Dod101 wrote:PHP is a REIT that has an income stream mostly paid directly to it from the UK Government and which has received its income without a ripple throughout the pandemic and in fact has managed to modestly increase some rents in that time, enabling it to carry serenely and increased its dividend but is merely a hold. Arb wouldn't think of buying it.
All around there are other REITs where rent is being with held, tenants closing down, and so on resulting in dividends being cut or at least suspended, but at one time in the past they were yielding something more like an average HYP share, ah, that's more like it. The average HYPer will have some of that.
I do not know what 'people' do but I buy shares like PHP and Unilever because they produce a reliable income stream come thick or thin, resulting in a dividend stream which is backed by a very sound business. Maybe why my portfolio was it would seem less affected than some by Covid.
Dod
Arb wouldn't think of buying it.
What makes you think that? I hold it, and I've topped it up in January, as it happens - likewise Unilever - so your hastily gleaned impression is incorrect. It's currently tenth in my top up ranking so whilst on the radar, is only in with small chance of immediate repeat topup according to my usual method. If I topped up ahead of my higher yielders, I would need to rationalise why it should jump the queue.
If you read what I said, it sprang from your statement that it was an 'ideal hold' - which is true - rather than an ideal buy. We agree. But from the POV of the HYP method of choosing shares, it is
not ideal and what I wrote is that one would need to justify buying it for reasons other than pure HYP. Which you and I have both done, it seems.
I think, maybe, you gave greater weight to some parts of what I wrote than others, but I do apologise if I wasn't clear.
To summarise what I intended: PHP is a jolly good share to hold, but not an
ideal HYP candidate according to the usual HYP criteria. I cannot see that my view is particularly controversial, giving as it does a fair summary of the situation
Cheers,
Arb.