https://www.ejinsight.com/eji/articl...shares?noembed) - it is under local regulation.
The Lychee blog reminded me of this article, which we have discussed earlier. Ugh... another person f'ed over by HSBC (and no, I'm not frothing or whatever. Just saying.)
https://www.ejinsight.com/eji/articl...00-hsbc-sharesAs of last month, he was able to accumulate 40,000 shares, with a market value of around HK$2.6 million.
That means he could receive an annual dividend payment of HK$160,000, based on the bank’s latest full-year dividend payout of 51 US cents.
Given his simple lifestyle (sleeping, sports and video games are his favorite pastimes), he reckons the dividend income from his HSBC shares will be enough to sustain him for the rest of his life.
Seen in a Bloomberg newsletter.
Last month HSBC shocked investors by scrapping its dividend. For the Hong Kong Medical Association, a public health group instrumental in the fight against the coronavirus and a long-time investor in the city’s biggest bank, that meant it would lose 7% of its annual spending budget.
With more than half its stock portfolio invested in the bank, the group is now pressured to trim spending, adding to strains in a city hurt by the virus outbreak and months of anti-government protests. The association is among investors in Hong Kong hurt by HSBC’s unprecedented decision to skip payouts at the behest of U.K. regulators.
Particularly galling for some is that HSBC draws most of its profits from the Asian city, which isn’t restricting dividends, and where local retail investors — who own a third of shares — have propped it up in past downturns.
The task now is for Chief Executive Officer Noel Quinn to boost the performance of a lender whose shares have trailed the Hang Seng Index in five of the past six years, once dividends are excluded. This at a time of mounting stresses while the virus outbreak disrupts Quinn’s plan to squeeze greater returns from the bank by cutting staff, exiting unprofitable units elsewhere and pushing more firmly into mainland China.
HSBC’s Dividend Shock Leaves Deep Marks in Hong Kong
Last edited by shri; 22-04-2020 at 07:42 AM.
Also worth reading this.. If nothing else a contrasting approach by DBS. One might say it's a more Asian and societal approach than say the British one...
Also were these so call professionals the same ones telling them to buy high fee annuities and long term universal life insurance policies with "guaranteed" payments?