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Old 27-03-2020, 11:35 AM   #2011
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Thanks for your reply. Will the dilution happens to existing shareholders if they take up the rights issuance and the MCB?
The dilution still happens -- every share is worth less simply because there are more shares -- but if a particular shareholder participates in both offers then that particular shareholder's percentage ownership in Singapore Airlines remains the same.

Temasek will increase its percentage ownership because it's participating in both offers for all its shares and buying up all offers that other shareholders don't accept. There won't be 100% shareholder participation in both offers -- that's impossible.

They can also choose to sell the rights in the market to cash out right?
I don't see any evidence existing shareholders will be able to do that. I don't see how that sort of arrangement would be compatible with Temasek's "catch all" provision to buy all unaccepted offers.

Hypothetically a shareholder could make a private arrangement of some kind with another individual, within a family for example.

Is there why SIA is under pressure today instead of rising like the rest of the STI?
That makes sense to me. These are not thrilling offers, and other shareholders not named Temasek really have no say since Temasek is already the majority owner of Singapore Airlines. This is a done deal. Temasek will look out for Temasek (as it should), and everyone else is just along for the ride.

Last edited by BBCWatcher; 27-03-2020 at 11:38 AM..
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Old 28-03-2020, 10:44 AM   #2012
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U.S. 2019/2020 Tax Payment Deferral

For those of you with U.S. tax payments to make, including U.S. estimated tax payments for tax year 2020, you now have until July 15, 2020, to make tax payments that would have been due on April 15, 2020. For example, your first quarter 2020 estimated tax payment is now due July 15, 2020.(*) The 3 month payment extension is interest and penalty free, and you don't need to do anything to qualify for the extension.

For more coronavirus-related updates from the IRS visit their dedicated Web site:

https://www.irs.gov/coronavirus

(*) The second quarter estimated tax payment is ordinarily due June 15, 2020, which is now before the new first quarter deadline. That's still the case for now, but watch for a possible extension.

Last edited by BBCWatcher; 28-03-2020 at 10:46 AM..
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Old 28-03-2020, 11:09 AM   #2013
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I don't see any evidence existing shareholders will be able to do that. I don't see how that sort of arrangement would be compatible with Temasek's "catch all" provision to buy all unaccepted offers.

Hypothetically a shareholder could make a private arrangement of some kind with another individual, within a family for example.
And I thought when rights are up for sale Temasek will mop-up all retail rights on markets as long as sell <=$3. No?? So we die die must find money and keep up with big boy or let them take over the steering wheel, car and garage along with it. Interesting !!
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Old 28-03-2020, 08:25 PM   #2014
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Looks like those who file U.S. income taxes and are not nonresident aliens will get a stimulus check. Also, the income limit appears to be based on AGI instead of MAGI (which adds back exclusions), so a great many abroad should qualify.

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Old 29-03-2020, 09:07 AM   #2015
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A little “trick” is to delay filing your 2019 tax return if your 2018 return will qualify you for the refundable tax credit but your 2019 won’t. Or vice versa: file 2019 right away if it’s the other way around. This’ll all be settled with 2020’s tax return, but even if your 2020 income is stratospheric any previously qualified and paid relief (up to $1,200 per adult, $500 per child) won’t be clawed back. Also move quickly to file your 2019 tax return if you have an additional qualifying child, spouse (such as a spouse who became a U.S. permanent resident), etc. that’s newly reported in that 2019 return and if you all qualify.

One danger for many overseas Americans and U.S. permanent residents, and others, is that most must file a U.S. tax return to qualify. Also, they must have U.S. Social Security Numbers. There are going to be some people who slip through those cracks. I’ll include the few nutty (yes, I think so) parents who don’t document their children’s U.S. citizenships even though they exist in legal fact. That’s $500 per child in free money down the drain. And that’s just this round; another is likely. Also, U.S. Social Security survivor benefits are at least much more difficult to claim when the surviving child is undocumented.

Most people who are tax delinquents (owe the IRS back taxes) will still receive this money free and clear if they otherwise qualify. The IRS won’t hang onto it to settle outstanding tax, with one notable exception: child support orders that the IRS knows about.

Since this relief is structured as a refundable tax credit it shouldn’t be directly taxable in other countries, especially not in countries with tax treaties with the U.S. However, it will likely reduce any foreign tax credit or deduction you’re taking in a foreign country’s tax system.

If you included direct deposit bank information in your 2018 or 2019 tax return (for a refund) then you should be in line to receive this as quickly as the IRS can manage. Social Security benefit recipients should also be at the head of the line, too.

Last edited by BBCWatcher; 29-03-2020 at 09:12 AM..
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Old 01-04-2020, 09:29 AM   #2016
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Iím particularly curious about the impacts of COVID-19 on real estate. This Bloomberg interview is quite interesting even if it is U.S. centric. I think I broadly agree with Barrack, especially that the latter half of this month (April, 2020) could signal bigger problems in real estate and its related debt and derivatives markets ó also globally. I would add that you can watch REIT valuations to get some idea about whatís going on.
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Old 02-04-2020, 01:32 PM   #2017
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Cruise ship operator Carnival Corp. was able to raise US$3 billion in the junk bond market by paying a yield of nearly 12% on a 3 year bond. These bonds have first priority claims on Carnival's assets, including their vessels. Carnival apparently set a new record for the highest bond coupon ever (11.5%, and the bond sold at about a 1% discount off par). Yow!

