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I wish I could reply privately, but I don't have a subscription to the boards.
I have a blog; my blog
There's a way to contact me on that blog; pat@patrosenheim.com should work too.
I also have a spreadsheet; all of my holdings
I regularly reap profits from holdings that have capital gains and redistribute the cash.
Those Cornerstone funds pay a very high yield which is reinvested @ NAV and is later sold at market giving me a boost of a dollar or 2 over the PPS.
I've done some skimming as you've suggested. Lots of info there. I also skim SA and keep the good stuff and throw away the junk. Thanks for the info!
Here's my spreadsheet; my spreadsheet holdings, etc.
I've owned AGNC in the past, and it worked well for a while, until it didn't.
I've been changing my thinking about what to look for when I invest; do I want dividend income? do I want capital gains? do I want magical cookies?
If you want a copy of my spreadsheet, you are welcome to it.
Click this link and it will open my spreadsheet.
Click File, then click Make a copy.
I'm pretty sure you need to be signed in as a google person to do this.
Feel free to make changes and put all of your stuff in there to replace my stuff.
One guy thought he had to buy everything that I had and he asked me how he could buy xx.1387 shares of something. He was really surprised when I told him he didn't need to copy me exactly and he could make changes if he felt like it. He was a little shocked.
Yes, that's my (our) portfolio. No, we're not rich. At all.
Have fun.
Diligence has nothing to do with it, the spreadsheet does all the work.
I think these funds are actually designed to underperform the S&P500.
I'm not even sure there's a correlation between the performance of the S&P500 and either of the Cornerstone funds (CLM or CRF) and I believe the 21% figure touted in the annual reports is rather arbitrarily picked from a hat, so to speak.
I think the boards figure the funds gained from each #RO will more or less carry each fund through the following year, and in the past few years it has.
There has been some decay in overall share price, and #NAV as well as the yield, but it's still fairly high and sustained by the inflows of cash with each #RO and some smart purchases and sales of stocks, etc.
It's quite common for CEFs to have #ROs to grab some fresh cash.
I keep a spreadsheet, too.
I even track the #NAV value (both report EOW and EOM).
The dividends for 2019 will be determined by the #NAV on Oct 31st, and will be calculated on my spreadsheet. I was off by $0.0001 on one of them last year, so wait for the "official" press release from Cornerstone on that, and then you'll know the dividend amount for each for the whole year.
that's quite true...
I thought you had a membership here.
I've been considering it, but not because of the scammy spammmy penny stock crap.
I like the news. The level 2 I can live without. I could use some education. Some of the boards could stand to be corrected.
The only thing holding me back is that I think the price is a bit expensive for what you get.
I was and still am hoping for more punditry on the subjects of investing, dividends, options, shorting (not the "Tim Sykes way"), and different types of orders, etc.
Also, global investing would be a nice subject to broach on occasion as we become more of a global economy.
So, at any rate, I'm giving it some thought...
Regards,
Pat
I doubt anyone can predict the future of the S&P, bar.
I don't attempt it.
I do know that the Cornerstone funds have certain events that happen like clockwork every year. For example, the RO this year, and the previous two years that I participated in. Next thing that happens is the announcement of the final 3 monthly dividend announcements which has just happened. Next thing that happens is on Oct. 31st, when NAV for both CLM & CRF is announced. That's also when the distribution amounts for 2019 are set. The previous dividend announcement also reiterated the 21% dividend rate for 2019 so we are just waiting for October 31st when the dividend amounts for 2019 will be determined.
In 2017 there was a slight cut. and in 2018 there was a slight raise. I think we'll see another slight cut for 2019.
My spreadsheet keeps track of the NAV which is announced at the end of each week and at the end of each month for these funds.
If you buy around the RO and/or with the RO and then DRIP (reinvest) dividends at NAV (Fidelity, Merrill Edge, TDAmeritrade, etc. allow this by simply setting the funds to DRIP) you will make money. I have already seen some appreciation in share price in both funds and it's only been a few weeks.
The only thing I did 'wrong' was buying as late as August 3rd & 6th but they were not large buys. The prices were both over $14.30 which is too high IMO *at this time*. CLM reinvested at $12.9599 and CRF reinvested at $12.5958 (both on 7/31 when share prices were $14.21 & $14.04 respectively.
I hold these funds in 4 accounts; our joint taxable account, both of our Roth IRAs, and my IRA. I will probably sell 1/4 to 1/2 when they are up 20-25%. I am slowly converting my IRA to my Roth IRA so I will convert 1/5 in January when they drop in price around the 21st.
I should have done the same with ASG but I 'missed the boat' this year. Oh well, maybe next time.
Hey, what's the best subscription plan here without going overboard?
Regards,
Pat
'bout time!
Their RO was non-transferrable. You couldn't sell the rights.
There were aa couple of other other points that made me wonder, but it's water under the bridge now because I'm all out.
I use SA and agree with you on most of your points, especially regarding the comments on the articles.
I follow some authors there who seem to be very well educated about world economics and money systems, and they often opine on some heady topics.
Just today, on Stocktwits, I was warned to unload all my tech holdings because of a 'monumental shift' coming to the S&P 500.
I don't think I'll do that just yet...
'bout time!
