Thank you Rupert Murdoch for looking for that arbitrage opportunity that I don’t have time to think about! I know, I know, I should be paying closer attention. Sometimes I think if I did, I would be able to retire earlier! Basically given everything that happened, he gave me a dividend triple what I have received over the past 8 years on the first business day after my first anniversary! The least I can do is write a ‘Thank You’ note.
A year ago – the scuttlebutt on the street was about Rupert Murdoch. Blah, blah, blah – election year, I was getting married, my hometown was burning to the ground, I work 40+ hours per week, every week. I was busy! What I did notice was his statement to shareholders about increasing the value of their investments by splitting things up.
“On June 28, 2012, Rupert Murdoch announced that, after concerns from shareholders in response to its recent scandals and to “unlock even greater long-term shareholder value”, News Corporation’s assets would be split into two publicly traded companies, one oriented towards media, and the other towards publishing.”
Fast forward a year. Celebrated my first anniversary. Received a reasonable tax exempt dividend. Mr. Murdoch earned a ‘Thank You’ note from me. I am not going to argue about the politics or the scandals. I don’t really care that much. There are better folks. There are worse folks. He earned me a reasonable return on my investment. The fact that the amount I have invested is minimal is an entirely different discussion.
I know why I have NWS in my portfolio, it really isn’t relevant as it pays regular dividends and that makes me happy, so I ignore it. My theory is as long as I am not losing money, leave it alone as the chances are the dividends are more than I would be making having the same amount of money deposited in the bank. It is at least as good as burying it in my back yard. It rains a lot where I live. There is a good possibility that any monies buried in my backyard might rot away over any given period of time, unless I spend money on a container to preserve them. To me, it is easier to put it in the stock market. I see the risks as being the same.
I can’t figure out if I was rewarded for being patient or lazy?