Lloyds Bank Shares
Discussion
Surprised that there is no new thread on this sell off?
Anyway do you:
(1) Request as many shares as you can afford.
(2) Request just the £1000 or £2000 as mentioned in the papers.
(3) Wait till after the float since they will dip below share price and then buy.
(4) Don't bother at all.
John
Anyway do you:
(1) Request as many shares as you can afford.
(2) Request just the £1000 or £2000 as mentioned in the papers.
(3) Wait till after the float since they will dip below share price and then buy.
(4) Don't bother at all.
John
The public share offer has been described by some as "a £200-a-head bung to private investors to own £2,000-worth of stock for 12 months."
There is no guarantee that private shareholders will make any money at all, although it does seem likely if the outcome of previous sell-offs is repeated.
There is no guarantee that private shareholders will make any money at all, although it does seem likely if the outcome of previous sell-offs is repeated.
- Would I be buying Lloyds shares in the market today? No.
- Would a "bung" of £200 be sufficient to make me change my mind? Doubt it.
- Will the Great British Public flock to take up the offer? Probably?
- Is there any point applying for anything more than the minimum? Probably not.
Given the public are up in arms about the amount of money the bail out cost the taxpayer in the first place, the concept that the public would then loose money in the sell of is complete political suicide. Therefore, you can be guaranteed that the offer will be under priced and you will make some money on the offer.
Having said that lots of people will wait for the year to be up and then sell once they get their free shares, which, depending on the size of the public take up could cause a dip.
This is just my personal view though and is not advise.. I bought Premier foods at the start of the downturn as a defensive stock, then when I had taken enough pain there I sold out and went all into BP just before they blew up.. so maybe I am not the right person to ask..
Having said that lots of people will wait for the year to be up and then sell once they get their free shares, which, depending on the size of the public take up could cause a dip.
This is just my personal view though and is not advise.. I bought Premier foods at the start of the downturn as a defensive stock, then when I had taken enough pain there I sold out and went all into BP just before they blew up.. so maybe I am not the right person to ask..
TokyoRich said:
Given the public are up in arms about the amount of money the bail out cost the taxpayer in the first place, the concept that the public would then loose money in the sell of is complete political suicide. Therefore, you can be guaranteed that the offer will be under priced and you will make some money on the offer.
Having said that lots of people will wait for the year to be up and then sell once they get their free shares, which, depending on the size of the public take up could cause a dip.
This is just my personal view though and is not advise.. I bought Premier foods at the start of the downturn as a defensive stock, then when I had taken enough pain there I sold out and went all into BP just before they blew up.. so maybe I am not the right person to ask..
Please stop copying my investment strategy!Having said that lots of people will wait for the year to be up and then sell once they get their free shares, which, depending on the size of the public take up could cause a dip.
This is just my personal view though and is not advise.. I bought Premier foods at the start of the downturn as a defensive stock, then when I had taken enough pain there I sold out and went all into BP just before they blew up.. so maybe I am not the right person to ask..
TokyoRich said:
You can be guaranteed that the offer will be under priced and you will make some money on the offer.
Absolutely NOT.The offer is at a 5% discount to market.
Two options - flip or hold for a year and get 1 extra share for every 10 you hold (up to £200 limit - i.e. a £2,000 position held for a year).
Flip it day one.
- Here there is a reasonable chance you might make SOMETHING.
- There will be a fair size of shares that will be FLIPPED on day 1. There is £2bn coming to market and normally the stock trades c.£100m a day so the selling pressure could be high.
- That means that some will be happy selling JUST ABOVE the price they were given the shares at. So the full 5% gain is by no means guaranteed.
- The stock might be DOWN anyway on the first day you can trade so again - no guarantees.
Hold for a year.
- Good luck getting any guarantees on THAT!
- Sure you need the stock to drop 15% from the day you get the shares to 365 days later to lose money, but that happens ALL THE TIME. Many many stocks are +/- 50% over the course of a year.
- The government has almost no control over the direction of that stock.
If you already hold some LLOY (and you want it for a year+) I would subscribe and switch into this offer (again up to the £2k limit).
If you don't then I would think you have an OK chance of making 0-5% with a day one/two flip.
Holding it for a year? Well you should do proper work on LLOY in that case.
I'm a LLOY holder for some time, dating back to pre crash. Also bought some in the past 24 months.
They are a share that IMHO will recover nicely and again pay a nice divi. One for the bottom draw. I will however only apply for £1K worth. And £1K in Lady B's name. And £1K in my eldest name. That way I'll get what I want instead of a scale back
They are a share that IMHO will recover nicely and again pay a nice divi. One for the bottom draw. I will however only apply for £1K worth. And £1K in Lady B's name. And £1K in my eldest name. That way I'll get what I want instead of a scale back
I bought £10k's worth when they were down at 29p (Thanks Antonio for your temporary leave of absence due to 'fatigue') Have sold enough to recoup my £10k initial investment, and am keeping the rest for the long term. I'm going to subscribe for £1k's worth, as I still think that they're a good long-term prospect.
Sir Bagalot said:
I'm a LLOY holder for some time, dating back to pre crash. Also bought some in the past 24 months.
They are a share that IMHO will recover nicely and again pay a nice divi. One for the bottom draw. I will however only apply for £1K worth. And £1K in Lady B's name. And £1K in my eldest name. That way I'll get what I want instead of a scale back
Me tooThey are a share that IMHO will recover nicely and again pay a nice divi. One for the bottom draw. I will however only apply for £1K worth. And £1K in Lady B's name. And £1K in my eldest name. That way I'll get what I want instead of a scale back
In fact for around 20 years now I have had them.
Those days they were worth over £10 more per share then they are now.
A long term investment is the word for them I believe !
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