RE:Realtime NAV 2% higherNobleHouse - yes, I am in the court where I don't like to pay for anything at a price that is higher than something is worth. In the case of leveraged investments such as split shares, paying a premium just presents an additional downside risk. For some splits, the math relating to income vs payouts etc make result in a small premium actually being OK but beyond that point you are paying too much.
All that said, given the structure of split shares, I don't consider them to be long term holds, especially in a down market since most people buy them for the higher yields and when the NAV goes down towards where they won't pay out for the commons, the SP usually tanks and I don't want to be the last one trying to get a seat in that game of musical chairs.