Arb's WyfHYP

[Arborbridge]

Here's a short activity report on my wife's HYP. Generally, we let it run for long periods without to much correction, however, recently there have been a couple of changes worth noting.
During 2020, CNA, Restaurant Group, Whitbread, were cleared out. Some of this cash has recently been used to buy partical "unit" holdings in PHP and MNG. The portfolio is as follows, shown in top up order. As usual, I show the capital weight in terms relative to "median equals 1". You will note that some of the income contributions are getting quite high, so maybe some adjustment are on the cards later.



For those interested, the following shows how the capital performance compares with ArbHyp, and RPI.


Incidentally, income per unit declined hardly at all - a result I can hardly believe so I want to audit it. Perhaps the result of not tinkering much

That's all, for the moment.

Arb.

[Gengulphus]

I see that you've managed to achieve the most important goal: getting the two HYPs' recent relative positions the right way around! ;-)

Gengulphus

[funduffer]

Maybe you should let your wife have more of a say on your HYP!

[Arborbridge]

Maybe you should let your wife have more of a say on your HYP!

I doubt that would help, since I run her's as well as mine!

[daveh]

Maybe you should let your wife have more of a say on your HYP!

I doubt that would help, since I run her's as well as mine!

But are you running it more conservatively as you are worried about how to explain large losses to the wife ?

[monabri]

The divergence seems noticeable at 2017 onwards....was that due to ArbHyp containing the likes of Carrilion , Interserve?

[Arborbridge]

Maybe you should let your wife have more of a say on your HYP!

I doubt that would help, since I run her's as well as mine!

But are you running it more conservatively as you are worried about how to explain large losses to the wife ?

There is some truth in that. It was set up with a slightly different approach because she wasn't so much interested in income. Therefore, the concept was towards more stalwart companies like Reckitt and Unilever and a slightly lower yield. You might fairly ask how the Retaurant Group got in there - well that happened to be a legacy holding in that account and became included. Most of the others are fairly routine HYP shares - Standard Chartered was bought when it had a modest yield and high cover but didn't turn out well. The only other unusual additions were Ashmore, which was intended to add a little Eastern promise, and Wood Group which I saw as a solidly run engineering company - but it fell on the oil industry woes.
WyfHYP may have benefitted through lower yield and lack of tinkering, but I could never prove it!

Arb.

[tjh290633]

It was set up with a slightly different approach because she wasn't so much interested in income. Therefore, the concept was towards more stalwart companies like Reckitt and Unilever and a slightly lower yield. You might fairly ask how the Retaurant Group got in there - well that happened to be a legacy holding in that account and became included. Most of the others are fairly routine HYP shares - Standard Chartered was bought when it had a modest yield and high cover but didn't turn out well. The only other unusual additions were Ashmore, which was intended to add a little Eastern promise, and Wood Group which I saw as a solidly run engineering company - but it fell on the oil industry woes.
WyfHYP may have benefitted through lower yield and lack of tinkering, but I could never prove it!

Arb.

That reminds me of my mother many years ago when she sold her house and wanted to invest the proceeds. Her solicitor suggested that she choose shares in which she might have an interest. So she chose ICI because they were then the biggest, Marks & Spencer because she bought clothes from them, and Brooke Bond Liebig, because she drank their tea.

BBL got taken over by Unilever for cash but I still hold MKS and the offshoot of ICI in the form of AZN. I have more recently bought ULVR.

Not always a successful investing principle, but it can work.

TJH

[funduffer]

That reminds me of my mother many years ago when she sold her house and wanted to invest the proceeds. Her solicitor suggested that she choose shares in which she might have an interest. So she chose ICI because they were then the biggest, Marks & Spencer because she bought clothes from them, and Brooke Bond Liebig, because she drank their tea.

BBL got taken over by Unilever for cash but I still hold MKS and the offshoot of ICI in the form of AZN. I have more recently bought ULVR.

Not always a successful investing principle, but it can work.

TJH

My grandfather liked buying shares in companies he had an interest in. He smoked and so invested in BATS. He died in 2001 aged 96 and left the shares to my mother. She died last year, and those BATS shares are worth >£300k. It would be even more if she hadn’t spent the dividends. With these BATS shares my mother’s portfolio made HYP1 look well balanced!