As this portfolio is largely IT based I've nudged it from HYP-Practical to here leaving a link. - Chris
Good Evening.
I have lurked on the HYP Practical Forum for many years now, even in the Motley Fool period, having very much appreciated the introduction to HYP and the level of diligent discussion. My interest and investment in a HYP has waxed and waned over the years, often down to disasters such as Deepwater Horizon at BP, accounting discrepancies at Tesco or company failures at Interserve and Carillion. I have not been systematic in my approach and indeed, have periodically focussed on ITs, Trackers and Trading portfolios. Yet I have maintained a LTBH approach regarding the HYP constituents. Thus I hope I have not swept up too many non-HYP holdings in the following portfolio.
By way of context I am over five years off the point when I may decide to retire, but having monitored my dividend income more closely over the last six years, have perhaps greater confidence in this form of passive income, not least given that it will supplement a workplace pension. Of course the recent shift to value shares has benefited this portfolio from a capital perspective and perhaps reignited my interest.
A few reflections (or excuses):
1. NAIT is the result of a long-term regular investment, now stopped, but continues to growth through dividend reinvestment.
2. I hold a range of ITs, and from a HYP perspective, assume overseas ITs maybe justified, but the UK standards such at MUT and MRCH may not be?
3. I hold Blackrock World Mining, so apart from a small holding in RIO have not purchased mining shares.
4. Larger holdings in BP, SHELL, GSK and UNILEVER are primarily down to trading like purchases at considered lows in the pandemic era. I have not trimmed the oil companies given the foreseeable continued strength of the price of oil (albeit do not understand the limited impact on the share prices following the windfall tax). Nevertheless this runs counter to my next point....
5. I continue to buy new HYP shares, most recently IGG, ADM and SSE, driven by a desire to make an individual company failure immaterial to the portfolio. I have not followed the diworsification debate.
6. I have continued to hold Marston's (MARS) despite the cessation of dividends.
7. I exited Tesco in the last 12 months following a rise, and have since avoided retailers.
Any comments on the HYP would be most welcomed, as I would like to become more disciplined (and successful).
Thank you
Jam (tomorrow)
Value Div Fcst
Share Epic Sector %Total %Total Yield
North American Income Trust NAIT IT - North America 15.86% 11.79% 3.50%
BP BP Oil & Gas Producers 9.13% 7.95% 4.10%
Shell SHEL Oil & Gas Producers 7.87% 5.85% 3.50%
Unilever ULVR Food Producers 4.92% 4.18% 4.00%
BlackRock World Mining Trust BRWM IT - Commodities & Natural Resources 4.91% 6.36% 6.10%
GlaxoSmithKline GSK Pharmaceuticals & Biotechnology 4.26% 2.72% 3.00%
Murray International Trust MYI IT - Global Equity Income 3.58% 3.27% 4.30%
Murray Income Trust MUT IT - UK Equity Income 3.47% 3.02% 4.10%
Apax Global Alpha Limited APAX IT - Private Equity 3.16% 4.17% 6.20%
Merchants Trust MRCH IT - UK Equity Income 2.82% 2.99% 5.00%
AstraZeneca AZN Pharmaceuticals & Biotechnology 2.36% 1.20% 2.40%
Imperial Brands IMB Tobacco 2.33% 3.97% 8.00%
Henderson Smaller Companies In HSL IT - UK Smaller Companies 2.13% 1.22% 2.70%
BAE Systems BA Aerospace & Defence 1.89% 1.36% 3.40%
Legal and General Group LGEN Life Insurance 1.86% 3.16% 8.00%
National Grid NG Multiutilities. 1.84% 1.92% 4.90%
British American Tobacco BATS Tobacco 1.81% 2.53% 6.60%
Aviva AV Life Insurance 1.81% 2.92% 7.60%
European Assets Trust EAT IT - European Smaller Companies 1.79% 3.04% 8.00%
Henderson Far East Income Ltd. HFEL IT - Asia Pacific Income 1.52% 2.55% 7.90%
BlackRock Latin American Inv T BRLA IT - Latin America 1.46% 1.71% 5.50%
Phoenix Group Holdings (DI) PHNX Life Insurance 1.44% 2.48% 8.10%
Templeton Emerging Markets Inv TEM IT - Global Emerging Markets 1.44% 0.77% 2.50%
Tritax Big Box Reit BBOX IT - Property - UK Commercial 1.36% 0.98% 3.40%
HICL Infrastructure Company Lt HICL IT - Infrastructure 1.35% 1.32% 4.60%
British Land Company BLND Retail REITs 1.28% 1.12% 4.10%
Tate and Lyle TATE Food Producers 1.26% 0.67% 2.50%
Aberdeen Asian Income Fund Ltd AAIF IT - Asia Pacific Income 1.26% 1.18% 4.40%
Lloyds Banking Group LLOY Banks 1.10% 1.26% 5.40%
Persimmon PSN Household Goods & Home Construction 1.10% 2.54% 10.90%
Vodafone Group VOD Mobile Telecommunications 1.10% 1.44% 6.20%
Standard Life Investments Prop SLI IT - Property - UK Commercial 0.89% 0.89% 4.70%
ITV ITV Media. 0.76% 1.22% 7.60%
M and G MNG Financial Services 0.75% 1.41% 8.80%
Marston's MARS Travel & Leisure 0.75% 0.00% 0.00%
Land Securities Group LAND Industrial & Office REITs 0.66% 0.73% 5.20%
Rio Tinto RIO Mining. 0.63% 1.64% 12.20%
HSBC Holdings HSBA Banks 0.48% 0.45% 4.50%
IG Group Holdings IGG Financial Services 0.42% 0.67% 7.50%
SSE SSE Electricity 0.41% 0.44% 5.10%
Admiral Group ADM Nonlife Insurance 0.41% 0.71% 8.20%
Standard Chartered STAN Banks 0.34% 0.17% 2.40%
Portfolio Running Yield = 4.71%
Value Div
Sector %Total %Total
IT - North America 15.86% 11.79%
Oil & Gas Producers 17.00% 13.80%
Food Producers 6.18% 4.85%
IT - Commodities & Natural Resources 4.91% 6.36%
Pharmaceuticals & Biotechnology 6.62% 3.92%
IT - Global Equity Income 3.58% 3.27%
IT - UK Equity Income 6.29% 6.01%
IT - Private Equity 3.16% 4.17%
Tobacco 4.14% 6.50%
IT - UK Smaller Companies 2.13% 1.22%
Aerospace & Defence 1.89% 1.36%
Life Insurance 5.11% 8.56%
Multiutilities. 1.84% 1.92%
IT - European Smaller Companies 1.79% 3.04%
IT - Asia Pacific Income 2.78% 3.73%
IT - Latin America 1.46% 1.71%
IT - Global Emerging Markets 1.44% 0.77%
IT - Property - UK Commercial 2.25% 1.87%
IT - Infrastructure 1.35% 1.32%
Retail REITs 1.28% 1.12%
Banks 1.92% 1.88%
Household Goods & Home Construction 1.10% 2.54%
Mobile Telecommunications 1.10% 1.44%
Media. 0.76% 1.22%
Financial Services 1.17% 2.08%
Travel & Leisure 0.75% 0.00%
Industrial & Office REITs 0.66% 0.73%
Mining. 0.63% 1.64%
Electricity 0.41% 0.44%
Nonlife Insurance 0.41% 0.71%
Total 100.00% 100.00%
Note: 1...'Value %Total' is the portfolio value of the share as a % of the total portfolio
2...'Div %Total' is the expected dividend of the share based on forecast yield
as a % of the total portfolio expected dividend