Murray International [MYI] Divi announcement

[monabri]

"The Board has today declared a second interim dividend in respect of the year ending 31 December 2020 of 12.0p net (2019: 12.0p) which will be payable on 19 November 2020 to Ordinary shareholders on the register on 2 October 2020, ex dividend date 1 October 2020."


https://www.investegate.co.uk/murray-in ... 50532719V/

[JuanDB]

Thanks Monabri. Happy to see MYI announcing dividends well in advance. Even if it is held y/y.

[richfool]

MYI seems to have become a trust which gives the dividend in one hand and takes it back by a gradual erosion of capital, in the other. Its capital performance over periods of up to 5 years has been negative and it's languishing at the bottom of the Citywire performance table compared to its peers.

I sold my remaining holding a couple of weeks ago and split the proceeds between SAIN, HINT and SOI. I already have full holding of JGGI. I want some capital appreciation with my dividends.

https://citywire.co.uk/wealth_manager/i ... ePeriod=12

https://www.hl.co.uk/shares/shares-sear ... -25p-share

[everhopeful]

MYI has a lower exposure to the USA and its big tech stocks than SAIN, HINT and JGGI. This has held back capital appreciation in the time frame you quote. If one holds MYI thinking that the time may come when the FANGs lose their shine or in addition to and as diversification from the likes of SMT then I think it remains a decent IT to hold.

[richfool]

MYI has a lower exposure to the USA and its big tech stocks than SAIN, HINT and JGGI. This has held back capital appreciation in the time frame you quote. If one holds MYI thinking that the time may come when the FANGs lose their shine or in addition to and as diversification from the likes of SMT then I think it remains a decent IT to hold.

I do appreciate your point that MYI has less exposure to the US and the flavour of the month/era stocks, and noted that Bruce Stout the manager tends to favour EM's, takes a somewhat different, if not contrary, position to most of his peers, and is sceptical about QE and excess borrowing in developed economies etc. But I ended up thinking, well how long do I have to wait for his stance to come good and suffer under-performance in the meantime. He is still bottom of his group of peers over 10 years in terms of capital appreciation. It reminds me of the likes of PNL, in how long does one have to suffer under-performance whilst waiting for that particular scenario to play out that the manager is anticipating. Noted that MYI didn't perform any better than its peers through the Covid meltdown.

Citywire ten year performance table below:

https://citywire.co.uk/wealth_manager/i ... eriod:120;

[chevin]

PNL has a very specific objective - capital preservation - and its portfolio is set up to deal with that. I've held it for a while now as insurance, and it has stood me in good stead with an annual return of around 5% and a very low beta. It's not underperforming - it's done exactly what it's set out to do.

I do agree about MYI though - I held for some time, not disagreeing with his analysis, but have found more specific ITs focusing on Asia to be more rewarding.

[Dod101]

I hold Murray Int because I like Bruce Stout's style, although currently of course others have done much better but I think he is a good counterweight to some of the racier ones. It depends as always on one's timing.

Dod

[JuanDB]

As may have been stated elsewhere, the time to invest is now. I had purchased a few hundred shares at around £11.66 in March 2019. Funds to expand to a full position are now available and I have few qualms about buying at £9.51. Secure dividend and potential for capital growth seems a winning combo.

I keep returning to this blog post. https://www.itinvestor.co.uk/2020/06/20-global-investment-trusts-compared/ 9.2% over a 30 year period is not to be sniffed at and surprisingly close behind some of the more fashionable trusts.

Cheers,

Juan

[ADrunkenMarcus]

MYI announced their half year results and are intending to at least maintain the dividend per share at the 2019 level for 2020. Perhaps they had been reminded of what the chairman said in the 1920s:

The value of a trust company is not material so long as they do not have to default in the payment of interest or dividends.
- David Murray, Chairman’s speech, 1926.

Best wishes

Mark.

[Dod101]

MYI announced their half year results and are intending to at least maintain the dividend per share at the 2019 level for 2020. Perhaps they had been reminded of what the chairman said in the 1920s:

The value of a trust company is not material so long as they do not have to default in the payment of interest or dividends.
- David Murray, Chairman’s speech, 1926.

Best wishes

Mark.

Interesting and of course nowadays an old fashioned view. Sounds a bit like some of those on that other Board.......HYP is it?

Dod

[ADrunkenMarcus]

Interesting and of course nowadays an old fashioned view.

Absolutely! I use MYI for diversification and as a core global income holding, but balance the healthy dividend yield with other holdings which provide more by way of capital growth.

Best wishes

Mark.

[77ss]

MYI announced their half year results and are intending to at least maintain the dividend per share at the 2019 level for 2020. Perhaps they had been reminded of what the chairman said in the 1920s:

The value of a trust company is not material so long as they do not have to default in the payment of interest or dividends.
- David Murray, Chairman’s speech, 1926.

Best wishes

Mark.

