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Strategies & Market Trends : Dividend investing for retirement -- Ignore unavailable to you. Want to Upgrade?


To: Steve Felix who wrote (20170)6/29/2014 9:55:05 PM
From: Elroy1 Recommendation

Recommended By
gregor

  Read Replies (3) | Respond to of 34328
 
We could go on a long time just like we are currently.

Yeah, the trend recently seems to be having rates actually go back down.

I think Japan has had near zero interest rates since about 1992. Maybe there is something in economics that once you set the short term rates to zero, they tend to stay there? I don't know, but there's little data out in the past few years that say short term rates should be a more normal 2-3%. They might sit around zero for the rest of our lifetimes......



To: Steve Felix who wrote (20170)6/29/2014 11:11:22 PM
From: TheNoBoB  Read Replies (1) | Respond to of 34328
 
Re: CEFL component leverage

...with payouts of 7.6% and 8.5% the funds CEFL invests in have plenty of leverage on their own.
This likely true with some -- probably most -- of their components, but the two you cited (EOS and ETY) write options to goose their returns. There's no mention of interest expense (or any other leverage-related liability) in either of their annual reports, and CEFConnect lists them with the 'unleveraged' attribute.

Good point, not so good examples :)