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MFS Charter Income Trust V.MCR


Primary Symbol: MCR

MFS Charter Income Trust (Fund) is a diversified closed-end management investment company. The Fund’s investment objective is to seek high current income, but also considers capital appreciation. The Fund primarily invests in debt instruments. The Fund also invests in corporate bonds of the United States and/or foreign issuers, United States government securities, foreign government securities, mortgage-backed securities and other securitized instruments of United States and/or foreign issuers, and/or debt instruments of issuers located in emerging market countries. It invests in a range of fixed income sectors, such as high yield corporates, emerging markets bonds, investment grade corporates, Non- United States government bonds, commercial mortgage-backed securities, mortgage-backed securities, collateralized debt obligations, municipal bonds, asset-backed securities and United States treasury securities. The Fund's investment advisor is Massachusetts Financial Services Company.


NYSE:MCR - Post by User

Comment by LTIH1324on Aug 24, 2020 11:53am
135 Views
Post# 31445845

RE:RE:RE:Paying $2.40 for $3.70 seems like a no brainer

RE:RE:RE:Paying $2.40 for $3.70 seems like a no brainerI liked your post. I think its fair to throw out criticism - perhaps there is a lot of bullishness amongst this group (count me as one), but I don’t believe it is mindless group think. The posts to me seem to be mostly informative and not how we are positioned to have a no-brainer multi-bagger -- I get the irony of responding to a thread title that includes the term “no-brainer”, but if you look back at the majority of the posts - they have more substance than most forums.    

That said, I would welcome more specific criticisms and communication of the bear case - to fight groupthink, we should encourage opposing views. 1) perhaps the political environment for pipelines and the corresponding delays / project cancellations could have been identified and it will continue for the foreseeable future and management will fail to run more efficiently, “dreaming of the good old days”, 2) perhaps you think margins will permanently compress to levels not being considered, 3) perhaps you think that true depreciation is higher than people contemplate, 4) perhaps you think the curse of the Venture exchange will never lead to a catalyst, 5) perhaps you see the control of Frank being a negative and not a positive. I welcome more insight on these issues and any more you have.

In my view, I have thought a lot about these risks and think that with the backlog and margin of safety in the current price - I really like this investment and I personally care more about company execution then stock price action, the latter should sort itsself out if the execution is there. I, of course could be wrong, but the bear case as I understand it is priced in but would welcome others to post concerns / risk factors to continuously check my self.  

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