Well, you questioned why I'd want to own this one a few days ago.
They came out with a RO that seemed a bit 'fishy' to me. I sold out completely on the open and ASG closed down almost 3% on the day.
I made money.
I'm putting it elsewhere.
I've already made money on CLM & CRF ROs last year and this year so your advice to 'paper trade' is unnecessary, thanks.
I sold one position, so where do you get this supposition of "rapid flipping"?
Yes they are!
That was a comment on an article.
The author of the article responded with a link to another article on the two cornerstone funds (CLM & CRF) that was also highly negative; Closed-End Funds CLM And CRF: Reverse Splits Skew Past Results although the title was slightly misleading.
The author and several commenters were highly negative on Cornerstone's 2 participants in the market.
I was the novice cheerleader and I almost got it right. clint56 taught me quite a few things, and so did 22 $ bill.
(the comments should be read thoroughly, as if they were a part of the article itself. I believe that may be why bar1080 posted only the comment from the article by the Stanford Chemist on the SA site.)
clint56 wrote;
Hopefully you hold Cornerstone at a firm that permits use of the Cornerstone's Reinvestment Program.
My last REinvestment came in at $12.1989 per share on 4-13-2018 and last night's the stock closed at $15.57
I bought 1143.55452 shares for a total cost of $13,951.24 via dividend reinvestment that is now at $17,805 as of yesterday. UP 27.62%.
To all INCOME investors that need the cash flow
A $30,000 investor with 2000 shares in CRF can "now" expect a cash dividend of $460.20 per month.... had he reinvested last month via Cornerstone's reinvestment plan at NAV, as I did, he would be receiving 37.75 shares in lieu of the cash dividend.
Mostly, Cornerstone will reinvest at the last reported NAV on the last FRIDAY of the month.
The cash required investor should sell the ANTICIPATED reinvested shares on the last day of the month. On the last day CRF close at $15.12 times 37.75 shares = $570.78 less fees
Now, all you expert pontificators recommending not to reinvest... Please address the illustration I laid out above. PLEASE PLEASE explain why I would NOT want to reinvest at NAV and take a $460.20 CASH dividend and turn it into $570.78 STOCK dividend.
FYI. Due to GOOD FRIDAY the last reported NAV for MARCH was 3-23-18, the final reinvestment price. I know all these details due to actual experience and NO made up BS
So before all you experts post up your advice, you might try having money in the investment first.
I posted info from an account that recently reinvested.
IMPORTANT .... DO NOT invest in CORNERSTONE with out doing your homework. It is currently at a higher level of valuation and maybe be here for several months.
Be careful.
I just sold all ASG on the uncertainty of their RO.
I understand. However, I think the risk is overstated at the moment.
I will be making adjustments to my strategy but I think I have time to enjoy the fruits of my labours for a few more months (quarters?) before adjustments become necessary.
I have rotated into preferred shares before, and may do so again.
I may start slowly, perhaps as early as the beginning of next year.
Right now, however, I think the risk is manageable at this point in time.
What about you?
Are you taking any steps to manage risk?
I just started positions in ASG and have only 400 shares. I like that they have switched to a managed distribution policy.
I have positions in both CLM & CRF with 1,836.6702 & 2,145.9443 shares respectively. They have treated me well and I will earn over $11,000 from these 2 this year. Next year, I will probably earn a similar amount, but there's a possibility it may be a bit smaller (or larger).
Either way, capital gains will fill in the gaps for me nicely.
Why do you think CLM is an abomination?
My horizon is this long; {_}
Sometimes it gets longer.
It's easy to play and make money with both CLM & CRF; take advantage of the RO, and oversubscribe fully. Buy around the RO, and since they DRIP at NAV ALWAYS DRIP at NAV. If your broker doesn't allow it, find another broker. Fidelity and Merrill Edge allow it. Most of our holdings are in our Roth IRAs so tax liability is minimal as it should be. I've done well the past year and a half with these 2. I should do well this year and next as well.
Exactly!
I'm trying to maximize my income.
I mean, that's the point, isn't it?
And, your question about ASG...
Growing dividends, pays in stock at a discount, and is up 46.14% total performance the past year;
one year total performance
You're the celebrity!
My spreadsheet includes DRIPped shares, or fractional shares. Right now, I have 17.3625 shares of ARR
I also have exactly 400.0000 shares of ASG because no shares have been DRIPped as yet.
I carry the figure out to 4 decimal places because that's what my broker does. My figures on the spreadsheet reflect what the broker shows.
Hope this helps.
Thanks for commenting!
Pat
CLM & CRF Rights Offerings participation spreadsheet information
I have a spreadsheet for the rights offerings; https://docs.google.com/spreadsheets/d/1jX7-2DV2Xu50ngRXx5gzv19NCeubfQq2zacuM09x_cI/edit#gid=1670719447
Some of the info is germane to me alone, but most of the info is for public consumption as are all my spreadsheets.
I am participating, but only in my Roth IRA and my wife's Roth IRA. Our broker charges $30 for each of these 'voluntary corporate actions' and we are oversubscribing 100% for each fund.
Both of these funds pay monthly, and our current YOC (Yield On Cost) is over 18% even after the drop in share price since the announcements about the rights offerings.