Current market drop - any bargains?

[piccadilly]

Astra is on my list - but I am also keeping an eye on Hikma in the Pharma category.

[piccadilly]

Dear ap8889 Thanks for the tip - I will look at these also.

[Arborbridge]

toofast2live wrote:
What's arb on about. I thought we were talking about vod?

I loved that comment. It makes me feel I'm really going senile.

Yes, it was not referring to VOD and seemed out of place.

[kempiejon]

I tend to agree - I think I will take the plunge if they fall below £2.00

Dipped to 202 a few days ago, today down to 204 up to 205. I feel sense of de je vu. I think the advice around the quid level is if you're interested within a few % you may as well get in in case you miss it. Currently 5.6% yield, Morningstar forecast 5.87%, a few percent on those numbers aren't significant at portfolio level.
The cover is a factor for me.

[kempiejon]

Astra is on my list - but I am also keeping an eye on Hikma in the Pharma category.

Not very HYP is our HIkma, but in another strategy I liked them enough to buy at a little above today's level

[piccadilly]

I have bought Hikma and Vodafone both showing small gains.Dividend due from Vodafone in the next few days.

GSK next on my list.

[ian56]

I have bought Hikma and Vodafone both showing small gains.Dividend due from Vodafone in the next few days.

GSK next on my list.

I've also just topped up VOD at 2.03 as they seemed reluctant to drop below the round figure, partly to take advantage with them about to go xd next week, although I don't think the dividend is due until February. The dividend was set to convert to Euros at the exchange rate on 31st March (1.2647) so there could be a nice uplift if the Pound fails to recover from its current levels, about 9% in addition to the announced increase of 1.9% if I am not too far out.

Ian

[Gengulphus]

I've also just topped up VOD at 2.03 as they seemed reluctant to drop below the round figure, partly to take advantage with them about to go xd next week, although I don't think the dividend is due until February. The dividend was set to convert to Euros at the exchange rate on 31st March (1.2647) so there could be a nice uplift if the Pound fails to recover from its current levels, about 9% in addition to the announced increase of 1.9% if I am not too far out.

No problem about your basic point that there should be an exchange rate uplift to the sterling dividend received, but I found the "set to convert to Euros at the exchange rate on 31st March (1.2647)" bit rather puzzling - converting on 31st March this year is way too early and on 31st March next year too late for a dividend due to be paid in February!

The explanation can be found in http://www.investegate.co.uk/vodafone-group-plc--vod-/rns/half-year-report/201611150700081536P/ and I might as well summarise it for anyone else who was similarly puzzled: because Vodafone switched from declaring dividends in sterling for its financial year that ended on 31 March 2016 to declaring them in euros this financial year, it had to use some exchange rate in order to calculate the percentage increase. It used the rate on 31 March 2016 in that calculation, and AFAIAA that rate is purely for calculation purposes - no dividends were actually currency-exchanged on that day.

The payment details are:

Amount: 4.74 eurocents
Ex-dividend on: Thursday 24 November 2016
Payment on: Friday 3 February 2017

Currency conversion for dividends paid in sterling (or dollars) will be at "the average exchange rate over the five business days during the week prior to the payment of the dividend". I think that means the average exchange rate over the five days 23-27 January 2017 - there is an alternative interpretation that the five days are 27, 30, 31 January and 1, 2 February 2017 but I think that's an implausibly tight schedule.

Gengulphus

[ian56]

No problem about your basic point that there should be an exchange rate uplift to the sterling dividend received, but I found the "set to convert to Euros at the exchange rate on 31st March (1.2647)" bit rather puzzling - converting on 31st March this year is way too early and on 31st March next year too late for a dividend due to be paid in February!

The explanation can be found in http://www.investegate.co.uk/vodafone-group-plc--vod-/rns/half-year-report/201611150700081536P/ and I might as well summarise it for anyone else who was similarly puzzled: because Vodafone switched from declaring dividends in sterling for its financial year that ended on 31 March 2016 to declaring them in euros this financial year, it had to use some exchange rate in order to calculate the percentage increase. It used the rate on 31 March 2016 in that calculation, and AFAIAA that rate is purely for calculation purposes - no dividends were actually currency-exchanged on that day.

The payment details are:

Amount: 4.74 eurocents
Ex-dividend on: Thursday 24 November 2016
Payment on: Friday 3 February 2017

Currency conversion for dividends paid in sterling (or dollars) will be at "the average exchange rate over the five business days during the week prior to the payment of the dividend". I think that means the average exchange rate over the five days 23-27 January 2017 - there is an alternative interpretation that the five days are 27, 30, 31 January and 1, 2 February 2017 but I think that's an implausibly tight schedule.

Gengulphus

Thank you, that part was very inadequately explained by me for those not aware of Vodafone's change of policy regarding payment of dividends in Euros rather than Sterling and how the rate was to be calculated.

Ian