At inception until about a few months ago, DBL did not use leverage and it traded
at a premium and did not use leverage.
Now after the MBS mess from June/July, DBL now trades with a discount and
Gundlach is using about 25 % leverage.......to buy non-agency MBS that have
been reduced in price by the market ???
I am now long at $ 22.52 and planning for a 8.88 % yield, and maybe more, once
Gundlach gets all of the leverage invested in relatively higher yielding, non agency
Bot at 22.85 today. The CEFs are really on sale after the Fed fiasco with 20%-25% drops. The Pimco funds have good yield plus you have retained earnings paid at year end. I guess you know about -- cef connect-- if not get there quick.--good luck.
DBL is an excellent cef to own. along with DMO and PDI