PrefInvestor1
05 Oct 2018
Cant Trade SMIF Online Anymore! Hi All, Was thinking of buying a few more of these but on looking closely at the entry in my portfolio I found that the ability to trade online had been removed !!. (Using Hargreaves Lansdown as my broker). Now i dont know about anyone else here but I was already a bit concerned in respect of the liquidity status of this trust (see my other comments on their regular monthly offer to sell at NAV minus some percentage) and I confess this put the wind up me a bit. So instead of buying I sold it all, had to pay telephone trading costs to do it but got a reasonable price (unlike what you’d get from their monthly corporate action offer). Fundamentally I sold because I dont want to get into a situation where I get stuck with money in a stock/trust that I can only trade if I do so at some grossly disadvantageous price. This is NOT the case right now, as borne out by my experience today, but just maybe its going in that direction ?. Going to be plenty of interesting things to buy the way the FTSE is going !. ATB Pref
PrefInvestor1
06 Jun 2018
Re: Buying Hi rig mover,Clearly no MIFID problems for you then. I havent had any problems either. Though the KID document my broker has does say that the stock is not intended for retail investors......I also wonder what the limits of liquidity are on this stock. I do dummy trades each day to obtain the "real" selling price as opposed to the bottom of the official spread which is all that you see otherwise. I have always been able to "sell" my 4,500 in a single dummy trade which I then cancel. But I dont think that there are any market makers for this stock, so unless there are buyers waiting then I suspect that you might be unable to sell. LSE volumes are pretty high though ~290,000 traded today, so maybe its not a problem unless you have a huge holding like 50,000 or 100,000 or something ?. Just guessing here, on a low volume day maybe the problem could affect anybody ?.I have a theory that the above is the reason why they do this quarterly offer to buy some of your shares at NAV-2%. But I could be wrong. If anyone knows of another reason then Id like to hear it.ATBPref
rig mover
31 May 2018
Buying Just bought 10k at .99795, no issue with Selftrade ISA, deal went straight through.
PrefInvestor1
24 May 2018
Re: Tender Offer, Whats Occurring ? Hi Again All,Done a bit of googling on this topic and I have seen various reports from 24investments where they have published the number of shares that have been tendered, so it would seem that people ARE doing it.Pure guesswork on my part here, but I have also seen liquidity mentioned in some places on this. I am wondering if it is because their underlying investments (mostly fixed interest) are very illiquid that large holders may have problems selling if they want to (like property funds a while back). Perhaps this service gives large holders a guaranteed way to sell 20% of a large holding once a quarter ?.Now that could be all wrong, but its what I'm thinking right now. Clearly 24 dont mind doing that as they then sell them back at the current market price - ker ching !!.Anyway thats my guess right now. If anybody finds out (or even better KNOWS different) then do tell.ATBPref
foolish learner
24 May 2018
Re: Tender Offer, Whats Occurring ? It may be an attractive offer to some if the Nav was below the share price, looks like a good will/advertising ploy that's unlikely to be taken up
NickDog
23 May 2018
Re: Tender Offer, Whats Occurring ? I was perplexed when I first got the message a couple of years ago but now just ignore them.Think it is set up to counteract NAV being at a premium to share price but not entirely sure. Haven't ever seen stock trade at a premium either. So haven't seen any effect on share price which seems to be stuck at 99p which is fine as hold for income.
FRTEB
23 May 2018
Re: Tender Offer, Whats Occurring ? It's a regular thing. I didn't know they did this when I first bought SMIF and meant to look into it but never did - the main reason being, if you don't want to sell, there's no need to do anything - just ignore the emails/corporate actions. I'm not aware that these offers have any effect on the share price although admittedly I don't generally watch the share price on a daily basis - I just enjoy the regular income and check two or three times a year or when someone makes a post on ii. I don't know why anyone would want to sell at less than the market price. ...I've probably been no help whatsoever!
PrefInvestor1
23 May 2018
Tender Offer, Whats Occurring ? Hi All,Not held these for long and have just received an email telling me that there is a tender offer allowing me to sell 20% of my holding at 2% less than NAV. As the trust is trading at a premium right now and the NAV is probably about 96p why would anyone want to do this ?.Think I read somewhere that this is a regular offer made every quarter ?.Can anyone who knows please explain what this is all about and what effects (if any) it is likely to have on the share price on 30th May (the tender offer date).Thanks In AdvancePref
Kool Keith
15 May 2018
Re: DRIP I'm with iii and just had to complete an online form took 2-3 minutes if that and then ok to trade.
foolish learner
15 May 2018
Re: DRIP I have had similar issues with my broker re similar shares. The matter easily resolved by me confirming that I had red the KID document relative to the asset, confirming I understood and accepted the riskThis I have done for all the shares I hold (other than straight forward shares eg BP GSK) and those on my watch list, my broker has the list and no hassles to buy on opportunit
NickDog
15 May 2018
Re: DRIP Already had a chat which is how I found out. If I click on buy I get a message saying we no longer allow investment in this stock. It may well be the same for Halifax as they're one and the same behind the scenes I would guess. So I'll just let my dividends roll up for now. A shame as in the long term I would have added. Will have to look elsewhere.
FRTEB
15 May 2018
Re: DRIP I hold SMIF via Halifax (not iWeb). I don't automatically re-invest dividends. I had another corporate action a few days ago where SMIF offer to buy back shares - no action required if not wishing to sell. I haven't tried to buy more or sell but I can't see any reason why iWeb would stop buys/sells due to Mifid unless they haven't produced their factsheet for SMIF yet? Give them a call and ask the question - it does seem odd. I agree the monthly income is very good. Sorry I can't be more help.
NickDog
15 May 2018
DRIP I hold my shares through iWeb. Since 1st May I have not had any dividend re-investments because the stock is now classed as institutional. Anyone else having issues (blamed on Mifid)? I can no longer buy these shares either. Don't want to sell as monthly income very good.
marktime1231
09 May 2018
Bubble Trouble Further to my heads up in April, SMIF continues to issue new shares 1 million at a time to try and control the premium, and has now nearly run out of the facility to do so.All good news for holders ... issuing shares at a 4-5% premium very good for cash flow, bringing scale efficiency, enhanced returns from reinvestment etc. Demand extra strong because a rise in central bank interest rates looks less likely, this side of the pond anyway. A 6.5% bond-proxy IT with resilience a must-have for income portfolios.I imagine an emergency resolution to increase the facility to issue shares is imminent.Otherwise SMIF will enjoy a surge in the weeks ahead.
marktime1231
20 Apr 2018
Like hot cakes SMIF pushing up to a 5% premium even after the recent issue of another 1 million shares, extra demand despite yesterday's ex-div in response to Carney admitting his case for an interest rate rise in May is looking weak.Headroom in the facility to issue shares is rapidly being used up, if SMIF don't act quickly there is a risk continued strong demand for this resilient 6.5% yielder will cause a bubble.
