The Lemon Fool

IanTHughes wrote:Why there is all this talk about HYPTUSS and how it calculates what to use as a forecast dividend or yield beats me, it really does.

If one believes the dividend for a particular share to be at risk, surely one simply rejects that share and moves on to the next one in the list! Where is the problem?


Ian

Quite: HYPTUSS does the general organisation for you, then you revert to your process of moving on to the next on the list if you've rejected any higher one for any reason. Where is the problem?
HYPTUSS just automates your first stage, so I can see little difference except it might be quicker for those who have not set up similar software.

If you don't want to use HYPTUSS because you have another way which amounts to the same thing, I'm not objecting

Arb.

Arborbridge wrote:

IanTHughes wrote:Why there is all this talk about HYPTUSS and how it calculates what to use as a forecast dividend or yield beats me, it really does.

If one believes the dividend for a particular share to be at risk, surely one simply rejects that share and moves on to the next one in the list! Where is the problem?

Quite: HYPTUSS does the general organisation for you, then you revert to your process of moving on to the next on the list if you've rejected any higher one for any reason. Where is the problem?
HYPTUSS just automates your first stage, so I can see little difference except it might be quicker for those who have not set up similar software.

If you don't want to use HYPTUSS because you have another way which amounts to the same thing, I'm not objecting

I never do use HYPTUSS. This is simply because I always wish to select the highest yield that I consider sustainable. I do avoid over-concentration but do not create a ranking based on a combination of high yield AND low value concentration. It simply makes no sense to me to do it that way, if one is looking for the highest yield.

To answer TopOfDaMornin who asked the question, I would top-up Imperial Brands PLC (IMB). IMB has the highest yield that I consider sustainable and, with a current concentration of 8.40% by value, the portfolio is not I believe over-concentrated in the Tobacco sector. M & G PLC (MNG), a new holding and new sector I believe, would be my second choice.

But of course those choices are based on my Yield Ranking system, not HYPTUSS


Ian

IanTHughes wrote:I never do use HYPTUSS. This is simply because I always wish to select the highest yield that I consider sustainable. I do avoid over-concentration but do not create a ranking based on a combination of high yield AND low value concentration. It simply makes no sense to me to do it that way, if one is looking for the highest yield.


Ian

That's a very reasonable position: after all, HYPTUSS is based on one person's idea of how to do it - it isn't the only way, and no one knows if it's the best way. It's just based on a theory. I do like the way it "organises" me, though, and it does automatically suggest shares which avoid concentration.
However, one might say I lean in your direction because I do not always take the top share in the list, but examine the top 12 for my choice, or even further down on occasions if I feel like it.

It's best not to be a slave to the system in minute detail, but keep some freedom.

At present, HYPTUSS suggests IMB for me, so we are on the same page

Arb.

Arborbridge wrote:

IanTHughes wrote:I never do use HYPTUSS. This is simply because I always wish to select the highest yield that I consider sustainable. I do avoid over-concentration but do not create a ranking based on a combination of high yield AND low value concentration. It simply makes no sense to me to do it that way, if one is looking for the highest yield.


Ian

That's a very reasonable position: after all, HYPTUSS is based on one person's idea of how to do it - it isn't the only way, and no one knows if it's the best way. It's just based on a theory. I do like the way it "organises" me, though, and it does automatically suggest shares which avoid concentration.
However, one might say I lean in your direction because I do not always take the top share in the list, but examine the top 12 for my choice, or even further down on occasions if I feel like it.

It's best not to be a slave to the system in minute detail, but keep some freedom.

At present, HYPTUSS suggests IMB for me, so we are on the same page

Arb.

Yes, I use HYPTUSS the same way.

I look at the top 6-10 ranked shares for a top-up, and may reject some for over-concentration at sector or industry level, or due to a recent cut. Then I look at sustainability, and may reject for that. I also look at new shares outside the portfolio.

Its just a tool not a decision maker.

FD

re Rio's dividend, consensus forecast for the 2021 FY divi are an amazing 580p ($8.29). BHP's is similarly expected to rise sharply.

https://www.vuma.com/public/consensus/rio/fy21