HGH - Heartland Group Holdings

[percy]

Very interesting development when you consider The Reserve Bank of Australia is looking to raise capital ratios for their banks?
Heartland of course does not face the same issues as the Australian Banks;European funding more expensive with falling A$,rising unemployment,over valued property market,mining and retailing woes.
And don't we just love the fully imputed dividends.!

[Harvey Specter]

Does this bit Although Heartland Bank holds capital in excess of regulatory minimums, there is no current intention to reduce the amount of capital held at the bank level mean no financial engineering to get ROE up to 10%.

"no current intentions" but means they could fund an acquisition easier or just use the lower minimums to have a bigger headroom and reduce the risk of hitting them (which I think was Snoopys concern).

[Beagle]

The average cap rate for Aussie banks is around mid 8's percent so with HNZ at 14% you could easily make the case that HNZ are over capitalised !!
I think the Reserve Bank of Australia are taking about international norms of around 10%.

The thing is this change means HNZ are extremely "well positioned" to make an acquisition by simply writing a cheque.

N.Z. Banks profits expected to continue to rise
http://a.msn.com/r/2/AA87Sj0?a=0&m=en-nz

[noodles]

The average cap rate for Aussie banks is around mid 8's percent so with HNZ at 14% you could easily make the case that HNZ are over capitalised !!
I think the Reserve Bank of Australia are taking about international norms of around 10%.

The thing is this change means HNZ are extremely "well positioned" to make an acquisition by simply writing a cheque.

N.Z. Banks profits expected to continue to rise
http://a.msn.com/r/2/AA87Sj0?a=0&m=en-nz

Sounds like that capital is going to be used for growth (according to Jeff) . "We intend to grow"
http://podcast.radionz.co.nz/busines...rtland-048.mp3

[winner69]

Sounds like that capital is going to be used for growth (according to Jeff) . "We intend to grow"
http://podcast.radionz.co.nz/busines...rtland-048.mp3

So no more bigger slice of the cake for Percy

[SCOTTY]

So no more bigger slice of the cake for Percy

Same slice. Bigger cake = happy Percy

[Beagle]

Same slice. Bigger cake = happy Percy

Quite right but also Percy and other astute investors automatically enlarge their slice size with their dividend reinvestment program and are looking for a HUGE regular feed when they retire

[brend]

Quite right but also Percy and other astute investors automatically enlarge their slice size with their dividend reinvestment program and are looking for a HUGE regular feed when they retire

Is the DRP still open? recently bought

[dingoNZ]

Yessir it indeed is

[winner69]

WOW - read this on the ANZ thread

By this measure, Heartland is already outperforming UDC on an underlying business basis