UnThreaded | Threaded | Whole Thread (9) | Ignore Thread Prev | Next
Author: Crosenfield Big gold star, 5000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 35351  
Subject: Re: The Alternatives to PenFed's CD? Date: 9/19/2010 4:15 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 2
I still like GOV. This is a master limited partnership that invests in office space which is rented to government agencies. They recently had a secondary offering, and the price dropped. Normally a secondary offerint is dilutive, and therefore bad. What they did with the proceeds was buy more office space, which they figure they will rent out easily enough. They also increased the dividend by 1c quarterly.

The biggest disadvantage I see is the paperwork that must be done at tax time. You get a K-1, and if you aren't used to handling those things it can be daunting. Actually if you do taxes using computer software, there shouldn't really be a problem, as with K-1s come instructions. Probably the cash flow, or most of it, will be tax-deferred, but since this is a relatively new issue there isn't a history to see what the depreciation write-offs turn out to be.

Best wishes, Chris
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (9) | Ignore Thread Prev | Next

Announcements

Post of the Day:
Value Hounds

Mylan Transitioning from Generics
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement