Quaker

Why Are Ford and Chrysler Letting GM Lead Negotiations With the UAW?

If GM Chrysler and Ford cut their labor rate to $3 an hour they'd still be going under. They build shit cars nobody wants.

A Contrarian Strategy For Quick Capital Gains

IMO, the dividend cut argument is even stronger with Gas royalty trusts. One reason is the type of investor that buys yield is VERY risk conscious. This is a trend I noticed with tax free bonds in the 90's.

With gas royalty trusts, especially canadian trusts, dividends correlate to price and volume with a pretty good lag factor. This makes them more predicible than other dividends though your GM example was about as predictable as they come.

Gas royalty trusts right now are undergoing the perfect storm of high drilling costs, falling gas prices and tax law changes in Canada. IMO, over the next year, drilling costs will lower, canada will make a special tax exemption and prices will skyrocket.