Post by
deisman03 on Oct 10, 2023 7:48pm
Analog
Your posts are well though out but you are comparing oranges to apples IMHO.
Volatility is not a good thing for any ETF.
One of the main reasons this ETF is a good "speculative trade" right now is because it has been beaten down to a bottom which has stabilized and is trending higher, albeit slowly, but the dividend is high enough to give value to riding out the ''small'' swings.
The stocks you used as examples aren't/weren't a part of this ETF, which is a good thing.
The pipelines all have earnings to pay their debt obligations for the foreseeable future, even Trans Canada which will be coming online soon and generate consideralble revenue because of it's position to deliver large amounts of product into a segment of the world Canada has only been able to ship to by proxy.
All of the companies are in Canada for the most part and their only real obstacle is a Liberal government, which appears to be on the slipper slope of becoming the honorable oppostion after the next election.
All of the corporations in this ETF are well established and well funded entities.
The others mentioned, IMHO, would drag the price of this ETF down by 25% or more, because of their cash flow issues, lack of dividends and increasing interest rates, which are now just about at historical normal.
If they can't cut it here, they're not going to be in business long.
For those saying they are going to hold onto this trust for a lifetime?????????? Nothing is forever, especially the price and availability of oil/gas and don't forget to factor in corporate greed/misinformation.
Preservation of capital is paramount in any investment vehicle and I alway use a STOP LOSS.
Riding the tidal waves is a fool's game.
When the waves are predictable, that's almost a perfect investment scenario. You can double or triple your returns selling high and buying low, without worrying about dividends.
In this case I bought in a bit to early and missed a very lucrative opportunity, because I didn't see it coming.
Maybe the present situation will offer more?
Or, if we're all holding our mouths right the price will climb steadily for a few months for great profit picture.
Never fall in love with an investment, unless your reason is based on something more than sentiment.
I like your posts by the way.
GLTA the good folks here