barclays - worth a punt?

[billb]

looking at isa and am thinking barclays shares are looking good value - any comments good or bad?

[cannedheat]

I'd say yeah. They're tipped in the current Investors Chronicle too... they reckon on a banking rebound later this year.

[groomi]

I read somewhere the other day that Barclays are the only isa where interest is paid monthly, and therefore accumulates interest on interest.

[shadowninja]

cannedheat said:

I'd say yeah. They're tipped in the current Investors Chronicle too... they reckon on a banking rebound later this year.

So, any time in the next 42 weeks, then.

[cannedheat]

groomi said:

I read somewhere the other day that Barclays are the only isa where interest is paid monthly, and therefore accumulates interest on interest.

If we're talking cash ISA's then the HSBC and First Direct ISA's are certainly monthly too...

I suspect some of the building societies pay annual as it lets them advertise and pay a higher rate but the returns are no better than a lower monthly rate.

[Welshbeef]

billb said:

looking at isa and am thinking barclays shares are looking good value - any comments good or bad?

Well I have lost 31% with them so far in 12months, 45% with HBOS, 52% Alliance & Leicester & the credit crunch just keeps on coming paper losses so far and thankfully (touch wood) I do not need to sell I will just hold, if I had to sell I could of had a free Golf Gt TDI 170 if sold 12 month ago thats makes depreciation on a new car seem really appealing.

[Horse_Apple]

billb said:

looking at isa and am thinking barclays shares are looking good value - any comments good or bad?

Not yet.

Several of the big banks go exD tomorrow and there has been quite a bit of buying in recently which may be money looking for the div and then exiting.

Definately, the banks look to be holding their divs which makes them great value potentially.

The worst thing you could do is buy one stock and all in one go.

Get yourself the cheapest dealing account, get your eye on at least half a dozen blue chips. Take the amount of money you wish to hold in each, divide it by 12 and buy parcels in each every month over the year.

you'll get a nice spread of risk over the stocks (albeit being sector heavy, but that's the point) and the cost price averaging will remove much of the timing risk.

If going large, no harm in trading out a bit of the risk/performance by shorting the FTSE at the same time.

[billb]

Horse_Apple said:

billb said:

looking at isa and am thinking barclays shares are looking good value - any comments good or bad?

Not yet.

Several of the big banks go exD tomorrow and there has been quite a bit of buying in recently which may be money looking for the div and then exiting.

Definately, the banks look to be holding their divs which makes them great value potentially.

The worst thing you could do is buy one stock and all in one go.

Get yourself the cheapest dealing account, get your eye on at least half a dozen blue chips. Take the amount of money you wish to hold in each, divide it by 12 and buy parcels in each every month over the year.

you'll get a nice spread of risk over the stocks (albeit being sector heavy, but that's the point) and the cost price averaging will remove much of the timing risk.

If going large, no harm in trading out a bit of the risk/performance by shorting the FTSE at the same time.

sounds sensible advice - stupid question but dont you have to have had the shares a certain anout of time to get the dividend - ie how can they just buy them get the div and exit or can they?

thanks

[Timmy33]

billb said:

sounds sensible advice - stupid question but dont you have to have had the shares a certain anout of time to get the dividend - ie how can they just buy them get the div and exit or can they?

thanks

The 'accrued' dividend gets factored into the price, which is why once the shares go 'ex-dividend' the tend to drop a bit to reflect the dividend payment having been made.