Monthly Archives: January 2023
HM Government Borrowings: December 2022
Another month, guess what, take a lucky guess, it is the same old story, HM Government, spends more money than it receives via taxes and duties.
Now we are in a post Covid 19 world. UK’s HM Government needs to fund many new demands. [www.dmo.gov.uk]
https://dmo.gov.uk/data/pdfdatareport?reportCode=D2.1PROF7
Another deficit month, thus to bridge the gap, needs to borrow on the bond market In December 2022, the HM Government had to borrow money to meet the difference between tax revenues and public sector expenditure. The term for this is the PSNCR: The Public Sector Net Cash Requirement. There were “only” 6 auctions of Gilts (UK Government Bonds) by the UK Debt Management Office to raise cash for HM Treasury:-
20-Dec-2022 0¼% Treasury Gilt 2025 £3,619.2500 Million
13-Dec-2022 1% Treasury Gilt 2032 £3,749.9990 Million
07-Dec-2022 0 1/8% Index-linked Treasury Gilt 2031 3 months £744.6500 Million
06-Dec-2022 4 1/8% Treasury Gilt 2027 £4,062.4980 Million
06-Dec-2022 1 1/8% Treasury Gilt 2039 £2,812.5000 Million
01-Dec-2022 1¼% Treasury Gilt 2051 £2,812.4990 Million
£3,619.2500 Million + £3,749.9990 Million + £744.6500 Million + £4,062.4980 Million + £2,812.5000 Million + £2,812.4990 Million = £17,801.396 Million.
£17,801.396 Million = £17.801396 Billion
On another way of looking at it, is in the 31 days in December 2022, HM Government borrowed:- £574.23858064516129032258064516129 Million each day for the 31 days.
We are fortunate, while the global banking and financial markets still has the confidence in HM Government to buy the Gilts (Lend money to the UK), the budget deficit keeps rising. What is also alarming, is the dates these bonds maturing from 2025 to 2051. All long-term borrowings, we are mortgaging our futures, but at least “We Are In It Together……“
Investment in Star Trek
The abrdn Equity Income Trust
The abrdn Equity Income Trust is a London listed investment trust.
https://www.abrdnequityincome.com/en-gb
Twenty largest equity holdings (%)
BP 5.5% of the fund
Shell 4.6% of the fund
Thungela 4.0% of the fund
Glencore 3.8% of the fund
Imperial Brands 3.2% of the fund
Diversified 3.1% of the fund
SSE 3.0% of the fund
Natwest 2.9% of the fund
National Grid 2.8% of the fund
Barclays 2.8% of the fund
British American Tobacco 2.7% of the fund
Close Brothers 2.6% of the fund
CMC 2.5% of the fund
Anglo American 2.2% of the fund
BHP 2.1% of the fund
OSB 2.1% of the fund
Chesnara 2.0% of the fund
Mondi 1.9% of the fund
Legal & General 1.9% of the fund
Playtech 1.8% of the fund
Total 57.5% of the fund
Total number of investments 64
https://www.londonstockexchange.com/stock/AEI/abrdn-equity-income-trust-plc/company-page

Investment in Humanity.
Severn Trent PLC
On the 11th Jan, a few weeks ago, Severn Trent PLC paid out its Jan 2023 dividend.
42.73p a share
https://www.londonstockexchange.com/news-article/SVT/total-voting-rights/15780464
The total number of voting rights in Severn Trent Plc is 251,554,009
Thus:-
251,554,009 x £0.4273 = £107,489,028.0457
That is £107m paid out to shareholders.
https://www.londonstockexchange.com/stock/SVT/severn-trent-plc/company-page

Investment in Chevron
Very interesting interview, especially on his views on a Windfall tax.
Pi
The Federal Reserve Balance Sheet
The US Central Bank (The Fed) is shrinking its balance sheet, it is reversing the QE programme.
The Peak: $8.965487 Trillion

The Current Size: $8.507429 Trillion

Federal Reserve Board – Recent balance sheet trends
3i Infrastructure January dividend
Yesterday, the FTSE-250 infrastructure giant, 3i Infrastructure paid out its Jan dividend.
https://www.3i-infrastructure.com/
5.575p a share.
The Company’s issued share capital as at 8.00 a.m. on 15 March 2018 consisted of 810,434,010 ordinary shares with voting rights.
Thus:-
810,434,010 x £0.05575 = £45,181,696.0575
That is £45million paid to shareholders.
https://www.londonstockexchange.com/stock/3IN/3i-infrastructure-plc/company-page

National Grid dividend
Today, the UK electricity infrastructure giant, pays out its Jan 2023 dividend
17.84p a share.
National Grid’s registered capital as of 31 December 2022 consisted of 3,914,359,015 ordinary shares, of which, 254,041,798 were held as treasury shares; leaving a balance of 3,660,317,217 shares with voting rights
Thus:-
3,660,317,217 x £0.1784 = 653,000,591.5128
That is £653 million paid to shareholders
https://www.londonstockexchange.com/stock/NG./national-grid-plc/company-page

Assets of the Alliance Trust.
The Alliance Trust an investment trust giant.
https://en.wikipedia.org/wiki/Alliance_Trust


John Laing Environmental Assets Group Quarterly dividend
03Last week, on Friday 30th December, John Laing Environmental Assets Group, paid out its December quarterly dividend.
1.79p a share.
the total voting rights figure of 661,531,229.
https://www.londonstockexchange.com/news-article/JLEN/total-voting-rights/15346670
Thus:-
661,531,229 x £0.0179 = £11,841,408.9991
That is £11 million paid to shareholders
https://www.londonstockexchange.com/stock/JLEN/jlen-environmental-assets-group-limited/company-page

Charlie Munger
Renewables Infrastructure Group Quarterly dividend
A few days ago, on Friday 30th December, Renewables Infrastructure Group, paid out its December quarterly dividend.
TRIG plc is now a FTSE-250 company
1.71p a share.
The total issued share capital with voting rights is 2,482,824,562.
https://www.londonstockexchange.com/news-article/TRIG/total-voting-rights/15653185
Thus:-
2,482,824,562 x £0.0171 = £42,456,300.0102
That is £42million paid to shareholders

New Years Day
All is quiet on New Year’s Day
A world in white gets underway
I want to be with you
Be with you, night and day
Nothing changes on New Year’s Day
On New Year’s Day
I will be with you again
I will be with you again
Under a blood red sky
A crowd has gathered in black and white
Arms entwined, the chosen few
The newspapers says, says
Say it’s true, it’s true
And we can break through
Though torn in two
We can be one
I, I will begin again
I, I will begin again
Oh, oh
Oh, oh
Oh, oh
Oh, oh
Oh, oh
Oh, oh
Oh, oh
Ah, maybe the time is right
Oh, maybe tonight
I will be with you again
I will be with you again
And so we’re told this is the golden age
And gold is the reason for the wars we wage
Though I want to be with you, be with you
Night and day
Nothing changes
On New Year’s Day
On New Year’s Day
On New Year’s Day