I suppose my theory that Alpine is undervalued and will somehow recover is incorrect! Oh well, the Jews running the fund are getting a nice chunk of investors money while running this fund into the ground.... I should have just bought Wal-Mart and held on for the next ten years for a far superior investment!
No you weren't wrong. Notice the correction on AOD this Friday.....up $ .92. This fund will trend up as the market trends up. Most stocks are down 50% to 70%. In a year AOD will double in share price and the yield at $10 for example will be 14.4%.
Since AOD trades like a stock, that .92 cent bump was some poor soul executing a "market order" after hours instead of a "limit order". Imagine the poor guys face, when he wakes up Monday and he already has about a 15% loss at market open when this starts trading at the closing price.
you might want to consider BWC. over the last three months (going back from today), it has outperformed not only AOD but also the S&P 500.
XAODX (NAV) is about even with S&P 500, down 20%. AOD (market price) is far worse, down more than 30%. there were dividends paid out that aren't included in this so XAODX did beat the S&P if you add those back in.
BWC and XBWCX both performed the same, off about 12%, plus you got dividends there also. the fund writes calls on about half its holdings so that worked out well for them during this recent downdraft. and many of the calls are pretty far above the cost of the underlying shares. so the cap on profits in an upmarket are not so horrible.
the yield is not has high as AOD but BWC's yield is real. they actually earn what they pay out. AOD does not earn what they pay out, even with the recent cut in the payout.