Cornerstone Strategic Value Fund, Inc. (NYSEMKT:CLM)
A closed-end, diversified management investment company whose investment objective is to seek long-term capital appreciation primarily through investment in equity securities of companies listed in the United States.
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20% premium!! will eventually end badly
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Nice job by some fellow "Fools" downthumbing this one when it was 25% above NAV. Part of the premium was due to folks wanting in on the Rights offering. It's since corrected back down and is about 3% above NAV. The dust has settled from the rights offering. The dividend will no doubt drop to match the new shares. Overall, I DON'T like this type of dividedn play that pays out assets to support income return to holders. I see a range bound S&P, however, and the dividend reinvestment from this lower starting price "might" work out as a CAPS play. IF I exected an S&P rally then this would be a bad play as dividends would not keep up with S&P.
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Sibling of CRF.
http://seekingalpha.com/article/38086-the-cornerstone-funds-are-sucker-bets
"A substantial portion of each Fund's distributions made during this current calendar quarter may consist of a return of the investor's capital. Accordingly, these distributions should not be confused with yield or investment return on the Fund's portfolio."
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high yield at low price
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Dividends are great, share price is depressed due to day traders. We enjoy high dividend on 50000 SHARES
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Another huge premium ETF. Just a matter of time.
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Wallstreet hates 'em, but the instutions don't. Said to be way over NAV, but returns powerful DIV of 12%+. I sold at 8.79 $#%#$%#$ it!
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Fool UK
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