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moneysense.ca, 17/07/05
Income Trust Bargains?
Rob Carrick, personal finance columnist for The Globe and Mail hunts for bargains in the red-hot income trust sector. He mentions five names:
- Acclaim Energy Trust (TSX: AE.un)
- Chemtrade Logistics Income Fund (TSX: CHE.un)
- Clean Power Income Fund (TSX: CLE.un)
- Royal Host REIT (TSX: RYL.un)
- Viking Energy Royalty Trust (TSX: VKR.un)
With the exception of Royal Host (which yields around 6%), the other income trusts yield between 11-13%. In my opinion, these high yields are indicative of the risks involved in these securities. At a time when most investors are chasing income investments, large-cap growth equities seem to offer the best value.
moneysense.ca, 17/07/05
This is a very old blog but…I’ll bite. I took a position in Chem trade a few weeks ago @$5.68CD. I get the pulp -paper sulphuric acid thing but what about the fertilizer.? Is there some component to fertilizer that ChemTrade does? Are the persistently low Nat Gas prices significantly advantaging Chem trade? This is just so beaten down given that they are supposed to have some longer term hedges in place. Don’t they benefit from the stronger US dollar in terms of their chemical plant in Texas? I believe they will ,most probably cut their distribution but perhaps only by 35% which would still leave it well over 10%. If Canfor can get off the mat this one will do well.
Still selling well below it’s BDF closing price of $16CD .. GLH did not make your list after expanding production and reporting record results on all measures? CLE is a superior trust to GLH in some respect? GLH is just bouncing off a new 52 week low made just a week or so ago.
What about Bird Construction (?Symbol BDC or BRD?/ US:BIRDF). They have been really beaten down but as the global economy BEGINS to approach a bottom they seem to have a significant enough back log of projects to maintain them, until the main line of Oil and Gas infrastructure construction reignites. They have lost some Oil Sands contracts to delay or cancellation but is it that significant? What about the greater Vancouver area construction market having some relative strength against the 2010 Winter Olympic Games projects and construction?