Thanks to all for your thoughts. My plan on investing has been to use LIC for where I don't feel confident enough investing ( o/s stocks ) and in the case of WMI as peejay2 mentioned, in micro/small cap stocks. I am put off by the volatility and ability to properly research them. WAM have this expertise and the growing fully franked dividends of the WAM stable are very enticing. Its just the paying/holding at a premium to NTA that I am grappling with.
Thanks to TheCapatilist for some interesting thoughts to ponder and it's something I will implement going forward. I own HM1 and was thinking of selling some above 4.5 a while ago but didn't and will put some more thought to devising a plan. HM1's performance up to a few months ago was stellar but like most managers/funds they do usually go thru periods of under performance and/or revert to the mean. Maybe LIC can be traded like some cyclical stocks - i.e. sell at a premium to NTA and buy back below or around NTA. Time to do some back testing.
The other LIC I like apart from WMI, HM1 is WQG .
Thanks again to all.
WMI Price at posting:
$2.06 Sentiment: Sell Disclosure: Not Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)