Phoenix Share Discussion Threads

[hvs] 21/8/2014 07:31

Why not.

Divi increase can come later.

They knows what they are doing.

[jonwig] 21/8/2014 07:15

I haven't looked too closely, but the only thing which stands out is the thought that you won't be getting a dividend increase any time soon:

Given the run-off nature of the group's business, the Board believes it is prudent to maintain a stable, sustainable dividend whilst the Group builds its financial flexibility to execute its growth strategy and will keep the dividend under review.

Acquisitions will come first, which is what they were set up for from the start.

[skinny] 21/8/2014 07:05

FINANCIAL HIGHLIGHTS
− £332 million of cash generation1 in H1 2014 (HY13: £416 million). A further £390 million was received on completion of the divestment of Ignis to Standard Life Investments on 1 July 2014

− Group remains on track to achieve cash generation targets of £500 million - £550 million in 2014 and £2.8 billion between 2014 and 2019

− MCEV of £2.6 billion on a pro forma basis2 at 30 June 2014 (FY13: £2.4 billion), with £153 million of incremental MCEV enhancement achieved in H1 2014

− Gearing3 reduced from 44% at 31 December 2013 to 35% on a pro forma basis at 30 June 2014, meeting the Group's target of 40% gearing 18 months ahead of schedule. The future level of gearing will be consistent with the achievement and maintenance of an investment grade rating

− IGD surplus of £1.1 billion and IGD headroom of £0.4 billion on a pro forma basis at 30 June 2014 (FY13: £1.2 billion and £0.5 billion respectively)4

− PLHL ICA surplus of £0.7 billion and PLHL ICA headroom of £0.6 billion on a pro forma basis at 30 June 2014 (FY13: £1.2 billion and £1.1 billion respectively)4

− Group IFRS operating profit of £266 million in H1 2014 including £114 million from management actions (HY13: £186 million, including £24 million from management actions)

− Interim dividend of 26.7p per share5, in line with 2013 interim and final dividends

DIVESTMENT OF IGNIS AND DEBT REFINANCING
− Completed divestment of Ignis Asset Management to Standard Life Investments on 1 July for £390 million in cash

− Comprehensive debt refinancing achieved:

- Divestment of Ignis supported a £250 million prepayment of bank debt

- Successful £300 million 7 year unsecured bond issue, at an attractive annual coupon, the net proceeds of which were used to prepay bank debt

- The refinancing of the Group's remaining senior bank debt and PIK notes into a single £900 million facility, in conjunction with a £206 million associated debt prepayment made from internal resources

- Senior debt reduced from over £1.7 billion at the start of 2014 to £1.2 billion on a pro forma basis as at 30 June 2014

- Strengthens Phoenix's financial flexibility to pursue its growth strategy of acquiring closed life funds

OPERATIONAL HIGHLIGHTS
− Progressed Phoenix Life transformation with outsourcing partner HSBC to consolidate investment fund accounting, unit pricing and custody arrangements, with completion expected in 2015

− Continued the migration of in-force policies to the BaNCS administration platform, with the transfer of a further 65,000 policies following the expiry of our outsourcing contract with Capita Employee Benefits (formerly Capita Hartshead)

− Vesting and recently annuitised customers given options to take advantage of the extensive changes introduced by the 2014 Budget

− Continued initiatives to de-risk with-profit funds and accelerate distribution of estate to stakeholders

[rcturner2] 20/8/2014 08:42

I have 18 holdings: 3 large cap, 6 small cap, 2 O&G and 7 investment trusts.

Diversification is important and the ITs have actually done very well in the last few years.

[devoncop] 19/8/2014 19:50

That's spooky RC.I have just 8 holdings as I don't like over diversification and bought into Lad at 125 recently. Much higher chance of corporate action there. Also in Plus,NWKI,CNKS and bought into LRE recently along with a couple of index funds. Common thread is all pay dividends and are cash generative. PHNX is, in my view the most secure and stable of the lot

[rcturner2] 19/8/2014 19:26

This is my second biggest holding after ladbrokes. Long term value here, lad is obviously a bit more risky.

[devoncop] 19/8/2014 18:46

Very happy how things are going here. This is my largest holding now and the results will help determine the answer to the resistance levels evidently. What certainly isn't in doubt is the large dividend and personally feel there is the prospect of corporate activity going forward.GLA

[hvs] 19/8/2014 13:34

U still studying ?

[rcturner2] 19/8/2014 12:57

Showing positive movement here still. 740p will be a test.

[yupawiese2010] 13/8/2014 14:04

2014 Half Year Results

The Phoenix Group will announce its half year 2014 results on the morning of Thursday 21 August. There will be a conference call and webcast for analysts and investors at 09:30 BST.

Dial-in numbers
UK: 020 3059 8125
All Other Locations: [phone]
Password: "Phoenix"


Please dial in 5 minutes prior to the beginning of the conference call in order to register.

