mcc17ss

ETG: An Attractive Tax-Advantaged Fund

Thanks for the input; EVT does look good especially now that they are out of the "ARPS" leverage scheme. Here's one for you: BBPDY (Barclay's preferred series 5, 8.125%) soon to be on the NYSE.


On Apr 23 01:20 AM khaz wrote:

> I have been long EVT for over a year and a half, and I have been
> extremely pleased with the dividend. If you chart ETO, EVT, and
> ETG, you will notice that all three are highly correlated.
>
> To respond to mcc17ss - one key difference between EVT/ETG and DVY
> is the use of leverage (hence closed) to execute a dividend capture
> strategy. The recent volatility can be partially attributed concerns
> over the collapse of the auction rate securities market, as Eaton
> Vance used ARS for the 'leverage'. However, management successfully
> secured an alternative to ARS. I encourage you to research dividend
> capture CEFs if you are looking for tax advantaged high yield and
> are restricted to equities or are looking at capital appreciation
> for a total return. Otherwise, it is hard to argue with Bill Gross
> about the prospect for total return on munis.

ETG: An Attractive Tax-Advantaged Fund

They also have two other tax-advantaged dividend CEFs - ETO and EVT. How do these compare with the slew of open-end ETFs already available? I mean DVY, SDY, PEY, etc. are available at much lower expense ratios, albeit lower dividend rates too. Is this a case of too many choices for the individual investor (i.e., me)...