Dividend 15 Split Corp II T.DF

Quadravest Retractions

[navgod]

Four Quadravest split-share funds are being renewed/extended Nov 30 2024 - FFN, LFE, DF, and DFN. To receive the NAV on that date you must submit your holdings by Oct.31.-- your broker will usually require an additional 2 days notice. This means the discount should continue to shrink as we approach this date. What this also means is that the discount should widen out once the retaction bid is gone. The size and speed of this adjustment will be interesting as will the increase in short positions.I personally will be retracting approx. 500,000 shares spread over holdings of LFE, FFN and DF.  GLTA

[chessplayer]

Will you try to hedge DF with options to cover the month gap between valuation and tendering? if yes, what proxy are using?

[navgod]

My first hope is to establish a short on DFN if possible as it is almost a mirror image of DF. 

[Pumpersuck]

Ok, can you guys explain to me exactly what this means please. If the NAV is 16.49 currently and assuming this stays fairly consistent if I were to tender my shares how much would I receive per share then. Please try to keep the explanation simple, appreciate it.

[mouserman]

You are taking a bit of a gamble.. as it will be the NAV on NOV 29. that would get for a price.. So if the NAV goes up you will make out like a bandit. IF it goes down, you could make 0, OR worse. So unless the discount is significant , it is a risky bet.. going into taxx loss sell season.

[FatTraderDude01]

Nachos, when you say, you submit your holdings by October 31 with two days for your broker...  How is that different than just selling your shares before the Ex Div date?   I'm unclear on Retraction Bid??? Does this work on share volumes over 100K???

[FatTraderDude01]

Oops .. Navgod...

[mouserman]

IF you sell on or before  ex divvy date , u may not get the NAV value... and would not get the distribution  selling before.

[navgod]

A couple of thoughts post retraction deadline and election:  1) as predicted discounts widen post retraction deadline but especially for FFN and LFE as sp struggled to keep up with surging NAVs. 2) discounts should narrow from here however will not disappear - expect 30-50 cents to remain. This reflects the premium for the pref shares and would bring unit nav into line with combined sp for