The difference in NAV is really irrelevant. That ADVDX has half the assets of AOD is irrelevant as well. The only relevance of the NAV is its relationship to the selling price of AOD (premium or discount). ADVDX always sells at 100% of its NAV since it is open ended. Since the two funds portfolios are nearly identical and their NAV moves nearly in parallel the question of buying one or the other really revolves around your choice of buying an open end fund at NAV or buying a CEF at a discount or premium. Will AOD shares rise now that the dividend has been cut and the NAV performance is more likely to improve? Will people pay a premium for a CEF yielding AOD's current yield?
thanks for reply, my point is advdx with 1/2 the assets of aod should have 1/2 the nav of aod due to a similar portfolio. i wonder if the differences in the portfolios give advdx more quality or less volitile holdings.
ADVDX being open ended, is better in respect to the fact that it is not news driven, but the price is driven by the underlining assets. So even if they were to reduce the Div. it will still be a good Div and the PPS will not see a free-fall as AOD.
So, IMO since the market is oversold at this point, if the market was to move higher, so will ADVDX.