High Yielding Shares Again
- Thread starter MTR
- Start date
Agreed - no idea where the 26% came from.
Even the profile on Vanguards webpage doesn't show that figure anywhere.
Showing 15% over the life of the product.
Blacky
I've made a good return this year from VTS (US total market, unhedged) due to the dual effect of the falling AUD vs USD and the US market hitting all time highs.
I've sold out of my holding now, and put some aside for buying the new Vanguard fund VGS (all world ex-Australia) and some into the currency etf USD in the meantime due to my view that the dollar will continue to fall a while longer. I believe there will be a pullback in the US soon, and am waiting for that, but still want to profit from the USD in the meantime. *
VAS hasn't performed as well, but I have a much smaller holding in that due to my distrust of the high proportion of resource stocks in the Australian index
*completely my opinion and not financial advice
I've sold out of my holding now, and put some aside for buying the new Vanguard fund VGS (all world ex-Australia) and some into the currency etf USD in the meantime due to my view that the dollar will continue to fall a while longer. I believe there will be a pullback in the US soon, and am waiting for that, but still want to profit from the USD in the meantime. *
VAS hasn't performed as well, but I have a much smaller holding in that due to my distrust of the high proportion of resource stocks in the Australian index
*completely my opinion and not financial advice
In regard to VHY, the 14.5% net return up until October 2014 is a per annum figure which includes dividends *
This is a return of 50% over 3 years which is nothing to be sneezed at, though I'm not sure where the 26% comes from
*
https://static.vgcontent.info/crp/intl/auw/docs/etfs/profiles/VHY_profile.pdf?20141204|150200
Edit - I think the poster may be thinking of VTS
This is a return of 50% over 3 years which is nothing to be sneezed at, though I'm not sure where the 26% comes from
*
https://static.vgcontent.info/crp/intl/auw/docs/etfs/profiles/VHY_profile.pdf?20141204|150200
Edit - I think the poster may be thinking of VTS
The 26% figure comes from the jan-dec 2013 price and distribution performance...just run a chart. The number is in the product fact sheet and is correct. Pretty simple really. Page 2, year to year franking levels and gross return https://static.vgcontent.info/crp/intl/auw/docs/etfs/profiles/VHY_profile.pdf?20141204|150200
Ok so it's a cherry picked figure that represents a single year's performance, not something useful like annual performance over a longer time frame. Who cares about that
Completely my opinion - VHY may continue to outperform the broader index for a few years or so, but not much longer. Australian companies will soon have to start cutting their dividends unless earnings growth start to pick up significantly. Woodside of course is very likely to cut their next dividend, and is the number one holding in VHY
Completely my opinion - VHY may continue to outperform the broader index for a few years or so, but not much longer. Australian companies will soon have to start cutting their dividends unless earnings growth start to pick up significantly. Woodside of course is very likely to cut their next dividend, and is the number one holding in VHY
Ahh - ok. so you took the 2013 return, then compared it to the price change during 2014.
Makes sense.
Another question, how would you benefit from buying the right shares now that the USA economy is improving?? Anyone focusing on this market??
I think USA is going from strength to strength, property market has bounced back.
MTR
Well the obvious ones are Australian shares with strong US earnings such as CSL, Ansell etc
Then ETFs which track the US markets, such as VTS, VGS, etc. I don't really buy individual US stocks but if I did I'd probably buy Berkshire hathaway (the cheaper shares)
The economy is improving greatly. However unlike what most people think, a countries stock market boom usually leads their economic improvement, not the other way around. And a lot of good growth has already occurred in the US market. I think there's a lot more to come of course
Very roughly...
My US shares are up about 80% over the last two years (plus dividends), whereas international are up around 35% (plus dividends) and Australian shares would be around 15% (plus dividends)
I'm not invested in them directly but
Qantas share price movement year-to-date: is up 91.8%
Last edited:
Qantas that's amazing, I thought they were losing money, how can the share being doing so well???
https://www.youtube.com/watch?v=HielcNfe2K8&list=UUwVmf4-DSTEF7TpogYGJqPg Relevant to thread I think?
I'm not sure whether someone else has analysed this as I am just reading the thread again from the start and only up to Page 9.
The above is the reason why I am afraid of the stock market, although neither of these stocks fits my selection criteria. You would have gotten pretty burnt on these two trades unless you didn't put too much money into it. On today's price, you would have lost 66.1% on BDR and 88.6% on BCI in only 6 months of you making the post.
BDR in my humble opinion does not have low debt, BDR current liabilities is greater than their current asset, making it a straight fail for me. I will also never buy shares in a commodity market even if the balance sheet looks good.
BCI's fundamentals looks ok, their debt to current asset ration is about 50% and the return on retained equity looks good. However, BCI operates in a commodity market, where it cannot control its price or competitiveness.
QAN is not a good buy. QAN is only doing well now because oil price has dropped alot in the last couple of months. The decision by OPEC nations not to reduce the supply is what is pushing up the airliners at the moment.
Unfortunately I can't find the source, but something like a $10 drop in oil price equates to $1,000,000 in savings for an airliner.
I don't think the oil price will stay low forever.
