Thinking about putting a chunk of my savings into this for the ~6% dividends which are paid monthly. Does anyone else have companies they recommend for this?
Gladstone look like they are a reliable payer and the share price is stable. That is what I am looking for, not too interested in share price growth. I am interested in putting a list together of companies that pay regular dividends >4% and the share price is relatively stable (treating the stock like a savings account where dividends mimic interest).
This would be a great thread.
I have a little Gladstone but only after @Big-g highlighted it the other day.
I am the exact same, after reflecting on @Big-g comment, I decided to go for $GLAD rather than the FT plus interest.
I love this stock and it is my go to place for all dividends payments as it can be fractional so clears up any change I gain. Super reliable and 6.95% compounding is great as a base to my portfolio.
So any other similar companies I would happily add to my list to spread risk etc.
@Big-g and @NeilB
I invested £600 into $GLAD yesterday. The 15% US Tax on dividends makes me cry a little.
Here are some UK stocks I have identified but need to research more. My initial screening was that they must pay high dividends and have no ongoing charges. Just thought I’d let you know:
£JUP - Jupiter - 6.59% dividend yield - 0.5% stamp duty.
£ABDN - Abrdn - 6.03% dividend yield - 0.5% stamp duty.
£ASH - Ashmore Group - 5.67% dividend yield - 0.5% stamp duty.
£INVP - Investec - 4.43% - 0.5% stamp duty.
£EMG - Man Group - 3.8% - no stamp duty.
£N91 - Ninety One - 5.28% - 0.5% stamp duty.
£POLR - Polar Capital - 6.28% - no stamp duty.
Only problem is no fractional shares. But these could also be used for compounding and a base to your portfolio.
I have these ones but will have a gander at the others My main reason for the GLAD is that it is the highest % and after the 15% of the dividend it is still pretty much up with the best but also it is very stable and monthly which others don’t tend to be. Also, it was a good example for the off setting of the monthly charges on FT.
Happy Gladstone Capital day @Big-g - £3.16 for me
I got mine too. I think of it as my @Big-g dividend. It pays for my SIPP which is nice.
Gladstone have confirmed a small increase (.025c) to $0.0675. Looks like it’s first steps towards building back to the $0.07 they paid prior to COVID.
Quick question on how dividends are calculated.
Are they done on a rolling average value of shares/number of shares over the dividend period?
Are they calculated on the value of shares/number of shares on a specific date during the dividend period?
Apologies if this is has been asked elsewhere.
There is an ex-dividend every month so providing you hold it the day before you’ll get it.
Thanks for that
Is the calculation done on the specific value ex-dividend-1? Or the average value over the period?
I’m assuming it’s on the day but would like to be certain.
It’s your holding on the ex-div day -1
I didn’t know you actually wanted to know that sorry I just didn’t understand what was said
Net assets value at 31st March was $9.49 per share so we’re paying a premium over this.
Gladstone are in the loan business with 90% of loans at floating rates while 90% of debts are fixed so they stand to gain nicely if rates rise a little. The risk would be on defaults as they tend to loans larger amounts as opposed to spreading risk. They’re longer term loans that often support private equity companies.
I like the company and have it as my largest dividend holding. How about we find a way of stopping the 15% with holding tax @adam
Lastest earnings call from March 2022
@NeilB @Big-g are either of you concerned about their cash to debt?
They have around 1.43mill in cash, but 214mill in debt…
I’ve always been comfortable with it, so long as they run a lean ship.
Much of that debt is at fixed rates while it is lend out at variable rates (LIBOR link I believe)
Bit surprised at the depth of the recent dip considering how stable GLAD has been recently. I guess it’s a topping up opportunity.
I topped up some others but really I should topped it this going sub $10