Ann: Weekly Month-to-date Performance Estimate, page-8

Oily.... I have recently topped up with WIC, buying more (but in retrospect nowhere near enough) at 64 and again at 82. They have indicated that their 3 cps franked divvy is still intact. That’s per 1/2 year. At 64 cents, that’s a 10% franked divvy. As much as I hate Karl Seigerling for how he trashed CDM, for letting the fund get to an 18% holding in ARQ, I looked at the mix of the portfolio and thought...not bad .....and looked at the 30%+ discount to NTA and I actually bought more and so did my wife. I am so far down with CDM that I don’t even have to bend to kiss my ............
I don’t think anyone can honestly say with any degree of accuracy what the div situation is going to be in the future, and how for how much in the future. I can’t see how JB will be giving too much of a divvy if he is basically market neutral and we will be getting the equivalent of bank interest. My SMSF is overweight bank shares. I rounded off some CBA and subscribed for some SPP NAB and see that the bank shares jumped the other day. I have held ANZ since 92 (1992) and over the years holding bank shares, I have read many recommendations recommending sells, but have hung onto them until the next recommendation of buy, and held irrespective. I believe that banks will bounce back (to a degree) and resume a more normal (and reasonable) price once life also gets back to more normal and people’s employment status and cash flow also becomes more predictable. I think the COVID crisis will be a “tale of 2 cities” with some significantly impacted, some not at all, and most moderately at some level. It’s interesting to see that when tourists on cruise ships were offered their fare back when cruises were cancelled, or the alternative of a 200% credit for their next trip, 95% took the credit. Likewise with the recent SPPs and the scale backs by BAP, NAB, RHC and a number of other leading stocks being swamped with cash and having to knock a lot back. There is undoubtedly a mountain of cash out there looking for a home. My wife also bought some VAS (Vanguard ASX300) near the bottom, her first foray into an ETF (and mine too) because of whatever the div will be, it is distributed quarterly, not half yearly.
With the top 300, it will be interesting to see how the dividend changes and how much in % terms it ends up as.
Re ALF, it will be interesting to see if JBs expectations have exceeded his capabilities once again and to see exactly what dividend we will end up with, and if those dividends come out of cash received by companies being held, or out of capital ? I don’t know why he didn’t just put the entire amount in a bank account and go away for 5 years. We would have been better off !