I do not understand the concern over ROC. I own several energy stocks that provide ROC.
A lot of MLP'S and shipping stocks provide ROC because of depreciation, depletion, tax subsidies etc.
This does not affect their stock price.
Why would a 20% ROC be of concern in a fund that would own these stocks?
GLT all of you
I own GUACX
For further reading on POPE, try here:
The two wildcards are the Chinese demand and the Mountian Pine Beatle. It will be a few more years before demand in the US picks up. Like most MLPs, this one is for the longer term, but is not undervalued (I find little that is). Nibbling here and buying on dips, if any, is fine, but it is a bit late from its lows.
I like timber for several conservative reasons, and have done well over the years.
Seeking Alpha article re: ROC,CEF's & specifically our sister ship GUT. Don't know but assume this statement may also apply to Gabux. "As long as the fund holds onto its unrealized portfolio gains and doesn't offset those gains against their realized option losses, each distribution can be designated as mostly ROC"
Does this infer that ROC distributions can not exceed unallocated capital gains?
I'd be interested in what some of you more accounting oriented folks think about how if at all this may relate to Gabux.
But if this puppy was going to roll over like a whore in heat---wouldn't it have been in the bloodbath of 2008? No---they kept on truckin---thru a tremendous hit to the stock market. Stay long and strong.
we used zcar for lack of knowing tom
yes of course I knew, but it was tempting to reply as I did!
good to know your in the rr-retired ranks
was a long time coming but its real nice!
hope your enjoying it!
"morningstar calls it a four star fund"
5 stars for the last 3 years. But that's based on performance, not on how it's set up or operated.
I think you know what I was referring to - a P. scheme.
it takes approx 30-50% of the 135m to be reinvested...thus approx 40-68m as either new money and/or reinvested divies to cover the current distribution.
what is this type of invest called? morningstar calls it a four star fund, fidelity calls it a flag fund, I call it a solid retirement fund that offers great tax advantage and a decent return.....is there some other better alternative to offset what our gov't is doing to us retired people?