Hello Pezz, Last Night’s Report:
(a) I sold some of my Energy Split uk.finance.yahoo.com at average CAD 15.60/shr, and recognized a profit of Message 19587966 <<December 11th, 2003>> of 3.61/shr. I had also collected two slops of distributions totaling CAD 0.92/shr during my holding period. The gain is thus a satisfying 38%.
The Energy Split “watchers” are saying that the leveraged beast is now trading at a substantial premium (15-18%) over its underlying value comprised of trust holdings, and so I figured it is best that I take the withholding tax-free gain rather than wait for the distributions that would be clipped by the withholding tax mechanism.
Perhaps ES.TO will oblige by falling back to its net asset value so that I can have a night cap before leaving the parking lot; or ES.TO may rise more on larger volume so that I can unload the rest of my holdings.
(b) I purchased a tranche of Trinidad Energy Services finance.yahoo.com at CAD 8.325/share. They look for stuff and then dig for it, but as a service provider, not as a principal, sort of like what I do.
© I bought a bunch of Noranda Income Fund finance.yahoo.com at CAD 11.00ish. They do nickel.
I rather like the transparency of royalty trusts, earning, paying out, and when need to do capital investment, must seek to sell additional units, i.e. ask investor permission to see if the trust should be allowed to invest more, and at the same time, mark-to-market the trust value.
It is tougher to pull an Enron within the trust schema.
Chugs, Jay |
