Sir Royalty Income Fund T.SRV.UN

holding strong

[Robsopinion]

It's amazing how well these units have held up, in relation to its peers. it shows how tightly held it is, both by retail and institutional investors now.
if any normal person is wondering why something like 104 shares would be traded, right after the dividend was paid, it's likely because someone(s) have their account set up to re-invest the dividend payment into new units. The brokerage had to cover at the best cost, and took the shares out of a bigger lot that someone else put up for sale.

[nedstar71]

Interesting about the dividend reinvestment info, not that that commentary will be absorbed by rabdud. No real buyers or sellers here so it appears to be temporarily immune from the sector weakness.  The Keg on the other hand has been getting sold off for the past week.  I wouldn't hold much in either play personally, but would favour the Keg if push came to shove, and the dividends

[flamingogold]

My position here was solidified in low single digits during covid and the power struggle between Fowler and Janes... now resolved. Holding my shares long and strong. I've been eyeing The Keg as well but would like another dollar shaved off the shares first for an 8.5% yield to start.

[rabnud]

other than the snot nosed post by nedstar  this stock rebounded rather quickly but my point was and is how could it driop that fast and much based on a few thousand  shares traded that all I was wondering  usually its bad news when a stock drops like this but has also come back very fast and on small small daily trades 

[nedstar71]

Best to Invest in a GIC rabdud.  You get easily flustered and confused by low volume traders.

[Robsopinion]

The Keg is its own unique beast. The keg royalty stream is whats available to investors (just like here with SRV) but Keg restaurants is owned by Recipe, which in turn is owned by Fairfax. Fairfax has extremely deep pockets, and by taking the royalty stream private they would not only save themselves the 8% they are paying out, but also simplify many accounting processes and reporting obligations.

[nedstar71]

True and noted.  I added a few more Keg today fwiw

[flamingogold]

Prem is quite the shark. A decade ago he perfectly timed selling his stake in CHR just before they cut the dividend by half. I know because I owned shares during that fall. Eventually did ok by buying the dip and holding long for the dividend to come back, like SRV. I think Prem may be waiting for KEG.UN to drop more, thereby lowering his premium to take it private. Feb 2013 May 2013

[Robsopinion]

Personally I don't think so. I think Prem likes to look at each group of holdings as a seperate entity, insurance, India, retail holdings etc. To write this as simply as possible, Faifax bought Prime restaurants (having to buy out the royalty side), they then merged with Cara/Recipe. They bought out the keg side (ownership, not royalty) because the oppertunity came up and if they didn't

[rabnud]

Nedstar best you mind you own business unless u have a valid answer to a posters question