I am thinking of averaging down again. But am wondering how low it can go. Just curious was anyone on the board investing in reits the last time they collapsed, I think it was the early 90s
How low? How about to zero if management had overleveraged the fund thinking they'd give themselves some extra bonuses, and now they are hiding the real numbers. This seems to be happening a lot on wall st lately. I pray Im wrong. What was the name of that London bank that blew up because tey let some 28 year old kid do all the trading for them unchecked. Oh yeah.........Berings Bank. But I am just a daytrader, maybe Im panicking for nothing.
No, there is a moritorium against all the delisting. The board will do a reverse split if need be.
I am still out of the name waiting for some sign of a bottom. At some point we will see one but perhaps not soon! There is a currency crisis brewing in Europe that could undermine their economic system. We'll see. I suspect we are perhaps within 15% of the lows...but who knows? How do you value anything now that the leverage is gone?
Meanwhile the discounts in the closed-end funds are getting bigger and bigger.
Real estate tanked before for other reasons. We are perhaps looking at zero increased demand after we bottom, in other words the end of the bad news doesn't give us good news. So when that inflection point is hit we go nowhere, which is different than other cycles.
IGR can still go under if they have problems redeeming their ARPS. They said there should be no problem, but who knows? Also, stocks are tanking because the S&P may only come in at $45 with earnings, portending a 20% drop assuming a 15x P/E. With a single digit P/E it gets crushed from even here. Think 5,000 - 5,500 on the DOW. Not good at all.
There is no rush to buy anything today, not even IGR at current levels. It doesn't really matter if you by this at $1.75 or $4.00. When we hit bottom you can hold it forever provided it doesn't go under from the leverage.