Sqn Asset Finance Income Share Discussion Threads

[wirralowl] 28/4/2015 10:33

Impressive increase in monthly payment, with 0.42p due next month!

[wirralowl] 20/3/2015 10:56

Monthly payments now in full swing and good to see today that next month's payment is a 10% increase on last month's @ 0.33p. Still a fair way off their target but they did acknowledge recently that the deployment of capital has taken a little longer than expected, with the subsequent cash drag.

[wirralowl] 28/1/2015 11:24

A couple of announcements in the last week. Firstly that investments are progressing nicely and 93% of the IPO proceeds are now committed, with an average projected cash yield of 9.8% to support the growing dividend. The dividend for the quarter has been declared at 0.92p, which is a nice increase on their first quarter (albeit less 2 weeks) of 0.4p. They've also re-confirmed their intention to switch to monthly payments from February onwards, presumably as their income stream grows and the yield becomes more meaningful.

NAV is also continuing to rise steadily and with a well diversified, non-correlated portfolio, it looks like it could develop into a nice long-term income investment.

[wirralowl] 21/10/2014 10:27

A maiden dividend of 0.4p declared, together with a trading update, has given the share price a little boost this morning.

NAV's gone up 0.21p during September, to 98.38p, so the premium's still high, but I note the share price was unaffected by the recent market turmoil (as indeed the company claimed it should be non-correlated generally to the markets). I'd like more than I currently have, but with no market peers for comparison, its tough to judge if the current premium's to be the norm / will shrink with a fall in share price / or narrow naturally with monthly increases in NAV? One to ponder...

[loobrush] 19/10/2014 17:00

SQN Asset Finance Income Fund -listed this year. Is involved in leasing equipment and looking to provide both dividends and share price growth and seems to me a good addition to any portfolio to provide some balance to volatile stocks and the only way should be up.
James Crux Shares Mag says

Cranking up the returns
Equipment lease investor targets attractive cash distribution
UK income investors will be familiar with the attractions of dividend-paying equities and the regular coupons delivered by bonds. Yet one income source that isn’t widely understood is investment in equipment leasing and asset finance arrangements, which offers non-correlated returns secured by hard assets with regular cash flow.
Such income diversification is provided by SQN Asset Finance Income Fund (SQN), ISA and SIPP eligible and the only diversified equipment leasing fund listed in the UK. Recently floated on the Main Market (14 Jul) via an oversubscribed £150 million funding, the Guernsey incorporated investment company is targeting an initial dividend of 7.25p per annum which should grow over time, with monthly dividends likely from January 2015, as well as a total net return of 8%-to-10% per annum.
It is on track to invest its IPO proceeds within six months of its stock market debut, with access to a seasoned seed portfolio accelerating the cash deployment pace.

[dendria] 09/10/2014 12:58

This is my kind of investment but don't hold yet - I'm also not keen on too high a premium - watching for an opportunity but may not get one.

[wirralowl] 09/10/2014 12:30

Hi Skyship! Thanks for setting up the thread. So, did you buy any at launch?!

There was a very positive 2 page write up in last week's Shares mag on SQN. Stated they are the only Equipment Leasing Fund listed in the UK (though they are more popular in the US). Mentioned they're targetting a total net return of 8-10% pa, including an initial 7.25p p.a dividend, which should grow over time.

The assets they buy and lease are high value & high margin, with long economic life and a secondary markets enabling them to sell on, or extend the lease at the end of the initial contract term. They are operating in a variety of sectors in the UK and US and a big attraction is the predictable lease payments which when fully invested should allow for monthly dividends by January 2015.

I like the diversification this investment offers and the perceived non-correlation to markets (the global leasing market grew through the last financial downturn). The only downside to me is its premium to NAV, which is currently 98.17p. Nevertheless, at current prices, they should yield around 6.75%, so I've taken an initial stake earlier this week and will add more if the premium narrows.

Anyone else interested or holding ?

[mad foetus] 16/7/2014 11:47

very interesting to see the NEDs all buying shares. that is very unusual for an offshore fund at launch.

[skyship] 16/7/2014 11:21

SQN Asset Finance Income Fund ("SQN") listed today. 100p-103p at the open

Raised £15om for Equipment leasing. Looks interesting and suggesting shareholder returns of 8%-10%pa:



Prospectus link:

NB: P.16 states currency hedge position...

[hazelton] 07/3/2006 18:28

Does anybody have any idea what is wrong with their watchlists at the moment ?

[eriktherock] 31/1/2006 18:51

Do Squaregain forward the deals or lay them?

[hazelton] 16/12/2005 13:23

Do you mean on the volume / trades page. If so then I think that I probably have.

[chchipss] 16/12/2005 09:29

anyone notice that buy/sells don't show up straight away like they use to with comdirect ??

[hazelton] 13/12/2005 20:36

No , its me as well

[gulliverr] 30/9/2005 15:25

Looks like it is only me!

[gulliverr] 30/9/2005 15:10

I never had any problems with comdirect but since the buy-out they seem to have multiplied. Is it only me?

[gulliverr] 30/9/2005 14:52

Is anyone else having problems transferring cash into their Squaregain account by direct debit?