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: Condor who wrote (10454)	9/12/2006 4:25:01 PM
From: Goldberry	Respond to of 11633

Try looking at this site to get some idea of whats available. www3.telus.net Ask some specific questions someone will jump in and answer, lots of expert info around.

To: Condor who wrote (10454)	9/12/2006 4:27:37 PM
From: Tommaso	Respond to of 11633

>>>Is there one person on this thread who is generally acknowledged as the authority on income trusts?<<< I am not going to make that claim, but I prefer the safety of diversification to pinning all my hopes on one or two trusts. My biggest holding now in that area (aside from COS.UN the oil sands trust) is now AOG.UN. bromptongroup.com If you want added leverage, ES is good: scotiamanagedcompanies.com!1595765585?com=ESC Other people have their individual favorites. For a tar sands play, COS.UN cannot be beat for safety and income: cos-trust.com

To: Condor who wrote (10454)	9/12/2006 5:16:18 PM
From: a.handbag.	Read Replies (1) \| Respond to of 11633

Never act on investment advice from the net. Having said that, I have found a lot of valuable opinion there. I agree with Tommaso that a wise choice when starting is a diversified such as AOG.UN, whose distributions are 100% ROC for 6 years. In a taxable account this is a bonus. Don't even try to understand how they do this. If you are not Canadian I can't help on the tax question. I am not an authority, but I have invested in these trusts for 10 years.

To: Condor who wrote (10454)	9/23/2006 3:06:00 AM
From: energyplay	Read Replies (1) \| Respond to of 11633

Hi Condor - Note that on most trusts there is a delay of about 3 months from the sale of natural gas to the monthly payout - oil is about 30 days shorter. Right now NG prices are headed down, but the figures you see as % dividend come from last months payout, based on May or June prices, and today's stock price. In my opinion, the stock prices do not yet fully reflect the low gas and oil prices. One good thing about O& G trusts is since you can hold them for a long time, you can usually take a little more time to study them. While they tend to be similar, there are some differences. Peyto has a presentation on their web site that compares a number of Canadian trusts. Some Examples - Vermillion Ca:VET.un Has many project outside of Canada, and gets different oil prices. Paramount has very high payouts of short lived reserves, and has some Alberta tax credits. Stock can be very volitile. Peyto only pays a little, and ploughs most cash flow into drilling more long life resereves. SJT San Juan Trust - Is in the US, and thus has no Canadian witholding. They cannot buy more land, but they have held production steady or increased it slightly the past 5 years with long life reserves. Gas is in New Mexico. Stock tends to be one of the least volitile. ERF is Canadian, it is large and liquid, trades on NYSE, and put and calls are available. There are several trusts that trade on US exchanges, and they are usually marginable at most brokers. Also, many trusts have DRIP programs, allowing the dividends to buy more stock, often at a discount. Kurt Wulff at www.mcdep.com covers a number of US and Canadian Energy Trusts. It's worth looking at his web site.