I continue to favor direct ownership in MLPs. Even beyond the taxation profile, I believe there are numerous MLPs in indexes inherently exposed to unbalanced risks. I believe Incentive Distribution Rights (“IDRs”) to certain MLPs general partners can represent a tremendous governance conflict of interest of long term consequence. The only way I can be certain I am taking only those risks I am comfortable with is having control of what goes into my basket.
In September I here added a Cohen and Steers Closed-End Fund which was subject to a distribution increase, RQI. Similar to a prior holding, SLS, which was discussed in the webinar, RQI allows me to diversify my portfolio so as to include categories of exposure to income assets whose income can be dynamic. There are risks in everything of course, but I want to pick and choose which risks I accept in what proportions, rather than embracing peak interest rate risk in all Taxable Income style holdings.
This week we’re going to look at some managers who’ve been on Covestor for a few months now, but who haven’t been highlighted on Covestor Live yet. Suncoast Equity was added to the Covestor roster in May. The company was founded in 1997 by former Polen Capital portfolio manager Donald […]
In the Fundamental Growth model, manager Sparrow Capital looks for companies with a proven ability to grow their sales as well as cash flows, earnings and book values over different economic cycles. In order to find the right kinds of companies, the fund’s managers review annual and quarterly reports. The […]
I continue to believe the market for Closed-End Municipal Income Funds is extremely inefficient. I’m certainly happy with what I observe in the daily fluctuations, income, prospects for monthly dividend hikes, and attractive valuations in the funds I hold.
At GEARS we have developed unique tools to find improving fundamentals companies when their share price is depressed and identify deteriorating fundamentals companies when their share price is extended. To perform that analysis, we have created an accurate set of fundamental performance metrics and a share price volatility calculator.
This week we asked Ben Dickey, one of the founding principals of BSG&L Financial Services, some questions about their two Covestor models, Pure Growth and Growth Plus Income. Covestor Live: Both of your models have been in the top 5 over the last 3 months. What do you find is the […]
The Micro-Cap Aggressive model added Direxion Daily Small Cap Bear 3X Shares (TZA) to their model this week. TZA is a bearish ETF that attempts to deliver results that correspond to 300 percent of the inverse of the Russell 2000 index. On October 8th, the fund was trading at a […]
It was a bumpy day for U.S. markets, even though the bumps were relatively small. For the majority of the day, the Dow Jones Industrial Average remained just above 11,000, but about 30 minutes before the close, it fell to roughly 10,978. Some momentum was regained in the final minutes […]
The Department of Labor released their September Employment Situation Summary today. In the report they announced that the unemployment rate had remained unchanged during September and was still 9.6 percent. They also noted that private sector employment rose by 64,000. You can see the full report here. The U.S. Census […]
It has become accepted wisdom that the stock market will move in an inverse relationship to the dollar. That is exactly what happened last month as the dollar index fell and the stock market rose sharply.
Author: Bob Gay, GEARS Disclaimer: Bob Gay owns FCS in his Covestor Earnings Surprise model. October 8, 2010: At GEARS we have developed unique tools to find improving fundamentals companies when their share price is depressed and identify deteriorating fundamentals companies when their share price is extended. To perform that […]