Webcast
Register to listen to the call via a webcast at:

[jimjones1] 08/8/2014 16:47

Just wanted to say a HUGE thank you to everyone who has helped me out so far.

This will be my final post (plea)! I just need a few more complete questionnaires so if you wish to take part please follow the link below. It will only take 2-3 minutes of your time.



Just in case you didn't catch my post earlier this week and wonder what this is all about, I am doing a master's thesis on communications within online financial communities. This questionnaire will be a source of my data.

Of course I am more than willing to share the results of the study with anyone who is interested.

Thanks again for your help.



P.S. If you have any questions, please feel free to contact me at jaw73(at)aber.ac.uk.

I confirm that all responses remain strictly ANONYMOUS and that no personal information with be associated with your responses. This study is purely for research purposes with no commercial gain to myself (unfortunately!)

[hvs] 08/8/2014 16:24

U finally got it .

Good for you.

[rcturner2] 08/8/2014 14:48

er, really? nobody has taken anything of mine, nor of anybody I know or family members? Sounds a bit like some sort of bonkers world view to me.

[hvs] 08/8/2014 14:43

Not to get them out of bed ,

to take eveything they have.

Central Bankers and politicians are experts at it.

[rcturner2] 08/8/2014 14:40

I don't have any debts, I have savings. I have food on the table and a house to live in. All money and debts are an illusion to get people out of bed in the morning.

[hvs] 08/8/2014 14:37

Not a lot if u are a Central Banker or a politician.

Try living like what u described, i.e. if you can borrow it instead of printing it.

[rcturner2] 08/8/2014 14:35

borrowing is just a contract between 2 parties, one gains one losses

it has no effect on the number of people, natural resources, machines, universities, inventions etc etc in the world.

imagine a world with no debt and imagine a world with $1tr debt per person, what's the difference?

[hvs] 08/8/2014 14:00

Its built on a £ 100 Billion of borrwings a year and rising.

How how is that per person and as a percentage of the total government spending ?

[rcturner2] 08/8/2014 13:47

aleman, one years set of earnings and gdp figures don't mean that much in respect of the general health and direction of the overall economy.

The UK economy is generally in pretty good shape. We have a well educated mobile workforce with high levels of innovation. Strip out NS oil and finance and the rest of the economy has been strong for quite a while.

[hvs] 08/8/2014 13:21

danieldruff2 8 Aug'14 - 13:06 - 1221 of 1222 0 0


One bull factor generally is the change of leadership in India - they could become China Mk 2 and give everything a push forward.

U are so right.

Why only INDIA , AFRICA is booming , Russia has done very well , Poland is flying Its all about EXPORTS

And send a few more to the E.U.

Its all about EXPORTS.

[aleman] 08/8/2014 13:16

Maybe. That depends on whether or not geopolitics are driving the earnings downgrades. I'm sure they will be a factor for some companies. Nevertheless, downgrades are downgrades and not what you expect of a bull market. There was often a mid-cycle pause in a typical bull market. It's very late coming if this is it and they usually then cut rates which gooses the housing market ... but it already seems to be the housing driving what growth there is this time. Could they really goose it more?

[danieldruff2] 08/8/2014 13:06

One bull factor generally is the change of leadership in India - they could become China Mk 2 and give everything a push forward.

[rcturner2] 08/8/2014 12:41

Aleman, thanks for your detailed reply. I agree you are right that to a large extent it depends on how you define a bear market. For me, it seems that we are currently in a weak bull market that could well be turning or could be pausing. Most of the weakness recently seems to me to be far more about geopolitical factors than actual company specifics.

[aleman] 08/8/2014 12:37

The 10-year gilt yield has fallen from 2.65% to 2.42% in the last month.

[aleman] 08/8/2014 10:17

Firstly, it starts to be LABELLED a bear market by some people after falling 20%. Not all agree with this. Some used to say anything under 10% was a correction and over 10% was a bear market - but this stems from days when computers didn't drive things quite as rapidly.

Secondly, I was talking about the UK economy which is why I referred to the FTSE 250. The FTSE 100 only has around 25% UK earnings. (Some say only 20%.) The FTSE 250 has just over 50% UK earnings so that is the index usually used as an indicator of how the UK economy is doing. It is now down 9.5% in a gradual decline which looks more like the beginnings of a bear market than a correction due to it occurring over nearly 6 months.

Thirdly, I posted the charts of the 200-day averages. These are used by some to define bull and bear markets as they help to see through misleading "noise". They have recently turned down.

Regardless of what definition you choose to use, the gradual weakness in the FTSE 250 is due to earnings forecasts being slowly reduced such that they are now broadly flat (and still weakening?) and dividend growth has just about ceased. The FTSE 250 seems to be disagreeing with the rosy view of the economy the government is putting out. My point was that the 250 is saying the UK economy is not so well and I think that means interest rates could stay low for some time. I would expect this to push up PHNX's share price as the hunt for yield gets harder, although I would prefer the shares to rise for reasons other than the UK economy ailing.