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Gold/Mining/Energy : Canadian REITS, Trusts & Dividend Stocks -- Ignore unavailable to you. Want to Upgrade?

To: stan_hughes who wrote (1633)	10/15/2001 2:27:06 PM
From: Lorne Larson	Respond to of 11633

stan: Shorting the trusts is a bit nerve-racking at times. You've got to believe that they're going to give up on the x-div date an amount greater than the amount of the dividend. Works fine in a market that is trending downward. It seemed to me that since these things are so directly related to commodity prices, they were a pretty safe short when NG prices were dropping like a rock. Moreso than the E&P's where you can have take-overs or other one-time events which can really blow you out of the water if you're short. Very tough to know where we're headed right now. There are only 1 or 2 oil and gas trusts that appear to me to be grossly over-valued. The fact that many of them are also hedging a lot of production also removes any great advantage to being short. AET looked like a good short, but with their recent hedging program there doesn't seem to me to be a lot of downside from their present price.