TSX:EIT.PR.A - Post by User
Comment by
harbroon Feb 14, 2013 9:52am
282 Views
Post# 20987302
RE: what am I missing?
RE: what am I missing? As long as these BOZO's keep trying to grab the golden ring witn annual warrant issues and annual redemptions at less than NAV (typically 95%), the market is going to add that management derived discount to the discount the market typically assigns to these closed end funds. That's why it trades at a 10% discount. Remember too that if this is held outside a registered account (RSP) your adjusted cost base will decrease around 30% of the value of distributions through return of capital. I guess if you just bought and held this thing forever, you's eventually hit positive capital gains territory. But why when just about every other CEF out there outperforms? If those whor DRIP start to bail, look out below! Hopefully they will give up these stupid warrant issues and change their articlets to start allowing annual redemptions at 100%. That would certainly fix the 990% of NAV trading price issue!