LIC & LIT Listed Investment Companies (LICs) 2019

Ol mate PT must be tinkering with sharesight data now

 

Perhaps because their holdings (large) in New Hope and Brickworks are struggling?

 

I'm not convinced about the accuracy of Sharesight sometimes. I ran it again going back to the exact date of STW inception (Oct 2001) and got much nicer (for STW) numbers. DRP is off too. The graph doesn't seem to have changed though.

 

State Street is quoting different numbers, which looks right to me (vs. index). Inception 24/8/01.

STW: SPDR S&P/ASX 200 Fund, ETF | SSGA SPDR Australia

 

Spot on, NHC has gone off a cliff. SOL's BKW holding is interesting as well, BKW's major asset is its SOL holding with a property and building products business tacked on, the building materials biz is questionable for mine, Property looks good. SOL however is a lot less diversified than most assume.

 

BKW looks the better buy IMO, and could get even better further into construction decline.

 

In addition I can’t say I’m all that impressed with SOL’s obsession with Fund Mgrs in recent times and the quality of some.

Not diversified enough for me but happy to own it indirectly through Milner’s other much more diversified vehicle being MLT:

 

....and also a couple of layers down inside BKW too I suppose

 

Wowl

Substantial shareholders of SOL as at 01/10/2018
Brickworks Limited and its subsidiaries 42.72%

Substantial shareholders of BKW as at 31/08/2018
Washington H Soul Pattinson and Co Ltd 43.94%

 

Again start of the month and was looking to drip feed some money onto LIC's. I cant find the latest LIC NTA report at cuflinks.
Which is the best LIC's to jump in this month ? ( based on good value/ discount )

I feel QVE is trading close to its 52 week low . Any particular reason ?

 

It's been around that ratio for many years. Was done before present legislation would have prevented it being able to be done in today's environment.

 

I had a peek at the ones I hold and they seem to be getting away at the moment. For me I am not overly interested in putting more funds in right now.

QVE is holding a fair amount of cash according to others so this could be a factor.

 

Good Ol' Warren is at it again. Only $10B this time.

Buffett's Berkshire Hathaway to invest $10 billion in Occidental Petroleum for Anadarko takeover

 

Did you read part of the deal is Berkshire is granted preferred stock paid a div that compounds at 8% pa?

He loves dividends!

 

Here's the latest weekly report, released today:

https://cdn.cuffelinks.com.au/wp-content/uploads/LIC-Weekly-Report-Indicative-NTA-26-April-2019.pdf

Lots of LICs are now trading at their biggest discount (or lowest premium) in at least 5 years. That includes the big 3 of AFI, ARG and MLT which are now around 5 to 6% discount. I've been topping up a bit on all three (as well as PMC and MIR now trading close to NTA), at those discounts they seem quite a bit more attractive to me than ETFs right now. That said, who knows, there may potentially be even bigger discounts after the election (assuming Labor wins and can get the franking credit changes through the senate). Offsetting that though, I'm wondering whether there will be a bit of a buying frenzy later in the year to lock in the 50% CGT discount before it gets removed by Labor at the end of the year?

 

Thinking the same thing atm, AFI, ARG, MLT ect all below their 5yr low discount.
My plan was to wait until the elcection, it's so close now, but might drip a little in now too.

 

Yes, it is a conundrum for those (like me) pondering where to place our funds.

All the major LICs exhibit similar reduced volatility compared to the index over the past few years, and all have failed to bounce back after the dip last year.



This could be considered a positive, but I can't help feeling they'll dip even more if the ALP gets in.

 

I am not inclined to place more of my funds with those LIC's I have as I'd prefer more International but (a) I already have a swag of PMC and (b) I am hesitant about purchasing more of VGS just yet. Have no interest in adding any emerging market ETFs.

That said what ever will happen post-election will wash through eventually and more than likely be forgotten after a period of time i.e. situation normal. Mostly we are pretty good at doing that. Unless you have a tendency to look back at the buys you did fifteen or so years ago and bang your head against the wall for making those decisions. Oddly you never really know if you have made a good or bad decision until after the event. You make the call based on the information you have at the time.

See. It's easy!

 

As an addition to my previous post, yesterday I was tempted to buy but couldn't bring myself to do it for a number of reasons mainly to do with yield (I know they're historical) and the EFT I hold wasn't comfortable for me right then. Same with the SMSF which is now very much a side issue for me.

How bizarre it has ended up this way after many, many years of being involved almost to the point of obsession at some stages.