Lloyds Grp 9.25 Discussion Threads

[envirovision] 11/2/2015 18:02

Nice trade, > 260,000 shares taken at £1.53p

[loki666] 01/1/2015 06:40

Many Thanks

[pvb] 31/12/2014 20:08

loki666 31 Dec'14 - 19:31 - 779 of 781 0 0

I read the following article on the telegraph, does this relate to LLPC?

No. This is about the ECNs that were issued as replacements for the various Lloyds preference shares at the time of the suspension of dividends. Many preference shareholders took up the offer and exchanged their prefs for the ECNs, which at the time offered enhanced coupons.

Much discussed here:

[pierre oreilly] 31/12/2014 19:58

Hope not! Firstly, the price hasn't dropped recently and secondly llpc is irredeemable. Which I think means these are safe. (My Halifax pib certificate may not be as fortunate though).

[loki666] 31/12/2014 19:31

I read the following article on the telegraph, does this relate to LLPC?

[envirovision] 03/11/2014 11:59

This is cracking value I would say taking into account the accrued. I guess there must have been a seller to have done that. I've taken a few.

[catcheemonkee] 31/10/2014 15:31

Perhaps some thought that they'd already gone ex-div? LLPC yielding around 7% ATM.

[folderboy] 30/10/2014 12:55

xd next Weds (or Thursday) - but it drops a little today. Is this not odd?

[jonwig] 28/10/2014 20:16

Last year, I had it on my calendar as xd on Wed 6 November. So it should be Thurs 6 November this time.

I doubt it will be paid on Sunday 30 November, and anyway my broker likes to hang onto the money for a couple of days with prefs and bonds!

[blueliner] 28/10/2014 18:34

More importantly I have a note showing payment to be made on 30th Nov .

[zangdook] 28/10/2014 18:26

I had it as 11 Nov. My notes are a few years old, have they brought it forward a week or so? It doesn't seem to be specified in the prospectus or on the website.

[catcheemonkee] 27/10/2014 10:03

I think you're right! Next Thursday it is.

[jonwig] 27/10/2014 09:28

Won't it be changed to the day after, ie. Thursday?

I see the ords are down after the EU stress test results, but CoCos and prefs steady.

[catcheemonkee] 27/10/2014 09:04

Ex-div next Wednesday.

[p@] 08/8/2014 09:28

Trade wars are recessionary, topped up.
(1.33)

[jonwig] 28/7/2014 11:11

Disagree _ short rates can go up by boe but longer rates not, and inflation not.
Yield curve can turn to a downward slope.

[pierre oreilly] 28/7/2014 10:28

Yeah, these will take a pounding if interest rates rose a lot. But so would the stock market.

From where I'm sitting, the economy would more or less fall apart if interest rates rose much - i think today, even if they went up 0.5%, and mortgage rates did the same, then many people (those with mortgages especially) would be up the creek. I think 0.25% is on the cards during the next couple of years, but I can't see the government allowing 0.5% in that time, whatever the circumstances or pro predictions or boe independence (they've been saying rates will rise a little for a couple of years now). As you say, the hit ffor llpc for a 0.25% rise would easily be offset by the high income in a short period, after which I'd expect the price to rise again as prospects for a further rise diminish (... in order to not wreck the housing market/mortgage holders). Savers don't get a look in these days. But I'm just an armchair critic with no economics knowledge (not that economic knowledge helps imv).

[bowlhead] 28/7/2014 09:45

With the share price at 135p the 9.25p divi represents a 6.85% yield (yes, I know it's a bit better than that because it pays out in two chunks per year and we're already a couple of months into the year).

If risk-free base rates go up a quarter point next Jan and July as some have speculated, people would presumably demand to get half percent extra on their Lloyds paper. For 9.25p to be a 7.35% yield, the price would need to be 126p. So, over the year you'd get your ninepence of divs but you'd lose ninepence on the share price.

I assume the recent fall from 140p plus is recent fear of interest rates / macro factors leading people to think LLPC was getting a bit 'toppy', rather than a company-specific factor. So maybe you could say that the next interest rise is factored in already. However, by the time we get there, the one after that would be being factored in also.

These are fundamentally less tasty than they were at par or below when I was first buying in, so I do think it's true that one can be too overweight. But it's nice to be holding something that isn't straight equities, when lots of equities are getting expensive, so I am holding on at the moment.

Still, if interest rates go up at pace, these will take a hit just like equity markets. If there are sector specific or Lloyds specific problems, these will take a hit, just like the ordinaries (OK, to a lesser extent). The thing to wish for is interest rates and inflation to be held very low for ages or only gently creep up - but if that happens there's more to be made on equities.

I think I will have a bit more of a look at how my portfolio should be balanced over the next few months as I've done quite well out of these but as a consequence I hold more than I would have if I was starting a portfolio from scratch today. Probably.

[p@] 03/6/2014 06:50

Hyper-inflation?......LOL

How's your mortgage?

[blackcross] 02/6/2014 18:11

Or indeed the next bout of hyper-inflation.

[folderboy] 02/6/2014 16:31

Interesting - had the same thought . . . suspect I will add more here - getting a little too overweight in LLPC though. (Can one be too overweight in LLPC?)

[bowlhead] 02/6/2014 16:21

Yep, got mine at TD direct and Youinvest at some point in the last few hours. In enough time to spend them today on something else, if I could decide what I wanted to buy!

[folderboy] 02/6/2014 14:37

Halifax there - but not TD investing . . . yet

Edit: it's there now.

[eithin] 02/6/2014 08:12

CS Direct in 08-05am.