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Strategies & Market Trends : Natural Resource Stocks

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To: Taikun who wrote (19986)1/13/2005 12:40:01 PM
From: the Zwei  Read Replies (2) of 108662
 
RIO preferred

Very nice yield for a preferred stock. If I were buying preferreds this would be on my list.

Problems:

1) There is little info about this preferred at Quantum Online

2) I am staying clear of interest rate sensitive securities in a rising interest rate environment

3) It is a cyclical business which means the div could be at risk if earnings disappear

4) Can't seem to get a decent chart on this one to look at it from a TA point of view and compare it to it's brother RIO

So if you do buy this one, you would have to watch it very closely. (as I know you would)

Interesting idea David but not for me today. I do have to thank you for pointing out the leverage in OST.UN. I had been looking to get a piece of the Canadian Oil Sands and I bought OST thanks to you.

Zwei
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