Monthly income

JohnRo

Almost exactly half a year in and quoted yields are starting to look hopelessly optimistic. Perhaps it is still early days to get a good sense of how things are panning out though.

I'm debating whether to trim the list as was mentioned early on in the thread and drop Bankers, Finsbury and Temple Bar as a starter since their yields are low and the growth performance has been static at best since held. NAIT is a big disappointment so far give the US markets generally. City of London I expected more of for some reason. Looking for a good European equity trust - been watching JETI for about 3 months.





More weight in Schroders income maximizer fund is probably a better option than the two IP funds for the income (and growth it would seem).

Will probably wait until April and do some more research and reconstructing then.

TCA

Thanks for the update John. I like the look of JETI too but can't bring myself to buy in at a now 52-week high, near all-time high. That same fact is putting me off most things Euro/UK/US at the moment. Illogical in that they could all keep rising before the inevitable pullback but my brain can't get passed that. This despite the fact we're talking income portfolios here.

I'm looking further afield at HFEL and JEMI but am conscious of further market jitters from QE tapering in the US and exacerbating the volatility from my recent SOI and AAIF purchases. Have to try to think long term.....

grizzly1911

TCA wrote: »

Thanks for the update John. I like the look of JETI too but can't bring myself to buy in at a now 52-week high, near all-time high. That same fact is putting me off most things Euro/UK/US at the moment. Illogical in that they could all keep rising before the inevitable pullback but my brain can't get passed that. This despite the fact we're talking income portfolios here.

I'm looking further afield at HFEL and JEMI but am conscious of further market jitters from QE tapering in the US and exacerbating the volatility from my recent SOI and AAIF purchases. Have to try to think long term.....

Not as adventurous as you but Newton Asian Income keeps dropping too.

Did you ever get your PLI?

TCA

grizzly1911 wrote: »

Did you ever get your PLI?

Nope. Still a few percent off my target price. I'd still like to buy another UK G&I trust but think I'll maybe wait for some sort of correction. Could have a long wait mind you, which is why the Asian/EM region interests me.

grizzly1911

TCA wrote: »

Nope. Still a few percent off my target price. I'd still like to buy another UK G&I trust but think I'll maybe wait for some sort of correction. Could have a long wait mind you, which is why the Asian/EM region interests me.

Hopefully drifting away fro your target price as I have got some.;)I got in shortly before it went ex dividend so that should cover the costs plus some.

I don't know what to make of Asia or emerging market. I have some global funds that have some in them plus the Newton one but they all look a little precarious right now.

graemech

I'm Still following this thread with interest, as i can identify with what john is trying to achieve.
John you mention you expected more from City of London - which looks to have done well recently (to my untutored eye)?

Investments aside - hope you all Enjoy your Xmas & new year

JohnRo

Graeme since I bought CTY it's valuation has been more or less static, hovering above or below 0% gain.

Obviously it isn't a tracker but given a decent rise in the FTSE100, FTSE250 and FTSE all share over the same period I had expected to see at least some of that reflected in the share prices of CTY and others.

That's all I mean by disappointing, much the same as BNKR, FGT and TMPL which have also gone nowhere but in such a short time scale it's impossible and probably foolish to try gauging how significant any of these performance plots are likely to affect things longer term. Their inclusion was designed to provide capital growth at the expense of some income and that's just not happened over the period I've held them, which is too short to draw conclusions from I admit.

At this stage I'm thinking along the lines of dropping BNKR, CTY, FGT and TMPL

SLET and EDIN seem to be more suitable income candidates, and I will probably increase the amount in MRC and LWI slightly.

Also plan to drop Jupiter strategic and put that into Kames and as mentioned above drop the IP funds into Schroder. Not going to rush into any of it though, this so called santa rally is definitely flattering a few performance figures when compared over the previous months (FGT I'm looking at you).

Anyway have a good one folks.

Chickereeeee

During a recession, there is a prederence by investors for income funds, and the underlying shares. As the economic cycle progresses, growth funds/shares come more into favour, and income funds fall behind, relatively(or absolutely) speaking.

I would suggest now would be the time to invest for growth, selling as needed for income, and wait for later in the cycle to invest for divident income (or at least drip feed in)

grizzly1911

JohnRo wrote: »

Graeme since I bought CTY it's valuation has been more or less static, hovering above or below 0% gain.

Obviously it isn't a tracker but given a decent rise in the FTSE100, FTSE250 and FTSE all share over the same period I had expected to see at least some of that reflected in the share prices of CTY and others.

That's all I mean by disappointing, much the same as BNKR, FGT and TMPL which have also gone nowhere but in such a short time scale it's impossible and probably foolish to try gauging how significant any of these performance plots are likely to affect things longer term. Their inclusion was designed to provide capital growth at the expense of some income and that's just not happened over the period I've held them, which is too short to draw conclusions from I admit.

At this stage I'm thinking along the lines of dropping BNKR, CTY, FGT and TMPL

SLET and EDIN seem to be more suitable income candidates, and I will probably increase the amount in MRC and LWI slightly.

Also plan to drop Jupiter strategic and put that into Kames and as mentioned above drop the IP funds into Schroder. Not going to rush into any of it though, this so called santa rally is definitely flattering a few performance figures when compared over the previous months (FGT I'm looking at you).

Anyway have a good one folks.

Why ditching IP?

Schroder is a more volatile option than the IP twosome. The IP pair are changing their objectives slightly from the new year, not sure how much impact,if any, that will have in reality. Artemis High Income, Axa Global High Income,Threadneedle Monthly Extra Income(just ideas not recommendations etc.etc.).

A_Flock_Of_Sheep

Tim says - all you need are a few cheap trackers.

That said I have read several times in the paper that the Witan IT is good for growth. Not sure as I know nothing about it.

I looked at City of London and I am sure it has Unilever in it under the top holdings which I will steer away from.

Plus I think the growth area at the moment for a while will be Smaller companies.

I have Small Companies Dividend Trust. Held outside of an ISA more's the pity.