I will be very suprised if that high. 64 sen was the total paid for 2019 dividends. So covid-19 no impact?

Indeed. No way. You would be lucky to get around 50.

Hopefully! Another round of >50 sen dividend will allow me to breakeven lol! (hello from RM 8.40 level)

I only shared my back test data on buying Mayban for its dividends.

Sorry but not here to advise anyone la...

Anyway have a look on the notes I made...
Back testing data has its plus and minuses...
the plus is ... it's an eye opener on what has happened....
the minus is .... it's data BASED ON THE PAST...and where it could err is that Maybank future earnings and dividend payouts might improve.

GL

I currently hold MBB stocks for dividends but wondering about the long term prospects beyond COVID-19, especially on issues such as new digital bank licenses - BNM plans to issue up to 5 licences:

https://www.theedgemarkets.com/article/inte...-licences-picks
From what I read about similar concepts in Europe - these banks will have lower OPEX costs and likely to introduce lower charges, which will attract customers from the existing players.

Of course, it will be years before they can gain the trust that the incumbent banks have built. Even then, I'm wondering how well the traditional banks will do when these players start operating.

Has anyone looked into this topic of digital banks and impact to current players?

This is actually a very interesting move by BNM, but their main purpose is to serve the underserved/unbanked customers in Malaysia (typically those SME that doesnt have a credit score history, or need quick liquidity which incumbent banks can’t provide in short time frame)

Personally I think, even at the current pace of technology, average joe will still be conservative and put their money into incumbent banks due to the security of their asset as well as the security that it provides when you can visit any physical branch to rectify your issue.

Not to discount the impact of digital banks may have (see Webank, Kakaobank) are the success story of a digital bank, but they get to leverage on their readily available social media ecosystem which many new challenger bank may not have at the first place.

My view in short: short term (5 years) won’t see much impact as digital bank typically has net burn of 5-8 years. In future? definitely something disruptive

Sorry. I realised I did not answer your question properly. Was watching some movie earlier...

Are you try exit/sell away now at 7.67 that is why you lost in 7yrs or 1.65% gain only?

I was writing on the basis of investing in Mayban for its dividends. Now to test the theory, the furthest point back I used for reference is 2013. 7 years should be a fair experiment. Now the price I chose was based on the lowest price recorded in the year. So for year 2013, the lowest price was 8.90, recorded on Jan 2013.

So assuming I invested 1,000 shares in Maybank in 2013, at the lowest price, 8.90, I asked myself, how much dividends would I have received?
My answer was 4.255
So for an investment of 8900, I would have received 4,255 in dividends.
But based on the current share price of 7.67 (I have to base it versus what the stock is trading now and not in the future, yes?) , the share would be incurring a paper loss of 1.23)

Which means the total current gain is only 4.255 - 1.23 = 3.025

So if one bought Maybank at the lowest price in 2013, at 8.90 and held it till today, one is looking at a 'total current gain' of 3.025.

since everything in investing is based on CAGR, this represents a CAGR gain of only 4.3% for 7 years.

Is this acceptable? Compare the gain vs FD rate or EPF rate....

which it's ok but it's not really a market beating kind of yield, yes?

So I work it out for every subsequent year. Each year, assuming I buy at the lowest price of the year.... and again, as the result show, it's not really terror, yes?

so far ok?

What happen if you sell at next yrs if the price is 8.5 or 9?

Well... anything can happen. Of course if next year can sell at 8.50 or 9, then everything is handsome lo.

But what if next year, the price only 7?

Just simply saying la... next year ma... price can be even 10, 11 or 6 or 5.... who knows....

Let say I buy 20lots now at 7.5, sell it 3yrs later or which come 1st at 9.5, already earn me of 40k.

Average div 0.56/yrs for 3yrs earn me 33.6k.

That is 73.6k total.

Well, that's your game plan. Which sounds nice. Cos you have a target and you know what you are aiming for.
But have to say that every time the stock gives a dividend, the stock price is 'price adjusted' according to the dividend paid.
Sometimes the stock goes up, despite giving the dividend but sometimes it doesn't.
You just got to acknowledge that it can go either way....

But you enter mainly for div?

Yes, this is an experiment, back testing the outcome if one invest for the dividend. Is the dividend play such power that it can yield superior result?
Sadly, from what I see, the result is macam average only....
 
If I want to continue with div, look for it dip back to >8.5 (probably no more <8 catergory price). And look for sell at 10.5 maybe?

Different strategy yield higher?

Not understanding.

What you mean looking for it to dip >8.5?
When the stock dips, it means it fall, isn't it?
ok?

not suggesting anything for Maybank.
If you think it is good, then good luck to you.
May your game plan works out good for you.

For me generally 7.5 - 7.6 range is good to buy already

But many are saying banks will drop further in coming months due to various factors

In the end I would assume many are buying for long term so any further drop if you enter today doesnt really matter. If you are goreng trader there's plenty other counters for the purpose

Yes expecting to 6.50. Hold your bullets.

U either earn less or more only. EX date will be in Sept, this 1 month plus is an opportunity to topup. If you want to win big, MBB is not for you. Go look for glove.

Would you mind at all if I do a small experiment?

Okay, assume I buy 1,000 shares of Maybank now at 7.50.
Strategy is buy in anticipation of dividends.
Once ex-date, I sell.

For benefit of myself, as I am interested to know if whether I can profit from such a strategy in the future, and hopefully can benefit others in this thread, ya.

let's wait and see how this experiment, goes ya .... 

share price will drop after EX date leh.

Sure Boh ?

Just an experiment (or as they call it PAPER TRADE) in which I will just mark down in my 555 book.

Like you said, buy now and sell after ex-date.

So I have recorded in 555 book, 1000 shares at 7.50.

* based on recent years , div went ex on Oct/Nov

** expected dividend for the coming interim dividend is between 23 to 25 sen

** Wah. You reckon can get 900 profit?

didn't notice about it.
btw referring to previous dividend distribution, price drop not significant 

1. eX-date 10.4.2020 @ 7.5 after 13.4.2020 @ 7.45, 14.4.2020 @ 7.58, 15.4.2020 @ 7.64 ...
2. eX-date 18.9.2019 @ 8.7 after 19.9.2019 @ 8.64, 20.9.2019 @ 8.73, 23.9.2019 @ 8.72 ...
2. eX-date 07.5.2019 @ 8.99 after 08.5.2019 @ 8.97, 09.5.2019 @ 8.97, 10.5.2019 @ 8.97 ...

Ya I know. But at 10.50 let's see how. Plan to average down once if it drops below 10 then that's it. Cimb I am down 20% because I bought from 4 to 5.5. Sad.

Same here, i feel so bad when i see others r yelling for joy over n over again at glove counter while i didnt buy any. never thought the glove stocks can go so wild. 

Some comments

... 7.20 is kinda just about the year low leh .... which coincided right after the 'mco crash/lows' ....



Now using the same current scenario ...
in which, right now, Maybank has not reported its QR report YET, and it should probably report by end Aug.

hence, for a FAIR comparison (and not be accused of cherry picking the lower prices) perhaps, it's best that you use the month before Maybnk reported its quarterly report on 27 Feb, which will be early Feb 2020 or end Jan 2020 price. In either case, your buy price should be at least 8.30.

It's hindsight already .....
so if you use 8.30 as purchase price... then buying the stock before it announces its dividend did not work ...

today hovering range @ 7.52 - 7.48 still can average down ma.

still a newbie here, havent got chance to venture into us stocks yet.