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Douglas Albo  

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  • Equity CEFs: Don't Judge A CEF By Its Yield [View article]
    George, I'm sure there are some positives to the Cornerstone funds, but they pale in comparison to the glaring failure of their overall strategy. Reverse splits back in 2008 for CLM (1 for 4) and CRF (1 for 2) should have been the first sign that the strategy was flawed. These funds have frankly been a disaster for anyone who has held on to them long term.
    Sep 3, 2014. 10:53 AM | 1 Like Like |Link to Comment
  • Equity CEFs: Don't Judge A CEF By Its Yield [View article]
    Not sure how the value is over represented. The NAV conversion is what it is. There's no gain or loss there if you fully exercised your Rights.

    In regards to the market price, the Rights gave you multiple opportunities to sell the enhanced value, either through GRX or GRX-RT at nice bump up prices before the conversion took place if you didn't want to actually increase your stake.
    Sep 2, 2014. 10:57 PM | 1 Like Like |Link to Comment
  • Equity CEFs: Don't Judge A CEF By Its Yield [View article]
    Straight from Gabelli's website. Feel free to add them up and compare with my historic distributions for GRX.

    http://bit.ly/1lGGiaN

    They actually adjusted the distribution up a bit from $0.7644/share last time I looked to $0.7707/share. May have had to adjust for the over-allotment.
    Sep 2, 2014. 05:18 PM | 1 Like Like |Link to Comment
  • Equity CEFs: Don't Judge A CEF By Its Yield [View article]
    NHF looks to be more fixed-income weighted with only 30% equities. I cover Equity CEFs in which portfolios have to be at least 50% stocks.

    Granted, PGP is not an equity fund but with its huge S&P 500 futures weighting, it is still heavily dependent on that index.
    Sep 2, 2014. 04:16 PM | 2 Likes Like |Link to Comment
  • Equity CEFs: Don't Judge A CEF By Its Yield [View article]
    Well, if CEFs didn't trade at discounts or premiums, I probably wouldn't be buying them as well but picking up assets and yields at significant discounts is worth it to me. Remember, your competition in CEFs is not their benchmarks, its other investors in these funds!

    BTW, I don't see where Gabelli uses the R3000 as GDV's benchmark. In their Semi-Annual report dated 6/30/2014, Gabelli uses the S&P 500, DJIA and NASDAQ Composite, all of which GDV has beaten at the NAV since inception and that is net of fees.
    Sep 2, 2014. 03:17 PM | 2 Likes Like |Link to Comment
  • Equity CEFs: New Kids On The Block [View article]
    If it is, it will be for all CEFs, not just ETY and ETV.
    Jul 27, 2014. 10:23 AM | Likes Like |Link to Comment
  • Equity CEFs: New Kids On The Block [View article]
    I've seen it work both ways. Sometimes I think I get some institutional investor upset and I see the market price sell off after I write a positive piece or vice versa! I do try and time my articles at inflection points so no matter what knee jerk reaction might result in the days following releases, I'm pretty confident that over time I will be proven right.
    Jul 26, 2014. 11:20 AM | Likes Like |Link to Comment
  • Equity CEFs: New Kids On The Block [View article]
    Thank you for your kind note...
    Jul 21, 2014. 01:56 PM | Likes Like |Link to Comment
  • Equity CEFs: New Kids On The Block [View article]
    Oh, they usually trade at high single digit to low double-digit discounts. There's not too many of them. RVT and its spin-off RGT are probably the most well-known.

    But I like Gabelli as a stock picker. That's their specialty and though they use leverage and the funds have to be considered aggressive, I feel good about the prospects of GGZ with the current sell-off in small cap and the large discount.
    Jul 21, 2014. 01:28 PM | 2 Likes Like |Link to Comment
  • Equity CEFs: New Kids On The Block [View article]
    GGT will see its NAV go down when the Rights convert, just like what happened to GRX. So the current discount is really closer to -5% to -6%. I suggested buying the Rights when they were about $0.16 to $0.17/share a couple weeks ago in this article...

    http://seekingalpha.co...

    So even though GGT's market price keeps going down and is currently at $9.55, you would still be up a little with a current Rights valuation of $9.51 ($.017 * 3 shares + $9 exercise price). It's been brutal for GGT however.
    Jul 21, 2014. 01:00 PM | 1 Like Like |Link to Comment
  • Comparing Dividend CEFs With ETFs: Which Are Better? [View article]
    Stellar? Improved maybe, but hardly stellar.
    Jul 20, 2014. 10:46 AM | 1 Like Like |Link to Comment
  • Equity CEFs: The Rights Way To Play CEFs [View article]
    Yes, that's true and I make mention of that in the article. Which is why buying the Rights at a discount can offset that to a degree. Last week, GRX-RI was trading at about $0.30/share or an implied $9.90 for GRX after a conversion. So even with the NAV reduction down to $11.20 or so post conversion, your basis is right back to a -13.1% discount.
    Jul 1, 2014. 04:12 PM | 1 Like Like |Link to Comment
  • Equity CEFs: The Rights Way To Play CEFs [View article]
    Yes, you have to include the Rights offering. From Gabelli...

    http://bit.ly/1z5bOmf

    Hopefully, the link works but if not, you can go to Dividend/Tax Info tab for GRX. Gabelli has $0.7548 for the Rights NAV reduction back on July 24, 2013. But for shareholders, it's essentially a distribution that they get back.
    Jul 1, 2014. 11:39 AM | Likes Like |Link to Comment
  • Equity CEFs: The Rights Way To Play CEFs [View article]
    If you owned GRX before the record date of June 3rd, you're entitled to put in for the over-allotment. You'll need to contact your broker or brokerage and exercise your Primary Rights first and if you want to put in for the over-allotment, specify the additional number of shares you would like to submit. Neither the Primary Rights exercise or the over-allotment privilege is done automatically so you need to call it in. And you will also need to have $9/share available as well.
    Jul 1, 2014. 10:24 AM | Likes Like |Link to Comment
  • Equity CEFs: Funds Benefiting From The Weakness In Technology And Small Cap Sectors [View article]
    Not much opportunity with the discount valuations so similar between the three funds. BHK, as the surviving fund, would have to go up in valuation compared to BKT and BNA.

    JLA/QQQX is still the best arbitrage play but both go ex-dividend tomorrow so I wouldn't do anything until then.

    http://seekingalpha.co...
    Jun 10, 2014. 02:02 PM | Likes Like |Link to Comment
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