02/2/2007 20:49

hello praps :)

Post 3 ''40% dis to n/a is pretty normal'' ...pah..not sure wot world u live in son. Not unknown ..but hardly normal.

[praipus] 29/1/2007 09:21

Please post details of any investment trust trading at a 60-70% discount.

High quality means profitable (for at least five years), genuine assets and reasonable dividend. Probably best to take a look at their top ten bond and equity investments and decide for your self.

For fact sheet and the annual report in PDF formats.

[logica2me] 28/1/2007 21:56

Pffft...

Define a 'high quality stock' - Enron? Worldcom?

You've got a lot to learn Son. A LOT to learn......

40% discount to NAV is pretty normal for an investment trust. 60 or 70% is not unusual.

Joe

[praipus] 28/1/2007 21:38

Do you realise this is an Investment Trust? And its underlying assets are generally high quality stocks and bonds?

[logica2me] 28/1/2007 21:30

Think the current value is about right. Only ever guesswork with regards to NAV - you never know what the liquidated value of investments are going to be.

40% discount is about right for this sort of stock.

Not really any need for a thread, unless you're ramping, which I suspect you are.

Joe