RBS and Lloyds. When might I get my money back?

[Badly Shaved Monkey]

As a UK taxpayer I am now part-owner of two heavily shop-soiled banks.

I've struggled to find a source for the price per share we bought them at to judge when the government breaks even on its purchase.

Does someone know?

[The Don]

Well clearly it's impossible to say when a particular stock will reach a specific price.

In the news today there seems to be a consensus that the taxpayer will get a profit (especially when the fees received for underwriting the debt are taken into account).

It would seem that we're talking years rather than months or decades.

We bought RBS for 50.2p per share on average - it's been above that this year, currently it's about 20% below http://www.bbc.co.uk/news/business-11700561


edited to add:

Wikipedia say the average price for Lloyds was 74p, currently it's trading at 70ish

http://en.wikipedia.org/wiki/Lloyds_Banking_Group

[Badly Shaved Monkey]

Thanks, The. I hope you don't mind me using your first name.

That BBC page was timely!

So, never mind when the sale might occur, the government's stake looks a fairly safe be in the medium-term.

Do you happen to know whether a good performance in those shares could significantly ride to the rescue of the government's finances in the next few years or is any feasible profit a mere drop in our ocean of debt?

[The Don]

You're welcome:

from here: http://uk.reuters.com/article/idUKTRE62N4ZX20100325

Investment in Lloyds £20.3bn
Investment in RBS £45.5bn

They'll come under pressure to sell as soon as there's a profit to be had.

Likely to be a drop in the ocean......

[The Don]

More info in that link. Once fees and so forth are taken into account, the average price paid comes down:

Lloyds: 63.2p/share
RBS 49.9p/share

IMO a large likelihood of a small profit in a few years time

[Badly Shaved Monkey]

Thanks

[oggiesnr]

More info in that link. Once fees and so forth are taken into account, the average price paid comes down:

Lloyds: 63.2p/share
RBS 49.9p/share

IMO a large likelihood of a small profit in a few years time

Just before the next General Election.

Steve