Roger Conrad, in his Utility Forcaster newsletter, says that bonds are the next bubble. He warned about closed end mutual funds specializing in bonds, which is what PIM is. Does anybody have any information about this?
the premium to nav is little over 4% near the highest since inception and it has only happened a few times. majority of the time it trades at discount to nav avg discount last 5 years something like -8%
investors grasping for yield may be disapponted
I feel the reorganization of this fund over the last year has made it a stronger fund. The junk bonds, corporate bonds and goverment plus other backed securities mixes is good.
The junk bonds are hard to gage as you don't know if they we're pick up at .20 or .80 cents on the dollar. I feel they we're probably gotten on the low end.
My out look is long, so am staying with the DRIP on this fund.
Don't see a big drop coming, only time will tell.
My 2 cents.
Read it and smile
.053 regular and .44 !!! special to go ex on 12/22/2009
Spoke on telephone with Putnam media contact this AM. This for real and here is the Putnam URL:
You may be right. But last december erc declared a large special dividend (also out of income), paid it in january and lo and behold, the price held and rose. I bought several thousand shares, sold some post-dividend, and continue to hold a bunch. I have bought a bunch of pim for the same reason. fyi