M&G High Income Share Discussion Threads

[aleman] 22/1/2014 10:29

GVC looks like it might be on a prospective yield of over 10% net and it's arguably a growth stock. There is a great deal of private investor buying but the price seems to being held back by institutional dumping. I found recent company tax advice to confirm that a UK tax credit should apply normally, despite speculation on the thread that it didn't.

CLLN might still just beat 5% next year, although they've had a good run recently.

I can't reveal everything I'm interested in as I have liquidity issues with a couple of smaller caps I want more of but our stuff overlaps quite a lot if I include some of the steadier larger companies I have not ruled out for the future ahead of the next downturn.

[wirralowl] 22/1/2014 10:10

GaryCook, you might want to take a look at RECI/RECP?

[garycook] 22/1/2014 09:28

Aleman,Cannot find any more quality stocks yielding over 5%+,at the moment.Already own ADM,AML,CWC,CGL,CNA,CLIG,EMG,FCRE,GSK,GLIF,HSD,HSBA,IAP,IMT,MRW,NG.PHNX,RDSA,RSA,RSL,SREI,SSE,TSCO,UKCM,UU,VOD.Is there any you can recommend.Thanks in advance Gary.

[aleman] 22/1/2014 09:16

Went ex-dividend by 1.4p today.

[timbo003] 21/1/2014 21:06

The epic code for news (on the London stock exchange web site) is MGHU (see link below)

[sleepy] 21/1/2014 20:31

What is the code to get news on this trust please? Presume it is MGHsomething?

[aleman] 21/1/2014 16:29

21 January 2014
M&G High Income Investment Trust P.L.C.

The Board of M&G High Income Investment Trust P.L.C. announce
that the net asset value (NAV) at 12:00 noon today was £433.0 million.

Income Shares * 73.21p
Capital Shares 7.47p
Zero Dividend Preference Shares 92.15p
Income & Growth Units 80.68p
Package Units 172.84p

The net asset values have been calculated on a cum-income basis,
with dividends payable deducted from net assets on the ex-dividend
date. Financial assets are valued on a mid-market price basis.

* The ex-income NAV of each Income Shares is 70.00p.

[aleman] 16/1/2014 16:26

Interim results confirm that net income has risen slightly more than the dividend, 9.7% versus 7.7%, so that the revenue reserve is increasing faster,£107k versus £48k or 0.043p versus 0.019p (so basically underpaying by pushing 0.1p per annum) which bodes well for future dividend increases, possibly making for a similar sized increase next year even if dividend rises moderate a touch.

[...]

[aleman] 15/1/2014 16:48

4 days to buy for dividend.

M&G High Income Investment Trust P.L.C. announces that at a meeting of the Board of Directors held today, it was resolved to declare a second interim dividend of 1.40p, an increase of 7.7% (2012: 1.30p) per Income Share, in respect of the six months period ended 30 November 2013. The dividend will be paid on 25 February 2014 to Income Shareholders on the register at the close of business on 24 January 2014. The ex-dividend date will be 22 January 2014.

The dividend will also be payable to holders of Income & Growth Units and Package Units.

[mozy123] 08/1/2014 12:49

Really want to add to my income ports, both MHGU and MGHI but the spread is really off putting.

[aleman] 07/1/2014 16:31

7 January 2014
M&G High Income Investment Trust P.L.C.

The Board of M&G High Income Investment Trust P.L.C. announce
that the net asset value (NAV) at 12:00 noon today was £429.0 million.

Income Shares * 73.09p
Capital Shares 6.69p
Zero Dividend Preference Shares 91.46p
Income & Growth Units 79.78p
Package Units 171.24p

The net asset values have been calculated on a cum-income basis,
with dividends payable deducted from net assets on the ex-dividend
date. Financial assets are valued on a mid-market price basis.

* The ex-income NAV of each Income Shares is 70.00p.

[aleman] 30/12/2013 15:57

30 December 2013
M&G High Income Investment Trust P.L.C.

The Board of M&G High Income Investment Trust P.L.C. announce
that the net asset value (NAV) at 12:00 noon today was £426.6 million.

Income Shares * 73.11p
Capital Shares 5.74p
Zero Dividend Preference Shares 91.46p
Income & Growth Units 78.85p
Package Units 170.31p

The net asset values have been calculated on a cum-income basis,
with dividends payable deducted from net assets on the ex-dividend
date. Financial assets are valued on a mid-market price basis.

