TSX:EIT.PR.A - Post by User
Comment by
gilbert3on Sep 24, 2010 11:47am
915 Views
Post# 17488777
RE: Why are the Units Down and NAV Up ?
RE: Why are the Units Down and NAV Up ?For EIT.un to trade close to its' NAV :
Convert to ETF with lower MER of 0.70 % + Bonus after +5% return which is the real Dividend.
An open ETF will allow investors to Buy in and Sell out close to the NAV by a Market Maker.
However, EIT.un is not going to change because they have win - win set up.
They win with the 1.5% MER and the 5% discount when investors redeem the regardless of thePrice of the units.
EIT.un now trades @ $13.20 Dividend of $1.20 or 9.1% Yield.
EIT.un NAV is $15.67 - $13.20 = $2.47 represents the implied Capital gains or Return of Capital held in the Closed - End Fund.
Please do your own D.D.