Shires Income Share Discussion Threads

[deadly] 15/6/2016 09:30

Even better time to buy now they've fallen back again.
13% discount, 6.3% yield.
XD in 3 weeks time

[kiwi2007] 27/5/2016 10:30

"...The key reason for the underperformance during the year was the Company's exposure to the financial sector where it is overweight compared to our benchmark index, both through direct equity holdings and through the preference share portfolio. Standard Chartered was the worst performer due to disappointing trading, management change and a rights issue. Close Brothers, Schroders and Prudential also underperformed although, operationally, all three companies' results were satisfactory and their balance sheets are in good condition. Another negative area was the exposure to the mining sector, where BHP Billiton underperformed...."


Also there has been a general dumping of IT shares for the last few months (by those who know more than us?)..also SHRS is pretty small so only needs a couple of big sellers to move the discount down substantially.

Seems like a good time to buy a few?

[rcturner2] 12/4/2016 15:14

jds - those two trusts you mention are pure fixed income plays whereas this trust is 70% equity, so I would not call them similar. All sorts of different factors come into play with the discount, there is often no rhyme or reason to it. Blackrock for example have two quite similar trusts, BRWM and BRCI (world mining and commodity income) and they have had very different discounts at the same time.

[joy division still] 12/4/2016 14:28

RC T2
can you offer any reason why this is at a nice discount,but similar IPE and NCYF are at premium?

[rcturner2] 24/3/2016 17:35

bamboo, I would imagine the discount is mainly because this is a fairly small trust when compared to some of the bigger more well known ones. It seems to have maintained at around 5-10% most of the time.

The dividend looks safe to me, they are holding pretty normal large cap equities like most other income trusts. The only slightly different things I notice is that they have 27% of the NAV invested in fixed income (corporate bonds I assume) and 7% in a related trust (Aberdeen smaller co high income) which gives exposure to small cap growth and income.

[bamboo2] 24/3/2016 17:15

I'm unfamiliar with this IT.

It looks to be at a healthy discount. Is this anything to do with the gearing?

How safe is the dividend?

[rcturner2] 24/3/2016 09:48

I bought into this trust yesterday. Seems a very quiet thread!

[scottishfield] 19/9/2014 19:27

Good rebound today.

[scottishfield] 03/9/2014 15:37

Better day today, moving up now.

[scottishfield] 18/8/2014 10:52

good area to add imo.

[scottishfield] 17/6/2014 09:04

Yes, I see that it's an ADN trust, tks.

[plasybryn] 17/6/2014 09:02

The Chart looks good as well. Slight premium to NAV. Have a look at their Fact Sheet for more info on Aberdeen site.

[scottishfield] 17/6/2014 09:00

tks Plasbryn, appreciated

[plasybryn] 17/6/2014 08:58

Shires Income; Yes I like SHRS. Quarterly dividend over 5% pa. Goes ex div on 3rd July.

[scottishfield] 17/6/2014 08:49

any one in this, seems a good stock to currently hold?

[whiskeyinthejar] 23/9/2013 16:59

No worries. I'm sure we'll see 250p soon enough ;)

[aleman] 23/9/2013 16:21

Well spotted, though. I didn't mean to sound ungrateful.

[whiskeyinthejar] 23/9/2013 16:18

Yes, all I meant was that this auction spike may have misled Plasybryn, not that it's actualy significant.

[aleman] 23/9/2013 16:06

I don't trust those UT trades. I've seen it happen many times before where a UT throws up an odd price after the close and they just go back to what they were trading at before on the next day. They might be real trades or not but UT's are often not representative. Why would anyone pay 11.75p over the 239p that the offer both closed and reopened at?

[whiskeyinthejar] 23/9/2013 16:00

Fund managers'seem more bullish, not sure his Sep report will be any better than his Aug report though.

"Fund managers' report (31st Aug)

Equity markets declined during August, with larger companies performing most poorly.

Emerging markets remained out of favour with investors as they continued to worry about slowing growth in many such economies. The likelihood of military action in Syria moved closer and unsurprisingly that drove the oil price higher. The UK and US economies showed further signs of improvement, this led investors to believe that in the US at least there is a growing likelihood of the withdrawal of some stimulus. This has manifested itself in the rising cost of
borrowing for both countries with UK and US 10 year yields moving sharply higher. They are now at levels not seen since mid 2011.

There was limited portfolio activity during the month. We sold call options on Wm. Morrison Supermarkets, and Provident Financial and put options on BHP Billiton, BG Group, Centrica and Pearson.

Investors are beginning to price in the start of tapering. This should be good news as it reflects improving economies in many developed nations. US GDP has exceeded expectations, their housing market is recovering and unemployment is falling. In the UK, the PMI readings are positive and increasing indeed the latest services data was the strongest since 2006. Europe is improving with a surprise expansion of 0.3% in the second quarter, and even Spain is showing signs of stabilisation. It is unfortunate then that emerging markets seem to be slowing.

However, it should be remembered how quickly the data from these regions can reverse. Brazil's second quarter GDP was materially better than analysts' expectations. Volatility is likely but a recovery in developed nations that led to a pick up in export led demand would be very beneficial for the developing nations. In the meantime companies, the miners aside, are generally experiencing reasonable trading conditions and as we progress further through 2013 there seems to be an improving likelihood that earnings expectations will be achieved."

[whiskeyinthejar] 23/9/2013 15:46

Price spiked over weekend, so we're down from that but not down from last week really. Someone got themselves some shares at a premium (250p). I didnt notice the trade type or exact price.

Ex- dividend 2nd october.

[aleman] 23/9/2013 15:43

It doesn't look to be down. Trades suggest it closed at 238p on Friday. Ex-dividends are always Wednesday.

[plasybryn] 23/9/2013 15:10

Why are we down today? Is it ex div?

[whiskeyinthejar] 01/7/2013 09:27

Just bought in. but I'm not expecting big moves this week on account of dividend. General market sentiment and NAV much more of a contributor than the 3p I think.

Seemed like a good time to buy though.