LIC & LIT Listed Investment Companies (LICs) Q1 2018

He he, now you went gone done and spoiled it. Shall keep mum if any other "specials" come across my path. Nah, they're on the market so they is there for anyone interested enough. Enjoy the money. Use it well.

 

The allocation between Aus vs Int was based on how much income vs growth I wanted in our portfolio and I tried to strike a balance between both, tilting more towards growth as I have a long accumulation phase ahead of me. I guess it comes down a lot to your risk tolerance, what you want your portfolio to achieve, time horizon etc etc but that’s just me, circumstances may vary.

 

I've got a long accumulation phase ahead of me, too.

I find the hardest part is trying to strike a balance between dividends and CG. Some of the smaller dividend payers have some great growth behind them - so I bought some and put in a stop-loss to sell them (so I can still get some good $$$ out of them, even if they drop in value down the track). I try to get some stable div payers, some good CG, some Aus, and some international.

I know I'll never get the 'perfect mix', but I'm also trying to balance between getting profits now, and in the future. It's great to keep accumulating (to use the funds, decades down the track, when I finally get to retire), but I'd also like to be able to use some of the income now, so that I don't have to live like a hobo, either. It's always all about the balance.......

 

I know it's a six letter word but it's always all about developing the Budget.

A hobo is a migrant worker or homeless vagabond, especially one who is impoverished. Surely not @KayTea.

 

My budget is great - my problem is trying to find the balance between delayed gratification (and an income in retirement) vs a reasonable lifestyle now.

My PPoR isn't too far above hobo status (it feels little better than a tent sometimes, and each time we get a storm, I wait to see what's going to fall off, fall in, leak, or blow away......). I'd love to get it looking much nicer - not a McMansion, but something that's not a total embarrassment, either.

Also, my dad delayed all of his gratification until retirement. He was a hard working professional, on a good income - figured he'd work hard, and reap the rewards in his more senior years. Turns out, on the day he was due to fly out for his first-ever OS holiday he was instead being wheeled into the OR for surgery on a terminal brain tumour. He never got to take that trip, or enjoy much of what he'd work so long, and so hard, to achieve. He delayed it all, and for no return.

I was a serious saver and scrooge until he died - now, I try to be slightly more balanced in my view.

 

Yea I have a hard time working that out too so in the end I just picked a number and went with that. Some growth, some income, why not both and left it at that.

 

Couldn’t agree more, balance is very important.

 

This is covered by Rule #9
Please go to the principles office to undertake the remedial class in BG2LIC’s

 

Yes sir!

(Not even if you can sell them for $5, and buy them back again at $4.50?............ )

 

If you can get a hold of that crystal ball, would you mind lending it to me?

 

Well said. And why I saved more heavily outside Super when younger. Ok it cost me a bit more in CGT getting some of it into Super when closer to being able to access it but the flexibility and freedom the investments outside Super offered was priceless. You never know what’s around the corner.

 

Why did you end up moving your non-Super shares into your Super when close to the access date, @Nodrog ? Tax benefits, I'm assuming.

 

If ARG does what it did in 2015 & 2016, we should see an SPP announcement tomorrow.

 

Yep, Tax free Super pension. There’s strategies to minimise / eliminate CGT when moving shares into Super but that’s a whole other topic.

 

If someone is overseas when SPP comes-will they be able to take part in it?

 

If I am reading it correctly, probably not. It appears you need a registered address in Australia or New Zealand.

See this link from 2016:

https://www.asx.com.au/asxpdf/20160909/pdf/43b2563btt5xfc.pdf

Are you living overseas or visiting?

 

I should have been more specific, I live in Australia but have plans to go overseas and while I am away if ARG released SPP and it is a good offer -will I be able to take part in? May be using some online service as I won't have access to my posted mail

 

I am sure most of us would love to see u elaborate on this in another thead

 

If you have internet access while overseas then it can be done online. The share registry will have a personalised SPP application available when applications open, so you can login to the share registry, take note of the details for BPay and arrange for the relevant payment if you decide to take up a portion of the SPP.

 

As an observation, I am surprised a number of investors still use snail mail. For every holding I have elected to receive electronic advices; dividend statements, annual report notifications, company voting. The lot. I even extend this to household bills where possible.

It's what suits each person of course and I'm not saying it's wrong but while I'm not a devotee of technology, I will use it provided it suits me.

Most of the mail I now get in the letter box is from charities which go straight into the recycling bin.