There have been many articles written about the American REIT´s both good and bad.
.
.
We have added Chimera CIM to the fund with 2 purchases late last year the second purchase costing a little more than the first but we average out a $3.99. At the end of this month we will have recieved 2 dividends (34 cents). Our timing could have been better as the shares went down to $3.86 when the company issued more shares, which seems quite commone with REIT´s at the moment. Our timing was also influenced by changing sterling to dollars which was not easy.
www.fool.com/ asks So let's first take a look at what you'd want to see from a perfect stock, and then decide if Chimera Investment Corp. (NYSE: CIM) fits the bill. With 6 points out of a possible 9 because of its youth , Chimera has gotten off to a good start. With the popularity of mortgage REITs lately, that's not surprising.
The point most critics against REIT´s made is that when US interest rates rise the high dividends will go down but American interest rates are usually lower than in other countries and what is to say that these companies cannot maintain the same sort of spread? There seems a lot of interest from banks from various parts of the world in taking up the new shares in the REIT´s that have offered them over the last two or three months.
We are hoping the the prices do not go up with the idea of doubling our holdings during 2011
.
Dividend & Yield: 0.68 cents (16.60%) - price at close of market $4.13 
0.02
No comments:
Post a Comment