I bought this share just in August 2012 as a route into the financial world of the rich and famous...
Well I'm still neither of those yet - and as I have sold out I don't think I'll be rubbing shoulders with any of the Monte-Carlo-yacht-owning investors.
ICG is all about managing money and has two main parts:
- An Investment Company, which invests the company's own funds (and borrowed money), structuring and providing mezzanine finance, leveraged credit and minority equity
- A Funds Management Company, which manages three types of funds for 'over 200' third-party investors
And if you thought the mezzanine was the floor that the lift doesn't stop at, you are not alone. But I digress.
I'm not particularly proud about this sale. This was my second-largest dividend-share holding (after Persimmon). OK, I've made a near-40% profit in around eight months, as well as picking up 6.3p-worth of dividends (although that is not nearly enough for even a down payment on that Monte Carlo yacht). But why am I not holding on for longer? After all the yield is still just under 5%.
Why indeed? This is an interesting company that will probably continue to do well this year. The problem - as always - is with the investor.
The share price triggered my home-grown 'sell' indicator a few weeks ago: the capital gain exceeded 5 years' income (based on the current dividend). But because the yield was still respectable and the price trend seemed still positive, I tried to sit on my hands a bit longer.
However, having seen this kind of capital gain evaporate quickly before, I had taken to watching the share price trends daily. This is not a good approach to income investing - but I found it difficult to stop!
In the end it was an emotional decision as I couldn't stand the tension any more. 'Sell, and have done with it!', my inner investor cried out. But in the end, this says more about me than the company. You might call it: 'bird in the hand' syndrome.
So I'm not going to look at the price any more. Please don't tell me that it's gone up again.
[Sale price: £4.078]
I am not a financial adviser and the information provided does not constitute financial advice. You should always do your own research on top of what you learn here to ensure that it's right for your specific circumstances.