Crius Energy Trust Tr Unit CRIUF

Bit of interest building this morning?

[constructionsite]

Seems like there's just a bit of Friday morning interest building in this beaten-down stock.

CRIUS ENERGY TRUST UNITS (CA:KWH.UN)
Size	Bid	Ask	Size
800	6.34	6.36	100
3600	6.32	6.37	500
21200	6.31	6.38	300
800	6.30	6.39	1300
200	6.29	6.40	1600

This stock has such a loooooong way to go before its price rises back into balance.  It feels good to see green certainly, but for what it's worth, I actually prefer the yield and hope the price will stay low for another few months to allow for further accumulation...  Could there be an end-of-year sale on KWH in tax-loss season?

[deisman03]

Hard to say how this trust's price will go on a day to day or even an open to close basis right now, Lots of manipulation and rebalancing by institutional investors and in this environment it's a day trader's dream come true.  I have a friend that trades these units and a few other similar investments regularly.  Yesterday, she bought and sold KWH.UN a dozen times

[deisman03]

Hoping for this trust's unit price to stay low is a two edged sword. If the HIGH distribution doesn't attract investors and the price of the units doesn't rise to come inline with the pay out, the trust's management WILL cut the distribution and use the cash for other things, such as debt pay down or another aquisition.  When companies such as Crius become huge cash

[predawn]

sorry I dont buy the management cares all that much about sp verses dist ; cutting the dist woill kill the sp so whats the benifit>?

[Sadie222]

Crius is an income trust.  Correct me where I”m wrong, but I believe they are legally required to distribute any income that may be taxable (or something like that). They are very limited in their actual ability to “cut the dividend”.

[predawn]

dont confuse a REIT with a TRUST even though they both say unit trusts when trading Iam pretty sure a energy trust does not have to pay out all its taxable earnings like a REIT does

[deisman03]

This trust is very similar to an ETF. They do have to pay out a specified amount of their available cash. The thing is, they can cut the distributions to pay down debt or to make acquisitions. Another way they can cut distributions is to float new units or sell off their reserve units thereby dilluting the distributable amount of cash.  JE did that about five years ago and it tanked the

[Sadie222]

The trust holds shares in the corp (much like ENF I suppose), and the trust indenture states that potentially taxable income must be distributed. It does not control the operations of the corp, though, so adjustments could be made there if appropriate.