If you are looking for a fixed amount of income from these companies, buying their fixed term bonds makes much more sense than the equity.
This retail bond platform has been loading up on high quality credits who recently have been priced to give a good yield, including HSBC (currently yielding 4.5%), StanChart (4.2%), and Goldman Sachs (3.1%), and many others (M&G has rallied by more than 10% in two weeks)...
@GentleGeorge - We're digressing... but does it not make more sense to seek fixed income from bonds, via ETFs as opposed to what I think is a fairly unregulated platform with very little clout (compared to say Blackrock)?
Good question... I have about the same amount of cash with these guys that I have with IB and I worry a tiny bit about counterparty risk in both cases.
You know, instead of frothing at the mouth, you can read the PRA letter to the banks as it is in the public domain. It wasn’t so much a ‘request’ as it was a ‘I believe you will be agreeable to our arrangement lest you meet with an unfortunate accident’ *hint hint* mafia-style demand:
Read that ... and I personally think the banks should not have been that subservient and in the interest of being transparent, should have responded Link REIT style.
But its ok... I'll thank BoE for saving HSBC from shooting itself in the family jewels. God knows their board is fully capable of doing that even during normal times.
https://www.scmp.com/news/hong-kong/...de-sustainableThe Link Reit says its primary social responsibility is to provide “sustainable returns to its unit holders” in response to a strongly worded reminder from Chief Executive Leung Chun-ying that the company should serve the needs of public housing tenants.
The listed real estate investment trust also says it is not a monopoly, despite comments by Leung in an exclusive interview with the Post alluding to such a status.
“The Link Reit’s primary social responsibility is to provide sustainable returns to its unit holders through the provision of commercial properties which attract tenants to operate in and shoppers to visit,” a spokeswoman for the company said. “Accordingly, we have achieved very positive results.”