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Bullboard - Stock Discussion Forum Pure Multi-Family REIT LP PMULF

"Pure Multi-Family REIT LP is a Canada-based real estate investment trust. It invests in multi-family real estate properties focused on luxury resort-style apartment communities in the United States, which offers investors exclusive exposure to U.S. multi-family real estate assets. Its portfolios are in Dallas, Texas, Arizona, Houston, Georgia, San Antonio, Phoenix, and Nevada. Its portfolio... see more

OTCQX:PMULF - Post Discussion

Pure Multi-Family REIT LP > Not easy to get on board
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Post by Aminvestor1234 on Nov 03, 2017 12:00pm

Not easy to get on board

Good fundamentals. Trying to take a small position in this REIT. No success thus far. The thin trading and wide spread is a concern.
Comment by maypeters on Nov 03, 2017 12:47pm
got to put in a low bid and hope someone sells out. Trading is definitly thin. Gets yanked around quite a bit now days. 
Comment by Aminvestor1234 on Nov 03, 2017 1:49pm
The problem with putting in a low bid is I always ended up with just a portion of the order filled. So I have to pay commission many times over. Also a thin trading stock like this, I may have problem getting out at a fair price.
Comment by Aminvestor1234 on Nov 07, 2017 12:24pm
My mistake. I was looking at the US listing. On TSXV trading volume and spread are actually pretty good and it's easy to pick up shares.
Comment by TimeBuilder on Nov 11, 2017 1:26pm
Note you must remember....THAT....CDN investors will experience a USA WithholdingTAX on the monthly distribution IF held in their CASH or TFSA accounts.....FYI: We only hold RUF.UN.T in our RRIF and RRSP accounts to aviod this USA tax. Regards to ALL Old & New Investors, TimeBuilder
Comment by Aminvestor1234 on Nov 14, 2017 4:29pm
TimeBuilder: What if the shares are RUF.UN purchased from the TSXV, are the monthly distributions subject to withholding tax?
Comment by maypeters on Nov 14, 2017 5:31pm
It is the kind of account that you purchase the shares in that matters more than the actual exchange.  The reason that there is a with-holding tax by IRS is because 100% of the revenue from RUF.UN is from the US.  25% of the distribution is a ROC. If held in taxable accounts - you will get a T5013 - Statement of Partnership income. 
Comment by Aminvestor1234 on Nov 14, 2017 8:15pm
Sounds awfully complicated for my small investment. Although the distribution is 6%, but after taking into account the 25% withholding and 25% of ROC, the net return is only 3%. No longer all that attractive.
Comment by maypeters on Nov 15, 2017 10:20am
It is not bad. The ROC is actually quite attractive since you get to convert the dividends into capital ains. Since these are not eligible dividends and do not attract the dividend tax credit - the adjustment of the adjusted cost base or book value (there by affecting capital ains when you sell) is more preferable.  The with-holding tax is adjusted aainst your income for non-registered ...more  
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