sapphire
Member of DD Central
Posts: 489 
Likes: 413
|
Post by sapphire on Mar 1, 2018 18:52:29 GMT
....... Personally I'm not a fan of income/dividend strategies (hence why P2P is < 5% of my asset allocation). They are all vulnerable to higher long-term real yields. ..... I would appreciate if it could be explained what is meant by income/dividend strategies "...are all vulnerable to long-term real yields" and how/why this is the case. (I understand each term but seem to be having a mental block understanding the full statement)
|
|
hazellend
Member of DD Central
Posts: 2,363
Likes: 2,180
|
Post by hazellend on Mar 1, 2018 21:49:16 GMT
....... Personally I'm not a fan of income/dividend strategies (hence why P2P is < 5% of my asset allocation). They are all vulnerable to higher long-term real yields. ..... I would appreciate if it could be explained what is meant by income/dividend strategies "...are all vulnerable to long-term real yields" and how/why this is the case. (I understand each term but seem to be having a mental block understanding the full statement) They are not particularly helpful in my view. Total return is the only return that matters. Investing as cheaply and tax efficiently as possible.
|
|
|
|
Post by samford71 on Mar 1, 2018 22:39:38 GMT
....... Personally I'm not a fan of income/dividend strategies (hence why P2P is < 5% of my asset allocation). They are all vulnerable to higher long-term real yields. ..... I would appreciate if it could be explained what is meant by income/dividend strategies "...are all vulnerable to long-term real yields" and how/why this is the case. (I understand each term but seem to be having a mental block understanding the full statement) Much of the price appreciation seen in many asset classes is due to the impact of lower risk free yields (say gilts or interest rate swaps). If you think of something really simple like a perpetual, then the PV = D/y where D is the dividend or coupon and y is the long-term discount yield. So halving the the yield, will double the PV or price. If this reverses, then as long term yields rise (and especially if real yields rise, rather than just nominal yields) then this impact could reverse, leading to substantial price falls. Now some assets such as growth stocks should be able to offset that discounting impact given higher growth expectations (if yields are rising then hopefully the economy is doing well and growth expectations improve). For assets, however, which don't have that then the impact could be very detrimental. This might include commercial property, infrastructure, forms of credit fixed income, stocks with high yields but poor dividend cover etc. In reality, many assets are far more vulnerable to rises in long-term yields than they are to rises in policy rates.
|
|
stevio
Member of DD Central
Posts: 2,065
Likes: 894
|
Post by stevio on Mar 26, 2018 14:46:10 GMT
Bumping as an alternative discussion to defaulting hotels......
|
|
Nomad
Member of DD Central
Posts: 755
Likes: 513
|
Post by Nomad on Mar 26, 2018 14:55:20 GMT
Bumping as an alternative discussion to defaulting hotels...... I tried to invest on the resale market at UK Bond Network. The seller of the loan part never emailed to confirm the sale to me, so the transaction could not proceed. One wonders why the seller listed their loan part for resale!
|
|
sildenafil
Member of DD Central
Posts: 86
Likes: 60
|
Post by sildenafil on Mar 27, 2018 13:46:23 GMT
Anyone who has an interest in football, take a look at Football Index. I'm slowly withdrawing from p2p and have started to put more money into this. Gains have been impressive so far and I can only see it getting bigger in the future
|
|
bigfoot12
Member of DD Central
Posts: 1,817
Likes: 816
|
Post by bigfoot12 on Mar 27, 2018 14:41:02 GMT
Anyone who has an interest in football, take a look at Football Index. I'm slowly withdrawing from p2p and have started to put more money into this. Gains have been impressive so far and I can only see it getting bigger in the future Am I missing something, but this seems to be betting on whether or not a footballer will be mentioned more or less in the press than others think and or will play better? Doesn't seem to be an investment.
