Linn Energy, LLC (LINE) Message Board
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swapped LINE for HGT...no debt, higher div
HGT has ZERO debt and an 11% yield,,LINE has $1.6 Billion in debt...just sayin'
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...and Sooo glad i did..what a move from $16 and change
still like LINE though...may be the time to dump HGT and get back in LINE..
How funny, gas & oil trusts trading like the old dotcoms..oh well,money is money -
Check out Canadian REITs (WRK.UN, D.UN and AX.UN are three I own or have owned, all of which pay over 9% yield on a monthly basis). The REITs are immune to the Canadian tax law changes and so will continue to pay their dividends unchanged. The Canadian real estate market is also much more robust and dependable than the U.S. market.
- 1 Reply to upwardmo
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i agree,if you stay out of Canroys there is plenty of opportunity there for 10+ interest. atlantic power has doubled while paying 14%. they are not subject to the 2011 screw job and only part of the div is subject to the 15% border tax. us govt is apparently intent on bankrupting the country so socialist canada (who would have thought) currency will also increase in value. also they have an abundance of NR and fiscal restraint.
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Most have responded. Here is the summary:
1. MLPs have tax-deferred distributions; AMroys like HGT get taxed at regular income tax rates.
2. MLPs can hedge to lock in distributions; Amroys can't.
3. MLPs grow production by issuing debt and equity to buy properties; Amroys can't.- 1 Reply to marklibera
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HGT is able to claim depletion which allows for deferral of some of the royalty income.
Royalty income also qualifies as earned income for funding retirement accounts.
Just stay out of canada, and buy low, these are not momentum plays.
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HGT is depleting there reserves it will run out some day and the stock price slowly erodes, Trusts are not a good long term investment unless there in canada, and there are several issues there also.
- 1 Reply to voodoolounge_22
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Not to forget, that all Canroys will cease to exist come jan.2011 and change to corporate status, thus eliminating all "distribution" look at AAV for example!
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You're comparing Apples and Oranges; one is an MLP, one is a Royalty Trust; one hedges the vast majority of production, the other is not allow to hedge
- 1 Reply to PSHONORE
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yup, hgt will return less in the summer
I own both, buying in at the most opportune times.
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