Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Daily Grime -STJ/NSF

By Jeremy GrimeETFsOct 22, 2019 13:04
uk.investing.com/analysis/daily-grime-stjnsf-200433635
Daily Grime -STJ/NSF
By Jeremy Grime   |  Oct 22, 2019 13:04
Saved. See Saved Items.
This article has already been saved in your Saved Items
 

Chart of the week

I know this chart is for the US but I suspect the same applies in the UK. It helps explain why we all feel a little grumpy

S&P 500 vs Cumulative Fund Flows
S&P 500 vs Cumulative Fund Flows

Non-Standard Finance (LON:NSF) – Director Change

Share Price 38p

Mkt Cap £117m

Conflict Disclosure: No Holding

  • Change: Miles Cresswell Turner is stepping down from NSF. He was instrumental in building the portfolio and served an CEO pf the branch based lending business.
  • Valuation The shares trade on a PER of 10X and yield 7.7%. Provident Financial (LON:PFG) trades on 9X and yields 6.1%
  • Implications This underlines the risks of a team incentivised by founder shares which expire in January next year. The shares have a vesting threshold of 105p while the share price is 38p which suggests that investors may want to exercise caution ahead of the incentives going forward being clarified. Provident on the other hand is now looking interesting.
  • St. James’s Place PLC (LON:SJP)– Q3 Update

    Share Price 1013p

    Mkt cap £5,407m

    Conflict Disclosure: No Holding

  • Update Net inflows were 1.9% over the quarter which brings AUM to £112.8bn. Pensions are the driver of net inflows. NAV on an EEV basis is £12.60 per share at 30 September.
  • Estimates AUM is now up 18% over the 9 months to September and forecasts anticipate £267m of pre tax profit.
  • Valuation EEV has been discredited for many insurers. The shares trade at a premium of 530% to NAV. In PE terms that is 24X and the yield is 4.8%.
  • Conclusion The Yodelar report was scathing over St James’ performance. Not to mention the Woodford publicity. Then we have the high and complex charges. It is hard to see what will stop the net inflows if this doesn’t when the industry is under pressure on flows. It does show the power of marketing in financial services. It still has momentum. But I think of it as unethical.

    Daily Grime -STJ/NSF
     

    Related Articles

    Daily Grime -STJ/NSF

    Add a Comment

    Comment Guidelines

    We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

    • Enrich the conversation
    • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
    • Be respectful. Even negative opinions can be framed positively and diplomatically.
    •  Use standard writing style. Include punctuation and upper and lower cases.
    • NOTE: Spam and/or promotional messages and links within a comment will be removed
    • Avoid profanity, slander or personal attacks directed at an author or another user.
    • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
    • Only English comments will be allowed.

    Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

    Write your thoughts here
     
    Are you sure you want to delete this chart?
     
    Post
    Post also to:
     
    Replace the attached chart with a new chart ?
    1000
    Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
    Please wait a minute before you try to comment again.
    Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
     
    Are you sure you want to delete this chart?
     
    Post
     
    Replace the attached chart with a new chart ?
    1000
    Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
    Please wait a minute before you try to comment again.
    Add Chart to Comment
    Confirm Block

    Are you sure you want to block %USER_NAME%?

    By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

    %USER_NAME% was successfully added to your Block List

    Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

    Report this comment

    I feel that this comment is:

    Comment flagged

    Thank You!

    Your report has been sent to our moderators for review
    Continue with Google
    or
    Sign up with Email