It still shows on Yahoo as $.392, and that's what I got until the next day when it was converted to dollars and became $.34, a 12% haircut. Still, if we average $.20/mo, 4.5% + beats the banks even with a conversion.
I am way overweight ELD because I do not believe that the US Dollar will be quite as strong as the talking heads are saying. Perhaps against the Yen or Euro, but not against the emerging market currencies. I'm very happy with holding bonds from emerging market countries that are growing and have less debt.
This is really a buying opportunity because of the fear of inflation in emerging markets - which may hurt bonds. The main inflation is in the United States due to devaluing its currency against the emerging market currencies. The emerging market currencies have done a better job of holding value against commodities.
And finally, if the world recovers, the emerging markets will still outperform the developed world - meaning stronger currencies. And if the global economy slows (as I suspect it will) - then the current bonds ELD is holding will appreciate in value.
I was doing some chart comparisons with UDN, CEW, EMB, and EMLC - over the last six months, one month, and one week - looking for any patterns. They all move in relative sync with each other - with some relative variation due to different schedules and amounts of divvies.
The only potential trading pattern I noticed happened in the last week, where UDN (dollar bear) was down big on Friday, and ELD held up. Then on Monday, ELD too the hit. I'd have to do some more research and watching, but (depending on the type of account you have) it may be worth selling ELD on any day when it has strength while UDN is down quite a bit.
I am pretty overweight on ELD right now, so I may lighten up if I see that pattern. Unless the market crumbles and gives me better buying opportunities elsewhere, I don't see anything I would rather own than ELD right now.
Interesting,profitable? observation. I'm going to watch that. The $ seems doomed, but I'm not willing to put money on it by shorting directly. Alternatives seem relatively 'safer'. And often better interest.