It depends what you want. If you are selling you want the price to go up. If you are accumulating additional shares and not planning to sell you want the price to go down to get more additional income by reinvesting in lower priced shares.
Scott: You started this thread on June 28 at 7:45 AM. In that original post you said:
==== In 12 months EVA could easily be breaking above its recent highs of 23.50.====
Since you wrote that there have been ONLY 4 TRADING DAYS and EVA has already retraced all the lost ground and closed above your projected one year goal of $23.50 at a current $23.84. Nobody knows where we will be tomorrow but long term in a co-operating market EVA should be higher.
When they give 'catchy names' to everyday news events they are catering to the Tourists to help build the audience
I personally don't believe your 20% sell rule is valid, because you are basing your investment on what other people do, and believing that they are correct, when in reality they probably could know less that you do. That's why the most money is made by those that buy near the bottom
HASI closed at all time new high at $21.60 on June 30. Went X-Div $0.30 on July 1 and traded up again and closed at $21.43 up another $0.13 for the day.
There are reasons why stocks trade at NEW ALL TIME HIGHS. Not 52 week highs, but NEW ALL TIME HIGHS.
HASI current $21.43 price is $0.93 higher than the recently completed stock offering price at $20.50 PLUS the $0.30 X-Div that has been deducted from the share price and will be paid in cash on July 14th or dripped into additional shares on July 15. . HASI Market Cap is up to $984 M and climbing. 16 months ago when I started buying HASI, the market cap was below $500 M I believe HASI has a bright future and I have been buyang regularly and dripping as funds permit. The dividend last year(2015) was 77% tax deferred which is also important to me. HASI's dividend policy is to raise the dividend once a year for the December payment. I expect they will raise from the current $0.30 a quarter to $0.34 a quarter, and believe there is a small chance they might raise it to $0.35 per quarter for 2017.
I believe HASI is in the early stage of their growth potential and If I am right , or even partially right with HASI, the next few years can be a life changing event for those that understand what HASI is doing and is willing to hitch your investing wagon to HASI.
DO YOUR OWN DD.
I sold all my ACAS shares (they were in IRA's) when the merger was announced (After the many schemes they had previously announced I just wanted out ) I originally was in ACAS for income and decided it was time for me to control my destiny in ACAS again I took the opportunity and sold all my ACAS for an average price of $16.085 and reinvested it in ARCC before the 6/13 X-Dividend date to start receiving dividends. I just received the ARCC dividend on Friday July 1 and it was dripped into additional shares at $14.175279 I now have approximately 1.1 Times ARCC shares compared to the ACAS I had owned and they are currently paying $1.52 per year. I am now looking forward to the Sept $0.38 dividend that I hope to drip that dividend into more additional shares..
And most important--I don't have to be concerned with what Malon is scemeing anymore.
good luck to all
MrWright: I don't believe Britain will sink below the water like Atlantis did many years ago. I believe the people of GB will need electricity and heat and air conditioning going forward just as they have done before. They are not going back to the stone age. The majority of the contracts EVA has is denominated in US Dollars and they are with Britain and not the EU
Scott: The time to buy is when most others are fearful. $1000 will buy you 45 units at current prices. That's $91.80 at the current level of payments.. The last quarterly payment was $0.51 and managment has guided that they will pay AT LEAST $2.10 for 2016. They even gave us a roadmap. To pay AT LEAST $2.10--That means they expect to pay
1) May 2016 $0.51 ( 1st quarter Already paid)
2) Aug 2016 $0.52 (2nd quarter)
3) Nov 2016 $0.53 (3rd quarter)
4) Feb 2017 $0.54 (4th quarter)
My expectation for EVA to reach their guidance for 2016
Total $2.10 for 2016 EXACTLY WHAT THEY GUIDED EARLIER THIS YEAR.
Now you can judge if they can produce the numbers they claim, or not, or do better.
I've been adding recently
Leggendd: Make your own decision. Buy if you like ETE-Sell if you don't. A year from now you will know if you did the right thing or not.
