M&g Share Discussion Threads

[spawny100] 08/9/2021 15:28

Well done woodhawk. My average is currently about £2.15 so not so impressive. Obviously I've had the couple of dividends so just about breakeven I suppose.I asked the question on another board as to just how safe isa's are from being raided by Sunak and Johnson? As they were marketed as tax free wrapper I think there would be an awful lot of people going to court over misselling of them if they tried to tax dividends/profits in them.

[woodhawk] 08/9/2021 15:20

Pierre,

No effect on ISAs at all. Despite it's short lifespan M&G has been very good to me - with a bit of trading and hefty divis it's already my 9th most profitable share & almost 50% of my current holding is profit. Good luck with yours!

[adejuk] 08/9/2021 15:05

wish i had some spare £
at this price the risk reward looks attractive

[anhar] 08/9/2021 14:55

There's no tax on ISA divis, nor is the new tax on divis intended to apply to them as far as is currently known. Wouldn't make a lot of sense if it did as it would destroy the whole point of ISAs.

Not that failure to make sense would put off any politician...

[pierre oreilly] 08/9/2021 14:50

wood, is there no effect on isa shares? I think we may lose 1.5% (but i'm not sure, and hope we don't).

In the old days we used to get back the tax paid on divis in isas (so you got the divi, then few weeks later got 20% iirc more).

Could an accountant clarify the situation please?

Must say, we have it very easy in the isa tax shelter, i always expect it to get hit one day. But the last move was the exact opposite - when i kick the bucket my wife gets all my holding into her isa, sheltered from tax. I'd say when that happens she'll have one of the biggest value isas around (i've put the max in every year for the two of us every since peps and whatever else they've been called previously). Not many mistakes, but mng isn't doing too well (yet).

[anhar] 08/9/2021 14:41

All that talk of "no-brainers" may have influenced you or others. MNG is NOT in my view a no-brainer for the reasons I indicated earlier. It actually looks too good to be true on a yield basis and as any experienced income investor like me will confirm, extreme high yield can often be a danger sign of a forthcoming divi cut and problems with the business that is not yet public. Sometimes though such shares are a screaming bargain and are simply heavily underpriced by the market and have no problems or divi cuts coming. Share prices short term are random rather than being driven by fundamentals.

How to tell the difference?

There's no sure way. You can analyse it to death but that's really about the past. It won't reveal unknown unknowns. I've erred on the bargain side so have a holding but only in the average proportion as other shares in my income port. I certainly would not bet the ranch on this one.

[chandrasekharslimit] 08/9/2021 11:53

Just doubled up, a little earlier. Average now just under 203p.
It wasn't supposed to be like this,I thought I'd found the bottom!

[karv1] 08/9/2021 08:59

It's either pure panic or someone trying to push the price down 2.8% down with 1.6 million shares traded v LGEN 1 million shares even tho LGEN is 3+ times the size.

[woodhawk] 08/9/2021 08:59

Prospective divi now over 9%. This is getting silly.

[mister md] 08/9/2021 08:54

Looking to double my holding here, this seems to be dropping much faster than the overall market. However might hold off just a little while to see if we get a bigger market correction.

[spawny100] 08/9/2021 08:45

196s now. Ridiculous.

[cwa1] 08/9/2021 08:19

Taken a few more in the 198's, that's me got my fill now. Good luck all

[fenners66] 08/9/2021 08:19

woodhawk - just to be clear , I was not advocating dying before 75 just to avoid tax .....

[spawny100] 08/9/2021 08:14

Added a few in my daughter's isa under 199. Surely good value....

[dope007] 08/9/2021 08:13

Thanks for this Boris

[spawny100] 08/9/2021 08:03

10% divi very soon.

[spawny100] 08/9/2021 08:00

Well there it is under £2 FFS getting silly now.

[woodhawk] 08/9/2021 00:11

fenners66 & Williamcooper104,

Thanks for additional info - was aware of 25% tax free but, in my case, not much I could do to mitigate Tax on the remaining 75%. Dependents will do OK with remaining estate (I hope)!

[williamcooper104] 08/9/2021 00:00

You also can claim back most foreign withholding tax in a SIPP whereas you cannot with an ISA

[williamcooper104] 07/9/2021 23:59

I think, IIRC, you have to die before 75 to dodge IHT on your SIPP (and I would be surprised to find this little benefit still available in a few years time)

[fenners66] 07/9/2021 23:01

But , woodhawk there are other advantages to a SIPP.

25% withdrawal tax free, add in the additional growth achieved over time on the tax rebate.
Arrange the income so it falls into the annual tax free allowance , mixture of reliefs and ISA etc.

and not least , if you were to die , pension pot left to dependents without IHT, in most circumstances.
If your last cash pile is in the SIPP it may have been worthwhile....

[woodhawk] 07/9/2021 16:26

I vastly prefer my Shares ISAs to my small SIPP (despite the tax relief on contributions) - no tax on divis and cap gains and - at any time - could 'drawdown' totally tax free and with no ongoing charges either (unlike SIPP).

[rogerramjett] 07/9/2021 16:07

My whole PF is now in an ISA.

Thankfully.

[woodhawk] 07/9/2021 13:44

As 75% of my portfolio is ISA'd or SIPP'd it is of minimal effect for me.

[gary1966] 07/9/2021 13:37

What is the odds that the amount of care home costs allocated to the care rather than food cost goes down dramatically to prolong how long it takes to use the £86K up. Call me cynical. Fully understand the logic of putting 1.25% increase on dividend tax as well as NI.