* The ex-income NAV of each Income Shares is 70.00p

[lord gnome] 29/10/2013 12:12

Yes Skinny - delighted with my MGHU. A geared play on a bull market over the next four years.

[skinny] 29/10/2013 11:10

MGHI/MGHU looking at highs today.

[blackpoolsteve] 19/10/2013 17:15

I've watched these shares for ages,and bought a few for the divi. Agree spread is silly;I assume this is because of few trades.
Prudential own 60% of the holding,and I agree with earlier comments about complexity of share holdings and past blight of zeros which tainted the sector.
regards to all

[aleman] 09/10/2013 17:29

M&G High Income Investment Trust P.L.C. announces that at a meeting of the Board of Directors held today, it was resolved to declare a first interim dividend of 1.40p, an increase of 7.7% (2013: 1.30p) per Income Share, in respect of the three months period ended 31 August 2013. The dividend will be paid on 25 November 2013 to Income Shareholders on the register at the close of business on 18 October 2013. The ex-dividend date will be 16 October 2013.

The dividend will also be payable to holders of Income & Growth Units and Package Units.


Q1 results out, too. Nice to see the strong rise in UK dividend income received.

[colonel a] 07/9/2013 21:16

timbo003,
As an income {only} holder it would be great should any such windfall be counted as income but I can't see it.
I'm sure it will all be spelled out somewhere but the one bad thing about these is the spread so I'm in for the duration regardless, it's very much a case of, "Dear Santa, I'll be grateful for what ever I get".

[timbo003] 07/9/2013 06:50

I wonder how they will treat the various proceeds from the Vodafone Verizon deal.



From a shareholders perspective, the proceeds will comprise of two elements:

1) Cash and loan notes (circa £40Bn)
2) Verizon shares (circa £40Bn)

Obviously the cash goes to the income account, but what about the Verizon shares?

I would have thought it should go to Capital, but what if the investment mandate only lets them invest in UK equity, presumably the Verizon shares will need to be sold in which case do the proceds go to capital? I would expect that to be the case, but worth checking I think. After all, its a big lump of cash. Last time I looked, Vodafone comprised 4% of the portfolio, which is equivalent to 6p/share of the MGHU NAV, so that means the Verizon shares will represent around 2.5p/share, which either goes top the Incomes, or to the Capital shares. The question is, which one?

[2wild] 07/9/2013 00:27

That's one long think!

6 September 2013 M&G High Income Investment Trust P.L.C.
The Board of M&G High Income Investment Trust P.L.C. announce that the net asset value (NAV) at 12:00 noon today was £405.0 million.
Income Shares * 72.95p
Capital Shares 0.00p
Zero Dividend Preference Shares 88.73p
Income & Growth Units 72.95p
Package Units 161.68p
The net asset values have been calculated on a cum-income basis, with dividends payable deducted from net assets on the ex-dividend date. Financial assets are valued on a mid-market price basis.
* The ex-income NAV of each Income Shares is 69.86p

[aleman] 15/8/2013 17:48

Editted for bad logic. I need to think some more.

[colonel a] 15/8/2013 16:38

Who benefits most depends on how you see the next 3.5 years.
The hurdle rate for the zeros will become even more negative, so they become even safer.
The income shares will benefit from a better capital allocation and proportionally higher income.
But with the caps so highly geared you would have to fancy them as the most interested in buybacks.

But even then, with discount at 10% {say} they have to buy back 10% of the shares to move the NAV by 1%
And given that it might well have dropped significantly more than that today it's hardly a game changer.

[aleman] 15/8/2013 15:43

I hold certificates so I got the report and voting cards through. They say they will buy back only packaged units, as one might expect, but how do they fund it equitably? Won't the resulting benefit of higher NAV per share tend to disproportionately benefit capital shares? The cancellation of some package units would also enhance income per income share. Whilst capital coverage for the zeros goes up a bit, I fail to see how they benefit as much as the other two, especially the capital shares.

Am I looking at it wrongly?

[colonel a] 15/8/2013 14:44

Aleman,
Where is this posted.
As a nominee holder I guess I'm way too late to vote but would be interested to see what they propose.
From the company structure I can't see how they could do other than buy package units - these are at a discount so would help I guess.

[aleman] 15/8/2013 14:13

I've voted against all the special resolutions. I think buybacks would be riddled with conflicts of interest between the different classes of sharheolders.