Hello
Having started my HYP portfolio over the course of the end of 16 this is the first time I've taken a real bath on any component. So much so in fact I felt the need to make my first post
Now looking at my notes I was very happy investing in this at a 4.7 percent yield in a highly cash generative business all be it in declining industry but providibgbsone diversification. looking at now and where bond yields are going that does appear to be expensive.
However at a yield now in excess of 7 percent I'm really tempted to double down on this.
However I think the recent Carillion events which I luckily avoided has got my spidey senses tingling on this. Everything coming out of the company is telling me nothing to see here, but the share price is telling me big players must be getting out of this and I'm not following the reasoning.
So a question to the older hands in this, would you consider this an unusual time in the life of the HYP or is this consistent with what you have seen previously through bear markets. Presumably in those periods you were regularly averaging down, is it natural to be nervous about investing like this? I guess since the end of the year I've been feeling more and more nervous about the market and almost that the HYP as become a full time job and I'm watching it like a hawk daily.
Apologies for the rambling nature if the post