Blue Planet Investment Share Discussion Threads

[escapetohome] 28/9/2020 15:50

Argentinian bonds back in hot water just weeks after restructuring deal. FT says.

SLUMPED.





Well Blue Planet said they wanted to sell, i hope they did so.

Now if they had taken my advice to switch in to imps IMB, they would have done rather well. ( so far ) .

[quepassa] 28/9/2020 15:46

Dividend gratefully received last week.

A STONKING 10% dividend. The highest dividend payer in an income portfolio.

In today's yield-starved investing arena, the risk-reward ratio on Blue Planet looks very appetising given their track-record of reliably paying high dividends.

ALL IMO. DYOR.
QP

[escapetohome] 15/9/2020 22:33

Noted, but theres now hopefully a ground zero opportunity, with the team hopefully turning over a new leaf.

Thats my philosphy to try to identify a turning point.

I dont always get it right.

[topvest] 15/9/2020 21:22

Yes, that's why I keep my tiny holding. A bit like BAF though. Dividends at the expense of capital growth. Actually they pay dividends and erode capital with their inflated costs and over-activity.

[quepassa] 15/9/2020 14:33

But the point which is always overlooked with Blue Planet is that they are a DAMNED-GOOD DIVIDEND PAYER.

The stock is currently YIELDING A JAW-DROPPING 10%.

YES 10%.

And the thing is that their track-record of paying high dividends is fantastic.

A rock-solid dividend payer - and in today's market of near zero interest rates and with dividends being slashed left, right and centre- finding an investment company with a strong dividend track record AS WELL AS YIELDING 10% is not to be underestimated.

The risk-reward ratio on this stock is misunderstood and mispriced by the market in my view.

ALL IMO. DYOR.
QP

[topvest] 10/9/2020 21:39

Look at the 20 year return, before the merger. Poor!

[escapetohome] 09/9/2020 21:23

Well im not so sure thats a fair assessment.

Like the report says , every month they were doing well, each month they were outperforming, then just one month came along where they did poorly and their oil bet was disastrous.

I think theyre worth a punt say £1000.

[topvest] 09/9/2020 20:39

Yes, I think everyone is agreed that this investment trust is very poor. Returns have been OK, but decimated by high costs. It's their macro views that are very interesting.

[escapetohome] 08/9/2020 07:37

Seems they were saying in the report that for nearly all the months they were ahead, it was just one month in particular that let them down.

[apollocreed1] 08/9/2020 00:34

I think this IT is run with only the benefit of the managers in mind. They just pay themselves massive salaries, hold very few shares in the company and employ an obsolete and disorganised investment strategy.

[escapetohome] 06/9/2020 12:49

Im really liking all the comments about QE and negative interest rates in the annual report. Good Stuff!!

[escapetohome] 06/9/2020 12:32

Seems their Egyptian Bills have done well for them.

[escapetohome] 06/9/2020 12:19

Holding bonds of 10 % of the portfolio in Argentina and 8 % in Egypt.

Guess it looks kind of clever.

If i were the manager id look closer to home, and perhaps take a shot at some of the equity ‘old economy’ stocks.

Imperial Tobacco must be yielding some 10% , probably yields as much as the bonds from Argentina, whose economy is going through a torrid time.

[topvest] 06/9/2020 11:01

Agreed, their performance has been totally rubbish. That being said, the macro analysis commentary is quite good.

[riskvsreward] 06/9/2020 10:59

If debt is a worrying problem, that doesn't square with the trust holding almost two thirds in bonds.

The consistent poor performance, high fee, and very high turnover (mostly bad timing and bad stock picking) don't inspire confidence in the manager's market view, although he may be right on occasions whether it is by chance or by good judgement.

[escapetohome] 05/9/2020 20:04

‘Very worrying’ perhaps to distract from their very worrying performance maybe.

Completely mistimed their big bet on oil. Perhaps not their fault.

I might have a dabble here, but very much a punt.

[topvest] 05/9/2020 16:28

A very worrying and insightful investment manager report, presumably from Ken Murray. The clearest articulation that I have heard of the central bank initiated "ponzi-scheme" that is increasing the risk of the world financial system collapsing. I've not read a better articulated summary - pages 12 to 18 are best.
hxxps://2862a025-bb94-41ba-90e8-6245c90eef96.filesusr.com/ugd/2dd9bc_a6de9ee03d5b4aa4b996fdfebda8411a.pdf

[malcolmmm] 01/4/2020 23:30

Hope that you sold , just look at the price today, bid 23.60p and falling

[apollocreed1] 25/3/2020 01:20

@Malcolmm - Thanks for your post. I'm the mug who bought some of these 6 months ago at 41p because I thought the dividend yield and discount were attractive. It's just been downhill since then.

[malcolmmm] 24/3/2020 08:51

Bought these on launch at 100p years ago ,sold for a profit. A bad trust fund run for the ceo, directors and employees etc nice earner for them. They were supposed to change and diversify which they haven't.My 100p would be worth a third after all these years whilst in a bull market.Keep clear of this rotten under preforming trust fund imo.

[value hound] 02/9/2018 12:54

Thanks topvest.

I won't be investing but was interested to read the AR, albeit rather scary when they say:

"We are in all probability heading for another financial crisis and banks having slightly stronger capital adequacy ratios is not going to prevent that. All that does is provide false comfort to those who cannot see the obvious. Bank’s equity bases are simply insufficient to withstand a major financial meltdown and they, like the bond insurers who purportedly had the necessary capital to guarantee the bonds they insured in the run up to 2008/09, will also be obliterated when it comes.

Reckless monetary policy and too much spending and borrowing by governments caused the last financial crisis and they will cause the next one as well. Nothing whatsoever has been learnt by central bankers or politicians as to why the last financial crisis occurred or how to prevent it happening again. The proverbial canary has once again stopped singing and once again bankers and politicians are oblivious to the impending dangers. The world, both in the public and private sectors, is now so deep in debt that even what would be considered modest rises in interest rates in a historical context, of say 300 to 400 basis points, is likely to trigger defaults on a scale that will be difficult for the global banking system to withstand and with inflation, which is absolutely critical in determining interest rates, set to rise as a result of central banks past money printing and increasingly tight labour markets, particularly in the US and UK, interest rate rises of that magnitude are not only likely but highly probable. China, Italy, Greece, Portugal, Spain and Germany’s weak banking systems and the UK’s overly large one look particularly vulnerable. "

This is worrying for me as I hold too many LLOY and BARC ords for comfort.

[topvest] 02/9/2018 12:34

Yes, always been the case here. It’s too small with too high costs. Also it buys and sells shares far too much exacerbating the cost issue. I only have a few and certainly wouldn’t buy any more.

[value hound] 02/9/2018 12:24

This lot come across as sensibly defensive and well-managed etc.

BUT... the Chairman who owns over 28% of the shares is also the effective owner of the management co., so seems to be talking a huge chunk out of BLP in fees, witness:

"Blue Planet Investment Management Ltd (BPIM) receives an annual fee of 1.50% per
annum of the total assets of the Company which is paid monthly. Kenneth Murray is a
Director of BPIM which is controlled by an Employee Trust for the benefit of the
employees of that company. BPIM also provides administration and secretarial services
to the Company at a fee of £196,000 per annum."

So that seems to be £496.5k (based on latest gross assets of £33.1m) plus the £196k mentioned above, equivalent to a 3.3% yield on its own. Isn't this a little excessive?