Hi Whitepine - I sold most of my royalty trust positions, especailly in non-taxable accounts, since I thought valuations were getting high. I have kept some AVN, NCN, and some PMT, especially in taxable accounts where I would pay short term gains.
I am serioulsy considering buying much more SJT, maybe VET and others.
I recently bought some BPT to get oil exposure, seems to be doing okay. Pays quarterly, so BIG drop ex-dividend.
NG prices and RTs - the US Royalty trusts tend to track US prices. Canadian gas prices were depressed about a year ago, due to supply over hang from Ladyfern. WIth the excess Canadian suppply gone, Canadain gas prices have moved up MUCH more on a percentage basis than US prices, since thay started out from a much lower base.
When prices were about 3.50 at Henry Hub, SJT in New Mexico was getting about 2.60 and the Canadians about 2.00 (all USD)
Now at $4.50, New Mexico is about 3.50 and Canada about 3.10...
Numbers off the top of my head, but the difference in relative pricing between last year and this year is big.
Should continue to make the Canadian trusts good deals.
I thinnk that expalnis some of the price disconnect. ALso, Canroys are being 'discoverd' by more people ... |
