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.

Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Skeeter Bug who wrote (117263)	12/15/2008 3:43:44 PM
From: Knighty Tin	1 Recommendation Read Replies (2) \| Respond to of 132070

that's one reason why I love preferred shares on closed end funds, especially GAM PRb. You buy a preferred and their income is the same balance of dividend and cap gains as the common shares. So, if they pay out 70% long term gains, 20% stock dividends and 10% short term gains, you get a max rate of 15% on 70% of your dividend. And a fund that's been in business since 1927 has some stock shares they bought for beads. <G> With a 7% yield on the preferred, you earn more after tax than from AAA munis. And GAM's AAA rating is actually safer than a munis AAA, IMHO. Always look for a tax scam, because the wealthy sure are.