Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Goldberry who wrote (5888)	5/15/2003 12:29:52 PM
From: Tommaso	Respond to of 11633

>>> I would think almost all costs are in Canadian while income is in U.S. terms<< Natural gas prices are much higher than a year ago whether measured in US or Canadian dollars. The trusts collect their income in Canadian dollars and distribute it in Canadian dollars. If you are a US citizen, you get your money in US dollars. As the Canadian dollar rises (when it does) you get more US dollars. If it falls, you get less income. For Canadian holders of trusts, the advantage is that their income buys more foreign goods and services than before. For example, a dinner or hotel room in the United States that had cost a Canadian $200 ($C) a year ago would cost about 15% less today. For U.S. citizens, this income is a hedge against a decline in the value of our own currency. Also, with what looks to be an oncoming serious shortage in natural gas, it might be much more profitable, with the value of the stocks increasing as well as the income. To judge from the recent increase in the price of NCN, more US investors may be starting to realize this.