Yes, where are those open enders now? Those folks
that wanted to open end the fund to get rid of the
discount to NAV. I do believe FAX is at a slight premium
to NAV at the moment. I hope the open enders are
taking advantage of the present situation to sell, and
make a lot of capital gains........
Hack you posted that you are into KBA. I still
like the AUD, I just don't like FAX's current premium.
Does KBA withdraw Australian income tax also like FAX?
I imagine it would have to.
You might want to look at these two
www.closed-endfunds.com, mainly statistical info like discount, returns
over various periods, turnover rate, expenses, and an
important one average discount/premium over the last 10
years. While here you might want to look at FAX's
average discount/premium to today's.
another high yield investment, look at www.nareit.com.
REITs are heavily discounted, I like REITs selling
below book value and with net insider buying over the
last six months. Look out for debt levels as this adds
risk if you are a conservative investor.
think to look out for is the complexity of filing tax
returns. Foreign investments like FAX often require filing
of the form (I forget the number right now) for
foreign tax credits and partnerships like AC require even
more difficult tax forms. These days Turbotax does a
pretty good job on both of these forms.
luck and I would offer only one piece of advice -
diversify. There are bonds, bond funds, foreign bond funds,
REITs, utilities, preferreds, limited partnerships (like
AC and a lot of natural resource partnerships, and a
few just high yielding stocks. Take several issues
from several different types of high yielding
I'm an experienced investor who has been asked to
help a friend invest $200,000 for income. I need to
learn more about closed-end funds for both our
portfolios. Can anyone suggest a book or other resource to
help me evaluate these stocks? I appreciate the
ongoing discussion, especially the comments of rwitt.
I'm looking at FAX SNF CRO ACG and AC for
They bought a big property last spring. Is it
risky, yes. It's best to not over invest in these types
of things as I'm sure you know.
I find I have
the best luck when I limit my "risky" yield
investments to "small" amounts and have a variety of them
instead. Certainly easier on my stress level. I also find
having smaller amounts allows me not to panic when they
drop, I can think more clearly and ever perhaps average
down if the fundamentals are sound. JMHO. Of course if
it's absolute show in I load up and scale out...like
in certain rights offerings.
offering is expiring the 9/24, rights holders get a 5%
break on a discounted price. A good buy at $12 I'd
think. CGF should declare their record for their rights
offering in the next few days, I will be involved there
too. Check them out.