Sir Royalty Income Fund SIRZF

Distribution rate

[BlueJay2020]

The hidden bonus to the special distribution is that it boosts the reported rate for the next 12 months, thereby apparently making it more appealing to income seeking investors who don't do proper due diligence!

This special distribution wasn't a surprise to me at all once I crunched the numbers from the last quarter and realised that the current level can be funded mainly from current ops, which leaves most of the deferred amounts as gravy.

Although advisable for tax reasons, still significant that management feel OK to release almost a milion bucks in cash rather than save it for a 'rainy day'.

I would not be surprised to hit $14 prior to year end with some trying to get in and scoop up the 10 cents. I have bought again today at $12.40.

[Robsopinion]

I would think most income investors would look at current yield not historical.  I think that "Management" had absolutely no desire to release that money. Luckily we have Mr. Janes firmly in charge, and although I would love to have a beer with this gentleman, I certainly would not want to be SIR Corp Management on the other side of the table.  I have nothing but respect

[BlueJay2020]

Balls of steel are all well and good until you get struck by lightning!  Perhaps rubber ones are safer .. :)