RE:The ghost of 5 returnsflamingogold wrote: LFE will be paying but above $5 seems to be an omen. Never seems to hold for long. We would need an explosion of inflation and higher rates for LFE to stay in the payment zone for an entire year. Personally, I am not in that camp but I would say owning a split that is below it's NAV makes for a good capital gain play and that is how I look at this one and the distribution, when it pays, is gravy.
In the past the conditions for lifecos were not same as they are at present. Was hard a few years ago with near 0 interest rates , for the insurers to find good returns on the premiums collected.
That has changed with interest rates now higher for longer in the US,, and destined to drop a quarter of a % in Canada in JUNE.
AS i love to say , history is for losers.. A ten year chart will give you the impression that this one is a bad gamble. But fundamentals suggest otherwise.
Since MAY 15th LFE has the biggest gain in the Quadravest split funds, and probably Brompton's as well. I see now that FTN , FFN and BK all are showing a loss since the 15th at present today. I doubt that will change by the close. LCS is still with a gain, but a bit smaller than LFE.