jse17

CEF Weekly Review: Ping Pong, Anyone?

Joe,

I appreciate your viewpoint and agree that reasonable discussion and divergent analysis promotes progress in all venues! Additionally, I readily accept that CEFs are not for all investors with premium/discount avoidance alternatives readily available e.g., OEFs and ETFs.

I enjoy your work creating a first read on my follow list.


On Nov 08 10:18 PM Joe Eqcome wrote:

> In the final analysis the shareholders own the companies in which
> they invest and should be operated for their benefit. For concerned
> shareholders not to agitate for a higher valuation is a dereliction
> of their rights. (Not everyone trades this stock on price variations.
> In fact, most of the shareholders are probably “buy and hold”.)<br/>
>
> Shareholders need to continue to legitimately challenge management
> to seek demonstrable ways of adding value, or outside influences
> (raiders) will bring to bear that challenge by removing management
> in favor of their own interest and that interest may not be aligned
> with the remaining shareholders’ interest.
>
> I believe not enough pressure is being placed on ADX’s management
> to close its persistent 12%-15% discount in a portfolio of highly-liquid
> large cap securities.
>
> Shareholders should seek a resolution for ADX for a trigger mechanism
> that after a certain time period if the discount remains at 10% (or
> another legitimate discount) ADX should institute a in-kind tender
> offer, much like Tri-Continental, so shareholders can at least realize
> some of the discount in the secondary markets.
>
> I believe a fear of a loss of management fees and potentially a loss
> of management's jobs would place a new urgency on focusing on getting
> the value up from this persistent, dismal discount. Let me also note
> there’s been paltry insider buying by management in ADX. So, apparently,
> they agree that the discount will persist in the future.
>
> This doesn’t have to necessarily end up in the liquidation of ADX;
> it could end up in higher valuation for the shareholders and ADX
> remaining a closed-end fund.
>
> That would make us all happy.
> On Nov 08 08:25 PM jse17 wrote:

CEF Weekly Review: Ping Pong, Anyone?

“Joe, Leave ADX Alone!”

As mentioned in response to your earlier “attack” on ADX, its P/D figures generally correspond to and are often better than similarly positioned CEFs. Additionally, as the previous poster mentions, the fund’s management is solid if not spectacular. Moreover, it does not require a finance Nobel Laureate to formulate a buy/sell protocol on this or any CEF.

In the end, all cancers commit volitional suicide by consuming their afflicted host! Opening all CEFs is analogous in character!

CEF April Monthly Review: Real Estate Funds Rock

Your work is appreciated Joe!

It may be at or near the time to sell the high flying REIT CEFs and buy with 90% or so of the resulting capital, VNQ.