Lindsell Train Investment Share Discussion Threads

[spectoacc] 08/4/2024 09:21

Thinking new ISA season will at least counter temporarily the money leaving the market. Could give a boost to both share prices and AUM's.

Medium term, at some point net redemptions have to return to net investment growth. Until that happens, all asset managers likely to be under pressure, some more than others.

In two minds whether to stay in for it, or to take b/e (again). Too much other attractive stuff around.

[flyer61] 05/4/2024 09:32

Or some sort of merger where we get much closer to NAV.

[giltedge1] 04/4/2024 12:05

Only way out is buyback, so remaining shares are more valuable or as mentioned before bid by NT/ML at NAV, both seem unlikely at the moment. Or more radical sell liquid portfolio £120m pay to shareholders & sell rump holding in LT to NT/ML & staff. We need an activist?.

[flyer61] 04/4/2024 11:11

I think AUM may well be less than £16B. The dividend being held is really down to the board. The much vaunted 'reserve' could be used. Or at worst, I would see a 20% cut to circa £40. ie covered by the cash dividends received from LTL and the portfolio holdings. We have heard nothing of any note from our new chairman about the share price action or lack of it.

Still a buyer.

[giltedge1] 04/4/2024 10:36

Looks like we will lose Witan mandate within a year, not a reflection on LT, but change in strategy of Fund. End of year, AUM £ 16B, any opinions on held dividend £51.50 & if we can pull out of this downturn?.

[cc2014] 03/4/2024 15:19

LTI is not the only one. My watchlist is full of similar.

And most of my portfolio it seems!

[spectoacc] 03/4/2024 09:26

Seems unable to catch a bid atm.

[flyer61] 28/3/2024 13:20

Share price action today is not great given we have had a gradual rise these last few weeks. Bought more at £792 on a buy order set price.

I'm assuming someone knows of mandate losses for LTL coming down the line.

That being said if you strip out our share of the cash held at LTL then the Fund management business is basically in for free at this share price

AG Barr results were excellent with corresponding 10% share price rise.

A little more clarity from LTL on how things are going wouldn't go amiss.

I do hope our new Chairman is actually going to try and work in all shareholder interests here...

Continue to hold....

[wskill] 22/3/2024 12:19

Pity they have not considered a normal sized share price while they are at it £800 is a tad too high for UK investors ,and as you say performance is abysmal why reward poor performance with more shares for losing investors their savings.
Unfortunately its about all British management is good at awarding themselves far too high salaries for no good reason I read recently UK managers should be paid USA type salary scales are they joking most UK management do not deserve the salary that is paid today never mind any increase.

[giltedge1] 21/3/2024 16:33

Dirs will keep 25% cap, how can they not with FUM dropping. Good day in the markets for main LTI portfolio, hopefully help with mandates under review. LTI a bull market stock, seems cheap at 20% discount, with LTL undervalued in my opinion, so could be nearer 25 - 30%.

[flyer61] 21/3/2024 15:15

it is disingenious to use 45% as it is over a much bigger workforce sample.

I'm all for paying people for delivered outsize performance however.....

[flyer61] 21/3/2024 15:09

Just for the record LTL employs only circa 30 people. A comparable sized AM is likely to have several 100 folk on the payroll. Ergo the 25% cap (plus employer NI contributions) seems eminently sensible to me.

[flyer61] 21/3/2024 15:00

All whilst the FUM nose dive....i'm sure there have been some very difficult 'pitches' when it comes to renewing mandates. If they all turn out like the Japanese fund maybe Mr Train and Mr Lindsell might sail off sooner than we think....

[flyer61] 21/3/2024 14:57

yes it appears we are being warmed up for salary rises all round but it won't affect our NAV. However our dividends will be reduced possibly significantly.

There's always the cash pile.....

[steve3sandal1] 21/3/2024 14:18

Ge, yes re 45%salary calculation in LTI profitability. Its referenced to industry norms I seem to recall. The reported statutory profitability has always been higher than directors valuation. Sadly we're forced to sell shares to management at the directors valuation. The profitability of LTL and thus the dividend of LTL could be flexed by Messrs Lindsell and Train not taking c£25m out in director remuneration but that's probably not going to happen.

[giltedge1] 21/3/2024 13:40

Slowly turning round funds performance a few stand outs Relx,Exp,Sage,Mondlz,Nintendo. Should get final div from LTL soon to up NAV. Still seems cheap as salary capped 25% revenue although declining as we now.
Agree Salary rise from 25% cap would not go down well. Anyone picked up our 25% valuation at LTL is at 45% salary cap ie profits artificially marked down for monthly NAV.

[flyer61] 20/3/2024 11:54

think it is for his family trust.

[spectoacc] 20/3/2024 09:50

Michael still buying - does this show he's a bad investor? ;)

[spectoacc] 20/3/2024 06:57

They won't care.

Salary cuts would be more apt.

Also, has there ever been a successful fund management handover? There's been a few good ones I can think of where the previous manager's been ditched, but I can't think of a "followed" one retiring, replaced by a successful understudy.

W Buffett will be a test of that.

[steve3sandal] 19/3/2024 19:57

Just discovered another intelligent discussion thread on lemonfool.co.uk under Investment Trusts.
Some already there. Lively recent discussion on the incredulity of the Board’s earlier suggestion they may have to raise the salary cap to keep the manager gravy train going whilst their performance doesn’t really justify it.
Just flagging for anyone interested. We might not have enough votes to prevent this if it comes to a vote but shareholders can make their feelings known to the Board.

[flyer61] 18/3/2024 11:29

Also my thanks s3s.

[spectoacc] 18/3/2024 10:55

Thanks @steve, missed that.

[steve3sandal] 18/3/2024 10:08

Witan strategic review. £1.824Bn IT. Lindsell Train LTL run 16% of this ie about £290M. I doubt the existing investment methodology will survive as it’s not beaten the market unlike Alliance Trust which follows a similar approach.
It’s not clearly positive for LTL……sadly.
I don’t intend to be Mr Gloom but it had to be flagged.

[spectoacc] 15/3/2024 14:58

Gold (via ETF) my 2nd largest holding behind CGT (mainly US TIPS).

Difficult to see how there won't be trouble ahead with just debt interest taking up an ever-increasing proportion of tax receipts.

[wskill] 15/3/2024 14:54

Bought RCP the other day as well as you say it has bounced off this level before,But as not really impressed with market bought a Gold ETF and a gold fund with purely USA miners .
I have owned GPM and other UK listed goldies for years but need to be in USA listed gold for best results ,Same in shipping got a few USA listed ship owning companies and have made decent profits there but in UK ones its not a similar market.

Strangely Crypto protects the Fiat currencies I think without it every man and his dog would be buying gold to protect themselves .
But no need to worry now about failing currencies when we have the best pyramid selling scheme known to man and as has been said easy to close down,It suits governments interests to have this pyramid selling scheme crypto running.