And if the NZX is up, what happens then?
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I can't imagine they ever cut the div, its just part of the deal, ingrained. It would be like a bank cutting your TD interest.
On the plus side maybe my oca order gets hit today. It been there all week. Why is it only SUM and RYM that respond to these snp500 bad days?
Long term average of NZX returns is 4.9% in 100 days after completion of elections ...so if that happens ...NAV will be over $ 1.40 shattering your dreams ...but even if your dream of $ 1 happens nothing much will change for investors ...if people are overly concerned about distributions eating into capital like you then they can opt into DRP and let it become growth stock then income stock ...
Just to jog your long term memory ...in March 2010 it was at 90 Cents mate ...so if you are trying to scare people that $ 1 is end of the world then ...we have seen it before and seen $ 2.12 also after that while kept getting 2% of NAV every quarter ...
Higher for longer will also not last like lower forever did not ....Premium did not last ...big discount to NAV will also not last ...thats the cycle of life .
Only hiccup is dividend getting reduced but that saves erosion of capital at lows of the NAV ...thus we need practice austerity...lol
sure election data is relevant but more than likely irrelevant if wall st keeps going down.
dont know how 2010 on is relevant , todays environment is totally different to that period so is of no relevance really in trying to guess the future
the fact remains its a bet you win if nzx goes up i win if nzx goes down
capital erosion is not made up from dividends and if it is one day you have lost the time opportunity of making money elsewhere
i still stick to my belief they cannot keep selling stock to pay div's without causing more nav erosion esp if nzx goes down
Its a belief? I thought you had done some math or had a formula of sorts.
Any Bull who walks ahead of his herd has clearly not done the maths on his chances of success..