We accept that current conditions are from ideal and that employees are set to take strike action, but believe that the privatisation issue will be priced to succeed with dividends worth at least £6 annually for every £100 invested, We also like the look of longer-term prospects for increasing parcel business from the internet shopping realm as the economy improves.
It is the largest single investment we have made to date, although it will be spread in four chunks of £1000 for each of the portfolios and may well be reduced if applications are scaled back because of excess demand.
We will have to wait until Friday to find out the pricing and number of shares we receive for our notional applications.
As previously outlined, we made a further modest investment of £164 last week to take up our rights to shares being issued by Barclays as part of its fundraising plans.
But we lost one of our more successful share tips when Scottish cloud computing specialist Iomart fell to its published stop/loss level after it announced an acquisition and share sales by directors. The sale realised a profit of 42.5% on our notional investment and we may well re-invest in the company when the share price stabilises.
This drop cancelled out further gains for housebuilder Galliford Try and residential landlord Grainger, and the 2013 portfolio shed nearly 1% of its value over the week.
The 2010 selections also slipped back after a sharp fall in the price of bakery chain Greggs.
However, both the 2011 and 2012 portfolios recorded small gains.