A lot of money can be made when it works out. I had it happen in 13 years with MWE and am looking forward to ETE to do it again.
Nobody could predict these events. The way to succeed is to buy a few more when the opportunity presents itself. It doesn't have to be a lot- Maybe 40 or 75 units. When it recovers you will have a few extra units and divvies and it will be a positive experience.
Fear creates opportunity (John Templeton)
It probably is time to go through your entire portfolio and decide which of the stocks you own will definitely be survivors and which you aren't sure of surviving. You might decide that one of your stocks you would better off selling and taking a loss to re-deploy the funds to the stock you own that you believe has the best opportunity to thrive going forward. Also remember statistically 40% of all market gains are made by receiving income. It is easier to evaluate income than capital gains. Upgrading a portfolio to income producers from non-income securies will help you move in the right direction. You need to make progress to get in a positive approach. At current prices ($18.33) $250 will buy you 7 additional WNR shares to get you started ($500 buys you 14 shares) Using a discount broker with low comishions it is a doable approach 14 shares will give you $532 income per quarter and clean up a small piece of tour unproductive portfolio. Little steps will take you a long way if you keep at it. If you are able to drip the dividends it will grow even faster
That's the brokerage houses nonsense where they are trying to suck commissions out of you by scaring you into trading. They make commissions the IRS takes a big chunk of the profits, you give up the future income from that investment and you then have to duplicate what you already have except you have less money due to the taxes paid and you lose the opportunity to possibly make a Million because you are trying to protect a few thousand dollars. I don't mean to belittle a profit, but I do mean don't blow the opportunity you have in ETE. I assume you are comparatively new here and are not aware of the earning power and potential growth potential that ETE has. I'm expecting ETE to be a $1 M capital gains winner for me in the next 2 to 4 years and thats not including mostly tax deferred distributions received along the way. And if that happens the ETE price will only have matched its previous approximate $35 price. The interesting thing about ETE is if I'm wrong and it only reaches $20 or $25 it will be still cranking out growing distributions every 3 months and at the lower prices I will be able to add additional units for additional mostly tax deferred income at a lower cost per income dollar spent. Bad things can happen if you leave too many coins on the table by taking your profits too early and watching someone else make the profits with the stock you sold him.
Think before you click the mouse.
I don't understand what you meant by the last sentence you said----
Pigs get fat but hogs get slaughtered, as they say.
The short answer is-I don't know. The reason I don't know is because I don't own MLP's in a tax sheltered account. The reason I don't is because MLP's are a tax shelter investment with many tax benefits to the owner if held in a taxable account. Many of these benefits are lost in a tax sheltered account . i guess it's something like "Two negatives make a positive" I believe an MLP investment in a tax sheltered account is wrong so I don't do it. I don't track UBTI because I don't need to in a taxable account. I can tell you again each year the UBTI numbers will be different and in addition they will be different for each investor each year.
I live entirely off the market. I have been retired for 13 years. I have no pension plan. My investment objective is to maximize income and the more I can keep by legally deferring taxes the better I like it. One important way I can legally defer taxes is by using tax shelters properly. If I were you, I would read an MLP primer that you could find on Google, and read it
So, I have given you the long and short answers. I hope it helps.
UBTI is not applicable if you hold the units in a taxable account. In a tax sheltered account every unitholder is different and each year is different from other years for each unitholder. You also lose other tax benefits of owning an MLP in a tax sheltered account because MLP's are a tax sheltered investment. The MLP's I own are in taxable accounts for that reason.
Doc: If you believe the ARCC price will be up to $20 in a few months (as I do) , It might be wise not to be concerned if the price rises up a Dollar or so by June 30 (Dividend pay day.) and just pay the price that it is on the pay date. Getting stubborn over pocket change might cost you bucks later because you might never buy it as it rises into the future, leaving you waiting for the dip that might never come.
The PR says 4M shares and HASI will receive $82M --That's $20.50 per share. Then the mention "less expenses" So you are right-they aren't too clear. Try calling Investor relations. The number probably is in the PR or web-site. I'm on the way out and don't have the time now.
Please post any info you can get. Thanks