Barclays Shares

Glen_Clark

Well I suppose the writing was on the wall a few weeks ago when Barclays Middle Eastern Investors sold out at a massive profit. Disappointing results and a rights issue sent the shares down today. If I was a shareholder I would be asking why they pay dividends when they need the money to bolster their capital ratios? I guess it would be harder to 'justify' Directors huge salaries if they weren't paying dividends?

mf78

I heard about them on the news today and my first thought was "hmm time to buy some discount shares in Barclays!" I'm happy to see my hunch was right about the share price but holding individual shares isn't really part of my strategy.

vacheron

I was lucky enough to sell my entire 30,000 holding last week @ 322p, however that was because I considered that they had hit their glass ceiling for the third time this year and didn't expect their condition to be as bad as announced today.

I'll be back in again if they fall back to 240 though.

100saving

I have not done this before so give me a little slack before taking the !!!! out of me.

I was thinking about buying some shares in Barclays but where is the best place to do this HL? share.com? then if i got say £1000 worth how much does this cost to buy and manage?

Reaper

100saving wrote: »

I have not done this before so give me a little slack before taking the !!!! out of me.

I was thinking about buying some shares in Barclays but where is the best place to do this HL? share.com? then if i got say £1000 worth how much does this cost to buy and manage?

You might want to choose a S&S ISA option. Not particularly to save tax as you are unlikely to get any on a modest holding of a single share but it simplifies your tax return as you don't have to mention it.

Have a look at post 3 here for ideas. Perhaps SVS might be a good option.
https://forums.moneysavingexpert.com/discussion/comment/42778046#Comment_42778046

P.S. I should perhaps mention that putting money in a single share is considered a high risk strategy. Only invest money you can afford to lose.

helptoyou

vacheron wrote: »

I was lucky enough to sell my entire 30,000 holding last week @ 322p, however that was because I considered that they had hit their glass ceiling for the third time this year and didn't expect their condition to be as bad as announced today.

I'll be back in again if they fall back to 240 though.

Depends on what side of the fence you sit some people might think you unlucky on missing the chance to purchase 7500 shares in the rights issue at £1.85 !!.

Read the full financials things are not that bad lets see what the share price is in 6 months . if it plummets I might consider you lucky !!! . I reckon it will be £3.20 plus though by then.

John1993_2

For those thinking of "topping and tailing" the market in bank shares, please be aware of just how much they can move.

Basing the numbers on present Ciiti shares (i.e. after the reverse split), I was given 3,000 of them as pay when they were worth $500 per share. They then dropped to $10/share just over a year later. That's quite a loss to stomach.

helptoyou

John1993 wrote: »

For those thinking of "topping and tailing" the market in bank shares, please be aware of just how much they can move.

Basing the numbers on present Ciiti shares (i.e. after the reverse split), I was given 3,000 of them as pay when they were worth $500 per share. They then dropped to $10/share just over a year later. That's quite a loss to stomach.

What are you on about $1,500,000 of pay in a single share and you did not think this might cause a problem what period are you talking about ??

sabretoothtigger

Yes glass ceiling. Raising money doesnt mean they should be cheaper really but investment banking is top prices now, often best to sell when the sun is shining

why they pay dividends when they need the money

They give a return on investment. That shows good faith and could further reduce costs for them though ironically they have chosen to pay more
Just looks better then zero I think, its only 1p ? used to be 35p, not that great a recovery

13bn sounds hell of a lot, that is frown inducing ;p
http://www.citywire.co.uk/partners/redirector.aspx?contentid=694751&deliverytargetcode=web3__sections__citywire_money&re=24596&ea=247039&utm_source=BulkEmail_Money_Daily_Summary&utm_medium=BulkEmail_Money_Daily_Summary&utm_campaign=BulkEmail_Money_Daily_Summary

There is a popular ploy which is widely known by accountants involving making large, some would say excessive, provisions for costs which can be blamed on one's predecessor at the beginning of one's tenure, resulting in large losses being shown in a company's accounts.

In future years these losses can be written back to profit when it is realised that the company was possibly too conservative when it made provisions in year one. The result is a large profit pool upon which executive bonuses are calculated.

Glen_Clark

sabretoothtigger wrote: »

They give a return on investment. That shows good faith and could further reduce costs for them

How can paying dividends reduce costs when they then have the costs of raising a rights issue to fund them? Barclays are even talking about a dividend in 2014 - which will be funded by a Rights Issue in 2013.
How can paying dividends they can't afford show 'Good Faith' In the circumstances it looks more like a con to keep the share price and directors bonuses up before the mysterious Middle East Investors took the money and ran. Now they are long gone the Government is putting £2m of taxpayers money into another 'Investigation'/Whitewash. Nice work if you can get it! Patrick Mercer showed that even Fijian Dictators can easily hire Tory Politicians so I don't suppose the Bankers will have much trouble dealing with that.

lvader

I bought today.