Scott F

CEF vs. ETF Arbitrage in the Real Estate Sector

I don't know; this is pretty thin gruel. ETFs and CEFs are not highly comparable because of CEFs' extensive use of leverage and ludicrous management fees. CEfs should be heavily discounted, considering their poor performance and unresponsive management (have any of you listened to one of their conference calls?). When you factor in their suspension of dividend payments for not meeting asset requirements, you really wonder if the author has done his homework. Lastly, what is the point of an article on arbitrage when you cannot borrow the shares? This does seem like random thoughts with unreadable graphs versus any concerted thinking.