Why did the high yield bond fund RSF drop in value recently? Will it continue to pay 0.14 dividend? - high yield bond funds
RSF is a closed fund high-yield bonds are traded on the NYSE. Recently, it has fallen by about $ 2 per share from the previous average. Does the company advertise that I do not anything? It pays out a dividend of $ 0.14 per share per month. If this continues, it should be valued at about 16 U.S. dollars per share or more. Why did dip down to the $ 14's?
Saturday, January 16, 2010
High Yield Bond Funds Why Did The High Yield Bond Fund RSF Drop In Value Recently? Will It Continue To Pay 0.14 Dividend?
3 comments:
Much of the portfolio is invested in the portfolios of mortgages and home equity loans. With the recent bad publicity about "subprime risk and defaults, the Fund sold the bad news. Another factor is that the fund was trading at a premium of about 10% and lay until the autumn. This means the market price higher than 10% more than the actual value of fund shares. is the negative message that could reduce the price closer to their true value of the assets.
Neckties support, some of the subprime loans, cos can not be loaded or other problems. All the worries on the market, reducing the assessment rate risk from bond funds. This is an unwanted background noise - the performance is not high. They also sold at a ridiculous premium of 11% of the value of assets if you sell the majority at a discount. This increases the risk. With only a reduction in the dividend of 15 December is a risk that is further reduced.
Neckties support, some of the subprime loans, cos can not be loaded or other problems. All the worries on the market, reducing the assessment rate risk from bond funds. This is an unwanted background noise - the performance is not high. They also sold at a ridiculous premium of 11% of the value of assets if you sell the majority at a discount. This increases the risk. With only a reduction in the dividend of 15 December is a risk that is further reduced.
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