The stock market hasn’t done much recently, so probably we are in for a move soon and I am of the opinion that it will be upwards. The FTSE 250 is 10.5% below where it was in 2018.
This is why I have been investing any spare cash I can find. You will remember that although my plan is to eschew individual stocks I recently bought Legal & General (here’s why) and yesterday bought Phoenix Group – an insurance company I’d never really heard about until The Times gave it a good write-up yesterday.
As you can see it has marked time, at best, for fourteen years. Well, it has gone down 20% in the last five years. Of course it hasn’t made any money for years. But, capitalised at £5.37 billion, it is in the FTSE 100 and ticks these magic boxes. It yields 9.5% on a P/E of 6.5. Even if the price stays the same the dividend is spectacular and the first instalment comes to shareholders on the register on 27th September.
Not being greedy I hope for gains approaching 100% from both L&G and Phoenix. The latter will I hope rise from its ashes.