|
|
sildenafil
Member of DD Central
Posts: 86
Likes: 60
|
Post by sildenafil on Mar 27, 2018 16:06:18 GMT
Anyone who has an interest in football, take a look at Football Index. I'm slowly withdrawing from p2p and have started to put more money into this. Gains have been impressive so far and I can only see it getting bigger in the future Am I missing something, but this seems to be betting on whether or not a footballer will be mentioned more or less in the press than others think and or will play better? Doesn't seem to be an investment. I have made 30% in the last five months, tax free. Yes, not an "investment" per se but I feel like I have more control over this than I ever have in p2p
|
|
ceejay
Posts: 975
Likes: 1,149
|
Post by ceejay on Mar 27, 2018 17:48:56 GMT
Am I missing something, but this seems to be betting on whether or not a footballer will be mentioned more or less in the press than others think and or will play better? Doesn't seem to be an investment. I have made 30% in the last five months, tax free. Yes, not an "investment" per se but I feel like I have more control over this than I ever have in p2p You feel you have control over whether some Carlos Kickaball ( (c) Lord Sugar ) breaks his ankle while diving theatrically in the box? Wow, get me some of that stuff, it must be good ...
|
|
james100
Member of DD Central
Posts: 1,086
Likes: 1,288
|
Post by james100 on Mar 27, 2018 18:51:35 GMT
Anyone who has an interest in football, take a look at Football Index. I'm slowly withdrawing from p2p and have started to put more money into this. Gains have been impressive so far and I can only see it getting bigger in the future , but this seems to be betting on whether or not a footballer will be mentioned more or less in the press than others think and or will play better? Doesn't seem to be an investment. Yes. I think you must have missed this sage advice from the homepage: "Simply Buy Low and Sell High for maximum profits"  But seriously, whilst there's a valid debate to be had regarding the sometimes blurry lines between investment and speculation and gambling (currency trading and impact of elections on stock markets and gold prices, for example), the regulation of Football Index by the UK Gambling Commission is a pretty good indicator of where this one is at. And that's not to be sniffy about it; I placed a few modest wagers last week on the reach and ramifications of the Cambridge Analytica matter at very attractive odds, just before things really kicked off. That was (also) betting not investing, and if they come through it will still be "winnings" and not "returns on investment". IMHO.
|
|
Imothep
Member of DD Central
Posts: 106
Likes: 72
|
Post by Imothep on Apr 9, 2018 20:31:08 GMT
Love a bit of crypto , have a😊had a right good touch on it over the last few years 👊 |
|
Liz
Member of DD Central
Posts: 2,426
Likes: 1,297
|
Post by Liz on Apr 10, 2018 0:09:15 GMT
Love a bit of crypto , have a😊had a right good touch on it over the last few years 👊 Crypto is the new stable safe haven, should be around for thousands of years like gold! Great opportunity every time the price of bitcoin rises over $7000.... To get out.
|
|
lobster
Member of DD Central
Posts: 636
Likes: 467
|
Post by lobster on Apr 10, 2018 9:30:23 GMT
Love a bit of crypto , have a😊had a right good touch on it over the last few years 👊 Crypto is the new stable safe haven, should be around for thousands of years like gold! Great opportunity every time the price of bitcoin rises over $7000.... To get out.
Bitcoin massively volatile but inherently no less stable than any other currency. ie. Both cryptos and fiat currencies are essentially backed by nothing. Long gone are the days when currencies were backed by Gold. Great opportunity every time the price of bitcoin rises over $7000.... To get out.
To get out ------- or to get short ?! (Which can very easily done via spreadbetting.)
|
|
cb25
Posts: 3,528
Likes: 2,668
|
Post by cb25 on Apr 10, 2018 10:20:02 GMT
Love a bit of crypto , have a😊had a right good touch on it over the last few years 👊 Crypto is the new stable safe haven, should be around for thousands of years .. If the price of a crypto-currency was no more volatile than (say) the Pound vs the Euro, what would the attraction of crypto be ?
|
|
angrysaveruk
Member of DD Central
Say No To T.D.S
Posts: 1,332
Likes: 788
|
Post by angrysaveruk on Apr 10, 2018 10:32:24 GMT
Love a bit of crypto , have a😊had a right good touch on it over the last few years 👊 Crypto is the new stable safe haven, should be around for thousands of years like gold! Great opportunity every time the price of bitcoin rises over $7000.... To get out. Or the biggest bubble since the south sea mania of the 18th Century. Even if you believe in it as a viable replacement fiat currency (which I dont), It is only a matter of time before governments shut it down because the money laundering/tax evasion issues.
|
|
