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Grab Some Bargain Banking Shares While You Can

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http://www.telegraph.co.uk/finance/comment/damianreece/8751100/Grab-some-bargain-banking-shares-while-you-can.html

Damian Reece

11:01PM BST 08 Sep 2011

On September 12, 2011, four years to the day almost, the Independent Commission on Banking (ICB) will unveil its report into what it thinks the future structure of UK banks should be.

It will involve some form of ring-fencing to separate retail banking from investment banking. This is seen by some as the single most important step in avoiding a repeat of the financial crisis, even though Northern Rock would almost certainly have come entirely within the supposedly protective ring-fence of a retail bank as envisaged by the ICB.

Anyway, Friday could be a last chance to snap up some bargain share prices among the banking sector. Barclays (159p) is off 52.3pc from its 12-month high, HSBC (522p) is off 29pc, Lloyds (33p) is down 58pc, Royal Bank of Scotland (23p) has fallen 55pc and Standard Chartered (£13.77p) is 30pc lower.

Great advice here, buy bank shares....

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Each of the nationalised banks LLOY and RBS have some 50bn shares each in issue. If we take the UK population as 60 million, thats about 1000 shares each to go around. No shortgage there! Most of the share are owned by the government. Who in the UK is bigger than the government who has deeper pockets to buy from them? At some point you are so big, you become the market. Theres no one else bigger to acquire you.

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Each of the nationalised banks LLOY and RBS have some 50bn shares each in issue. If we take the UK population as 60 million, thats about 1000 shares each to go around. No shortgage there! Most of the share are owned by the government. Who in the UK is bigger than the government who has deeper pockets to buy from them? At some point you are so big, you become the market. Theres no one else bigger to acquire you.

Your logic fails when you remember that the fact that those shares were owned by someone at ten times the price a few years ago. Pension funds and pensioners to answer your question.

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I sold all my "windfall" bank shares ten year ago and bought some guitars instead.

The guitars still have resale value. :blink:

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its swings and roundabouts, you cant wipe your @rse with a guitar

You haven't seen my act then! :lol:

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http://www.telegraph.co.uk/finance/comment/damianreece/8751100/Grab-some-bargain-banking-shares-while-you-can.html

Damian Reece

11:01PM BST 08 Sep 2011

Great advice here, buy bank shares....

Oh no, it's Friday and the LSE is closed! OMG what will I do I wanted to buy some bank shares first thing today. For example Barclays.

No wait, they've fallen -9.43 % today? No that can't be. The Telegraph told me they would go up.

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An RBS share for what? Perhaps twenty pence now?

Think I would rather buy a tin of beans for 28p, you can peel off the label to wipe your ****, and use the empty tin as a plantpot to grow food. You can collect the lids, they have scrap value. They are a safer pension investment than shares.

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guitars have done very well as long as you have a buyer.

ive seen some new les pauls for 7k

Nothing as silly as that Bob. After all they do get played! ;)

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http://www.telegraph.co.uk/finance/comment/damianreece/8751100/Grab-some-bargain-banking-shares-while-you-can.html

Damian Reece

11:01PM BST 08 Sep 2011

Great advice here, buy bank shares....

Thanks for the tip... loaded up on a basket of Barclays, RBS and Lloyds TSB shares earlier on today. Thought i'd spread the risk with an onus on penny shares (RBS+Lloyds).

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indeed but the prices are still out there.

i have a nice "played" 52 tele how much you gonna give me for it.(dont forget prices only go up lol)

Ha ha, every crook out there has "made" one of those! :lol:

My Tele is a 2001 model ;)

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hi mr pin

i have a 52 tele

a 59 les paul

62 selmer t and b with cab (matching serials)

2 x65 green back marsh cabs

62 hofner v2

sovtec 45

marsh jcm 100 1980

rats

more jap guitars than i care to mention

mesa boogies

1964 epiphone acoustic

gibson jumbo

none of witch i think is crook good man

Can't comment on what you have or don't have Bob!

My oldest one must be about 1973.

Anyway, well off topic now!

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to be fair,as a bona fide tfh,I have a stash that's doing nicely in this era of food inflation.agreed on the tin of beans.aldi do you a tray of 24 tins of kidney beans for 16p a pop.handy.

Not quite a tray, as I don't have a car, so I tend to shop regular and carry as many tins as possible.

However I managed to get a lift down the other day and could take advantage of the spend £30 get £5 off voucher I received through the post with the local free paper.

The 20p tins of new potatoes are quite handy to stock up on too.

5kg of fresh tatoes for £1.29.

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I will admit to a novice impulse yesterday. I was watching RBS tank, down 8% at one point. I had a strong urge to buy in when it reached 20p and set an order to sell at 25p. I have noticed that it tends to trade back and forth within a channel before breaking out to a new range. Volatile and risky.

