So What's Happened???

MoneySaverLog

798 is cheap considering they are worth more and he knows that. At one point they were close to 850 yes they may drop more short term but longer term I expect the price will surpass 850 again

grey_gym_sock

oh, well i meant he wasn't buying cheap under some share option scheme or whatever: he paid the market price.

i hope the shares do well in the longer term, as i hold some

Barcap

Big deal markets go up and down, markets drop a little and its all panic >.> my investments are up a little over 1000% since march 2009.
Markets are cheap fundamentally, trading at a p/e of 13 compared to a p/e of 30 in 1999.. and anyway where else can you put money in for good investment? housing is a joke and built on sand (when was the last time governments gave deposits?) savings are losing money because of high inflation (this wont change as the new BOE governor only plan is to print)
stocks and shares are the only hedge to an high inflation environment (housing isn't has its liked to affordibillity on ppls wages)
ill ride the ups and down and collect my 6% divi thanks, wake me up when the ftse hits a real bubble of not 6k but 12k

Glen_Clark

Barcap wrote: »

Markets are cheap fundamentally, trading at a p/e of 13 compared to a p/e of 30 in 1999.. and anyway where else can you put money in for good investment? ........ savings are losing money because of high inflation (this wont change as the new BOE governor only plan is to print)

Its all held up by money printing, as you say.
Buffet says the suggestion of an end to QE will be 'a shot heard around the world'. He is sitting on a record $49 billion in cash.
Carney will have one vote out of 9 on the committee, he replaces King who votes for money printing.

Glen_Clark

MoneySaverLog wrote: »

798 is cheap considering they are worth more and he knows that. At one point they were close to 850 yes they may drop more short term but longer term I expect the price will surpass 850 again

It depends on what the regulator lets them charge.

grizzly1911

Glen_Clark wrote: »

It depends on what the regulator lets them charge.

Like the water companies who snap their fingers when they need to pay for investment and the bills go up. Energy companies that are vertically integrated and happily meet a low retail margin as a front whilst canning the back end on wholesale.

Telecoms where bundled packages may be competitive but always carry an ever increasing fixed line rental sting.

Wheel out the toothless tiger.

National grid like all utilities, whoever owns them, will command a premium.

I know their are infrastructure funds/ITs are their any pure utilities?

Thrugelmir

Barcap wrote: »

housing is a joke and built on sand

Stock markets are currently built on QE not fundamentals. So equally a sandy foundation as housing. As Japan is now finding inflation demands higher bond yields. The laws of financial physics cannot be defied forever. Despite what central banks are attempting.