I arranged to transfer £1,000 to my Selftrade dealing account, and set about looking for a share to purchase which would also provide a good dividend.
I choose Antofagasta, a FTSE100 company, involved in mining, transport and water mostly in Chile, South America, but with a smaller presence in other parts of the world. It was incorporated in London in 1888, and seem to know what it was doing, and where it was going.
The Stock market EPIC was ANTO and was listed in the mining sector.
I also knew that if I owned the share on 23 April, I would be entitled to the dividend of US$0.861 per share as this was the ex-dividend date. The dividend payment would be added to my cash balance on 23 May. Antofagasta was a company whose I thought had a sensible dividend policy. Simply, it was always paid out of the profit for the year, and not taken from reserves.
The share price had previously peaked at the end of December 2010 at £16.30, 2 years after the banking crisis. I think people had been investing in mining as a safer place to put their money! The share price was about £8.50 a share, so I purchased 116 shares for a cost of £996 to start my portfolio.
If you want to know more about Antofagasta this is the company website: http://www.antofagasta.co.uk
No comments:
Post a Comment
I am generally happy to accept and approve comments, unless I consider it blatant SPAM, which will not be approved.