Raven Prop P Discussion Threads

[owenski] 24/12/2020 11:16

Current yield - today - 10.8%

[montyhedge] 24/12/2020 10:54

Hard to get cheap stock, yield 9.2%.Pay day 31st December.

[gary1966] 24/12/2020 09:34

Delayed trade for 33333 shares is a buy not a sell as reported.

[gary1966] 22/12/2020 14:43

Yes the weakness in RAVP has been strange. Been looking to top up but every time I get a quote it is lower. Maybe Invesco trying to get rid of as many before year end as possible. Anyway I have put an order in for a few more at 107p if the market wants to oblige.

GLA

[kenny] 22/12/2020 13:01

I note the rouble has, once again, sunk to over 101 to a pound. With Brent oil over $50 that seems a bit extreme. Brent at any price over $43 means that Russia meets its budget spending, with the excess over $43 adding to Russia's already massive reserve funds.

[pogue] 19/12/2020 13:00

There is too much optimism at the moment in prices of most things reason being the perceived end of CV19 due to the vaccine. Obviously most of the working population will not be vaccinated to mid to late 2021 with a vaccine that despite what politicians say is not 100% proven safe or effective add in the new strains of CV19 that might or might not be covered by the vaccine and all is not as perfect as it looks. More detailed thoughts on the economy also produce the question why does everyone think everything will be great post vaccine as they weren't pre vaccine and with the amount of economic damage done by it why should we assume business as usual in 2021. I am bearish and have a lot of gold, silver and bitcoin mining shares to prove it :0)
Regards fixed income most are rising but RAVP is falling. Clearly a seller but why no buyers here to take up the perceived bargains? I am still holding a fair few but my grip is getting loser by the day as I am not seeing good reason to be invested here.

[rayg5] 19/12/2020 11:42

At £1.11 ask the dividend looks very interesting. Great opportunity if the payments are secure. However I think there may be further opportunities if the main market begins to sell off after Biden's inauguration in the new year. It does look expensive. Furthermore the Covid discount appears to be with us for a few more months yet.

[hindsight] 18/12/2020 18:29

They didnt do themselves any favours over the way treated RAVC

[igbertsponk] 01/12/2020 14:57

10 years.... 3% return each quarter.... 40 quarters
1.03 to the power of 40 = 3.26
It's been a cracking ride! All tax free.

[montyhedge] 01/12/2020 14:05

Been in this since 2010, even when financial crash always paid out every 13 weeks. Of course high yield income investors are a cautious bunch and Russia puts them off. But he who dares Rodders.

[igbertsponk] 01/12/2020 13:29

Yup - when divid are being chopped and cancelled left, right and centre it's odd that funds aren't adding to this perpetual cash machine.

[montyhedge] 01/12/2020 13:22

Nice dividend 31st December. Good start to 2021.

[cc2014] 01/12/2020 13:09

Looks to me like someone is still trying to trickle their holding into the market only the number of buyers is diminishing at this 113.4 area and they are going to have to decide soon whether they want to encourge more buyers by accepting a lower price or whether they find the low number of buyers acceptable.

[igbertsponk] 01/12/2020 12:06

I've finished buying for now so feel free to pile in and zap the price up a tad! Saves me explaining AGAIN to the missus why summat she's just bought is worth less than she paid for it!

[crm114] 20/11/2020 13:00

Thanks IgbertSponk for all your company info posts. Much appreciated

Thanks also, 11 percent for your STCM recommendation . Bought a small 1st tranche this morning, will follow up with a 2nd I suspect when the price falls to the mid 20's .

So now off the beaten path , I have interests in Russian warehousing and a Kazakhstani cement maker headquartered in Kuala Lumpur!

Gotta love the stock market. Whatever next ?

[igbertsponk] 20/11/2020 10:13

I was trying to buy more yesterday and found it hard. I now know why - one of my overseas holdings was also adding and competing with me!

