Additional Standard Life shares.

Jun 21, 2006 7 Replies

I have done quite well from the recent Standard Life demutualisation as I've got two polices that have been running for 24 years. I'm inclined to keep these shares for at least 12 months to take advantage of the "one extra share in 20" incentive.



I'm also considering the offer to buy some additional shares with a 5% discount. These shares would also qualify for the extra "1 in 20" offer if I keep them for a year. If I chose to buy these additional shares, I would be using funds which are currently in a cash ISA with the Nationwide building society. Does this seem like a good move? I know that the shares will be more volatile but I will effectively be getting a 10% discount over 12 months. What is the conventional wisdom on Standard Life's prospects post demutualisation?



TIA,


At 22:17:21 on 21/06/2006, Paul Giverin delighted uk.finance by announcing:

Or less if they're taken over before next July.

Plus the dividend which they reckon will be 5.4p in May (as 50% of the estimated annual dividend).

Everything I've heard so far seems to recommend it.

In message , Alex writes

Thanks for that Alex.

Paul

I'm in the same situation as you - just out of interest, have you had anything in the post concerning buying extra shares? I've only received correspondence by email.

Regards, Simon

In message , PigPOg writes

My pack turned up yesterday and I had a good scan through today. On top of your allocation you can apply for £1000-50000 at a 5% discount, which may well get oversubscribed, and then on the year anniversary you get another 5% of what you have held for the full year.

Assuming you get the full allocation of extra shares there is likely to be a fractional amount of a share left over, and apparently this is going to be paid to charidee. If you apply for say £50000 and only get three you will get the difference refunded (although I'm not sure if that includes the fractional share amount).

In message , PigPOg writes

Yes I got the pack about 5 days ago and its much as Timothy described in his post.

At 17:09:46 on 22/06/2006, snipped-for-privacy@privacy.net delighted uk.finance by announcing:

Yes. The fractional amount only goes to charity because of the cost of processing refunds for small amounts.

Forget my posting above, the pack arrived this morning. Thanks anyway, Simon

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