Closed-End Fund Discounts as a Predictive Investment Tool [View article]
Nice topic and clearly presented... Buying an historically cheap NAV is a common model.
For those that dollar average into ETFs, stocks and funds, they may want to stick their cash in a checking account and wait for a day when the market is just ugly. Then hold your nose and buy. The inverse is true for selling. Pick an exuberant day to sell your fund. This is particularly true in a market that can move 1000 points in one day, and funds can swing 8% that day. You may be giving yourself or reaping a 10% bonus.
Closed-End Fund Discounts as a Predictive Investment Tool [View article]
For those that dollar average into ETFs, stocks and funds, they may want to stick their cash in a checking account and wait for a day when the market is just ugly. Then hold your nose and buy. The inverse is true for selling. Pick an exuberant day to sell your fund. This is particularly true in a market that can move 1000 points in one day, and funds can swing 8% that day. You may be giving yourself or reaping a 10% bonus.
jegan