SSE - an opportunity too good to miss?

[Gengulphus]

Indeed, but remember that there are two components to any risk: the chance of the bad thing happening, and the severity of the consequences if it does happen. In the case of the risk of a Labour government nationalising SSE (or any other utility, and there are some other obvious targets for them as well, e.g. the train operating companies), even if the chance of it happening is quite low, it could end up being anything up to a 100% loss.

There's also a strong possibility that the nationalisation could be done by a conservative government, and a strong possibility that a Labour government pays close to market price for the shares at nationalisation. For some history look at post-war nationalisations.

And of course it may never happen

Yes, of course - that's the whole point of calling something a "risk" and talking about the chance of it happening as well as its severity! Had it not been so, I would have used the word "certainty" instead...

Gengulphus

[DiamondEcho]

Written from an HYP income perspective, meaning a share purchased after 18 January is then not going to receive any payout until late September. I'm told people in the Other Place don't care about dividends being reflected in their share prices

OIC, so that relates to having a regard for the calendarisation of receipt of income. I can see why that might matter to some people, perhaps esp. those later-stage HYPers who want to manage their income flow.
One of my early jobs in finance was working in the bond coupon department of an investment bank. Our team's job was to find trades that had settled for incorrect gross proceeds (nominal+accrued interest to settlement day). There were perhaps 30 types of interest accrual calculations according to bond type/nationality/currency, and the IT in the early 90s couldn't cope with the complexity. In the course of a year or two we successfully reclaimed many $millions owed to us. So the concept of an accruing entitlement to coupons (and by extension dividends) is rather in my bones The fact that a share price tends to drop relative to div entitlement on X/D just reinforces my sense of a form of accruing entitlement.

[monabri]

Terry,

It would be interesting to know your thoughts/decision.."to top up" or "not to top up" , that is the question.

cheers
monabri

[Wizard]

Terry,

It would be interesting to know your thoughts/decision.."to top up" or "not to top up" , that is the question.

cheers
monabri

Monabri

At this stage I remain undecided, which probably means I will not be buying any more and will most likely go ahead with my plan to add some ITs to the mix.

Terry.

[jackdaww]

i've just topped up SSE in the hope they are cheap.

-- financed by the sale of my NEXT shares , thinking they are dire , and will be woodfords next debacle .

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unusually , my buy went up and the sell went down -- so a (very short term) win-win --- nice .

on top of that , the FTSE , and my portolio (no doubt amongst many others) finished at record highs.

roll on 2018 - may it be better for the many in the world who are having a very rough time .

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well i got that wrong - next up nearly 10% .

ps. xd tomorrow...