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The Wonders of LTIPs, Pay at WPP and the Sprue Aegis AGM

Yesterday (3/6/2015), I attended the Annual General Meeting of Sprue Aegis (SPRP). Before discussing what was said at that meeting, it's worth reviewing a recently issued report by the High Pay Centre entitled "No Routine Riches".  It's a devastating critique of how the existing systems of "performance related pay" for directors has worked. To quote from the report: "We have looked at the growing complexity of awards that has pushed directors’ pay into the stratosphere, and found there is little discernible link ...

PLUS500 – the Last Word (Hopefully)

I have been meaning to write something on Plus500, an Israeli based provider of CFD trading, for some time. This may be the last opportunity. It is listed on AIM and was discussed at the last ShareSoc Masterclass in Peterborough, with different opinions on it from panel members. Today (1/6/2015) it has become the subject of an agreed cash offer from Playtech at 400p per share, which surely investors in the company will accept. They may be happy to get out ...

Enormous Costs of Royal Bank of Scotland (RBS) Legal Action

There was an interesting article by Geoff Ho in the Sunday Express yesterday (31/5/2015) on the law suit being pursued by shareholders against RBS. He reports that the RBoS Shareholders Action Group was presented with a bill for £1.2 million by its former solicitors Bird & Bird and a demand for "prompt payment" after they changed lawyers to Fladgate following concerns over costs and communication. Indeed the original demand was even higher but was subsequently reduced.  Fladgate are working on a ...

What is Personal Crest Membership?

What is Personal Crest Membership and why should I use it are questions I am often asked. This article aims to supply the answers to those questions. Personal Crest Membership is one of the three ways in which you can hold shares as a retail client of a UK based stockbroker. The three ways are in a nominee account, as a paper share certificate and as a Personal Crest Member.  Very briefly these are the disadvantages of the first two methods (more ...

Chinese AIM Companies – Sorbic et al

A good letter in the Financial Times today (29/5/2015) from Sorbic investor John Gunn about how AIM rules have failed to protect shareholders. He said it is "a terrible state of affairs" and suggested the AIM regulations had failed completely to protect shareholders. Sorbic International (SORB) is an AIM listed Chinese company which has encountered major governance and legal problems and its shares have been suspended. To quote from the latest RNS, after the board fired Mr Wang Yan Ting, the CEO: "Since ...