i have held kcb for the last three years.
My current dividend yield is 7%.
My current Abp is 38.20 which is 37% capital gains on the current price of 52.50.
Buy kcb and hold it for long.

This is a time to hold/sell. Not good for buying

https://www.businessdail...20872-uk44fq/index.html

Mwanyasi: Ignoring the market’s ups and downs entirely and remaining patient for a period lasting more than five years should reward you immensely.

Mwanyasi has a penchant of writing half-baked stuff on newspapers ignoring the fact that many wanjiku/laymen read his articles. The highlighted phrase above is one typical example of how a newspaper columnist can mislead the uneducated masses. While the statement might ring true on some counters( i.e., those with consistent growth/profitability, those that are less risky and with top notch management),this statement is totally false for some counters in the NSE which have consistently been reporting losses with no hope for profitability or growth in earnings in the next five years. Examples of such bad stocks in the NSE abound.Actually 70% of listed companies in the NSE are very risky investments due to corruption(e.g., Government controlled stocks such as Kenya power,Kengen, Mumias, Kenya re etc), others due to bad management/corporate governance e.g.,NBK, Deacons etc. Therefore, i advise wazuans to evaluate what to hold for longterm carefully lest they loose their hard earned cash

[quote=VituVingiSana]This could be interesting but not easy to pull off in Kenya. REITs haven't really taken off despite the tax advantages. https://www.businessdail...20810-hsxmyu/index.html[/quote]

Kenya's real estate sector is still relatively young. The first formal REIT came to the back only a couple of years. When I look at the informal reits that own the River road areas of the city I can say they've really taken off. They pay very good 'dividends' every year without fail. To pull of the D-Reit it's better to work with the saccos instead of pension scheme. Pension schemes trustees are risk averse.

@vvs could this hold true for Kenya really.. A good number of yesteryears heavy weight companies are no longer even operating and those in existence have been rattled by competition, think of Elliotts, KCC, Uchumi, Kimbo, Quencher, Barclays, Stanchart, Unga, KQ..

Unilever used to be listed on NSE back in the day. Why the NSE honchos are unable to attract such quality firms(the real FMCGs...hizi ziko NSE sahii ni bandia) beats me

Exactly chase yields not the prestige of owning dead assets. If a stock is yielding you 1-5% yield you are better investing in a govt bond of 12% or a rental property of 9% yield. That capital gain of waiting 5 years to be rewarded immensely is just the same.

Imagine if you bought the following NSE 'Blue Chips' and went away:

1. A Baumann
2. African Lakes Corporation.
3. African Tours and Hotels Ltd
4. Atlas Africa.
5. Brooke bond Kenya Ltd.
6. Chancery Investment Ltd.
7. City Brewery Investments Ltd
8. Consolidated Holdings Ltd.
9. E. A. Bag & Cordage Co.Ltd.
10. E. A. Oxygen Ltd.
11. E. A. Packaging Industries Ltd.
12. E. A. Road Services Ltd.
13. East African Packaging Ltd
14. Elliot’s Bakery Ltd.
15. Hutching Biemer
16. Kenstock Ltd.
17. Kenya Co-operative Cremaries.
18. Kenya Finance Corporation.
19. Kenya Hotels Ltd.
20. Kenya National Mills Ltd.
21. Kenya Planters Co-operative.
22. Motor Mart Group Ltd.
23. Ol Pajeta Ranching Ltd.
24. Pearl Dry cleaners Ltd.
25. Philips Harrison & Crossifield.
26. Sofar Investment Ltd.
27. Theta Group Ltd.
28. TimSales
29. Unilever Kenya Ltd

Schumpter.
Elliots was never listed. Neither was KCC.
Kimbo, Quencher are brands.

One can't win every game. One has to look in on their firms re: management quality, industry, etc.

The goal is to pick some wonderful firms. And monitor them.
Barclays & Stanchart has done very well for the original IPO shareholders but BBK sadly lost the plot to the likes of Equity.

KQ - You know what happened.

Unga - It lost the plot in the 2000s and competition has increased though Unga is doing better now.

We do not know what will happen in the next 1 month let alone 70 years. That's why choose firms which have good fundamentals and management. Then keep looking in!