Potential Apple dividend a boost for US superyacht market?
Following further sensational figures for the quarter, there is widespread speculation that Apple may pay its shareholders a sizable dividend. This could consolidate the wealth of potential buyers in the US superyacht market.…
Following another quarter of imperious figures posted, in which it revealed a cash stockpile of almost $100 billion, it has been widely predicted by the financial press that Apple is on the verge of paying out a significant dividend to its shareholders.
According to a report by Bloomberg, “Common sense dictates that they don’t need a cash hoard of $150 billion,” in the words of David Rolfe, chief investment officer of Wedgewood Partners Inc. Or as Brian White, an analyst at Ticonderoga Securities LLC, explained in the same report: “It’s going to be a gusher when they tap into that thing. It’s like tapping into an oil field out in Texas.”
Although a decision is, at the time of writing, yet to be reached, a dividend payout would be demonstrative of a more encouraging climate for the US superyacht sales market than the previous months have suggested.
Lisa Verbit, senior vice president of US Trust Bank of America Wealth Management’s marine division, said that any injection of newfound wealth to the US market would be most welcome. According to Verbit, American sales still appear to be slow, although she said that the upcoming Miami Boat Show would act as a more reliable barometer than industry speculation.
Verbit’s institution, one of the leading sources of conventional yacht finance lending, is still involved in a number of deals that were agreed in 2011 but she admits business has been slow as the new year gets going. “January is usually pretty slow but things seem slower now than usual [for this time of year],” she explained. “We have spoken with a couple of brokers who said they have more leads and think the year will surprise on the upside. We’ll see.” Verbit also highlighted the historical tendency of presidential elections, of which there is a keenly fought one taking place later this year, to queer the pitch. Naturally, people are less frivolous with their wealth when federal fiscal policy has the potential to change overnight.
This is a view echoed by Keith Maling, sales manager of Oceanstyle’s US division. According to Maling Oceanstyle’s superyacht activity is “moderate”, with the potential to increase as the year goes on.” In another four years we’ll have seen a gradual improvement,” he said. “But I don’t see a spike in the market, just a slow turnaround upward,” he added.
Maling believes this will be achieved through a healthy combination of sluggish sales in recent times and rock-bottom sale prices. To demonstrate the American market’s potential Maling listed four new builds between 30 and 38m that are close to delivery, a level he said that market had not seen in some time.
US Trust Bank of America Profile | US Trust Bank of America Website
Oceanstyle Profile | Oceanstyle Website
Wedgewood Partners Website
Ticonderoga Securities Website
According to a report by Bloomberg, “Common sense dictates that they don’t need a cash hoard of $150 billion,” in the words of David Rolfe, chief investment officer of Wedgewood Partners Inc. Or as Brian White, an analyst at Ticonderoga Securities LLC, explained in the same report: “It’s going to be a gusher when they tap into that thing. It’s like tapping into an oil field out in Texas.”
Although a decision is, at the time of writing, yet to be reached, a dividend payout would be demonstrative of a more encouraging climate for the US superyacht sales market than the previous months have suggested.
Lisa Verbit, senior vice president of US Trust Bank of America Wealth Management’s marine division, said that any injection of newfound wealth to the US market would be most welcome. According to Verbit, American sales still appear to be slow, although she said that the upcoming Miami Boat Show would act as a more reliable barometer than industry speculation.
Verbit’s institution, one of the leading sources of conventional yacht finance lending, is still involved in a number of deals that were agreed in 2011 but she admits business has been slow as the new year gets going. “January is usually pretty slow but things seem slower now than usual [for this time of year],” she explained. “We have spoken with a couple of brokers who said they have more leads and think the year will surprise on the upside. We’ll see.” Verbit also highlighted the historical tendency of presidential elections, of which there is a keenly fought one taking place later this year, to queer the pitch. Naturally, people are less frivolous with their wealth when federal fiscal policy has the potential to change overnight.
This is a view echoed by Keith Maling, sales manager of Oceanstyle’s US division. According to Maling Oceanstyle’s superyacht activity is “moderate”, with the potential to increase as the year goes on.” In another four years we’ll have seen a gradual improvement,” he said. “But I don’t see a spike in the market, just a slow turnaround upward,” he added.
Maling believes this will be achieved through a healthy combination of sluggish sales in recent times and rock-bottom sale prices. To demonstrate the American market’s potential Maling listed four new builds between 30 and 38m that are close to delivery, a level he said that market had not seen in some time.
Apple CEO, Tim Cook is overseeing a company's whose stock is, quite literally, rising.
Related LinksUS Trust Bank of America Profile | US Trust Bank of America Website
Oceanstyle Profile | Oceanstyle Website
Wedgewood Partners Website
Ticonderoga Securities Website
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