My finger was on the trigger, then I realised I was effectively gambling. Did I fully appreciate the reasons behind this price action...what might happen over the weekend? Look at Bank of America...So my head over ruled my heart. I think I made the right choice.

I do wonder though, throwing a quick £750 down which you can afford to lose. In 5 years time.....?

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In fairness the price is wrong.

They are either worth zero or a hell of a lot more, they are on a PE ratio of 1.

Five years time you will either look back and say 'thank god' or 'I missed the investment of a lifetime'

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I will admit to a novice impulse yesterday. I was watching RBS tank, down 8% at one point. I had a strong urge to buy in when it reached 20p and set an order to sell at 25p. I have noticed that it tends to trade back and forth within a channel before breaking out to a new range. Volatile and risky.

My finger was on the trigger, then I realised I was effectively gambling. Did I fully appreciate the reasons behind this price action...what might happen over the weekend? Look at Bank of America...So my head over ruled my heart. I think I made the right choice.

I do wonder though, throwing a quick £750 down which you can afford to lose. In 5 years time.....?

Well done, great reflex ! I find that to be one of the hardest things to do.

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I will admit to a novice impulse yesterday. I was watching RBS tank, down 8% at one point. I had a strong urge to buy in when it reached 20p and set an order to sell at 25p. I have noticed that it tends to trade back and forth within a channel before breaking out to a new range. Volatile and risky.

My finger was on the trigger, then I realised I was effectively gambling. Did I fully appreciate the reasons behind this price action...what might happen over the weekend? Look at Bank of America...So my head over ruled my heart. I think I made the right choice.

I do wonder though, throwing a quick £750 down which you can afford to lose. In 5 years time.....?

http://www.youtube.com/watch?v=Tc4xuzcvcFE&NR=1&showinfo=0&start=04

Edited by Tamara De Lempicka

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Five years time you will either look back and say 'thank god' or 'I missed the investment of a lifetime'

I am waiting on the sidelines, for the signal of when to buy into the sector. The sector* will recover, but a new boom needs to be a catalyst. Buy a basket of banks, and a handful of junior financials. LCG is worth a look but not quite there yet as a buy at 84p

FTSE350 Bank sector - http://bigcharts.marketwatch.com/charts/big.chart?nosettings=1&symb=xx%3anmx8350&uf=0&type=2&size=2&sid=2177317&style=320&freq=2&time=12&rand=27132078&compidx=aaaaa%3a0&ma=1&maval=30&lf=1&lf2=2&lf3=0&height=444&width=579&mocktick=1

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I myself have never bought or sold individual shares in a share dealing account, but I am fully aware that for every company with shares trading on the stock exchange there is a spread between the buying price and the selling price.

I'm curious, in the case of these now penny share banks such as Lloyds, etc, what is the typical percentage difference between these two prices. In other words, ignoring stamp duty and broker fees, how much would the chares have to rise to break even on my buy trade ??

Does this buy/sell price spread percentage stay the same regardless of whther RBS was back trading at £10 a share compared with todays 20p-something per share ?

(I also realise that for small cap, illiquid stocks the spread will be larger? and so I am referring here specifically to very highly traded shares such as the big banks)

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Wonder what lloy share price would be without HBOS.

I bought some lloy shares back in 2003 or 4. at 400p a share (they were something like 1200p a share in the dot com frenzy :lol:

Sold half to realize some cash around 550p a share a couple of years later, then sold the rest at 60p amid the credit crunch, not so much as i was worried about them going to zero, more i was disgusted that i 'owned' a chunk of what I now realized was a parasitic bank.

Amazing that theyre now just 30p

Wasnt there some guy in HPC who put his entire Deposit fund into RBS at 35p a share or something. £35k IIRC. There was a 35 in there somewhere, anyway.

And yet the bonuses continue.

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I myself have never bought or sold individual shares in a share dealing account, but I am fully aware that for every company with shares trading on the stock exchange there is a spread between the buying price and the selling price.

I'm curious, in the case of these now penny share banks such as Lloyds, etc, what is the typical percentage difference between these two prices. In other words, ignoring stamp duty and broker fees, how much would the chares have to rise to break even on my buy trade ??

Does this buy/sell price spread percentage stay the same regardless of whther RBS was back trading at £10 a share compared with todays 20p-something per share ?

(I also realise that for small cap, illiquid stocks the spread will be larger? and so I am referring here specifically to very highly traded shares such as the big banks)

simple to work out just add tax and the cost of the trade to buy and sell anything over that is a profit, yes i have been buying brac shares, like ive been saying safest bank in the UK.

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  • 284 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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