1926 was a different country. UK deflation, 1920-1926, was 26.88%. I am not saying that the statement is necessarily wrong - just that circumstances are so different today that I would be very wary of it.

[ADrunkenMarcus]

1926 was a different country. UK deflation, 1920-1926, was 26.88%. I am not saying that the statement is necessarily wrong - just that circumstances are so different today that I would be very wary of it.

Oh, I agree - and I take the point absolutely.

In recent years, the dividend has been MYI's attraction because capital growth hasn't followed too much - the share price is less than my first purchase in 2012. This brought the 1926 quote to mind.

I am hoping MYI does better in the 2020s as it has gone through a rough few years.

Best wishes

Mark.

[Dod101]

As always, timing is all. I bought into it again (having held it earlier) in September 2015 at 8.219 which it stayed around until early 2016 when it began a climb up to around £11.50/£12 where it was until the Covid clampdown hit in March this year.

As for the quote, I think in these early days, investors were much more interested in income than they are (mostly anyway) today. Certainly if 77ss's comments are correct re deflation, it puts it in context and whilst we are nowhere near that, we have had no serious inflation now for quite a long while.

Dod

[ADrunkenMarcus]

I think in the 1910s and 1920s those who invested in the markets focused on fixed interest securities and preference shares. My impression is that ordinary shares were perceived as much more of a risk. We see this to an extent in the early holdings of trusts such as MYI.

I have no reason to doubt 77ss's figures. There was considerable deflation after the war and, in fact, the economic slump after WWI was worse in the UK than the post-1929 crash.

I think MYI had got to a peak of well over £13 a share at one point. I bought a holding in July 2012, then topped up somewhat in 2015-16 and now again in 2020. My average is under £10 a share.

I share Bruce Stout's views to a large extent. However, as shareholders in MYI we have to hope we will benefit from his approach in the long run.

Best wishes

Mark.

[77ss]

I think in the 1910s and 1920s those who invested in the markets focused on fixed interest securities and preference shares. My impression is that ordinary shares were perceived as much more of a risk. We see this to an extent in the early holdings of trusts such as MYI.

I have no reason to doubt 77ss's figures. There was considerable deflation after the war and, in fact, the economic slump after WWI was worse in the UK than the post-1929 crash.

I think MYI had got to a peak of well over £13 a share at one point. I bought a holding in July 2012, then topped up somewhat in 2015-16 and now again in 2020. My average is under £10 a share.

I share Bruce Stout's views to a large extent. However, as shareholders in MYI we have to hope we will benefit from his approach in the long run.

Best wishes

Mark.

Perhaps I should have given the inflation link:

https://www.in2013dollars.com/uk/inflat ... amount=100

A secondary source - I didn't see much point in checking ONS - the very year 1926 rang bells with me, so I just did a quick google.

On this rainy day, instead of my planned shrub planting, I have been checking my IT holdings - and looking at my list of possible additions. MYI is one of them, so the thread was interesting.

Good luck to holders. Who knows, maybe now is the time to buy. Will the combined effects of Covid-19 and Brexit drive us into another prolonged period of deflation? Rendering the 1926 statement more pertinent? I would have thought it at least a possibility.

[Arborbridge]

Doesn't the view of MYI's share price performance depend - like any other share - on when you happen to be writing. Had one, by chance*, been writing this near one of the high points, rather than near one of the lows, what was written earlier in this thread would have been different.

Since this is near a low rather than a high, and seeing that previously the share is quite able to reverse itself - I'd be looking to top up rather than have doubts. Indeed, I topped up in May this year.

Arb.

*how much chance is involved about when we discuss these things? Don't we all get depressed near the low points and feel we have to make comments or changes our investments?

[floyd3592]

I do agree about MYI though - I held for some time, not disagreeing with his analysis, but have found more specific ITs focusing on Asia to be more rewarding.

Which Specific ITs are u thinking of here chevin?

Regards
Floyd

[ADrunkenMarcus]

Doesn't the view of MYI's share price performance depend - like any other share - on when you happen to be writing. Had one, by chance*, been writing this near one of the high points, rather than near one of the lows, what was written earlier in this thread would have been different.

We tend to see these things go through cycles, don't we? The contrarian in me thinks that MYI will have a better time of the 2020s than it did in the 2010s.

Then again, I'm still hoping that for TMPL which has done dreadfully recently.

Best wishes

Mark.

[Arborbridge]

Doesn't the view of MYI's share price performance depend - like any other share - on when you happen to be writing. Had one, by chance*, been writing this near one of the high points, rather than near one of the lows, what was written earlier in this thread would have been different.

We tend to see these things go through cycles, don't we? The contrarian in me thinks that MYI will have a better time of the 2020s than it did in the 2010s.

Then again, I'm still hoping that for TMPL which has done dreadfully recently.

Best wishes

Mark.

I'm with TMPL too, which I'd always regarded as being rather safe and sensible - had a torrid time, as you say.