Crowded trade With fewer and fewer splits paying, hungry yield investors are hanging on to DFN despite an astronomical premium. While some would like to see yesterday's green rollover to today in hopes for a better year, I am actually glad that we may end the day in the red. A fitting end to an ugly year. If the lows hold, it cements the Nasdaq and S&P into bear and Dow in correction territory. The worst year since 2008 when a near global banking collapse nearly wiped us all out.
Now for the good news. 2023 will be better. While we may still sink to lower lows than today given that the FED/BoC are not done tightening, that bottom is closer than most think and a turnaround from there ensues. Maybe Spring... summer the latest.
Personally, I will not pay the premium here even though I think eventually investors will do ok. Not my thing to chase yield. While better days lie ahead, I will wait for a better entry until then. GLTA and a happier, more prosperous new year.