Been following this board for some time, and now that I am in the fund,I can say that I don't understand the naysayers. From what I can tell, the fund pays .03/share each month every month. Like forever. At the end of the year, capital gains increases the number of shares by maybe 5-10%. Then the increased number of shares pays .03/share each and every month...etc. etc. If all this fund did was drop from $11/share to $10.50/share every December, return to $11/share by the following December and pay .03/share each and every month, what's the problem with that?
The problem is that the total return appears to have dropped of a cliff this year and doesn't look like BG can get back on track from the looks of the NAV performance lately. Also does not look good for much of a cap gain distribution (if any) this year. One of the worst performing choices in my company sponsored 401K this year.
This is the first yr BG has not offered 4% or more, we can't be perfect all the time. Plus, it isn't his fault the Fed and Obama are playing around with interest rates and messing around with businesses. The businesses won't move until they know what is going to happen with health care. No business = no employment= no money = low rates.
Reality is that the debt levels are so high at the government/private sector (more individuals than corporations) that the economy will not be able to stand significant increases in interest rate levels for years to come. Therefore, the FED will be maintaining ZIRP for the foreseeable future. Get used to it...