Reply To: CLLN

[Stephen Bland]

Thanks for the positive comments. I reiterate as mentioned in the latest TDL and on previous occasions that it is extremely rare for a large company to go bust and this is principally the reason I stick to such shares for HYP selections. But there are no guarantees, shares and their dividends are always a risk investment. The defence, which forms the foundation of HYP construction, is a widely diversified portfolio so as to reduce the risks specific to any particular industry or share. Risk remains of course, that cannot be eliminated from an equity investment but it can be ameliorated in this way.

And the ultimate test of the success of the approach is a growing portfolio income over the long term, not what happens to each individual share.