Capital Gains Income STREAMS Corporation T.CGQ.E

Sold my position

[huff5413]

N.A.V. as of November 30th $4.34 down 20 cents for the month. Can't believe this stock still trades above the $6.00.  Compared  this to HIT and STQ.E both dropped like a rock.

Glad I am out

[spazzman]

My data indicates that the last time CGQ.e N.A.V. was >$6.00 was over two years ago. I no longer see this fund as a safe investment.  It is clear that CGQ.e's dividend payout is greater then its income, therefore a great part of the dividend is a return on investment thus causing the N.A.V. to erode month after month.  Due to light trading volume I still have just under half of my

[JReynolds]

Hi Spazzman, we discussed about this earlier,.... looks like the time has finally come for the theory to materialise into fact. The point : being, WHAT HAPPENS AS THE TERMINATION DATE APPROACHES NEARER. But if you recalled, I too have studied the behaviour of some previous funds that too approched termination, they were then renewed by the issuer to another Termination Date. Then the price

[spazzman]

I believe that this fund is beyond the point of no return.  The only way IMHO that CGQ.E will ever move the termination date farther into the future is IF it stopped paying the dividend.  This fund is clearly paying out more then it is taking in thus causing the N.A.V. to drop month after month.   TD Waterhouse indicates a payout ratio of 153.3x,  The stock is trading $1.66

[JReynolds]

Thanks spazzman. Glad that I really refrained myself, though in a very irresistible way, from pulling the trigger on this one.