AFF Member Stock Discussion

[Cossie]

Inherited quite a few shares from my Mum when she died, Commbank, CSL, and Woolies as well as some others. Pity I had to split them with my sister. We already had some others but I'm not too keen on buying anymore, what we have is more than enough for the two of us.

I still think of the share market as gambling, and therefore I always have it in the back of my mind that I could loose the lot.

Coincidentally, I just received a Commbank Perls XII capital notes offer, along with everyone else I guess. How does this differ to shares?

 

[samh004]

Just curious, how many different ASX listed businesses do people hold shares in and what's the most unusual/interesting one one?

Currently 16, but eager to add a few more at the right time to help diversify my sectors, as I'm currently about ~51% financials and I know that's too much. I don't think I have anything unusual yet, but I'm a relative newcomer.

 

[Dr Ralph]

Coincidentally, I just received a Commbank Perls XII capital notes offer, along with everyone else I guess. How does this differ to shares?

Normally ranks ahead of shares if things go south.

Considered a fairly stable form of investment.

Often pays a lower dividend than the shares of the company.

Liquidity may be an issue.

 

[Buzzard]

Just curious, how many different ASX listed businesses do people hold shares in and what's the most unusual/interesting one one?

I'll start this off. Hold shares in 38 ASX listed businesses and for me ARQ is my most unusual/interesting one. Why? I managed to get in when this was originally floated as Melbourne IT. Made me my biggest stag profit ever.

Counting 1 x LIC and 1 x ETF I hold 10 stocks. Personality I have no interest in holding more than 10 stocks excluding LIC/ETF. If I want diversification I will either go with another LIC or ETF.
Regarding LIC and ETF investments, why would I think that I can outperform the fund manager?

 

[Dr Ralph]

Regarding LIC and ETF investments, why would I think that I can outperform the fund manager?

It would be difficult, but I think it could be done.

One of the reason for holding stocks individually is for SPP offers. These have been extremely lucrative for me. Most recently with MQG and AMP.

 

[cove]

I have held big chunks of CQE, RMC, UOS and MQG for the long haul.
I have OPH for small/medium cap updates as they do thorough research.
IMF is doing an entitlement issue this month.

 

[RooFlyer]

Can someone help explain to me the value in a 'convertible note' over simply buying the actual stock?

Been a while since I looked at them but in general when the Note matures it will convert into shares at some pre determined discount to the prevailing share price (therefore you get more shares for your investment buck). Until then the funds earn interest and the interest also converts to shares.

Used to be very popular in the mining explorers, where, if you want to raise funds outside an IPO, the value of the company was very difficult to determine, as it was all blue sky. So you issued debt that later converted to equity. Later, when they had some results (or not), a value could be put on the enterprise and the equity fairly valued. Basically for taking some risk you get more shares.

For the company, if things go wrong, they could go very wrong with CNs, especially for those shareholders NOT holding the notes. A downward spiral - the overhang pushes the share price down; lower share price means more shares will be issued to the Note holder; this prospective extra dilution depresses the value of the shares to others, and on it goes. Usually the CN holder ends up with the company.

 

[RooFlyer]

Currently 16, but eager to add a few more at the right time to help diversify my sectors, as I'm currently about ~51% financials and I know that's too much. I don't think I have anything unusual yet, but I'm a relative newcomer.

When I retired, i got some advice from a financial adviser. They saw I was very heavy in banks and recommended shedding a lot (maybe half). That was about a year before the last election and even the Labor party looked like winning and scrapping dividend imputation credits.

Fortunately I ignored them and that nice Mr Frydenberg is going to be sending me some very nice cheques. I did lighten the weight of the banks by buying other stuff with cash I got from selling a property, so I sorta took their advice. I've been a lifelong investor in the mining sector, esp juniors but not now I'm retired. Yield rules for me.

ust curious, how many different ASX listed businesses do people hold shares in and what's the most unusual/interesting one one?

For my personal and personal super fund holdings, I've simplified things a lot and I think I'm down to about 15 stocks directly now, including ETFs.

Most unusual? I hold one (1) share in RNE, Renu Energy, today's price $0.026. The end play of a specce geothermal company I bought into about 10 years ago. After getting rid of most, I ended up with an unmarketable parcel and over the years its been taken over, consolidated re-issued shares (fundraising) so often so now its one (1) share left for me. I think of it as a pet.

 

[samh004]

Yield rules for me.

This is what I tend to head towards, but I realise yield may not always be healthy so I'm getting a bit wary. It also doesn't help that sometimes the stocks with the highest yield are hard to take a decent stake in due to their price. I realise at the end of the day, fewer shares in something with a higher yield is better than more shares in something with a lower yield.

