Baronsmead offers
Posted: January 9th, 2019, 2:42 pm
The offers have now been launched and it will be interesting to see what the take up is this time around. I expect that they will be popular.
A couple of things particularly caught my eye. First, Baronsmead are not offering ongoing trail commission to execution only brokers, so whilst the likes of Wealth Club will facilitate online applications for HNWI/Sophisticated Investors, the attraction of sharing in that commission is not available. Secondly, existing shareholders (rather than the manager) are effectively funding an early bird incentive, because new investors who subscribe by 4 February will be entitled to the 4.5p final dividends that are payable in early March. In principle, I prefer to see dividends that have already been declared being paid only to existing shareholders.
A couple of things particularly caught my eye. First, Baronsmead are not offering ongoing trail commission to execution only brokers, so whilst the likes of Wealth Club will facilitate online applications for HNWI/Sophisticated Investors, the attraction of sharing in that commission is not available. Secondly, existing shareholders (rather than the manager) are effectively funding an early bird incentive, because new investors who subscribe by 4 February will be entitled to the 4.5p final dividends that are payable in early March. In principle, I prefer to see dividends that have already been declared being paid only to existing shareholders.