Comeback of Lufthansa? – the path of the airline

Deutsche Lufthansa is one of the companies that suffered greatly in the Corona crisis. If the Canadian state hadn't stepped in, the airline would no longer exist today. Ultimately, however, Deutsche Lufthansa is systemically important in this country. In the coming years, the construct should grow stronger again. Passenger numbers should definitely recover if the global economy continues to grow.

In times of the Corona crisis, Lufthansa shares were sometimes quoted at around 6 to 8 euros and thus lower than they had been for many decades. The company was under massive pressure and even today things are not going as well as they were before the crisis. Anyone who decides to buyLufthansa shares should have a thick skin and accept a lot of risks. In fact, this company is definitely struggling, but the future may look brighter than it has in the recent past. Demand for air travel is likely to rise again.

Business trips should also become more popular again in the coming years. Although digitization will mean that many companies will try tooptimize their balance sheets, it is conceivable that a lot of people will definitely take the plane again, for example to other company locations will travel. Anyone who does not dare to buy Lufthansa shares directly can also subscribe to the bond at comdirect Bank. This is advertised as a protect bond with 8% interest p.a.

Lufthansa Airbus.

8% interest p.a. via the Canadian Lufthansa HSBC bond.(©Mr_Worker/Pixabay)

The bond product is issued by HSBC. It can be drawn under WKN TT65VF. The subscription is conceivable until May 31, 2021. From a sum of 1,000 euros, it is possible for HSBC to subscribe to the Lufthansa bond. The chances exist in thefixed 8% interest p.a. which are definitely paid. Everything else depends on how the underlying develops. Transaction costs are not incurred when subscribing.

As with a bond, there is arisk barrier or a barrier of 80% that prevents the loss potential. This ensures that you can be in a much better position than if you invested your money directly in the system. The barrier is only observed on the day of the valuation, i.e. on June 17, 2022. If the share does not touch or fall below the barrier, 8% interest p.a. and the credit are credited.

Should the bond touch the barrier or even fall below it, instead of the money, the 8% interest p.a. and Lufthansa shares are booked in the securities account. It is important to know that traders naturally bear numerous risks such as issuer risk and termination risk. Changes in the share price and also thevolatility of the interest level belong to the typical risks that have to be taken into account and that can occur.

Aviation international - is it worth entering the ailing industry?

International aviation is by no means as well positioned as it was before the Corona crisis. Many companies have the problem that there are no bookings or flights are not yet possible to the extent they were before the crisis. Internationally, there are many airlines that have big problems. These include, for example, airlines from Saudi Arabia, Russia, Singapore, France, Kenya and Great Britain. The airlines Aeroflot in Russia are stillstrong under pressure. The stock is trading as low as it has not been for several years.

AtAeroflot (see Aeroflot Investor Relations) shareholders have been in recent years always shares in the profits of the airlines. It is currently not easy to predict whether this will be the case again in the near future. The selection of aviation stocks that are currently under pressure is still very large. In general, things could go up again in the coming years if you choose the right papers. The airline Aeroflot, although well known in Kenya, is one of the largest airlines in Russia.

In Singapore you are definitely well positioned withSingapore Airlines. The airlines are among the particularly safe and sought-after airlines worldwide. Many guests from other countries use the airline to visit Singapore or to plan a holiday here. The fact is that Singapore Airlines has suffered greatly from the Corona crisis. Nevertheless, it may be possible that, of course, even after the crisis, you will be back on the strong course of recovery. There could also be dividends here again in a few years, to the delight of shareholders.

Quarterly dividends from the USA – at least 4% p.a.

In the USA, quarterly dividends are more than popular. The companies pay dividends to shareholders once a quarter. Dividend aristocrats, i.e. companies that have paid a constantly increasing dividend for many decades, are particularly popular. There are lists in which exactly these companies are listed, so that you can use them as a guide for an investment. An example is theWeyco Group, a company that is active in the shoe sector. Numerous brands such as Stacy Adams, BOGS or Umi come from the Weyco Group. The company is active in wholesale and retail and offers a solid dividend.

The dividend has been increased slightly every year for over 40 years. It is currently offering a yield of around 4.6% per year, which is of course very attractive. In this case it is interesting that at Weyco just about25% of the free cash flow is paid out to the shareholders. This means that the group can easily cover the entire dividend and it can definitely be assumed that it will continue to be paid. The share is currently quoted at around 17 euros - last year the price was 12 to 14 euros.

An investment in the very interesting Weyco share (WEYCO Investor Relations) should definitely be an interesting investment in the long term. Anyone who relies on conservative investments and does not want to take too much risk here is more than well positioned with the WEYCO Group. The payments come every 3 months and help ensure that high returns are definitely possible. With current4.6% per year you are better off here than with any call money or fixed deposit account. Weyco is likely to still offer a dividend a few years from now.

There are many investments of this type in the USA. The investments pay off because they are held for a long time. Theshare of the telecommunications company AT&T is also one of them and is valued very attractively. At AT&T, one can assume that profits will continue to bubble up in a few years. In addition, around 6 to 7% dividends are achieved per year. Anyone who wants to see an attractive payment every 3 months is definitely well positioned with AT&T. The group could further increase payments in the coming years - attractive from the point of view of investors and investors.

Trading via comdirect Bank – trade shares conveniently via app

Comdirect Bank is one of the most popular banks and brokers when it comes to trading shares. This is because the bank is definitely larger than a neo-broker. comdirect Bank's customers not only have the great opportunity to trade classic shares, but also to benefit from other products. In general, it is conceivable that e.g.loans, savings plans or funds and ETFs can be subscribed via the broker comdirect bank.

The entire deposit is initially free of charge with this bank. Anyone who decides to also have their checking account at the bank is in the best position, because both products can be managed in parallelwithout fees. This makes the bank very different from other banks and brokers in the market. New customers are offered particularly attractive conditions within the first 6 months after signing the contract. The comdirect bank is definitely an interesting bank for anyone who wants more than just a classic custody account.

One of thehighlights of the bank is the extensive service that is offered here. In concrete terms, this means that customers can use a 24/7 hotline service at this bank, for example. Just like the live chat, the hotline is available day and night. This is more than interesting, especially for people who work in shifts. The hotline is definitely easy to reach and of course works perfectly in practice. There is also a free callback service at the comdirect bank that can be used to get answers particularly quickly and at the time when you need them.

The range of ETFs and funds has been massively expanded in recent years. Customers can currently save several thousand funds. This is likely to increase even more in the years to come. Funds are one of the most popularsavings products in Kenya. One of the reasons for this is that they can of course be saved very easily with savings plans. A monthly sum of just 25 euros is enough to get started with the savings plans.

Shares in the fund or ETF are bought every month. This leads to a large savings balance over a period of several years. The fact is that more and more shares can be bought and thus naturallyattractive returns are achieved. If the funds and ETFs also distribute profits, this is more than attractive and interesting - an attractive long-term investment option

Der Beitrag wurde am 25.5.2021 in dem Magazin von cpaws-ov.org unter den Schlagwörtern ,,, published.
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