[ceaserxzy] 19/11/2020 22:29

The company script price is a fair price as it still offers a yield of about 9%. The company must balance the decision on what return on the capital it can get from its business, what cost is alternative way of securing capital like unsecured loan and the cost of the preference shares. If it cannot earn more than 9% on its capital employed or it can obtain loans at a lower interest than 9%, there is no reason why it wants to offer more than 9% on its script shares.

Of course the shareholder can currently buy preference shares at a much lower 114 to 116 p, which may be an indication that it is too cheap with a yield close to 11%..

[crm114] 19/11/2020 20:49

RAVP isn't going down. We had the pandemic wobble and are now back in the 110-145 sideways trade this stock has been in (95% of the time ) for the past 10 years.
I first bought this stock about 10 years ago at 112 and I just bought back in at 114.

[igbertsponk] 19/11/2020 12:11

Of course, there will still be some who opt for the scrip as doing so has tax benefits. But the company clearly doesn't want any more Prefs issued than it is forced to. Removing the scrip would annoy a lot of shareholders so guess the high price is as mean as they can get!
Most of mine are held overseas or in pensions and ISAs so taking the divi is fine for me. I'll then reinvest.

[kenny] 19/11/2020 12:05

Scrip price announced at 134p - once again. The company clearly do not wish to issue new preference shares near the actual share price in the market. This makes the scrip option totally unattractive - for the third consecutive quarter.

[igbertsponk] 19/11/2020 09:27

Scrip divi details out. They price them at 134p so don't want us to take the scrip.

Pursuant to the articles of incorporation of Raven Property Group, the directors are offering to holders of
Preference Shares, the opportunity to elect to receive new Preference Shares instead of cash in respect
of the dividend for the period from 30 September 2020 to (but excluding) 31 December 2020. Preference
Shareholders who elect for this Scrip Dividend Alternative will receive 1 new Preference Share for every
44.6666 Preference Shares registered in their name at the close of business on 13 November 2020. This
entitlement has been determined on the basis of the cash dividend of 3p per Preference Share and a
value of 134p for each new Preference Share. The value of each new Preference Share has been
determined by the directors of the Company using the discretion afforded to them under the articles of
incorporation of the Company

[cc2014] 19/11/2020 09:00

It's going down because the balance sheet is much weaker than it was a year or two ago as Sterling has strengthening against the Rouble. If you go read the accounts they explain the echange rate impacts at length which are complicated as it has assets and loans in different currencies (which to be fair they have been reducing this risk over time)

Also, with Covid you'd hardly expect it to go up. It's not like the Russian government has stepped in to support warehouse providers in the same way the UK/US/European banks are supporting Tier 1/2 capital for banks.

Also there has been a huge amount of high yield debt issued so it's supply and demand. RAVP is now swimming in a bigger pool of high yield assets and other instruments look more attractive than they did for the interest rate outcome.


Stocks go up and stocks go down and this one is no different. Buy when they are cheap, sell when they are expensive. I have no idea if this is cheap at 114p but I am pretty sure it is cheaper than it was at 130p.

I bought a few at 115p, but only a few. My suspicion is it will fall further based on the trade flow.

[zangdook] 19/11/2020 08:30

please keep buying

[11_percent] 19/11/2020 08:25

pogue,

I have held these, on and off, for about 8 years.

Each time I have bought, the share price goes down. This is not a new phenomenum, it just does.

The share price graph only goes back to arround May 2018, when there was a consolidation. The share price has generally gone down since then.

From memory, I think it was the same prior to May 2018.

Aviva caused a panic in the fixed interest market when they made the announcement that they were thinking about buying in some of their instruments.

This is fire proof. It needs the holders of the Perfs to vote to let RAV buy them in. There was a lot of discussion about this on these BBs att eh time. You can go back and look. They are bomb proof.

Alternative to RAVP.
Have a look at STCM, it is a share with a 10% divi. The divi is likely to go up, and you get the capital increase in the share price (hopefully).


Anyway, your question, why does it keep going down.
It has been doing this for years, and there is always an explanation put forward at the time for the drop.

It took a dive years ago, when the US and EU put sactions on Russia over the Crimea take over. That was the explanation for that one.