HGH - Heartland Group Holdings

[SailorRob]

That would have to be comment of the year to describe Percy. You've obviously never met him and don't know anything about him. Merry Christmas all.

Like with his fixed income, would he not rather reinvest it in his best equity pick at 30% pa vs 5%?

[SailorRob]

That would have to be comment of the year to describe Percy. You've obviously never met him and don't know anything about him. Merry Christmas all.

This is probably super difficult for you to understand so I've thought of a, way that might make sense to you.

Percy owns a business with a friend and that business makes 100k a year cash.

He has the choice of his friend buying him out at 50% higher price than what he's currently offering or Percy has the choice of buying his friend out for 50% less.

Thus getting his hands on the 100k income each year for a vastly lower price and thus his return on swapping his 5% term deposit is massive.

He's turned a 5% return into 25 maybe 35%.

[mike2020]

What if he then onsells his friends share at 100% gain and reinvests the cash into oca which sadly gets a buyout at 100% above current market and then he, as I would actually expect, picks the bottom of hgh with perfect timing setting himself up for 16% returns in perpetuity?

Here's for a better 2024 everyone.

[SailorRob]

What if he then onsells his friends share at 100% gain and reinvests the cash into oca which sadly gets a buyout at 100% above current market and then he, as I would actually expect, picks the bottom of hgh with perfect timing setting himself up for 16% returns in perpetuity?

Here's for a better 2024 everyone.

Yes agreed this would be better, but very difficult to do.

I don't agree with the HGH part as could lose the lot or get extremely low returns.

Banks are notorious.

What was wrong with 2023 that we need to hope for a better 2024?

[davflaws]

What was wrong with 2023 that we need to hope for a better 2024?

I am 78 and well retired. My wife is still working and wil probably continue to do so for perhps another three to five years. Because we decided to set ourselves up with a decent workshop/shed and an ensuite, we got caught by rapidly rising building costs and had no chance of meeting them out of income. So we needed to sell shares. Our portfolio is in the toilet, and so we have sold some shares that I would have liked to hold for significantly less than I paid for them.

I know **** happens, but in 2023, it happened in much larger quantities than I had expected. I am not expecting to buy any more shares on my own account, but we may need to fund trips to LA and Perth for family responsibilities. I understand SR's position in relation to the share price, but it doesn't apply to me. I am at the stage where I sell to maintain our lifestyle, ergo I want a high price.

[SailorRob]

I am 78 and well retired. My wife is still working and wil probably continue to do so for perhps another three to five years. Because we decided to set ourselves up with a decent workshop/shed and an ensuite, we got caught by rapidly rising building costs and had no chance of meeting them out of income. So we needed to sell shares. Our portfolio is in the toilet, and so we have sold some shares that I would have liked to hold for significantly less than I paid for them.

I know **** happens, but in 2023, it happened in much larger quantities than I had expected. I am not expecting to buy any more shares on my own account, but we may need to fund trips to LA and Perth for family responsibilities. I understand SR's position in relation to the share price, but it doesn't apply to me. I am at the stage where I sell to maintain mour lifestyle, ergo I want a high price.

Yeah great post and I totally understand. You just want at a minimum, the ability to sell them for intrinsic value, preferably more!

And this is the reason for not owning equities or private businesses at all if you need the liquidity within 5 or even more years. As you can never be guaranteed you will get a fair price. One day you will, but the timing may not suit.

I'm also viewing 2023 from a US and index centric perspective, where it truly has been gangbusters.

I do hope you get the chance to sell for a fair price as you need to.

[percy]

Probably wants his supermarket shop to double in price as well.

Meanwhile what the Sailor wants for Christmas if for his biggest position to drop by 50% or more.

I put $100 into my largest holding and it goes up the 50% that expect.......................$150.
You hope your $100 of stock drops 50%............................................... ......$50.
To catch up to me your stock will need to rise 300%..
Year two your stock makes you very happy dropping another 50%...........$25.
My stock remains on its upward way rising 20%............................................... ..........$180.

You keep doing what works for you,while I will continue doing what works for me.

[SailorRob]

I put $100 into my largest holding and it goes up the 50% that expect.......................$150.
You hope your $100 of stock drops 50%............................................... ......$50.
To catch up to me your stock will need to rise 300%..
Year two your stock makes you very happy dropping another 50%...........$25.
My stock remains on its upward way rising 20%............................................... ..........$180.

You keep doing what works for you,while I will continue doing what works for me.

You'll never understand what I'm saying, you won't put the effort in, you have a typical very shallow comprehension of numbers.

Hell if we follow your example much further I would own the entire corporation for free. But I don't expect you to get that either.

I'm not a teenager looking for quick gains bro.

Why don't you at least put a tiny bit of effort in to understand what happenes if the earnings of my company stay the same.

[percy]

You'll never understand what I'm saying, you won't put the effort in, you have a typical very shallow comprehension of numbers.

Hell if we follow your example much further I would own the entire corporation for free. But I don't expect you to get that either.

I'm not a teenager looking for quick gains bro.

Why don't you at least put a tiny bit of effort in to understand what happenes if the earnings of my company stay the same.

As I have already said I prefer my way.
It has and continues to work well for me.
You keep doing what suits you.

[SailorRob]

As I have already said I prefer my way.
It has and continues to work well for me.
You keep doing what suits you.

Working well means that it must have produced higher returns than investing the equivalent equivalent amount at the same time into a SP500 index fund.

I find it exceptionally difficult to believe you have outperformed the market over 50 years.

The time you want a stock price up is when you are not confident in your estimate of the amount of cash it will produce in future. Which is the case for some of my holdings.

If you know there is a 100 note in 2 years time you by definition want to be able to purchase that $100 for as cheap as you can get it for now.