cb25
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Post by cb25 on May 15, 2018 14:49:48 GMT
The monthly net NAV return for April was published today, down 0.6% for the month but that is after a one-off extra 1.1% of impairment following the adoption of the IFRS 9 accounting standard. Without the accounting change, there would have been an increase of 0.5% which is in line with the average since last September. I sold the bulk of my holding in March at around 107 p, getting the timing right for once, but I have bought a few more at around 104 p this month. Article about that here: www.p2pfinancenews.co.uk/2018/05/15/new-reporting-rules-push-down-funding-circle-fund-returns/
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zlb
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Post by zlb on Jun 2, 2018 9:08:07 GMT
Bit green here. Do you know who has precedence if FC breaks in some way. I have a very minor test holding of FCIF as more tax efficient for me. If FC breaks, do investors through p2p get better chance of recoveries than shares, does anyone know?
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benaj
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Post by benaj on Jun 2, 2018 10:42:22 GMT
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zlb
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Post by zlb on Jun 2, 2018 11:58:03 GMT
hey. Thanks! Yes the scenarios are difficult to place out of context. As they say, look at other products. Suppose there's a definition of these scenarios on investopedia...
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ashtondav
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Post by ashtondav on Jun 3, 2018 16:25:41 GMT
So ami given the estimates of returns under various scenarios on the F.C. website!!!
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bigfoot12
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Post by bigfoot12 on Jun 3, 2018 17:18:22 GMT
Read John Kay in the FT (I think it was him). He explained how these work and how misleading they can be be for investors - even though they are very flattering for a fund which he is a NED or somesuch. If I understand correctly, and if this also applies to FCIF, they are generated using historical price volatility and the scenarios then assume a certain position in the normal curve. No account is made of the underlying assets nor the current discount or premium to NAV. And in this case whether or not a normal distribution is appropriate. All I think that you can really infer is that the share price has been a little more volatile than some might have expected and the history is short. EDIT: Added podcast link here... the scenarios are difficult to place out of context. As they say, look at other products. Suppose there's a definition of these scenarios on investopedia... So ami given the estimates of returns under various scenarios on the F.C. website!!! |
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zlb
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Post by zlb on Jun 4, 2018 12:59:56 GMT
So ami given the estimates of returns under various scenarios on the F.C. website!!! guess: it excludes dividend???
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zlb
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Post by zlb on Jun 4, 2018 13:02:24 GMT
Read John Kay in the FT (I think it was him). He explained how these work and how misleading they can be be for investors - even though they are very flattering for a fund which he is a NED or somesuch. If I understand correctly, and if this also applies to FCIF, they are generated using historical price volatility and the scenarios then assume a certain position in the normal curve. No account is made of the underlying assets nor the current discount or premium to NAV. And in this case whether or not a normal distribution is appropriate. All I think that you can really infer is that the share price has been a little more volatile than some might have expected and the history is short. EDIT: Added podcast link here... the scenarios are difficult to place out of context. As they say, look at other products. Suppose there's a definition of these scenarios on investopedia... So ami given the estimates of returns under various scenarios on the F.C. website!!! thanks. Will view it.
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zlb
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Post by zlb on Jun 29, 2018 11:45:35 GMT
What's a likely outcome of using the FCIF instead of direct p2p? It looks like they both do the same thing, but are in different tax classes. Their doco says this. What do people perceive is a likely outcome here, if there were a winding up?
"In the event of a winding-up of the Company, Shareholders will rank behind any creditors of the Company
and, therefore, any return for Shareholders will depend on the Company’s assets being sufficient to meet the prior entitlements of any creditors."
Presuming "creditors" are the p2p investors.
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SteveT
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Post by SteveT on Jun 29, 2018 11:52:15 GMT
That very much depends at what prices you buy in and sell out. I bought when the shares were trading at around 5% discount to NAV and sold when they were at over 5% premium, thereby roughly doubling my total returns.
Today's announcement of a lower predicted rate of return has already hit the share price, but it's still only around par. Personally I'd wait until it's reached at least 5% discount before dipping a toe back in.
(And no, the "company" is Funding Circle SME Income Fund Ltd and completely separate from FC's core P2P lending operation. FCIF owns its own FC loans, which in any case are all Whole Loans. Only creditors of Funding Circle SME Income Fund Ltd would rank before shareholders, as per any Investment Trust)
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Post by mikeyp on Jun 29, 2018 13:53:05 GMT
The last factsheet had NAV (cum income) of 100.11 p. The shares are now ex-dividend so knocking off the 1.625 p dividend would give 98.485 p. The quoted buy / sell spread is 103 p / 102 p. So, if you were looking at buying at 103 p, would we not still be looking at a premium of 4.5%, less a bit for the NAV increase since 31 May? Or am I missing something?
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benaj
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Post by benaj on Jul 14, 2018 15:01:26 GMT
the new update is out. nav YTD is 1% fcincomefund.com/wp-content/uploads/2018/07/fund-factsheet-june-2018.pdfExpecting a slight cut in dividend from september “On 29 June, the Board provided forward returns guidance for the next 12 months. The Company is expected to pay a fully covered annual dividend of 5 to 6 pence per share, with effect from the quarter ended 30th September 2018.” |
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sussexlender
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Cheat seeking missile
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Post by sussexlender on Nov 26, 2018 14:41:49 GMT
The FCIF has slipped below the 97p mark.
Anyone have any information as to why it has dipped so much recently after the IPO?
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r00lish67
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Post by r00lish67 on Nov 26, 2018 15:09:51 GMT
The FCIF has slipped below the 97p mark.
Anyone have any information as to why it has dipped so much recently after the IPO? The only info I can see is hereAs ever, with any market drops, analysts are full of knowledge after the fact into why prices have fallen and are usually quite keen to say that the fall has "further go to" , as here, despite that statement implying that they have acquired more knowledge than the market. They then strangely remain employed writing similar articles about other markets for small beer money instead of making millions just endlessly short-selling cryptocurrencies, oil, FCIF and anything else that has fallen recently. It must just be the love of journalism.
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SteveT
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Post by SteveT on Dec 5, 2018 15:25:38 GMT
Having originally bought into FCIF around the 93.5p mark in the dip after it first launched, added more the following year at 101p, and then sold out completely at 108p when the IPO was announced in March, I've just bought back in modestly at 89.7p, approx 8% discount to NAV. I reckon it's a decent medium-term SIPP holding at that level, but will be happy enough to take profits again if it returns to a premium at some stage!
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