Most unusual? I hold one (1) share in RNE, Renu Energy, today's price $0.026. The end play of a specce geothermal company I bought into about 10 years ago. After getting rid of most, I ended up with an unmarketable parcel and over the years its been taken over, consolidated re-issued shares (fundraising) so often so now its one (1) share left for me. I think of it as a pet.

Last year I sold a parcel after ex-dividend, forgetting that I was enrolled in the DRP and ended up with 7 shares that collectively were worth less than the brokerage to sell them. I later bought a large chunk on a dip though so it's not a problem anymore.

 

[Flying mermaid]

I keep number of shares between 12 and 18 - I don’t like a large number and prefer to take a (relatively) large position rather than a scattergun approach. I have my core shares where I am yield focused and then a few play shares (or gambles as @Cossie would say). Having an IT background I do like interesting tech shares.

one is Capital Health (CAJ) which is actually an imaging company, but has a holding in a fascinating little company called Enlitic. Been awhile but Enlitic is getting closer to being used.

this gives an idea of what it is doing

Enlitic Announces Strategic Partnership With Select Healthcare Solutions

—Leading Medical AI Software Company and U.S. Cancer Center Operator Partner to Further Advance Early Detection and Characterization of Various Cancers— SAN FRANCISCO–(BUSINESS WIRE)–En…

area-info.net

then I have another one which is bit of a serial disappointer, but I do like the tech and potential. I also like the fact that sales are likely to be predominantly overseas. (Sen)

Senetas, a leading provider of encryption technology

 

[daft009]

Does BTC count

 

[Bundy Bear]

I ended up with about 15 shares in Air NZ after I a sold a bunch when new ones were issued, I did like getting the yearly booklet with all the pretty pictures.

Also have Wesfarmers and the recreated Coles Group.
I did have Qantas but sold them years ago to buy a house. When Qantas was near a $1 I would have like to have bought some but done a bit too much flying on Qantas aircraft to keep Platinum status that I didn’t have any spare cash.

 

[amaroo]

ATM we have 11 plus a few funds. All in our SMSF.

The fund by a fluke of nature is currently sitting at 1/3 in cash, 1/3 in shares, 1/3 in direct property.... in a couple of years we'll hit the limit, we'll have to change tactics.

 

[samh004]

Does BTC count

That's more of a currency to be honest, unless you're talking about BTC Health?

 

[Colin 2905]

That reminds me of my first big purchase, a job lot on NAB. I bought them for the shareholder benefit to not have to pay a CC fee anymore, and despite the benefit now having been retired, I'm grandfathered in and hope to keep it for a very long time. Depending on the day I'm level or ahead or behind but as the dividends keep flowing I'll surely be ahead, plus the removal of a CC fee.

NAB is my only direct share holding. I bought the minimum 500 just for the shareholder benefit about 18 months ago, with the idea of cycling through their various CC offers with bonus points, and getting the annual fee waived. That went pear shaped; applied for a platinum card, but only given the base card, with half as many points. Then due to them changing their systems, the bonus points took an eternity to arrive. Cancelled that card and moved onto other bonus point offers with other banks, with a view to revisiting NAB offers after the dust had settled, only to have them pull the benefit. Oh well, at least the dividends are something.

Mrs 2905 still has 1000 x TLS from the original T1 days and some units in a managed fund, our son has a few APT and our daughter bought into VDHG.

 

[cove]

I am waiting for the Commsec settlement that failed to arrive due to CBA/BankWest systems going cough up.

 

[Bundy Bear]

I am waiting for the Commsec settlement that failed to arrive due to CBA/BankWest systems going cough up.

Cutting it a bit fine unless you can load the credit card straight away.

 

[cove]

Bundy Bear it’s ok I have finished paying all the quarterlies to the fiscal fiend.
CBA screw up is taking a while to get fixed. Hope I am not waiting for Godot as Godot doesn’t turn up.
I have put those 2 iT companies from Flying Mermaid into my watch list.

 

[Bundy Bear]

Bundy Bear it’s ok I have finished paying all the quarterlies to the fiscal fiend.
CBA screw up is taking a while to get fixed. Hope I am not waiting for Godot as Godot doesn’t turn up.
I have put those 2 iT companies from Flying Mermaid into my watch list.

We use a Senetas product at work; I find parts of that company hard to deal with, I think our product is sourced by an agent in Singapore; its a messy set up.

Possible legacy type products have gone through different hands.

 

[Flying mermaid]

We use a Senetas product at work; I find parts of that company hard to deal with, I think our product is sourced by an agent in Singapore; its a messy set up.

Possible legacy type products have gone through different hands.

They seem to have handled the sales in Australia themselves and not terribly successfully. Fortunately Thales will now handle all overseas sales and support, so hopefully that will improve the experience (although not for Australia). As I said I really like their tech, but the execution has disappointed. I am hoping this will be the year they finally get their ducks in a row