LIC & LIT Listed Investment Companies (LICs) Q4 2018

SH can report himself or to one of the other mods I assume.

 

Must be too much xmas cheer. First @IrishDigger is trying to avoid becoming deluted and @Zenith Chaos comes up with some half baked comment on LICs / banks.

 

Oh dear I was correct about too much xmas cheer. Now @willair is basing his investing decisions on style of beer consumption surveys .

 

That is the most half-baked, diluted, alcoholic piece of investing comment I have seen on PC for some time .

 

well, if you cant stand the heat, get out of the kitchen

 

Thank you @Nodrog @SatayKing and ZC. So as to put my perspective out so far I have AFI, BKI and PMC all purchased when there is a Slight downfall in the market but all were purchased at a Premium to NTA. Definitely no regrets and happy with it and getting a hang of it. While I am still trying to set the base right at a good mix of Aus/International , prefer passive but don’t mind some exposure of active management and all aiming at an average of around 5 % + FC in near future. Currently only holding LICs but have an eye on VTS /VGS as well but their Dividents are less compared to what one can get investing in LICs ,
So I was tossing an idea to buy ETFs and balance the yield buying some individual bank stocks, over the period of time when the yields improve for ETFs then to get rid of individual stocks and reinvest them back into LICs or Preferred ETFs. Please see I may never do this but It was only fickle idea that popped up in my amateur thought process.

 

Maybe the best thing to do,have a quite drink ,and let the market be strangled by it's own making of several colliding forces …
,Then just wait till all the dust settles ,and the cash starts pouring in again rather then going out..

 

that's my plan @willair

 

Greed is Good.
... Nodrog Gecko

 

I may have asked this before but why VTS and VGS? Are you trying to overweight US equities? VGS ALREADY has around 60% US. Personally I prefer locally domiciled ETFs hence why I’ve avoided the likes of VTS / VEU.

 

No problem with that here today. Don’t know what my wife is doing in the kitchen today but I got blasted for even setting foot in there. Currently I’m in hiding.

 

My Bad. It was meant to be VTS or VGS. VGS most likely as it appears well diversified to me with 60% in US and balance in the rest (Ex - Aus).

 

in the dog house, hen house or cat house ?

 

**** house. I can at least lock the door in there.

 

Importantly also VGS is locally domiciled in Australia.

 

I prefer sauteed to baked. Good pick up though - I do think the bakes are overcooked.

I'm looking forward to when spell checkers, instead of changing mistyped words to out of context correctly spelled words, work out what I am trying to say or at least ask me, did you really mean Knight takes Porn?

Back to culinary oversight - banks could take the brunt of the correction and since most ASX LICs (and ETFs or that matter) are heavily weighted to banks there may be heavy losses, aka buying opportunities. The reason I don't just buy bank shares is risk management.

 

Hmm, sure the gal isn't feeding you something nasty? This is a food thread after all ya know.

"Knight takes Porn." Probably a known outcome if Black has commenced with the Barnes Defense. e4 f6 usually followed by ?! for good reasons. ?! is a shorthand way of saying What The F...

I understand where your thinking is regarding overweight banks or financials for that matter. Most if not all of the LICs, apart from specialist ones, have exposure to the banks. Even PMC has exposure I understand although it's not an overwhelming one. Same with the vanilla ETFs. Not surprising then I see headlines of gloom and doom. Hanrahan was a prophet.

Oddly it's why I've nibbled at ALI. I don't think it's anything wonderful as such but it isn't loaded with the financial stuff although the holdings it has may be subject to it. I've probably goofed it but no matter.

I haven't checked by it could be interesting if and by how much it's tanked compared with the overall market this year. Fingers crossed I don't get tanked later this arvo and can generate sufficient energy to look at it - as if it will change things one whit.

Lebe wohl for now.

 

As a Christmas present to myself I took another $15K nibble at VGS this morning. Speaking of diversity relative to the ASX note how much smaller financial exposure is in VGS and mining is bugger all.



It might be interesting to do a comparison of ALI with lower cost IFRA passive ETF (hedged) in another thread one day if global infrastructure is of interest.

https://www.vaneck.com.au/library/vaneck-vectors-etfs/IFRA-fact-sheet.pdf

Then of course there’s Vanguards recently listed Infrastructure ETF (unhedged) but the Underlying wholesale fund has been around awhile:

https://api.vanguard.com/rs/gre/gls/1.3.0/documents/17907/au

Merry Xmas all. Just about time to sample some more of our Advent mixed craft beer cases. Started consumption on 1 December as required.

 

Merry Christmas LIC lovers.
Have fun.

 

Please, please pull back a bit more. Still around 6% premium to NTA and yield still below 4% although only just.

Ah stuff it. May as well get a few.

Then for the heck of it, I'll go to a shopping centre and watch how the other oldies who've got there for the air conditioning cope. And have an ice cream too.