I see in Consensus Forecasts that Dividends are projected for Dec 09 and Dec 10. How reliable is this. Can one assume fairly safely that this will be the case and that they will indeed again pay dividends?? How do the analysts know this? Where do they get the figures to project 3 yrs ahead?
it is a view .. depending on all sorts it has value .. but as with anything it cannot be used on its own .. when investing you are building a case to invest (or not) in a stock .. the consensus view is merely a part of that case ..
They will pay dividends but that would be the last reason to own this share. WHAT are you really buying - an asset manager (?? of no note) running expensive products that depend on commissioned advisers ( sic) to sell them?? The Financial environment does not offer a future for such an expensive offering.How do you value it - its opaque - FURTHERMORE its a business that basically depends on a positive stock market to drive up its value. This is a has been business - and only the traders and managers got rich out of it.I can not see this as a long term hold - even on the recent underpricing( where I bought some and then sold them pretty soon after)