Aberforth Geared Cap Share Discussion Threads

[yupawiese2010] 09/2/2011 18:57

Papy02.

Im guessing it would be paid with the final dividend early in 2012, but for confirmation contact [e-mail] ( very helpfull )

Rgds

[papy02] 09/2/2011 18:03

Thanks yupawiese2010.

How will the 3.54 revenue reserve be paid out do you think? Will it be added to the dividend(s)?

Many thanks

[yupawiese2010] 09/2/2011 17:58

Surely

-9p capital loss on current share price ( 109p )
+3.54 in revenue reserve at present
+7.5p div in 2nd half 2011 maybe + or -
+7.5p div start of 2012 maybe + or -

Using excel function ((xirr((-10000,10954,("09/02/2011","31/12/2011"))*100 = 10.78% return on capital
.

Papy02 - A second dividend to 31 Dec 2011 will be paid ( confirmed to me by Aberforth )quite a while ago.

[badtime] 08/2/2011 20:47

i guess there always the chance of a rollover..and possible gd terms being offered to holders..i'm not sure if the current stated yield is gd enuff

[papy02] 08/2/2011 20:31

Thanks

I guess a 2nd dividend for the period to 31 Dec will also be paid?

If 14p total dividends, same as last year, that's still only 4.6% on a 109p buy price.

Or should I take last year earnings of 12.78p (plus growth?) plus revenue reserve of 3.54p = 116.32p or 6.7% return from 109p?

Or ... ?

[praipus] 08/2/2011 20:06

Probably not some of the info providers take a while to update dividends.

Then again I suppose it is possible that any remaining income will go to the income shareholders on wind-up. I seem to recall it happened with the Ecofin income shares on wind-up. As always double check anything....er everything I say;-)

[badtime] 08/2/2011 18:14

Am i missing something here...one othr div due this year..6.5p? and 100p payable ..hopefully end of year..return zero! I must be missing something

[praipus] 08/2/2011 17:52

Hi Pappy02

Wind up subject to AGM 31 December 2011.
see


AFHI repay £1 at redemption (subject to markets behaving) if the NAV figure is higher it emplies there is a dividend/income due.

For estimate of divi's due

[papy02] 08/2/2011 16:50

Anyone please: what are the likely outstanding dividends on this now (for new buyer)? I.e. what return from here if buy at today's 109p Offer?

[wilmdav] 13/8/2010 15:41

Thanks, SteMiS

I also picked up a few at 109p this morning after tracking down the EPIC.

[stemis] 13/8/2010 15:35

Oops, sorry about the EPIC. Interesting that you struggled to get 10,000. I picked up 20,000 easily just a few weeks ago with MMs dealing up to 50,000!

The other one of such ilk I have is EQPI (the income shares). Slightly different analysis/risk but essentially same strategy.

What is your name on TMF?

[cwa1] 13/8/2010 10:15

PS: Any others of a similar ilk that are worth investigating?

[cwa1] 13/8/2010 10:04

Morning SteMiS

Had a modest little punt of 10,000 at 1.09 this morning(not showing yet) on the back of your post on TMF(somebody is listening!). Much mumping and grumping from the market maker for him to "allow" me to buy a whole 10,000! I wanted to get a few more than that but they said no chance at the moment but that they'd get in touch if any became available.Thanks for not putting the EPIC code in the post, I'm sure that put a few people off looking for it ;-)

Fingers crossed and will meet again in a few months to either celebrate or commiserate! DMOR so no recriminations either way.

[stemis] 23/7/2010 08:41

The way I look at it

You can buy for 114p

You pretty immediately get 6.5p back in H1 dividend. So net cost 107.5p.

There is 6p left in revenue reserves. Earnings in H2 last year were 5.01p, so say same in H2 10. Say same H1 11 earnings as H1 10 - 7.72p. Assume 75% of H2 10 earnings in H2 11 (because they will be liquidating stocks) - 3.76p.

That means you will get 122.49p [100p capital + 6p + 5.01p + 7.72p + 3.76p dividends] in 18 months; a return of 14%. I'd expect a bit of dividend growth so let's say 15%.

Pretty safe with little real chance of losing the capital.

[praipus] 29/4/2010 16:56

Capital Structure for the Income Shares
All net income earned by the Trust is attributable to the Income Shares and it intends to distribute substantially the whole of its net income each year in accordance with its objective to provide a high dividend yield. The Directors aim to increase dividends over the planned life of the Trust. Dividends will be paid half-yearly in August and February each year.

The Income Shares were issued with an initial capital entitlement upon a winding up of 50.00p per Income Share which increases daily, from the date of issue, on a straight line basis until 31 March 2011 at such a rate as will give a final entitlement of 100.00p. In the event that the Trust is not wound up on the planned winding up date of 31 December 2011, the capital entitlement of the Incomes Shares will continue at a value of 100.00p. The Income Shares will rank after repayment of the total bank debt and any other liabilities of the Trust but before any payment on the Capital Shares. In the event that the value of the investment portfolio falls significantly, it is possible that the Income Shares will have no underlying value at the planned winding up date.