Invesco Van Kampen Municipal Op Message Board

Buying and selling CEF's frequently can be self destructive. These are not trading stocks for most investors. They are for INCOME. Where else are you going to find a high tax free yield of 6% to 7%. That is equivalent to over 10% taxable!

These shares are a safe haven for your low risk funds. Yes, they do move with int. rates, as do all interest paying instruments, but if you do not panic and sell, they always come back. If you think you can call the int. rate moves, you can sell near the highs and buy back near the lows and pay the cap gain tax, but most holders will fare better by holding and collecting or reinvesting.

As expected, VMO is in a bit of a free fall as are other closed-end leveraged municipal funds.

I did sell some (not all) on the way up. It's a big part of my income porfolio. Agreed that this price is not sustainable.

dont know and sorry i sold a little too soon. now at around 12% over NAV, so too rich for my cef portfolio. good luck to you, though.

I'm quite (pleasantly) surprised by the staying power of this PPS strength. Must be due to massive inflow of funds into this sector. Wonder how long this party will last.

Agreed. See IQI and VKI.

Bill Gross also recommended VMO (was VKA then) 6-7 years ago when it was trading at a significant discount to the NAV. Don't know if that's the case now.

I'll be a little careful here. Last time the stock behaved like this in Dec. '10, it dropped like a rock the next day and beyond.