MrFoolish wrote:pyad wrote:Super HYs are at least worth a look for HYPs to consider their fundies and estimated div sustainability in the near future of a year or two as far as poss.
If HYPs are supposed to be for the relatively unsophisticated investor (correct me if I'm wrong), I'm not sure how they are meant to assess this.
I agree.
Learning how to assess company financial fundamentals with respect to dividend sustainability is perhaps the least understood aspect of running a HYP.
Despite all the thousands of threads on this board, I can't remember one that gives simple practical advice on how to do this. Company accounts are pretty difficult to understand - especially for large FTSE 100 companies, and what is fundamentally important for dividends seems to change according to whether the company is a bank, a REIT, an insurance company or some other entity. It is a difficult subject.
Indeed, I launched a thread on precisely this subject a year ago, and had zero responses!
viewtopic.php?f=15&t=34997
A beginners guide would be great.
Does such a thing exist?
FD