I have owned SWZ since 2006, so almost 10 years coming up. I am actually $2 underwater on my original shares, but because I reinvested ALL of the dividends and capital gains (the default position if you own this fund), I now have close to 5000 shares on my original 1600 share purchase. The problem with Yahoo "Historic Prices" for dividends is that they do NOT show capital gains. For example our "dividend" this July was .001 cents, but the capital gain was about .26 cents. The .26 doesn't show up on Yahoo, so one has to do more research on the SWZ website.
If there is a poster-boy for Buy and Hold, it is SWZ - let's hear it for compound interest!!
The way I see this is that SNH and the other RIET's buying a 48% share in the new PUBLIC RMR will get potential growth in RMR after the IPO. If RMR continues to grow and manage other properties, they could even start a dividend. RMR will get funds from the IPO to grow.
Here is the takeaway from my perspective. Let's say I own 10 apartment buildings and pay a management company 10% a month to manage the properties. That is 10% gone. If I own a piece of the management company, then I can share in their profits, and get some of my 10% management fees back in stock growth or dividends. I can't see much of a downside here.
This is the golden age for dividend and individual investors who don't panic when a stock price goes down for silly reasons or computer trading. I bought a huge number of dividend stocks in 2009 and kept the ones I already had - needless to say it was a good idea. The Fed can't raise interest rates very much or they will crash the economy, so I would not worry about high interest rate loans for SNH.
don't sign up for any of these class actions - I have been in the market since 1976, and have never received a penny from nuisance litigation - they are basically shake-down artists that represent themselves.
what more could one want?
There is a great article in the WSJ today - http://www.wsj.com/articles/balance-of-power-shifts-in-groceries-1427414817
About small natural food companies like Armanino - they can't keep up with demand!!
- they didn't mention oil fields, but that is assumed. . .the first missile to hit an oil field will cause oil to return to $100 in ten minutes. Stay tuned for more middle east mess - Nice safe Canadian oil might be the way to go here.
The WSJ had a map the other day showing Yemen on the Southern end of Saudi Arabia - frankly I didn't know where the hell it was. . .The Manchester Guardian also had an article about Yemen and the Saudi oil fields - getting a little to close for comfort. One stray rocket over the Saudi fields and oil will be back to $100.
Jim Cramer didn't help either, but today saner heads are back - the secondary gives SXL a lot of money to repay debt and keep our payout going. . .I have been through secondary offerings on most of my stocks, and usually withing a few months, the price is back to where is started.
I feel they are a bit too negative on forward guidance - they seem to be factoring in the worst case scenario here - a hot summer could make things look a lot better.
Last year the annual secondary offering was in April - maybe they will start doing their secondary offering (dilution) on a 6-month basis - the market seems to eat these up. . .as long as they pay the dividend, I don't care that much.
From Bloomberg to Jim Cramer - "buy USA" seems to be the trend in 2015. Considering the mess in Europe, slowdown in China, etc. companies like Armanino are back in favor. Interesting about Rothchild Fund - Their portfolio is online for viewing, and contains some very nice solid USA companies - looks like my portfolio - Chevron, Pfizer, utilities, etc. - very boring and very stable!
Considering the largest holdings of SWZ are Roche and Novartis, I doubt if either company will suffer because people will stop taking drugs because of a 14% increase - as many of you know, Roche owns Genentech here in the USA, so it should not impact the sales much at all. I am not going to stop buying my Nespresso caps from Nestle because they might go up a few cents (actually they did a few months ago). Also the SNB is likely to take other measures to bring the Franc down.
In other works - "business as usual"
Perhaps the old saying, "sell on news, buy on rumor." - it might be people selling for tax reasons now that KMP will no longer be a MLP - actually I sold in my regular account just for that reason - I didn't want an accounting nightmare - hold all in IRA now, but will buy more in regular account next year - it will be taxed at the "qualified" dividend rate of 15%.