For reference and comparison, the 2 year U.S. Treasury is currently (as I write this) yielding 0.20%. Until COVID-19 Carnival was an investment grade debt issuer, and they issued a euro bond with a 1% yield.

The junk bond markets are functioning, which is good news I guess, but wow.
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Old 02-04-2020, 06:30 PM   #2018
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SCB Esaver has reduced the promotional rate sharply. DBS multiplier too are reducing rates from May. This means there is cash in the system and the demand for cash is low. This is surprising isn't it? I thought cash is king right now and banks would pay higher to get cash from depositors?
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Old 02-04-2020, 09:13 PM   #2019
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SCB Esaver has reduced the promotional rate sharply. DBS multiplier too are reducing rates from May. This means there is cash in the system and the demand for cash is low. This is surprising isn't it?
Not at all.

I thought cash is king right now and banks would pay higher to get cash from depositors?
If cash is king, where is it kept? Often in banks, which means they don't need to offer as much to maintain deposits.
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Old 02-04-2020, 10:28 PM   #2020
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Cruise ship operator Carnival Corp. was able to raise US$3 billion in the junk bond market by paying a yield of nearly 12% on a 3 year bond. These bonds have first priority claims on Carnival's assets, including their vessels. Carnival apparently set a new record for the highest bond coupon ever (11.5%, and the bond sold at about a 1% discount off par). Yow!

For reference and comparison, the 2 year U.S. Treasury is currently (as I write this) yielding 0.20%. Until COVID-19 Carnival was an investment grade debt issuer, and they issued a euro bond with a 1% yield.

The junk bond markets are functioning, which is good news I guess, but wow.
Would you recommend buying cruise stock now?

They are really very low price in history right now.

Carnival Corporation & plc (NYSE:CCL) (NYSE:CUK), Royal Caribbean Cruises (NYSE:RCL), and Norwegian Cruise Line Holdings (NYSE:NCLH)
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Old 02-04-2020, 11:22 PM   #2021
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Would you recommend buying cruise stock now?

They are really very low price in history right now.
I don't recommend overweighting any sector, so no.
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Old 03-04-2020, 10:50 PM   #2022
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Not at all.


If cash is king, where is it kept? Often in banks, which means they don't need to offer as much to maintain deposits.
Cash is king to pay margin calls. There is a shortage of cash as everyone is invested and some are leveraged, because people kept telling time in the market is better than timing the market, inflation will eat into your cash savings, blah blah blah and now suddenly everyone is short of cash and guess what, people have lost more than what inflation would have hurt them in 30 years. Don't tell me you don't know the meaning of cash is king, in the current context.
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Old 04-04-2020, 08:30 AM   #2023
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Hi BBc Watcher, firstly thank you for answering question to us noobs, need to ask for snp 500 etfs I am looking at Voo vanguard ( US domciled 30% witholding tax on divindends, Vusd (irish domciled 15% witholding tax on dividends) spy5 state street (irish domciled 15% witholding tax on dividends) Idus ishares (irish domciled 15% witholding tax on dividends).

I am scared of the funds going belly up and so ask should I diversify among the fund providers for my snp500 allocation of my portfolio or should i go with the one with biggest aum (assets under management ) Voo and Vusd

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Old 05-04-2020, 09:30 AM   #2024
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Cash is king to pay margin calls. There is a shortage of cash as everyone is invested and some are leveraged, because people kept telling time in the market is better than timing the market, inflation will eat into your cash savings, blah blah blah and now suddenly everyone is short of cash and guess what, people have lost more than what inflation would have hurt them in 30 years. Don't tell me you don't know the meaning of cash is king, in the current context.
What on earth are you talking about? You asked why banks have reduced or eliminated interest on deposit accounts. If thereís a higher demand for cash, thatís your answer.

Also, where is inflation supposed to come from when people are trying to hoard cash and conserve cashflow? Howís that supposed to work? But OK, if you fear inflation, buy real return bonds (a.k.a. inflation indexed bonds, such as U.S. Treasury Inflation Protected Securities) and stocks.

I am scared of the funds going belly up and so ask should I diversify among the fund providers for my snp500 allocation of my portfolio or should i go with the one with biggest aum (assets under management ) Voo and Vusd
I donít think you should overweight U.S. listed stocks with one possible exception: you plan to retire there and have the legal right to do so. That said, I donít think itís worth worrying about custodial risks with Vanguard, State Street, Blackrock, or another high quality fund manager. I prefer following a rule that no more than 50% of household wealth is held with a single custodian (assuming high quality custodians), but thatís as far as Iíd go.
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Old 06-04-2020, 09:16 AM   #2025
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Shiny things, bbc watchers did you recieve the fdic message in inetreactive brokers? Are you signing up for it?

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