Replies to post #23960 on A.I.M. Users Bulletin Board (AIMUSERS)

[aim hier]

Hi TF,

I have traded in and out of RNP for years, have only a small hoding currently, but will probably add more in the near future. The fund sells for a discount, and I think it's a good holding. The company invests a minimum of 40% to a maximum of 60% in real estate stocks, the balance is made up of preferred securities and debt securities that can be in any industry. The fund is managed by Cohen & Steers, which specializes in real estate funds.

For those who are looking for a high yielding ETF, I do like RNP. The caveats are this fund will not have as high a growth rate in the underlying securities as a pure real estate ETF, which Cohen & Steers offers a number. In bull markets, RNP tends to lag the pure REIT funds. If interest rates rise, the preferred and debt securities are going to decline in value.

In summary this is not a great growth fund, but it does, in my opinion, reflect a great risk/reward profile. It is ideal for someone like me, who is retired and living principally off of their investments.

[lrp42]

Hi Toofuzzy,

Thanks for the tip on RNP. I will research it and possibly put it on my 'watch' list.

I would think that the consensus believes that the ultra 'short' ETFs, whether sector or broadly diversified funds, are a bad idea.

However, it seems to me that the idea of ultra 'long' sector ETFs was not addressed by any of the respondents. I should have been more specific that I was discussing the ultra 'long' sector funds when I talked about the fall, rise, etc. AIM-like volatility motion of a stock or ETF. I apologize for my lack of specificity.

I could be wrong, but to my knowledge these ultra ETF sector funds have been around only since this past January. There may have been some ultra sector open-ended mutual funds available before then. However, because of the trading restrictions placed on most open-ended mutual funds I was only interested in ETFs. With ETFs and stocks one can place limit orders....not so with open ended mutual funds.

Therefore, since these ETFs have been in existence only a very short period of time, then that is the reason why I asked if anyone had any experience with them. In re-reading my original post it appears that a lot of spaghetti was thrown on to the wall and that the message was not specific enough in the information it sought.

I did receive your private message, but since I am not a premium member I could not respond to it. I will say that I was previously aware of all the points you raised.

Regards,

Ray