Dividend Growth Split Corp T.DGS

Updated NAV?

[Inglewood]

MM / Educator, may I bug you guys?

I dumped my DFN this morning b/c of the NAV discrepancy and swapped it with DGS. Now I wish I had not, as DFN is the darling fund which attracts easier and bigger premiums than DGS. 

Damn QUadravest!

[AnEducator]

I have the current NAV hovering around $15.19 as of 1:27 pm. The premium is small at just around $0.15.

[Inglewood]

Thank you!

[AnEducator]

In my opinion, DGS is a far better investment at current levels than DFN.

[Inglewood]

May I query why? What do you have as the DFN NAV? I figure they are within a nickel of each other.  DFN has a lower threshold for paying, which may not be better long term, but probably keeps some holders in this rather than DGS.  I worry about DGS energy exposure, that's really volatile. 

[AnEducator]

I updated the NAV on the DFN page. Quadravest made an error in their report last night, so the NAV a few minutes ago was ~$15.16, a few cents below that of DGS. DGS has a far more diverse portfolio with plenty of energy. It is much safer than DFN, which is much too heavily concentrated in the financials for my risk profile.

[AnEducator]

I agree energy can be quite volatile, but the energy producers have outstanding balance sheets and can sustain an even lower price of oil than what we see now, which is already extremely depressed.

[AnEducator]

I apologize for these numerous postings. I just want to add that DGS has 28.9% financials and 15.5% energy. Eight of DFN's top 15 holdings are in the financial sector. 

[marcrobert]

" the energy producers have outstanding balance sheets " - maybe for now , but us producers are producing way more than thought (record), discipline out the window, a recipe for lower prices or to attract another price war from saudi which they cannot win. the situation can reverse .